North Charleston, South Carolina – Ingevity Corporation held its Q1 2024 earnings conference call on May 2nd, 2024, discussing various aspects of the company’s performance and financial results.

During the call, key company executives participated, including John Fortson, President, and CEO, Mary Hall, CFO, and other business leads from different segments of the organization. The discussion revolved around the performance of various business segments, such as Performance Materials, Performance Chemicals, and Advanced Polymer Technologies (APT).

In his opening remarks, John Fortson highlighted the strong start the company had in 2024, particularly noting the positive performance of the Performance Materials segment, which saw revenue and earnings before interest, taxes, depreciation, and amortization (EBITDA) increase significantly. The segment also achieved margins close to 54%, exceeding expectations.

The APT segment, while experiencing a decrease in revenue and EBITDA compared to the previous year, showed signs of improvement with two consecutive quarters of sequential volume growth. This gradual recovery in end markets was seen as a positive development for the segment.

Performance Chemicals, on the other hand, faced challenges in the first quarter as the repositioning strategy continued. The segment’s results were impacted by factors like seasonally light quarters and increased costs for crude tall oil. However, the company remained on track with its cost-saving initiatives and transition plans.

Mary Hall, the CFO, provided a detailed review of the company’s financial performance for the quarter, highlighting key metrics such as sales, restructuring charges, and gross margins. The discussion also touched upon the impact of CTO resale losses on the segment’s profitability and the ongoing efforts to manage costs and improve margins.

Overall, the executives expressed cautious optimism about the company’s outlook for the rest of the year, with a focus on completing business transformation initiatives and positioning the company for sustainable profitability. By addressing challenges in various business segments and adapting to market dynamics, Ingevity aims to achieve its financial goals and drive growth in the coming quarters.

The conference call concluded with insights into the company’s guidance for the full year, emphasizing the importance of auto production trends, market demand, and cost management strategies in navigating the challenging business landscape.