CORRECTED-Innospec Q4 revenue misses estimates

Reuters
Yesterday
CORRECTED-Innospec Q4 revenue misses estimates

Corrects Q4 operating income to $46.8 mln from $17.7 mln in Key Details table

Overview

  • Specialty chemicals firm's Q4 revenue fell 2%, missing analyst expectations

  • Adjusted EPS for Q4 beat analyst expectations

  • Company generated $61.4 mln in operating cash flow, improving net cash to $292.5 mln

Outlook

  • Innospec expects margin and operating income improvement in Performance Chemicals and Oilfield Services in 2026

  • Company anticipates consistent results from Fuel Specialties in 2026

Result Drivers

  • FUEL SPECIALTIES - Operating income grew 7% driven by sales growth and margin improvement

  • PERFORMANCE CHEMICALS - Sequential operating income growth due to margin improvement actions and lower personnel costs

  • OILFIELD SERVICES - Improved operating income and margins from richer sales mix and lower overheads despite sales decline

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Sales

Miss

$455.60 mln

$460.87 mln (3 Analysts)

Q4 Adjusted EPS

Beat

$1.50

$1.24 (3 Analysts)

Q4 EPS

$1.91

Q4 Net Income

$47.4 mln

Q4 Operating Income

$46.8 mln

Q4 Pretax Profit

$50.3 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the specialty chemicals peer group is "buy"

  • Wall Street's median 12-month price target for Innospec Inc is $100.00, about 15.5% above its February 13 closing price of $86.58

  • The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release: ID:nGNX906SpV

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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