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
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(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.)