Ingredion (INGR) Q4 2025 earnings summary

Executive summary

• Achieved record full-year 2025 operating income and EPS growth, led by Texture & Healthful Solutions and strong LATAM performance, despite operational setbacks at the Argo facility in U.S./Canada and industry volume softness.

• Clean label ingredient volumes and solutions selling grew significantly, especially in Asia-Pacific and U.S./Canada, with margin-accretive results.

• Protein fortification and plant-based protein businesses delivered over 40% net sales growth, with record quarterly sales and full 2026 capacity contracted.

• Delivered $59 million in cost-to-compete run rate savings, exceeding the $50 million target, and completed major capital projects for future growth.

• CFO James Gray announced retirement effective March 31, 2026; search for successor underway.

Financial highlights

• Full-year 2025 net sales: $7.2B, down 3% year-over-year; gross profit up 2% to $1.83B; gross margin up to 25.3%.

• Q4 net sales: $1.76B, down 2% year-over-year; Q4 adjusted operating income: $228M; Q4 adjusted EPS: $2.53.

• Full-year reported/adjusted operating income: $1.016B/$1.028B; adjusted diluted EPS up 4.5% to $11.13; reported EPS: $11.18, up 15.1%.

• Cash from operations: $944M; CapEx: $433M; share repurchases: $224M; dividends paid: $211M, with 11th consecutive annual increase.

• Net income attributable to shareholders was $729M, up 13% from 2024.

Outlook and guidance

• 2026 net sales expected up low to mid-single digits; operating income up low single digits; adjusted EPS guidance: $11–$11.80.

• 2026 cash from operations: $820M–$940M; CapEx: $400M–$440M; share repurchase target: at least $100M.

• Texture & Healthful Solutions and LATAM segments expected to see net sales and operating income up low to mid-single digits; U.S./Canada segment projected flat year-over-year; All Other to improve.

• Q1 2026 net sales expected down low single digits, operating income down mid double digits due to tough prior-year comparison.