Loading...
•
Mar 31, 2023
Ashland Q2 2023 Earnings Report
Ashland's financial results for Q2 2023 were reported, with sales consistent with the prior-year quarter. The company updated its fiscal year 2023 financial outlook and announced the completion of a $200 million share repurchase.
Key Takeaways
Ashland reported sales of $603 million, consistent with the prior-year quarter. Net income was $91 million, and income from continuing operations was $92 million. The company updated its financial outlook for fiscal year 2023, expecting sales in the range of $2.3 billion to $2.4 billion and Adjusted EBITDA in the range of $580 million to $610 million.
Sales of $603 million were consistent with the prior-year quarter.
Net income was $91 million, or $1.67 per diluted share.
Income from continuing operations was $92 million, or $1.68 per diluted share.
Adjusted EBITDA was $145 million, down 11 percent from the prior-year quarter.
Ashland
Ashland
Ashland Revenue by Segment
Revenue by Segment
Life Sciences Revenue
CapyFin.comPersonal Care Revenue
CapyFin.comSpecialty Additives Revenue
CapyFin.comIntermediates Revenue
CapyFin.com Forward Guidance
Ashland updated its financial outlook for fiscal year 2023, expecting sales in the range of $2.3 billion to $2.4 billion and Adjusted EBITDA in the range of $580 million to $610 million, reflecting weaker global demand dynamics and inventory-control actions.
Positive Outlook
- Demand for pharmaceutical products is expected to remain strong through the second half of the fiscal year.
- Pricing and mix-improvement actions position the company well to cover current cost inflation.
- The company remains confident about the future.
- Customers remain resilient.
- Inventory level was consistent with the level at the close of the December quarter.
Challenges Ahead
- Customer de-stocking is continuing.
- Weaker-than-expected results over the past month and in certain end markets have created greater uncertainty regarding the de-stocking dynamics.
- Inventory destocking creates more uncertainty for Personal Care and Specialty Additives end markets.
- There are increased concerns of further global economic deceleration and the increasing cost of capital.
- Inventory-control actions are expected to negatively impact Adjusted EBITDA in the second half of the fiscal year by approximately $20 million.
Revenue & Expenses
Visualization of income flow from segment revenue to net income