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Dec 31, 2019

Ingredion Q4 2019 Earnings Report

Delivered net sales growth through pricing actions and grew the global specialties portfolio.

Key Takeaways

Ingredion reported net sales growth due to pricing actions and growth in the global specialties portfolio. The company progressed its Driving Growth Roadmap and streamlined its organization, achieving significant improvements in operational efficiencies.

Delivered net sales growth through pricing actions.

Grew the global specialties portfolio, led by double digit growth in Latin America.

Advanced on-trend specialty growth platforms, including investments in plant-based proteins and sugar reduction capabilities.

Streamlined the organization, achieving nearly $75 million of run-rate savings.

Total Revenue
$1.55B
Previous year: $1.43B
+8.6%
EPS
$1.61
Previous year: $1.61
+0.0%
Cost Smart Savings
$75M
Gross Profit
$323M
Previous year: $320M
+0.9%
Cash and Equivalents
$264M
Previous year: $327M
-19.3%
Free Cash Flow
-$138M
Previous year: -$226M
-38.9%
Total Assets
$6.04B
Previous year: $5.73B
+5.4%

Ingredion

Ingredion

Forward Guidance

The Company expects 2020 reported EPS in the range of $6.48-$7.10 compared to reported EPS of $6.13 in 2019, and adjusted EPS to be in the range of $6.60-$7.20 compared to adjusted EPS of $6.65 in the prior year.

Positive Outlook

  • North America operating income increases driven by favorable price mix
  • South America operating income increases driven by improved price mix and higher volumes
  • Asia-Pacific and EMEA operating incomes are expected to modestly increase driven by higher volumes and improved price mix
  • Adjusted effective tax rate range of approximately 26.0-27.0 percent
  • Continued mid to high single digit specialty ingredients net sales growth