Ingredion Inc
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −2.49%.
Did INGR Beat Earnings? Q4 2025 Results
Ingredion closed out fiscal 2025 on a soft note, delivering a Q4 adjusted diluted EPS of $2.53, missing the $2.61 consensus estimate by 3.07%, while revenue of $1.76 billion fell 1.57% short of expectations and slipped 2.4% from a year ago. The most material drag was the company's U.S./Canada segment, where Q4 operating income plunged 32% to $56 million, hit by production challenges at a large manufacturing facility and weaker sweetener demand tied to higher retail canned beverage prices. Those headwinds overshadowed genuine momentum in Texture and Healthful Solutions, which posted 4% volume growth on clean label demand and closed the full year with operating income up 16% to $405 million. Adding to the mixed backdrop, CEO James Zallie was recently appointed board chairman while also disclosing a significant reduction in his personal stake in the company. Looking ahead, Ingredion guided fiscal 2026 adjusted EPS of $11.00 to $11.80, with net sales expected to grow low- to mid-single-digits, though management cautioned that Q1 2026 operating income could decline mid-double-digits against a tough prior-year comparison.
- Texture & Healthful Solutions 4% Q4 volume growth driven by clean label demand
- Lower raw material and input costs benefiting margins in T&HS and LATAM
- Favorable Mexican peso transactional currency impacts in LATAM
- Production challenges at a large U.S. manufacturing facility impacted F&II–U.S./CAN
- Weaker sweetener demand driven by higher retail prices for canned beverages
- Significantly lower Q4 reported effective tax rate (19.3% vs 36.2%) boosted reported EPS
- Cost2Compete restructuring initiative driving cost savings
“We delivered record full-year financial results driven by continued strength in Texture & Healthful Solutions and solid results from our Food & Industrial Ingredients–LATAM business. These strong performances were partially offset by slower-than-expected operational recovery within our Food & Industrial Ingredients–U.S./CAN business.”
Ingredion CEO, on the earnings call
Forward Guidance & Outlook
For full-year 2026, Ingredion expects reported and adjusted EPS of $11.00 to $11.80. Net sales are expected up low- to mid-single-digits, reflecting greater volume demand and FX impacts, partially offset by price mix. Reported and adjusted operating income are expected up low-single-digits. Segment outlook: T&HS operating income up low- to mid-single-digits; F&II–LATAM flat to up low-single-digits; F&II–U.S./Canada flat; All Other to improve by $5–$10 million. Expected effective tax rates of 25.5%–27.0%. Cash from operations of $820–$940 million with capex of ~$400–$440 million. For Q1 2026, net sales expected down low-single-digits with operating income down mid-double-digits versus strong prior year comparison.
INGR YoY Financials
INGR Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.