Improved Leverage and Cash Flow
Ingevity achieved significant free cash flow and leverage improvement, reducing leverage to 3x, which is a full turn improvement in less than a year. The company raised the midpoint of its free cash flow guidance to $230 million to $260 million.
Strong Performance in Performance Materials
Performance Materials delivered another quarter of EBITDA margins above 50%, contributing to a consolidated EBITDA margin improvement of over 400 basis points to 30.1%.
Increased Full-Year EBITDA and Free Cash Flow Guidance
The company raised its full-year EBITDA guidance to $390 million to $415 million and free cash flow guidance to $230 million to $260 million, driven by strong performance in Performance Chemicals and sustained high margins in Performance Materials.
Successful Execution of Repositioning Strategy
Ingevity has posted consecutive quarters of year-over-year improvement in EBITDA and free cash flow, demonstrating effective execution of its repositioning strategy.