- Second quarter 2025 reported and adjusted* operating income increased 13% and 1% compared to prior year
- Second quarter 2025 reported and adjusted EPS were $2.99 and $2.87, compared with $2.22 and $2.87 in the second quarter 2024
- Improving guidance for full-year reported EPS to be in the range of $11.25 to $11.75 and adjusted EPS to be in the range of $11.10 to $11.60
WESTCHESTER, Ill., Aug. 01, 2025 (GLOBE NEWSWIRE) -- Ingredion Incorporated (NYSE: INGR), a leading global provider of ingredient solutions to the food and beverage manufacturing industry, today reported its 2025 second quarter results.
"Ingredion delivered another solid quarter, underscoring the strength and resilience of our diversified business model," stated Jim Zallie, president and CEO of Ingredion. "Our Texture & Healthful Solutions segment delivered 2% net sales and 29% operating income growth. These results were driven by sales volume growth, especially for clean label solutions, and operating excellence as better demand forecasting and procurement efforts contributed to the segment's performance."
"In Food & Industrial Ingredients-LATAM, our results were impacted by the Argentina joint venture lapping a strong quarter last year. Apart from the joint venture results, this segment delivered a resilient second quarter performance while it continues to manage customer and product demand toward a more favorable mix."
"In the F&II-U.S./Canada segment, our results were negatively impacted by a mechanical fire that briefly shut down our Chicago plant. We anticipate offsetting some of the impact throughout the second half."
"Our priorities for the year remain focused on strengthening customer relationships, growing through innovation and delivering value from operational excellence. We are guided by our aspiration to be the go-to provider for Texture & Healthful Solutions that make healthy taste better and are committed to delivering long-term shareholder value."
Diluted Earnings Per Share (EPS)
| 2Q24 | 2Q25 | |
| Reported Diluted EPS | $2.22 | $2.99 |
| Impairment charges | 0.33 | (0.02) |
| Restructuring and resegmentation costs | 0.03 | 0.03 |
| Net gain on sale of business | 0.01 | - |
| Tax items and other matters | 0.28 | (0.13) |
| Adjusted Diluted EPS** | $2.87 | $2.87 |
Estimated factors affecting changes in Reported and Adjusted EPS
| 2Q25 | |
| Total items affecting adjusted diluted EPS** | - |
| Total operating items | 0.04 |
| Margin | 0.22 |
| Volume | (0.16) |
| Foreign exchange | 0.01 |
| Other income | (0.03) |
| Total non-operating items | (0.04) |
| Financing costs | (0.02) |
| Tax rate | (0.07) |
| Shares outstanding | 0.05 |
** Totals may not sum or recalculate due to rounding
Other Financial Items
- At June 30, 2025, total debt was $1.8 billion, and cash, including short-term investments, was $868 million, versus $1.8 billion and $1.0 billion at December 31, 2024.
- In the second quarter, net financing costs were $12 million, compared to $10 million for the year-ago second quarter, driven by unfavorable foreign exchange impacts, partially offset by lower net interest expense.
- Reported and adjusted effective tax rates for the quarter were 23.6% and 27.2%, compared to 34.8% and 25.4% for the year-ago period. The decrease in the reported effective tax rate was primarily driven by the change in value of the Mexican peso against the U.S. dollar and the impairment of an equity method investment during the second quarter of 2024.
- Net capital expenditures were $193 million through June 30, 2025.
Business Review
Total Ingredion
Net Sales
| $ in millions | 2024 | FX Impact | Volume | S. Korea Volume* | Price Mix | 2025 | Change | Change excl. FX |
| Second Quarter | 1,878 | (3) | (15) | - | (27) | 1,833 | (2%) | (2%) |
| Year-to-Date | 3,760 | (43) | 28 | (24) | (75) | 3,646 | (3%) | (2%) |
* Represents loss of volume due to the sale of our South Korea business.
Reported Operating Income
| $ in millions | 2024 | FX Impact | Business Drivers | Restructuring /Impairment | Other | 2025 | Change | Change excl. FX |
| Second Quarter | 240 | 1 | 2 | 18 | 10 | 271 | 13% | 13% |
| Year-to-Date | 453 | (4) | 64 | 14 | 20 | 547 | 21% | 22% |
Adjusted Operating Income
| $ in millions | 2024 | FX Impact | Business Drivers | 2025 | Change | Change excl. FX |
| Second Quarter | 270 | 1 | 2 | 273 | 1% | 1% |
| Year-to-Date | 486 | (4) | 64 | 546 | 12% | 13% |
Net Sales
- Second quarter net sales decreased 2%. The decrease was driven by price mix, primarily from lower raw material costs, and lower volume from each of the F&II segments, partially offset by T&HS volume increases.
Operating Income
- Second quarter reported and adjusted operating income were $271 million and $273 million. The difference in reported versus adjusted operating income was primarily attributable to decommissioning costs at previously announced facility closures, partially offset by an insurance recovery. Excluding foreign exchange impacts, reported operating income was up 13% and adjusted operating income was up 1% from a year ago.
Texture & Healthful Solutions
Net Sales
| $ in millions | 2024 | FX Impact | Volume | Price Mix | 2025 | Change | Change excl. FX |
| Second Quarter | 588 | 15 | 20 | (24) | 599 | 2% | (1%) |
| Year-to-Date | 1,185 | 12 | 60 | (56) | 1,201 | 1% | -% |
Segment Operating Income
| $ in millions | 2024 | FX Impact | Business Drivers | 2025 | Change | Change excl. FX |
| Second Quarter | 86 | 3 | 22 | 111 | 29% | 26% |
| Year-to-Date | 160 | 3 | 47 | 210 | 31% | 29% |
- Second quarter operating income for Texture & Healthful Solutions was $111 million, an increase of $25 million from a year ago, driven by lower raw material and input costs, as well as increased volumes, partially offset by unfavorable price mix. Excluding foreign exchange impacts, segment operating income was up 26%.
Food & Industrial Ingredients-LATAM
Net Sales
| $ in millions | 2024 | FX Impact | Volume | Price Mix | 2025 | Change | Change excl. FX |
| Second Quarter | 630 | (16) | (26) | 8 | 596 | (5%) | (3%) |
| Year-to-Date | 1,246 | (44) | (36) | 3 | 1,169 | (6%) | (3%) |
Segment Operating Income
| $ in millions | 2024 | FX Impact | Business Drivers | Argentina JV | 2025 | Change | Change excl. FX |
| Second Quarter | 130 | (2) | 9 | (10) | 127 | (2%) | (1%) |
| Year-to-Date | 231 | (5) | 19 | 9 | 254 | 10% | 12% |
- Second quarter operating income for Food & Industrial Ingredients-LATAM was $127 million, a decrease of $3 million from a year ago. The quarter's results were negatively impacted by the floating exchange rate for the Argentine peso and the corresponding impact on the Argentina joint venture results. Apart from the joint venture's results, segment operating income increased due to favorable raw material costs that were partially offset by lower volumes. Excluding foreign exchange impacts, segment operating income was down 1%.
Food & Industrial Ingredients-U.S./Canada
Net Sales
| $ in millions | 2024 | FX Impact | Volume | Price Mix | 2025 | Change | Change excl. FX |
| Second Quarter | 555 | (2) | (20) | (10) | 523 | (6%) | (5%) |
| Year-to-Date | 1,096 | (8) | (20) | (25) | 1,043 | (5%) | (4%) |
Segment Operating Income
| $ in millions | 2024 | FX Impact | Business Drivers | 2025 | Change | Change excl. FX |
| Second Quarter | 105 | (1) | (18) | 86 | (18%) | (17%) |
| Year-to-Date | 192 | (3) | (11) | 178 | (7%) | (6%) |
- Second quarter operating income for Food & Industrial Ingredients-U.S./Canada was $86 million, a decrease of $19 million from a year ago. The decrease resulted primarily from downtime associated with a mechanical fire and reduced industrial demand, though these impacts were partially mitigated by lower raw material costs.
All Other**
Net Sales
| $ in millions | 2024 | FX Impact | Volume | S. Korea Volume* | Price Mix | 2025 | Change | Change excl. FX |
| Second Quarter | 105 | - | 11 | - | (1) | 115 | 10% | 10% |
| Year-to-Date | 233 | (3) | 24 | (24) | 3 | 233 | -% | 1% |
* Represents loss of volume due to the sale of our South Korea business.
Segment Operating Loss
| $ in millions | 2024 | FX Impact | Business Drivers | 2025 | Change | Change excl. FX |
| Second Quarter | (10) | 1 | 8 | (1) | NM | NM |
| Year-to-Date | (14) | 1 | 12 | (1) | NM | NM |
- Second quarter operating loss for All Other improved $9 million from the prior year, primarily driven by increased sales in the plant-based protein business.
** All Other consists of the businesses of multiple operating segments that are not individually or collectively classified as reportable segments. Net sales from All Other are generated primarily by sweetener and starch sales by our Pakistan business, sales of stevia and other ingredients from our PureCircle and Sugar Reduction businesses, and pea protein ingredients from our Protein Fortification business.
Dividends and Share Repurchases
In the second quarter, the Company paid $52 million in dividends to shareholders and on May 22, 2025, declared a quarterly dividend of $0.80 per share that was paid on July 22, 2025. Year to date, the Company has repurchased $55 million of shares of common stock.
Updated Third Quarter and Full-Year 2025 Outlook
The Company expects its full-year 2025 reported EPS to be in the range of $11.25 to $11.75 and adjusted EPS to be in the range of $11.10 to $11.60.
This guidance reflects tariff levels in effect as of the end of July 2025. In addition, this guidance excludes any acquisition-related integration and restructuring costs, as well as any potential impairment costs.
The Company now expects full-year 2025 net sales to be flat, reflecting volume growth in T&HS, offset by lower price mix on pass through of lower raw material costs and expected foreign exchange impacts.
Reported and adjusted operating income are both expected to be up mid-single-digits for full-year 2025.
The 2025 full-year outlook further assumes the following: Texture & Healthful Solutions operating income is now expected to be up low double-digits, driven by sales volume growth; Food & Industrial Ingredients-LATAM operating income is now expected to be up low single-digits; Food & Industrial Ingredients-U.S./CAN operating income is expected to be down low single-digits; and All Other operating income is still anticipated to approach breakeven profitability.
Corporate costs for full-year 2025 are expected to be up high single-digits, driven by IT investments and project related costs to advance our digital infrastructure.
For full-year 2025, the Company expects both a reported and adjusted effective tax rate of 26.0% to 27.5%.
Cash from operations for full-year 2025 is expected to be in the range of $825 million to $950 million, which includes a return to investing in working capital balances. Capital expenditures for the full year are expected to be approximately $400 to $425 million.
For the third quarter of 2025, the Company expects net sales to be flat to up low single-digits compared to the same quarter last year, with operating income expected to be flat to down low single-digits.
Conference Call and Webcast Details
Ingredion will host a conference call on Friday, August 1, 2025, at 8 a.m. CT/ 9 a.m. ET, hosted by Jim Zallie, president and chief executive officer, and James Gray, executive vice president and chief financial officer. The call will be webcast in real time and can be accessed at https://ir.ingredionincorporated.com/events-and-presentations. A presentation containing additional financial and operating information will be accessible through the Company's website and available to
