Ingredion Reveals Q1 2026 Financial Results

• First quarter 2026 reported and adjusted* operating income decreased 26% and 22% compared to the first quarter 2025
• First quarter 2026 reported and adjusted EPS were $2.22 and $2.34, compared with $3.00 and $2.97 in the first quarter 2025
• Adjusting full-year guidance for reported EPS to be in the range of $9.60 to $10.30 and adjusted EPS to be in the range of $10.45 to $11.15

WESTCHESTER, Ill., May 05, 2026 (GLOBE NEWSWIRE) -- Ingredion Incorporated (NYSE: INGR), a leading global provider of ingredient solutions to the food and beverage manufacturing industry, today reported its first quarter 2026 results.

"While we expected a challenging first quarter after last year's strong first quarter, results were weaker than anticipated in Food & Industrial Ingredients-U.S./CAN due to operational challenges at our Argo facility," said Jim Zallie, chairman, president and CEO of Ingredion. "At the same time, performance in our Texture & Healthful Solutions and Food & Industrial Ingredients-LATAM segments were in line with our expectations despite an increasingly uncertain macroeconomic environment."

"Texture & Healthful Solutions delivered an eighth consecutive quarter of broad-based net sales volume growth, driven by continued strong customer demand for our solutions portfolio, including clean label ingredients."

"Food & Industrial Ingredients-LATAM delivered as expected, reflecting disciplined execution across the region, while absorbing the year-over-year impact of Mexican foreign exchange headwinds."

^{* Reported results are in accordance with U.S. generally accepted accounting principles "GAAP." Adjusted financial measures are non-GAAP financial measures. See "II. Non-GAAP Information" in the Supplemental Financial Information that follows the Condensed Consolidated Financial Statements for a reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures.}

"In our Food & Industrial Ingredients-U.S./CAN business, while we anticipated softer customer demand, a longer-than-expected recovery at our Argo facility negatively impacted results during the quarter. We remain focused on strengthening operational reliability, and we expect performance to improve sequentially throughout the second quarter; we are targeting a return to normal operations in the second half of the year."

"Excluding the impact of Argo, we are pleased with the performance and resilience of the other parts of our business, especially our Texture & Healthful Solutions segment, which continues to find opportunities for growth. Our focus going forward remains on servicing our customers, delivering innovative solutions, and driving long-term value creation for our shareholders."

Diluted Earnings Per Share (EPS)

Factors affecting changes in Reported and Adjusted EPS

^{** Totals may not sum or recalculate due to rounding}

Business Review

Total Ingredion

Net Sales

• First quarter net sales decreased 1%. The decrease was primarily driven by lower volume and less favorable mix in the F&II-U.S./CAN business, partially offset by higher net sales in T&HS and favorable foreign exchange impacts across the segments.

Reported Operating Income

Adjusted Operating Income

• First quarter reported and adjusted operating income were $203 million and $212 million. The difference between reported and adjusted operating income was primarily attributable to legal-entity restructuring and previously announced plant-closure costs. Excluding foreign exchange translational impacts, reported operating income was down 28% and adjusted operating income was down 24% from a year ago, primarily due to increased operating costs and lower volumes in the F&II-U.S./CAN business.

Texture & Healthful Solutions

Net Sales

Segment Operating Income

• First quarter operating income for Texture & Healthful Solutions was $100 million, an increase of $1 million from a year ago, primarily driven by favorable input costs, foreign exchange, and better volume, partially offset by strategic price and mix management. Excluding foreign exchange translational impacts, segment operating income was down 2%.

Food & Industrial Ingredients-LATAM

Net Sales

Segment Operating Income

• First quarter operating income for Food & Industrial Ingredients-LATAM was $115 million, a $12 million decrease from a year ago, driven primarily by Mexico transactional currency impacts and softer volumes. Excluding foreign exchange translational impacts, segment operating income was down 11%.

Food & Industrial Ingredients-U.S./CAN

Net Sales

Segment Operating Income

• First quarter operating income for Food & Industrial Ingredients-U.S./CAN was $34 million, a $58 million decrease from a year ago. The decline resulted from production challenges at our Argo facility and softer volumes and mix. Excluding foreign exchange translational impacts, operating income was down 64%.

All Other*

Net Sales

All Other Operating Income

• First quarter operating income for All Other increased $3 million from the prior year, reflecting continued improvements 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 Other Sugar Reduction businesses, and pea protein ingredients from our Protein Fortification business.}

Other Financial Items

• At March 31, 2026, total debt was $1.8 billion, and cash, including short-term investments, was $918 million, versus $1.8 billion and $1.0 billion at December 31, 2025.
• Net financing costs were $9 million for both the first quarter of 2026 and the first quarter of 2025.
• Reported and adjusted effective tax rates for the first quarter were 25.8% and 25.1%, respectively, compared to 25.5% and 25.4%, respectively, for the year-ago period.
• Net capital expenditures were $110 million through March 31, 2026.

Dividends and Share Repurchases

In the first quarter, the Company paid $52 million in dividends to shareholders. On March 18, 2026, the Company declared a quarterly dividend of $0.82 per share that was paid on April 21, 2026. During the quarter, the Company repurchased $14 million of common stock.

Updated Full-Year 2026 Outlook

The Company now expects its full-year 2026 reported EPS to be in the range of $9.60 to $10.30 and adjusted EPS to be in the range of $10.45 to $11.15.

This guidance reflects tariff levels in effect as of the end of April 2026. 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 2026 net sales to be flat to up low single-digits, reflecting volume growth, partially offset by lower price mix.

Reported operating income is now expected to be down high single-digits, with adjusted operating income now expected to be flat to down low single-digits for full-year 2026.

The 2026 full-year outlook further assumes the following: Texture & Healthful Solutions operating income is now expected to be up low single-digits, driven by sales volume growth, partially offset by expected higher input cost inflation; Food & Industrial Ingredients-LATAM operating income is now expected to be down low single-digits reflecting the continued strength of the Mexican peso; Food & Industrial Ingredients-U.S./CAN operating income is now expected to be down low double-digits driven by Argo's operational headwinds in the first quarter; and All Other operating income is still anticipated to improve by $5 to $10 million from the prior year.

Corporate costs for full-year 2026 are now expected to be flat.

For full-year 2026, the Company now expects a reported effective tax rate of 26.3% to 27.8%, and an adjusted effective tax rate of 26.0% to 27.5%.

Cash from operations for full-year 2026 is expected to now be in the range of $725 million to $825 million, reflecting our updated outlook. Capital expenditures for the full year are expected to be approximately $400 to $440 million.

Second Quarter 2026 Outlook

For the second quarter of 2026, compared to the same quarter last year, the Company expects net sales to be flat to up low single-digits. Reported operating income is expected to be down high double-digits and adjusted operating income is expected to be down high single-digits, which reflect the challenging comparison to the prior year's strong results.

Conference Call and Webcast Details

Ingredion will host a conference call on Tuesday, May 5, 2026, at 8 a.m. CT/ 9 a.m. ET, hosted by Jim Zallie, chairman, president and chief executive officer and Jason Payant, vice president and interim 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