Ingredient solutions firm Ingredion misses Q2 revenue estimates

Overview

• Ingredion Q2 2025 revenue decreased 2%, missing analyst expectations

• Adjusted EPS for Q2 2025 beats consensus, reflecting operational resilience

• Company improves full-year EPS guidance, indicating confidence in business model

Outlook

• Ingredion expects full-year 2025 reported EPS of $11.25 to $11.75

• Full-year 2025 adjusted EPS expected between $11.10 and $11.60

• Company anticipates flat full-year 2025 net sales

• Full-year 2025 operating income expected to rise mid-single digits

Result Drivers

• TEXTURE & HEALTHFUL SOLUTIONS - Segment saw 29% operating income growth due to increased sales volume and lower raw material costs

• LATAM CHALLENGES - Segment impacted by foreign exchange rates and Argentina joint venture performance

• U.S./CANADA IMPACT - Mechanical fire and reduced industrial demand led to decreased operating income

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the food processing peer group is "buy"

• Wall Street's median 12-month price target for Ingredion Inc is $147.00, about 10.5% above its July 31 closing price of $131.54

• The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 12 three months ago

Press Release: