Quarterly ResultMay 5, 2026, 04:33 PM
Cabot Q2 Adjusted EPS $1.61; Raises Dividend 5%; Plans Plant Closures
AI Summary
Cabot Corporation reported Q2 fiscal year 2026 Adjusted EPS of $1.61 and Diluted EPS of $1.27. The company announced a 5% increase in its quarterly dividend, raising the annualized dividend to $1.89. Strategic asset optimization is underway with plans to close manufacturing operations in South America and Europe, aiming for $22 million in annualized fixed cost savings. Performance Chemicals EBIT grew 18% year-over-year, driven by battery materials and specialty carbons, while Reinforcement Materials EBIT declined 29%.
Key Highlights
- Q2 fiscal 2026 Diluted EPS was $1.27 and Adjusted EPS was $1.61.
- Quarterly dividend increased by 5%, raising the annualized dividend from $1.80 to $1.89.
- Plans to close manufacturing operations in South America and Europe, expecting $22 million in annualized fixed cost savings.
- Performance Chemicals segment EBIT increased 18% year-over-year to $59 million.
- Reinforcement Materials segment EBIT declined 29% year-over-year to $93 million.
- Net sales and other operating revenues for Q2 were $904 million, down from $936 million YoY.
- Cash flows from operating activities were $77 million in Q2 2026.
- Reaffirmed full-year fiscal 2026 Adjusted EPS guidance in the range of $6.00 to $6.50 per share.