| Metric | Value ($ M) | Q1 FY26 | Q2 FY25 |
|---|---|---|---|
| Revenue | 747.09 | 11.6% | 7.0% |
| Total Income | 747.09 | 11.6% | 7.0% |
| Expenditure | 583.43 | 10.8% | 5.0% |
| PBT | 170.34 | 12.3% | 15.3% |
| Net Profit | 133.75 | 13.3% | 20.2% |
| OPM | 21.91% | 0.52pp | 1.41pp |
| NPM | 17.90% | 0.27pp | 1.98pp |
| EPS | 14.54 | 15.2% | 22.8% |
NewMarket Corporation Reports Q2 2026 Results with Increased Net Income and Segment Operating Profit
30 Jul 2026 · 30 Jul, 2:51 am
Summary
NewMarket Corporation reported a strong second quarter and first half of 2026, with net income rising to $133.8 million ($14.54 per share) for the quarter and $251.8 million ($27.14 per share) for the first half. Revenue from petroleum additives increased year-over-year for the quarter, while specialty materials saw a substantial jump in sales and operating profit, partly due to the inclusion of Calca's results. Management expressed satisfaction with the performance of both segments and highlighted investments in expanding production capacity for critical aerospace and defense chemicals.
Key Highlights
- 1
Net income for the second quarter of 2026 was $133.8 million, or $14.54 per share, an increase from $111.2 million, or $11.84 per share, in the second quarter of 2025.
- 2
For the first half of 2026, net income reached $251.8 million, or $27.14 per share, up from $237.2 million, or $25.11 per share, in the comparable 2025 period.
- 3
Petroleum additives sales for the second quarter of 2026 were $675.6 million, compared to $653.9 million in the prior year's second quarter.
- 4
Specialty materials sales significantly increased to $67.2 million for the second quarter of 2026, from $42.0 million in the second quarter of 2025.
- 5
First half 2026 segment operating profit was $319 million, a slight increase from $315.7 million in the first half of 2025.
- 6
The company generated strong first half cash flow, funding capital expenditures of $51.7 million and repurchasing over 200 thousand shares for $126.4 million, reducing Net Debt to EBITDA to 1.0x.
Management Comments
Thomas E. Gottwald
We are especially pleased with the performance of our Specialty Materials segment and we are also excited about our investments to expand production capacity for both ammonium perchlorates and high purity hydrazine to support the domestic production of critical aerospace and defense chemicals. We expect to see this additional capacity come online towards the end of 2026. Our operations generated solid cash flow during the first half of 2026. We funded capital expenditures of $51.7 million, paid dividends of $55.6 million, and repurchased over 200 thousand shares of common stock for $126.4 million, while reducing our Net Debt to EBITDA ratio to 1.0x. The cash flow generated by operations enables us to continue to provide value to our customers and shareholders through reinvestment in our businesses for growth and efficiency, acquisitions, dividends and share repurchases. We continue to monitor the impact of the conflict in the Middle East, the uncertain macroeconomic environment, and the changes in international trade relations and tariffs. Within petroleum additives, the surcharges and operational actions implemented earlier this year to address higher raw materials, utility, and logistics costs remain in place, and we continue to evaluate and adjust our approach as market conditions evolve. While the operating environment remains dynamic, we believe these actions position us well to continue delivering solid results. We are pleased with the performance of both our petroleum additives and specialty materials segments during the first half of 2026. We will continue to invest in technology to serve our customers, focus on cost control and margin management, and advance our initiatives to strengthen our global manufacturing network to enable more efficient product delivery to our customers in the years ahead. Our dedicated team makes decisions to promote long-term value for our shareholders and customers, and remains focused on our long-term objectives. We believe the fundamentals of how we run our business - a long-term view, safety-first culture, customer-focused solutions, technology-driven product offerings, and world-class supply chain capability - will continue to benefit all our stakeholders.
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