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Ashland (ASH) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended June 2023, Ashland (ASH - Free Report) reported revenue of $546 million, down 15.2% over the same period last year. EPS came in at $1.23, compared to $1.89 in the year-ago quarter.

The reported revenue represents a surprise of -0.21% over the Zacks Consensus Estimate of $547.17 million. With the consensus EPS estimate being $1.40, the EPS surprise was -12.14%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Ashland performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenue- Intermediates: $43 million versus $55.09 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -41.1% change.
  • Revenue- Life Sciences: $219 million versus $234.46 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -4% change.
  • Revenue- Personal Care: $146 million versus $160.63 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -15.1% change.
  • Revenue- Specialty Additives: $152 million compared to the $162.51 million average estimate based on four analysts. The reported number represents a change of -21.7% year over year.
  • Revenue- Intersegment sales: -$14 million compared to the -$20.12 million average estimate based on two analysts.
  • Adjusted EBITDA- Intermediates: $16 million versus the four-analyst average estimate of $18.48 million.
  • Adjusted EBITDA- Life Science: $72 million versus $69.54 million estimated by four analysts on average.
  • Adjusted EBITDA- Personal Care: $35 million versus $40.45 million estimated by four analysts on average.
  • Adjusted EBITDA- Specialty Additives: $29 million versus $38.21 million estimated by four analysts on average.
  • Unallocated and other: -$19 million versus the two-analyst average estimate of -$21.66 million.
View all Key Company Metrics for Ashland here>>>

Shares of Ashland have returned +9.3% over the past month versus the Zacks S&P 500 composite's +4.9% change. The stock currently has a Zacks Rank #5 (Strong Sell), indicating that it could underperform the broader market in the near term.

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