We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Ashland's (ASH) Q1 Earnings Beat Estimates, Revenues Miss
Read MoreHide Full Article
Ashland Global Holdings Inc. (ASH - Free Report) recorded first-quarter fiscal 2024 (ending Dec 31, 2023) adjusted earnings of 45 cents per share, down from 97 cents in the prior-year quarter. The bottom line beat the Zacks Consensus Estimate of 21 cents.
Sales declined by 9.9% year over year to $473 million, falling short of the Zacks Consensus Estimate of $478.4 million. The decline is attributed to weaker volumes, partly offset by improved pricing within the Life Sciences and Personal Care segments.
Life Sciences: Sales in the segment fell 3% from the prior year to $200 million in the reported quarter, missing the Zacks Consensus Estimate of $203 million. Sustained pricing gains were offset by normalized supply in the pharmaceutical market amidst declining demand, while nutrition end-market volumes continued to face challenges.
Personal Care: Sales in the division fell 7% year over year to $129 million, missing Zacks Consensus Estimate of $131 million. Higher volumes in hair care were more than offset by lower volumes in skin care and oral care, resulting in an overall offset to sustained pricing.
Specialty Additives: Sales in the segment fell 15% year over year to $122 million, missing the Zacks Consensus Estimate of $127 million, attributed to the continued impacts of decreased volumes in fiscal 2023 and lower pricing in architectural coatings.
Intermediates: Sales in the segment dropped 39% year over year to $33 million, below the Zacks Consensus Estimate of $36.1 million, driven by reduced pricing and volumes for both merchant and captive sales.
Financials
Operating activities generated $201 million in cash flows in the first quarter. Ongoing free cash flow was $66 million in the quarter.
Outlook
Ashland forecasts adjusted EBITDA between $115 million and $125 million for the second quarter of fiscal 2024, with anticipated sales ranging from $565 million to $585 million. For the year 2024, sales are expected to be between $2.15 billion and $2.25 billion, while adjusted EBITDA is projected in the range of $460-$500 million.
Price Performance
Shares of Ashland have lost 26.1% in the past year against a 15.8% rise of the industry.
Cameco has a projected earnings growth rate of 188% for the current year. The Zacks Consensus Estimate for CCJ’s current-year earnings has been revised upward by 12.5% in the past 60 days. The stock is up around 71.3% in a year.
The consensus estimate for CRS’s current fiscal year earnings is pegged at $3.97, indicating a year-over-year surge of 248.3%. CRS beat the Zacks Consensus Estimate in all of the last four quarters, with the average earnings surprise being 14.3%. The company’s shares have rallied 31.2% in the past year.
ANDE beat the Zacks Consensus Estimate in three of the last four quarters and missed one, with the average earnings surprise being 32.8%. The company’s shares have increased 47.7% in the past year.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Ashland's (ASH) Q1 Earnings Beat Estimates, Revenues Miss
Ashland Global Holdings Inc. (ASH - Free Report) recorded first-quarter fiscal 2024 (ending Dec 31, 2023) adjusted earnings of 45 cents per share, down from 97 cents in the prior-year quarter. The bottom line beat the Zacks Consensus Estimate of 21 cents.
Sales declined by 9.9% year over year to $473 million, falling short of the Zacks Consensus Estimate of $478.4 million. The decline is attributed to weaker volumes, partly offset by improved pricing within the Life Sciences and Personal Care segments.
Ashland Inc. Price, Consensus and EPS Surprise
Ashland Inc. price-consensus-eps-surprise-chart | Ashland Inc. Quote
Segment Highlights
Life Sciences: Sales in the segment fell 3% from the prior year to $200 million in the reported quarter, missing the Zacks Consensus Estimate of $203 million. Sustained pricing gains were offset by normalized supply in the pharmaceutical market amidst declining demand, while nutrition end-market volumes continued to face challenges.
Personal Care: Sales in the division fell 7% year over year to $129 million, missing Zacks Consensus Estimate of $131 million. Higher volumes in hair care were more than offset by lower volumes in skin care and oral care, resulting in an overall offset to sustained pricing.
Specialty Additives: Sales in the segment fell 15% year over year to $122 million, missing the Zacks Consensus Estimate of $127 million, attributed to the continued impacts of decreased volumes in fiscal 2023 and lower pricing in architectural coatings.
Intermediates: Sales in the segment dropped 39% year over year to $33 million, below the Zacks Consensus Estimate of $36.1 million, driven by reduced pricing and volumes for both merchant and captive sales.
Financials
Operating activities generated $201 million in cash flows in the first quarter. Ongoing free cash flow was $66 million in the quarter.
Outlook
Ashland forecasts adjusted EBITDA between $115 million and $125 million for the second quarter of fiscal 2024, with anticipated sales ranging from $565 million to $585 million. For the year 2024, sales are expected to be between $2.15 billion and $2.25 billion, while adjusted EBITDA is projected in the range of $460-$500 million.
Price Performance
Shares of Ashland have lost 26.1% in the past year against a 15.8% rise of the industry.
Image Source: Zacks Investment Research
Zacks Rank & Key Picks
Ashland currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the Basic Materials space are Cameco Corporation (CCJ - Free Report) , Carpenter Technology Corporation (CRS - Free Report) and The Andersons (ANDE - Free Report) , each sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Cameco has a projected earnings growth rate of 188% for the current year. The Zacks Consensus Estimate for CCJ’s current-year earnings has been revised upward by 12.5% in the past 60 days. The stock is up around 71.3% in a year.
The consensus estimate for CRS’s current fiscal year earnings is pegged at $3.97, indicating a year-over-year surge of 248.3%. CRS beat the Zacks Consensus Estimate in all of the last four quarters, with the average earnings surprise being 14.3%. The company’s shares have rallied 31.2% in the past year.
ANDE beat the Zacks Consensus Estimate in three of the last four quarters and missed one, with the average earnings surprise being 32.8%. The company’s shares have increased 47.7% in the past year.