Ingredion Reports Strong Q4 FY2024, Sets Strong 2025 Outlook 

KUALA LUMPUR, Feb 5 (Bernama) -- Ingredion Incorporated, a global provider of ingredient solutions, reported a net sales of US$1.8 billion for the fourth quarter (Q4) ended Dec 31, 2024 (FY2024) from US$1.921 billion, down six per cent for the same period previous year. (US$1=RM4.42)

In a statement, Ingredion said the decrease were driven by price mix, including the pass-through of lower corn cost, lost net sales from the sale of its South Korea business and foreign exchange impacts, partially offset by Texture and Healthful Solutions (T&HS) volumes.

Its reported and adjusted earnings per share (EPS) showed notable improvement year-over-year. Full-year 2024 adjusted EPS increased US$10.65 from US$9.42 in 2023, and cash from operations reaching US$1.436 billion, benefitting from a US$400 million improvement in working capital as corn costs declined.

Additionally, Ingredion returned US$426 million to shareholders in 2024 through dividends and share repurchases.

The company also highlighted significant contributions from its T&HS segment and strong performance in its Food and Industrial Ingredients (F&II) segments across the United States (US), Canada, and Latin America (LATAM).

Additionally, the company is investing more than US$100 million into its flagship Indianapolis facility to improve reliability and operating efficiency.

The T&HS business delivered double digit sales volume growth in the fourth quarter amid a backdrop of continued food inflation and changing consumer buying behaviour. The company’s strategic initiatives, such as the reorganisation and the establishment of the Global T&HS segment, contributed to its solid performance.

Meanwhile, the F&II US/Canada segment recorded significant operating income growth, benefitting from multi-year customer contract renewals that helped offset inflationary impacts. LATAM segment saw strong performance in Mexico and Andean regions despite weaker sweetener demand.

Looking ahead to 2025, Ingredion expects continued growth, with a projected increase in reported and adjusted EPS, estimated to range between US$10.75 and US$11.55, reflecting expectations of continued financial growth.

The company plans to enhance customer collaborations, invest in operational efficiencies, and allocate capital towards organic growth investments, while continuing to return value to shareholders through dividends and share repurchases.

-- BERNAMA