Q1 2024 Ingredion Inc Earnings Call Transcript
Key Points
- Ingredion Inc (INGR) exceeded first quarter expectations with strong performance compared to last year's record first quarter.
- The company successfully completed the reorganization of its business, resulting in new reportable segments aimed at enhancing strategic focus.
- Ingredion Inc (INGR) has seen a strong demand recovery for industrial starch from paper making and packaging customers in North America.
- The company launched a multiyear cost savings program, Cost2Compete, targeting $50 million in savings by the end of 2025.
- Ingredion Inc (INGR) was recognized as one of the 2024 World's Most Ethical Companies by Ethisphere, marking its 10th recognition.
- Net sales for the first quarter were down 12% versus the prior year, primarily driven by lower price/mix and volume.
- The extreme cold weather in the U.S. negatively impacted shipments, estimated to have a financial impact of at least $10 million.
- The carryforward of higher cost inventory into the quarter negatively affected the gross profit dollars, decreasing by 14%.
- The divestiture of the South Korea business resulted in a $51 million impact on sales volume.
- Operational challenges, including hyperinflation in Argentina, contributed to the decrease in operating income.
Good day, and thank you for standing by. Welcome to the First Quarter 2024 Ingredion Incorporated Earnings Call. (Operator Instructions) Please be advised that today's conference is being recorded.
I would now like to hand the conference over to Noah Weiss, Vice President of Investor Relations.
Good morning, and welcome to Ingredion's First Quarter 2024 Earnings Call. I'm Noah Weiss, Vice President of Investor Relations. Joining me on today's call are Jim Zallie, our President and CEO; and Jim Gray, our Executive Vice President and CFO. The press release we issued today as well as the presentation we will reference where our first quarter results can be found on our website, ingredion.com, in the Investors section.
As a reminder, our comments within this presentation may contain forward-looking statements. These statements are subject to various risks and uncertainties and include expectations and assumptions regarding the company's future operations and financial performance. Actual results could
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
