Rise in Ingredion's Q2 Earnings; Provides Guidance for Q3 and FY2025
Ingredion Inc. (INGR) is poised for a stable financial performance in the third quarter of 2025, according to the company's latest forecast. The food and ingredients giant expects net sales to remain flat to up low single digits year over year, while operating income is projected to be flat to down low single digits.
The company's optimistic outlook is underpinned by volume growth in the Texture & Healthful Solutions (T&HS) segment, which is expected to offset lower price mix from raw material cost pass-through and foreign exchange headwinds.
In the second quarter of 2025, Ingredion reported a net income attributable to the company of $196 million, up from $148 million in the same period last year. Earnings per share (EPS) for the quarter were $2.99, up from $2.22 in the previous year. However, net sales decreased slightly compared to the previous year.
Analysts estimate Q3 2025 EPS to be approximately $2.78, representing a slight year-over-year decline of about 3.1%. Despite this, the company's full-year 2025 reported EPS guidance is between $11.25 and $11.75, with adjusted EPS expected between $11.10 and $11.60.
Ingredion's segment outlook includes low double-digit operating income growth for T&HS, low single-digit growth for Food & Industrial Ingredients ATAM (Asia, Thailand, and Mexico), a low single-digit decline for Food & Industrial Ingredients US/Canada, and breakeven performance for All Other.
The company's stock is currently trading at $130.50 in pre-market trading on the New York Stock Exchange, 0.79% lesser than the previous day's close. The stock price reacted moderately to these results and guidance.
The outlook reflects current tariff levels as of July 2025 and excludes potential costs related to integration, restructuring, or impairments. Ingredion Inc. expects full-year 2025 net sales to remain flat overall, with both reported and adjusted operating incomes forecasted to increase by mid-single digits.
In conclusion, Ingredion is well-positioned for a stable financial performance in Q3 2025 and a modest growth in adjusted operating income for the full year 2025, supported by volume gains in key segments but facing challenges from pricing pressures and foreign exchange fluctuations.
In the business arena, Ingredion Inc. plans to sustain its financial performance by focusing on investments in the Texture & Healthful Solutions segment, which is projected to deliver low double-digit operating income growth in Q3 2025. Furthermore, the company anticipates a modest growth in adjusted operating income for the full year 2025, despite facing challenges in pricing and foreign exchange fluctuations.
