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Ashland Inc. (ASH-0.02%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing reports a net loss of $165 million for the quarter, compared to a net income of $26 million in the same quarter of the previous year. The loss is primarily attributed to a $183 million impairment charge related to the Avoca business.
Sales for the quarter decreased to $405 million from $473 million in the prior year, driven by divestitures, lower volume, and unfavorable pricing.
Gross profit as a percentage of sales increased to 27.4% compared to 20.7% in the prior year, due to production volume recovery versus inventory corrective actions and accelerated depreciation in the prior year.
Operating loss for the quarter was $179 million, compared to $18 million in the prior year. This increase is largely due to the impairment charge related to the Avoca business.
Adjusted EBITDA for the quarter was $61 million, down from $70 million in the prior year, primarily due to portfolio optimization actions and reduced pricing.
Cash and cash equivalents decreased by $81 million during the quarter, ending at $219 million. This decline was attributed to operating cash outflows, capital expenditures, and dividend payments.
Ashland's total debt was reported at $1,313 million, with no significant maturities until 2028.
The company continues to monitor geopolitical tensions and market conditions, maintaining business continuity plans to mitigate potential disruptions.
Ashland expects full fiscal year sales in the range of $1.90 billion to $2.05 billion and Adjusted EBITDA in the range of $430 million to $470 million.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Ashland Inc. quarterly 10-Q report dated January 29, 2025. To report an error, please email earnings@qz.com.