Ingredion Reports Q3 2026 Earnings Decline Amidst Rising Input Costs and Operational Headwinds
Ingredion (INGR) reported a challenging third quarter for fiscal year 2026, with net sales falling 1% to $1.8 billion following the divestiture of its Pakistan business. Adjusted diluted earnings per share dropped to $2.28 from $2.75 in the previous year, pressured by margin compression, higher financing costs, and significant manufacturing expense increases. The company faced several localized disruptions, including an earthquake in Colombia that halted production at the Cali plant and operational challenges at its Argo facility in North America. Additionally, a severe shortage of tapioca root in Thailand led to a 65% year-over-year increase in raw material costs, driving starch prices to record highs. Despite these headwinds, Ingredion saw strength in its Texture & Healthful Solutions segment and Clean Label solutions, particularly in the APAC region. However, due to slower recovery in North America and currency volatility in Latin America, management lowered its full-year adjusted EPS guidance to a range of $9.25 to $9.70.
Tickers: $INGR
Topics: commodity costs eps net sales operating income segment performance