v3.26.3
Segment Information
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Information Segment Information
Ingevity's reportable segments are (i) Performance Materials ("PM"), (ii) Pavement Technologies ("PT"), and (iii) Advanced Polymer Technologies ("APT"). Our reportable segments were determined based upon the nature of the products produced, the nature of the production process, the type of customer for the products, the similarity of economic characteristics, and the manner in which management reviews results. Segment EBITDA is the primary measure used by the chief operating decision maker ("CODM"), the CEO and President of Ingevity, to evaluate the performance of and allocate resources among our reportable segments. The CODM utilizes Segment EBITDA for each reportable segment in the annual budgeting and forecasting process. Segment EBITDA enables the CODM to compare each business and make informed and consistent resource allocation decisions.
Industrial Specialties Divestiture
The historical industrial specialties product line that is classified as discontinued operations includes only direct operating expenses which the company is no longer incurring. Indirect costs, such as those related to corporate and segment shared service functions previously allocated to the industrial specialties product line, do not meet the criteria for discontinued operations and remain reported within continuing operations in Indirect costs allocated to Divestiture. Refer to Note 1 for more information.
Corporate and other
Effective in the fourth quarter of 2025, Corporate and other costs have been excluded from segment EBITDA. These costs are recorded within "Selling, general, and administrative expenses" on our Condensed Consolidated Statements of Operations and are associated with corporate administrative functions (e.g., executive office, corporate finance, legal, human resources) and other compliance costs to operate as a NYSE listed entity. Additionally, these costs are managed at a corporate level and not directly attributable to our reportable segments. Reporting these costs separately will provide greater transparency into our segment results and cost structure. We have recast the data below to reflect the changes in our reportable segments to conform to the current year presentation.
Three Months Ended September 30,Nine Months Ended September 30,
In millions2026202520262025
Segment EBITDA (1)(2)
Performance Materials$83.4 $83.8 $261.5 $248.3 
Pavement Technologies19.6 26.9 45.6 61.5 
Advanced Polymer Technologies11.7 11.0 30.5 26.6 
Total Segment EBITDA (1)(2)
114.7 121.7 337.6 336.4 
Interest expense, net(13.5)(18.4)(43.6)(56.4)
(Provision) benefit for income taxes on continuing operations(17.8)(21.4)(35.5)(34.7)
Depreciation and amortization(20.9)(27.7)(65.6)(77.4)
Gain (loss) on sale of business (3)
(3.0)— 5.6 — 
Restructuring and other income (charges), net (4)
(0.2)(1.0)(2.4)(10.1)
Goodwill impairment charge (5)
— — — (183.8)
Long-lived asset impairment charge (5)
— — (32.1)— 
Gain (loss) on strategic investment (6)
— — — (2.5)
Impairment of license agreement (7)
— — (2.8)— 
Proxy contest charges (8)
— — — (8.2)
Portfolio realignment costs (9)
(1.5)(1.1)(7.6)(1.1)
Litigation charge (10)
— — (16.2)— 
Corporate and other (11)
(6.7)(7.8)(23.1)(24.0)
Indirect costs allocated to Divestiture (12)
— (3.5)— (9.7)
Net income (loss) from continuing operations$51.1 $40.8 $114.3 $(71.5)
_______________
(1) Segment EBITDA is defined as segment net sales less segment operating expenses (segment operating expenses consist of costs of sales, selling, general and administrative expenses, research and technical expenses, other (income) expense, net, excluding depreciation and amortization). We have excluded the following items from segment EBITDA: interest expense associated with corporate debt facilities, interest income, income taxes, depreciation, amortization, gain (loss) on sale of business, restructuring and other income (charges), net, goodwill impairment charges, long-lived asset impairment charges, acquisition and other-related income (costs), gain (loss) on strategic investments, impairment of license agreement, proxy contest charges, portfolio realignment costs, pension and postretirement settlement and curtailment income (charges), net, litigation charge, indirect costs allocated to Divestiture, and Corporate and other costs.
(2) Segment expenses included within the primary measure used by our CODM are included within the below table.
Three Months Ended September 30,
20262025
In millionsPMPTAPTPMPTAPT
Net sales (i)
$154.1 $106.0 $45.0 $155.0 $139.9 $38.2 
Less:
Cost of sales (ii)
55.0 74.4 28.6 58.9 99.5 22.1 
Selling, general, and administrative expenses (ii) (iii) (iv)
15.5 12.8 4.7 12.4 13.3 5.3 
Other (income) expense, net (v)
0.2 (0.8)— (0.1)0.2 (0.2)
Segment EBITDA$83.4 $19.6 $11.7 $83.8 $26.9 $11.0 
Nine Months Ended September 30,
20262025
In millionsPMPTAPTPMPTAPT
Net sales (i)
$470.1 $268.5 $138.6 $455.7 $333.1 $123.7 
Less:
Cost of sales (ii)
164.6 186.9 92.9 172.1 233.8 81.4 
Selling, general, and administrative expenses (ii) (iii) (iv)
42.9 36.9 15.1 36.8 38.4 15.8 
Other (income) expense, net (v)
1.1 (0.9)0.1 (1.5)(0.6)(0.1)
Segment EBITDA$261.5 $45.6 $30.5 $248.3 $61.5 $26.6 
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(i) Relates to external customers only. Refer to Note 3 for a reconciliation to consolidated Net sales.
(ii) Excludes Depreciation and amortization.
(iii) Includes Research and technical expenses.
(iv) Excludes Corporate and other costs.
(v) We have excluded the following items from Other (income) expense, net: gain (loss) on sale of business, gain (loss) on strategic investments, impairment of license agreement, proxy contest charges, portfolio realignment costs, litigation charge, depreciation, and amortization.
(3) The gain (loss) relates to the sale of our former Performance Chemicals' road markings product line on April 15, 2026. Refer to Note 16 for more information.
(4) The table below provides an allocation of these charges between our three reportable segments to provide investors, potential investors, securities analysts and others with the information, should they choose, to apply such (income) charges to each respective reportable segment for which the charges relate.
Three Months Ended September 30,Nine Months Ended September 30,
In millions2026202520262025
Performance Materials$— $— $1.5 $— 
Pavement Technologies— 0.2 1.8 1.4 
Advanced Polymer Technologies0.2 0.1 (0.9)6.6 
Indirect costs allocated to Divestiture
— 0.7 — 2.1 
Restructuring and other (income) charges, net$0.2 $1.0 $2.4 $10.1 
(5) Charges relate to the Advanced Polymer Technologies reportable segment. Refer to Note 6 and Note 7 for more information.
(6) We exclude gains and losses from sales of strategic investments from our segment results because we do not consider such gains or losses to be directly associated with the operational performance of the segment. We believe that the inclusion of such gains or losses would impair the factors and trends affecting the historical financial performance of our reportable segments. We continue to include undistributed earnings or loss, distributions, amortization or accretion of basis differences, and other-than-temporary impairments for equity method investments that we believe are directly attributable to the operational performance of such investments, in our reportable segment results. Refer to Note 4, under the section: Strategic Investments, for more information. The charge relates to our Advanced Polymer Technologies reportable segment.
(7) Charge represents an impairment of a license agreement within the Performance Materials reportable segment.
(8) Charges represent legal and other professional service fees as well as incremental proxy solicitation costs related to a proxy contest.
(9) Charges represent professional service fees related to a review of the company's portfolio.
(10) Charge represents a litigation charge related to the BASF verdict. Refer to Note 13 for more information.
(11) Corporate and other costs is defined as costs associated with corporate administrative functions (e.g., executive office, corporate finance, legal, human resources) and other compliance costs to operate as a NYSE listed entity. Corporate and other costs also includes the corporate administrative functions' share of information technology, safety, health, accounting and human resource departments.
(12) Includes indirect costs previously allocated to the Divestiture that are not eligible for discontinued operations accounting treatment.
Three Months Ended September 30,Nine Months Ended September 30,
In millions2026202520262025
Cost of sales$— $1.4 $— $5.1 
Selling, general, and administrative expenses— 2.0 — 4.5 
Other (income) expense, net— 0.1 — 0.1 
Indirect costs allocated to Divestiture$— $3.5 $— $9.7 
Depreciation and amortizationThree Months Ended September 30,Nine Months Ended September 30,
In millions2026202520262025
Performance Materials$11.7 $11.3 $33.7 $31.1 
Pavement Technologies3.2 6.4 10.2 18.3 
Advanced Polymer Technologies6.0 8.9 21.7 24.9 
Indirect costs allocated to Divestiture (1)
— 1.1 — 3.1 
Total depreciation and amortization$20.9 $27.7 $65.6 $77.4 
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(1) Includes indirect costs previously allocated to the Divestiture that are not eligible for discontinued operations accounting treatment.
Capital expendituresThree Months Ended September 30,Nine Months Ended September 30,
In millions2026202520262025
Performance Materials$9.1 $7.4 $20.4 $19.4 
Pavement Technologies3.4 2.9 10.6 5.6 
Advanced Polymer Technologies1.2 1.5 3.3 8.9 
Total capital expenditures$13.7 $11.8 $34.3 $33.9 
Total assets
In millionsSeptember 30, 2026December 31, 2025
Performance Materials$843.9 $822.7 
Pavement Technologies299.0 357.7 
Advanced Polymer Technologies 312.0 380.9 
Total segment assets1,454.9 1,561.3 
Corporate and other (1)
48.5 54.4 
Assets of discontinued operations— 35.4 
Total assets$1,503.4 $1,651.1 
_______________
(1) Assets not specifically managed as part of one specific segment are referred to as "Corporate and other."