Cabot Corp
NYSE:CBT

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Cabot Corp
NYSE:CBT
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Price: 70.08 USD -0.14% Market Closed
Market Cap: 3.7B USD

Cabot Corp
Investor Relations

In the bustling corridors of chemical innovation, Cabot Corporation stands as a quintessential player, weaving a complex tapestry of specialty chemicals and performance materials that are integral to myriad industries. Founded in 1882, this Boston-based enterprise has grown from its early days of carbon black production to a global leader in solutions based on technology and innovation. Cabot's expansive portfolio includes carbon black, fumed silica, and activated carbon, each contributing to the company's robust market presence. These materials, while perhaps not tangible to the everyday consumer, are vital in enhancing the performance of products like tires, inks, cosmetics, and batteries. Through a combination of advanced manufacturing processes and a keen focus on sustainability, Cabot harnesses the properties of its materials to add significant value to customers, thus driving revenue growth.

Cabot's financial engine is powered by its ability to foster long-term partnerships within diverse industries, ensuring its products meet the evolving needs of its clients. By capitalizing on trends such as the push for sustainability and the rise in electric vehicle production, the company positions itself at the forefront of innovation. This adaptability not only fortifies its current market standing but also paves avenues for future growth. Revenue is gleaned from strategic segments that cater to varied industrial demands, allowing Cabot to remain resilient amid economic fluctuations. By entrenching itself as an indispensable partner in supply chains, Cabot continues to thrive, leveraging its expertise and global reach to maintain its status as a stalwart in the field of performance materials.

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Last Earnings Call
Fiscal Period
Q4 2025
Call Date
Nov 4, 2025
AI Summary
Q4 2025

Record EPS: Cabot delivered a record adjusted EPS of $7.25 for FY 2025, up 3% year-over-year despite lower volumes in both main segments.

Cash Flow Strength: Operating cash flow was $665 million and free cash flow $391 million for the year, supporting significant shareholder returns and a strong balance sheet.

Headwinds Persist: Management highlighted continued weak demand in automotive and construction sectors, and ongoing pressure from Asian tire imports impacting Western markets.

Challenging 2026 Outlook: Adjusted EPS guidance for FY 2026 is $6–$7, reflecting expectations for lower volumes and pricing pressures, with results likely to be below 2025 levels.

Strategic Acquisition: Cabot agreed to acquire Bridgestone’s reinforcing carbon plant in Mexico, with the deal expected to close in Q2 2026 and be accretive in its first year.

Performance Chemicals Growth: Growth in battery materials, fumed metal oxides, and digitalization-related applications helped offset end-market weakness.

Shareholder Returns: $264 million was returned to shareholders in 2025 through dividends and share repurchases; dividend raised 5% in May.

Key Financials
Adjusted EPS
$7.25
Adjusted EBITDA
$804 million
Adjusted EBITDA Margin
22%
Adjusted ROIC
18%
Net Debt to EBITDA
1.2x
Liquidity
$1.5 billion
Operating Cash Flow
$665 million
Free Cash Flow
$391 million
Dividends Paid
$96 million
Share Repurchases
$168 million
Total Capital Returned to Shareholders
$264 million
Adjusted EPS (Q4)
$1.70
Operating Cash Flow (Q4)
$219 million
Free Cash Flow (Q4)
$155 million
Cash Balance (Quarter End)
$258 million
Capital Expenditures (Q4)
$64 million
Debt Balance
$1.1 billion
Operating Tax Rate
27%
Reinforcement Materials EBIT (FY)
Down $29 million year-over-year
Performance Chemicals EBIT (FY)
Up $30 million year-over-year
Reinforcement Materials Volumes (Q4)
down 5% year-over-year
Performance Chemicals Volumes (Q4)
down 5% year-over-year
Earnings Call Recording
Other Earnings Calls

Management

Mr. Sean D. Keohane
President, CEO & Director
No Bio Available
Mr. Hobart C. Kalkstein
Executive VP and President of Reinforcement Materials Segment & Americas Region
No Bio Available

Contacts

Address
MASSACHUSETTS
Boston
Two Seaport Lane Suite 1300
Contacts
+16173450100.0
www.cabotcorp.com