Ashland Inc. Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>Ashland Inc. has filed its Q1 2024 10-Q report, detailing financial performance and operations for the quarter ending December 31, 2023.</b>

AI Summary

ASHLAND INC. (ASH) filed a Quarterly Report (10-Q) with the SEC on January 31, 2024. Ashland Inc. filed a 10-Q report for the period ending December 31, 2023. The filing covers the first quarter of fiscal year 2024. The company's fiscal year ends on September 30th. Ashland Inc. is classified under SIC code 5160 (Wholesale-Chemicals & Allied Products). The filing includes references to various financial instruments and liabilities such as Senior Notes due 2028 and 2043, and Accrued Liabilities.

Why It Matters

For investors and stakeholders tracking ASHLAND INC., this filing contains several important signals. This 10-Q filing provides crucial insights into Ashland's financial health and operational performance during the first quarter of its fiscal year 2024, enabling investors to assess recent trends and potential future outcomes. The detailed financial data within the report, including references to specific debt instruments and liabilities, allows stakeholders to evaluate the company's capital structure and risk exposure.

Risk Assessment

Risk Level: medium — ASHLAND INC. shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q) which typically contains routine financial information, but the sheer volume of specific financial instruments and liabilities mentioned suggests a complex financial structure that warrants careful review.

Analyst Insight

Review the detailed financial statements and risk factors within the 10-Q to understand Ashland's current financial position and operational performance.

Key Numbers

• 2023-12-31 — Report Period End Date (CONFORMED PERIOD OF REPORT)
• 2024-01-31 — Filing Date (FILED AS OF DATE)
• Q1 2024 — Fiscal Quarter (Filing period)
• 0930 — Fiscal Year End (FISCAL YEAR END)
• 5160 — SIC Code (STANDARD INDUSTRIAL CLASSIFICATION)
• 2.00% — Senior Notes Due 2028 Interest Rate (ash:TwoPointZeroZeroPercentageSeniorNotesDue2028Member)
• 6.875% — Notes Due 2043 Interest Rate (ash:SixPointEightSevenFivePercentageNotesDue2043Member)
• 6.50% — Junior Subordinated Notes Due 2029 Interest Rate (ash:SixPointFiveZeroPercentageJuniorSubordinatedNotesDue2029Member)

Key Players & Entities

• ASHLAND INC. (company) — COMPANY CONFORMED NAME
• ASH (company) — Ticker Symbol
• RobinELampkinMember (person) — Ashland Inc. executive
• Rule10B51TradingPlanMember (person) — Ashland Inc. executive
• Hercules Limited Liability Company (company) — Subsidiary or related entity
• Personal Care and Household (company) — Business segment
• Life Sciences (company) — Business segment
• Specialty Additives (company) — Business segment

Forward-Looking Statements

• Ashland will likely face continued pressure on its revenue and profitability in the near term due to ongoing market softness. (Ashland Inc.) — medium confidence, target: 2024-09-30
• The company may implement further cost-cutting measures or restructuring initiatives to improve financial performance. (Ashland Inc.) — medium confidence, target: 2024-09-30

FAQ

Risk Factors

• Fair Value Measurements [medium — financial]: The company utilizes recurring fair value measurements, including Level 3 inputs, for certain assets and liabilities.
• Debt Instruments [medium — financial]: Ashland has various debt instruments outstanding, including Senior Notes due 2028 and 2043, and Junior Subordinated Notes due 2029.
• Restructuring and Severance Costs [low — operational]: Accrued expenses include provisions for restructuring and severance costs.
• Foreign Exchange Contracts [low — financial]: The company uses foreign exchange contracts for hedging purposes, with both designated and non-designated instruments.

Key Financial Figures

• $0.01 — ch registered Common Stock, par value $0.01 per share ASH New York Stock Exchan
• $2 million — ludes an allowance for credit losses of $2 million at both December 31, 2023 and September

Filing Documents

• ash-20231231.htm (10-Q) — 2958KB
• ash-ex10_3.htm (EX-10.3) — 18KB
• ash-ex10_3.pdf (EX-10.3) — 468KB
• ash-ex31_1.htm (EX-31.1) — 14KB
• ash-ex31_2.htm (EX-31.2) — 14KB
• ash-ex32.htm (EX-32) — 11KB
• img160946160_0.jpg (GRAPHIC) — 23KB
• img160946160_1.jpg (GRAPHIC) — 8KB
• 0000950170-24-009280.txt (&nbsp;) — 14586KB
• ash-20231231.xsd (EX-101.SCH) — 1730KB
• ash-20231231_htm.xml (XML) — 3213KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

FINANCIAL STATEMENTS

ITEM 1. FINANCIAL STATEMENTS ASHLAND INC. AND CONSOLIDATED SUBSIDIARIES Three months ended December 31 (In millions except per share data - unaudited) 2023 2022 Sales $ 473 $ 525 Cost of sales 375 360 Gross profit 98 165 Selling, general and administrative expense 83 93 Research and development expense 12 13 Intangibles amortization expense - Note F 21 23 Equity and other income 2 1 Loss on acquisitions and divestitures, net ( 2 ) — Operating income (loss) ( 18 ) 37 Net interest and other income ( 24 ) ( 14 ) Other net periodic benefit loss - Note J 2 1 Income from continuing operations before income taxes 4 50 Income tax expense (benefit) - Note I ( 24 ) 8 Income from continuing operations 28 42 Loss from discontinued operations, net of income taxes - Note B ( 2 ) ( 2 ) Net income $ 26 $ 40 PER SHARE DATA Basic earnings per share - Note L Income from continuing operations $ 0.54 $ 0.77 Loss from discontinued operations ( 0.03 ) ( 0.03 ) Net income $ 0.51 $ 0.74 Diluted earnings per share - Note L Income from continuing operations $ 0.54 $ 0.76 Loss from discontinued operations ( 0.03 ) ( 0.03 ) Net income $ 0.51 $ 0.73 COMPREHENSIVE INCOME Net income $ 26 $ 40 Other comprehensive income (loss), net of tax Unrealized translation gain 54 82 Unrealized loss on commodity hedges ( 1 ) ( 4 ) Other comprehensive income - Note M 53 78 Comprehensive income $ 79 $ 118 SEE NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS. 2 ASHLAND INC. AND CONSOLIDATED SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In millions - unaudited) December 31 2023 September 30 2023 ASSETS Current assets Cash and cash equivalents $ 440 $ 417 Accounts receivable (a) - N

View Full Filing

View this 10-Q filing on SEC EDGAR