Balchem Corporation Q4 FY2025 earnings call

• 2025 was excellent year for Balchem with record sales, earnings from operations, adjusted EBITDA, and free cash flow. • Navigated dynamic global trade and tariff environment. • Made progress in expanding sales and marketing reach internationally, with over half of 2025 sales growth from outside US. • Advanced scientific and clinical research pipeline with over 20 active clinical studies. • Made progress on 2030 sustainability goals. • Invested in plant and equipment, started construction of microencapsulation facility. • Repurchased shares and increased dividend. • Fourth quarter 2025 had strong consolidated revenues, earnings, and adjusted EBITDA with healthy demand across segments.

For the fourth quarter of 2025, Human Nutrition and Health segment had sales of $166,000,000, an increase of 12.7% from prior year; Animal Nutrition and Health segment had sales of $61,000,000, an increase of 4.9% from prior year; Specialty Products segment had sales of $35,000,000, an increase of 6% from prior year. For full year 2025, record sales of $1,037,000,000, growing 8.8% compared to prior year. Human Nutrition and Health contributed to growth driven by healthy demand for portfolio of minerals, vitamins, etc. Animal Nutrition and Health had growth in dairy and feed-grade choline markets. Specialty Products had growth in Performance Gases business.

• 2026 expected to have continued top and bottom line growth while advancing growth initiatives. • No specific downward revision mentioned, maintain positive outlook.

• Uncertainty and volatility from potential replacement or changes in tariff regime. • Impact of foreign exchange fluctuations on financial results.

Q: Robert James Labick asked about partnership with New York Jets and future of marketing, and about clinical trials coming to conclusion in 2026.

A: Ted Harris discussed benefits of Jets partnership in changing dialogue about choline for adult health and saw good ROI, and talked about clinical trials including one related to choline and Alzheimer's.

Q: Raghuram Selvaraju asked about planned sales and promotional activities, tariff regime impact, effective tax rate, FX potential, and capital deployment.

A: Ted Harris talked about continued partnerships and new marketing initiatives, tariff regime impact is manageable, Carl Martin Bengtsson said use 23% for effective tax rate modeling, FX impact is manageable, capital deployment focuses on organic growth, M&A, dividend, and debt repayment.

Q: Artem Chubara asked about H&H and A&H segment performance dynamics.

A: Ted Harris said H&H growth driven by Food Ingredients and Solutions business growth, A&H growth from ruminant and improved monogastric growth.

Q: Daniel Scott Harriman asked about Specialty Products sales outside US and A&H Europe pricing.

A: Carl Martin Bengtsson said Europe is improving with final tariff ruling, Ted Harris talked about international sales growth across segments