NewMarket Corporation Q1 FY2026 earnings call

Petroleum additive business performance in first quarter of 2026 was pleasing. Decrease in operating profit due to 7% decline in shipments from market softening and strategic reduction of low-margin business, but encouraged by increase in shipments in latter part of first quarter. Implemented price adjustments for raw materials, utilities, logistics costs and rebalanced global production. Specialty material sales increase due to inclusion of Calco business offset by shift in shipment mix at AMPAC. Operating profit decline in specialty materials due to change in quarterly shipment mix.

Petroleum additive sales for the first quarter of 2026 were $610 million compared to $646 million for the same period in 2025. Petroleum additives operating profit for the first quarter of 2026 was $135 million compared to operating profit of $142 million in 2025. Specialty material sales for the first quarter of 2026 were $58 million compared to $54 million for the same period in 2025. Specialty materials operating profit for the first quarter of 2026 was $12 million compared to $23 million for the first quarter of 2025.

Committed to making decisions promoting long-term value for shareholders and customers in 2026, believing core principles will benefit stakeholders.

Relevant factors that could cause actual results to differ materially from forward-looking statements are contained in earnings release and SEC filings, including most recent Form 10-K. Challenges due to conflict in the Middle East affecting market dynamics.