Ingevity (NGVT) 16th Annual Wells Fargo Industrials & Materials Conference summary

Portfolio transformation and strategic focus

• Completed two of three planned divestitures, with the specialty polymers business sale expected by year-end.

• Core focus is now on Performance Materials and Pavement Technologies, both with high EBITDA margins and cash flow conversion.

• Leadership team refreshed, including a new CFO and new leaders for key business segments.

• Company culture, branded as the IngeviWay, is being refined to support transformation and growth.

• Momentum and engagement are high across the organization.

Performance Materials business insights

• Performance Materials supports automotive evaporative emissions, serving ICE and hybrid vehicles with unique activated carbon solutions.

• Business boasts consistent 50%+ EBITDA margins and annual price increases, reflecting strong value.

• Competitive advantages include proprietary technology, deep customer relationships, and regulatory advocacy.

• Expansion into filtration markets (pharma, water treatment, food & beverage) aims to convert low-margin volume to higher-margin sales.

• Growth in hybrids and regulatory changes (e.g., China 7, India Tier 2) are expected to drive demand through the decade.

Pavement Technologies and growth drivers

• Pavement Technologies represents about a third of revenue, with two main businesses: pavement preservation and warm mix additives (Evotherm).

• Warm mix additives offer environmental and operational benefits, driving faster growth within the segment.

• Segment expected to grow mid-single digits, with profitability targets in the high teens to 20%+ EBITDA.

• Infrastructure spending and adoption of new technologies support steady growth.