Ingevity Corporation (NGVT), late on Thursday announced that it will be releasing third quarter earnings after the stock market close on Wednesday, Oct. 28, 2020. The company’s stock added 5.97% to its value on Friday trading to conclude the day at $52.93 while its previously closing price was $49.95.
Ingevity is a manufacturer of specialty chemicals and high performance carbon materials. It stands among companies like Axalta Coating Systems Ltd., W. R. Grace & Co. and Ashland Global Holdings Inc. in specialty chemical space.
The company is likely to be getting the benefit of the efforts it has been making in second quarter. Those efforts include implementation of cost-saving strategy and acquiring Capa caprolactone business. Also the company accelerated the growth by restructuring business strategy and technology adoption while going through weaker demand in certain of its businesses.
Ingevity, to lessen the impact of coronavirus pandemic on its profitability, is taking several measures to bring its costs down. These measures include personnel management through early retirement plans, rationalizing manufacturing processes, reducing travel related expenses and streamlining plant operating expenses. The company also came getting the benefits of the same in previous quarter. The measures will be bringing in a saving of $35 million this year, as expecting the company.
The company is also gaining on the higher sales in China mostly because of automakers in the country have completed the key requirement of aligning their selves with the China 6 standard implementation. The process drove the demand for NGVT’s automotive activated carbon products in China higher in the second quarter coming on the heels of the China 6 implementation. The drive is likely to remain accelerating the business growth in the third quarter too.
Ingevity is also seeing stronger growth of pavement technologies as these are getting traction in the North America with larger adoption of the Evotherm warm-mix technology.