Cabot Corporation reported fourth quarter adjusted EPS of $1.61, exceeding analyst estimates despite a revenue miss. While volumes grew in most regions, profitability in the Reinforcement Materials segment was significantly impacted by lower margins resulting from new customer agreements and less favorable regional product mix.

Key Highlights

  • Reinforcement Materials EBIT fell to $87 million, significantly missing the $138 million consensus expectation due to lower gross profit per ton.
  • Battery Materials EBITDA reached a record $43 million for the full fiscal year, signaling continued growth in electric vehicle and energy storage applications.
  • The company secured a $50 million grant from the U.S. Department of Energy to expand conductive additive production in Louisiana and Texas.
  • Management established fiscal year 2027 adjusted EPS guidance of $6.15 to $6.75, reflecting confidence in volume growth despite energy cost volatility.