What does Cabot do and what are its main business segments?

What is Cabot's gross profit margin?

What is the revenue and EPS growth rate for Cabot year over year?

What were the key takeaways from Cabot's earnings call?

What guidance did Cabot's management provide for the next earnings period?

What factors drove the changes in Cabot's revenue and profit?

Did Cabot beat or miss consensus estimates last quarter?

What is Cabot's latest dividend and current dividend yield?

- **Record financial performance**: FY 2025 adjusted EPS $7.25 (3% YoY), EBIT $804M (3% growth), free cash flow $391M.
- **Strategic investments**: $168M share buyback, 5% dividend increase, accretive Mexico plant acquisition.
- **Battery materials growth**: 20% CM growth, new ESS product launch, strong sales to global battery producers.
- **2026 outlook**: Adjusted EPS $6-$7, driven by macroeconomic uncertainty and trade dynamics.
- **Challenges**: Asian tire imports reducing domestic production, delayed contract negotiations, macroeconomic headwinds in automotive/construction.
- **Sustainability leadership**: Platinum EcoVadis rating, 2030 sustainability targets.


**【Management Opening Remarks】**
- Earnings release and slide deck available on the Investor Relations website.
- Forward-looking statements and non-GAAP financial measures referenced.
- Reminder of upcoming stock sales by executives for tax obligations.

**【CEO Summary Section】**
- Fiscal 2025 highlights: Record adjusted EPS of $7.25 (3% YoY growth), total EBIT up 3% to $804M, free cash flow of $391M.
- Strategic initiatives: $168M share buyback, 5% dividend increase, acquisition of Bridgestone's Mexico plant (expected to close Q2 2026, accretive in first year).
- Battery materials growth: 20% YoY CM growth, new ESS product launch, strong sales of conductive additives to global battery producers.
- Sustainability: Platinum EcoVadis rating, 2025 sustainability report with 2030 targets.
- 2026 outlook: Adjusted EPS range $6-$7, driven by macroeconomic uncertainty and trade dynamics.

**【CFO Financial Commentary】**
- Q4 2025: Adjusted EPS $1.70 (6% YoY decline), cash flow from ops $219M, free cash flow $155M.
- FY 2025: Net debt-to-EBITDA 1.2x, liquidity $1.5B, capital expenditures $200M-$250M for FY 2026.
- Segment performance: Reinforcement Materials EBIT down $29M YoY (5% vol decline), Performance Chemicals EBIT up $30M YoY (battery materials and fumed metal oxides growth).
- 2026 expectations: Sequential Q1 EBIT decline in Reinforcement Materials, stable EBIT in Performance Chemicals.

**【Q&A Key Highlights】**
- **Regional utilization**: North America 75-80%, Europe 85%, South America 70s (improving with trade policy), Asia high utilization.
- **Dow's silicon plant closure**: Long-term agreement with Dow until 2028, discussions ongoing.
- **Contract negotiations**: 25% of 2026 contracts completed (vs. 45% last year), pricing pressures in Reinforcement Materials.
- **Performance Chemicals growth**: Battery materials, infrastructure, digitalization driving 1.5x-2x GDP growth, offsetting automotive/construction weakness.
- **Mix impact**: High-margin automotive and battery materials balanced, no significant margin uplift expected.


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