Operating cash flow turned negative at -$13.8M in Q2 2026 despite net income of $35.3M, while free cash flow swung to -$24.1M, and the company spent $63.2M on acquisitions and $34.5M on buybacks.
Ingevity Corporation (NGVT) cash flow statement — 13-year operating, investing & financing cash flows
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 |
|---|
| Cash from Operations | 211M | 331.2M | 128.6M | 205.1M | 313.4M | 293.3M | 352.4M | 275.7M | 252M | 174.3M | 127.9M | 73M | 143M | 137M |
| Operating CF Margin % | - | 28.37% | 9.14% | 12.12% | 18.79% | 21.08% | 28.98% | 21.32% | 22.23% | 17.92% | 14.08% | 7.54% | 13.74% | 13.98% |
| Operating CF Growth % | 4.12% | 157.54% | -37.3% | -34.56% | 6.85% | -16.77% | 27.82% | 9.4% | 44.58% | 36.28% | 75.21% | -48.95% | 4.38% | - |
| Net Income | 54M | -150.3M | -430.3M | -5.4M | 211.6M | 118.1M | 181.4M | 183.7M | 181.8M | 145.2M | 44.4M | 85M | 133M | 118M |
| Depreciation & Amortization | 100.6M | 106.4M | 108.3M | 122.8M | 108.8M | 109.9M | 100.2M | 85M | 57M | 40.4M | 38.8M | 35M | 33M | 33M |
| Stock-Based Compensation | 18.8M | 18.3M | 11.9M | 10.6M | 16.1M | 12.3M | 8.4M | 12.3M | 12.5M | 10.1M | 4.7M | 2.3M | 1.4M | 1M |
| Deferred Taxes | 20.5M | -4.7M | -121.4M | -44.7M | -5M | -4.6M | 16.2M | 14.8M | 900K | -25.7M | -7.9M | 10M | 3M | 2M |
| Other Non-Cash Items | 31.6M | 346.5M | 570.1M | 262.5M | 48.4M | 27.1M | 34.4M | 13.1M | 9.5M | 7.6M | 34.1M | 9M | -4M | 10M |
| Working Capital Changes | -14.5M | 15M | -10M | -140.7M | -66.5M | 30.5M | 11.8M | -33.2M | -9.7M | -3.3M | 13.8M | -61M | -23M | -27M |
| Change in Receivables | 20.3M | 12.2M | 38.2M | 42.7M | -42.1M | -13.8M | 2.8M | -15.3M | -3M | -9.5M | 5.7M | 9M | -9M | -11M |
| Change in Inventory | 7M | 40.2M | 86.2M | -75.6M | -63.7M | -55.8M | 22.3M | 500K | -26.9M | -6.6M | -2.2M | -25M | -29M | -20M |
| Change in Payables | -9.4M | -2.6M | -63.4M | -14.6M | 42.7M | 14.8M | 9.4M | -6.2M | 5.7M | 1.7M | -1.5M | -22M | 10M | 14M |
| Cash from Investing | 138.5M | -57.5M | -79.5M | -77.3M | -551.9M | -138.6M | -110.6M | -658.3M | -414.4M | -58.6M | -126.4M | -90M | -102M | -64M |
| Capital Expenditures | -56.1M | -57.7M | -77.6M | -109.8M | -142.5M | -103.8M | -23.8M | -114.8M | -93.9M | -52.6M | -56.7M | -102M | -101M | -63M |
| CapEx % of Revenue | 4.83% | 4.94% | 5.52% | 6.49% | 8.54% | 7.46% | 1.96% | 8.88% | 8.28% | 5.41% | 6.24% | 10.54% | 9.7% | 6.43% |
| Acquisitions | 156.3M | 0 | 0 | 0 | -344.5M | 0 | 0 | -537.9M | -315.5M | 0 | 0 | 11M | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -14.1M | 16.6M | -1.6M | 3.4M | -2.2M | 500K | -86.8M | -118.4M | -4.1M | -3M | -69.7M | 1M | -1M | -1M |
| Cash from Financing | -277.6M | -252.2M | -70.2M | -99.9M | 48.1M | -133.1M | -50.2M | 369.2M | 153.7M | -57.8M | -3.4M | 27M | -31M | -79M |
| Debt Issued (Net) | -130.9M | -193.6M | -66.1M | -6.6M | 199M | -26M | 48.4M | 385.9M | 303.9M | -38.2M | 402.5M | 1.3M | 2.8M | 0 |
| Equity Issued (Net) | -111.3M | -54.9M | 0 | -87.4M | -145.2M | -104.7M | -88M | -20.7M | -49.9M | -7.8M | -300K | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -117.9M | -56.3M | 0 | -92.1M | -145.2M | -109.4M | -88M | -6.4M | -47.4M | -6.6M | -300K | 0 | 0 | 0 |
| Other Financing | -35.4M | -3.7M | -4.1M | -5.9M | -5.7M | -2.4M | -10.6M | 4M | -100.3M | -11.8M | -405.6M | 25.7M | -34.5M | -79M |
| Net Change in Cash | 73.8M | 26M | -25.3M | 27.6M | -196.4M | 19.9M | 193.8M | -13.2M | -10.1M | 57.4M | -1.5M | 12M | 8M | -4M |
| Free Cash Flow | 154.9M | 273.5M | 51M | 95.3M | 170.9M | 189.5M | 246.5M | 160.9M | 158.1M | 121.7M | 71.2M | -29M | 42M | 74M |
| FCF Margin % | 13.35% | 23.42% | 3.63% | 5.63% | 10.24% | 13.62% | 20.27% | 12.44% | 13.95% | 12.52% | 7.84% | -3% | 4.03% | 7.55% |
| FCF Growth % | 3.06% | 436.27% | -46.48% | -44.24% | -9.82% | -23.12% | 53.2% | 1.77% | 29.91% | 70.93% | 345.52% | -169.05% | -43.24% | - |
| FCF per Share | 4.35 | 7.56 | 1.40 | 2.61 | 4.44 | 4.73 | 5.93 | 3.81 | 3.71 | 2.86 | 1.68 | -0.69 | 1.00 | 1.76 |
| FCF Conversion (FCF/Net Income) | 2.87x | -1.98x | -0.30x | -37.98x | 1.48x | 2.48x | 1.94x | 1.50x | 1.49x | 1.38x | 3.63x | 0.91x | 1.11x | 1.15x |
| Interest Paid | 61.7M | 70.4M | 85.4M | 82.7M | 54.8M | 47.5M | 39.6M | 48M | 26M | 16M | 15.1M | 6.5M | 0 | 0 |
| Taxes Paid | 5.6M | 8.7M | 26.9M | 29.7M | 54.8M | 53.7M | 46.6M | 14.9M | 34.8M | 61.9M | 22.4M | 1.4M | 0 | 0 |
Quick answers to the most common questions about buying NGVT stock.
Ingevity Corporation (NGVT) generated $331.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Ingevity Corporation (NGVT) generated $273.5M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Ingevity Corporation (NGVT) spent $57.7M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Ingevity Corporation (NGVT) spent $56.3M on share repurchases. This shows the company's commitment to returning capital to its equity investors.
Key Metrics
Top Statement Risk
EV transition and CTO costs
Metrics are mathematically derived from official filings.
Earnings Quality Masked by Non-Cash Charges
In Q2 2026, operating cash flow turned negative at -$13.8M despite $35.3M net income, yielding an OCF/NI ratio of -0.39, according to the latest cash flow statement. This divergence suggests accrual-based earnings are not translating into cash.
The negative operating cash flow in Q2 2026, despite positive net income, appears driven by a large working capital outflow of $73.9M in Q1 2026 and continued investment in receivables. The gap between net income and operating cash flow is a critical signal, as it indicates that reported profitability may be supported by non-cash items or timing differences. Investors should monitor whether this cash conversion weakness persists, as it could signal deteriorating earnings quality.
Free Cash Flow Volatility Persists
Free cash flow swung from $117.8M in Q3 2025 to -$24.1M in Q2 2026, with FCF margin dropping from 35.4% to -7.7%, based on reported figures. This volatility highlights the cyclicality of the business and the impact of working capital swings.
The FCF trajectory shows extreme quarter-to-quarter variability, with positive FCF in most quarters but a sharp negative print in Q2 2026. This appears to be driven by a combination of seasonal working capital needs and elevated acquisition-related cash outflows. The negative FCF margin in Q2 2026, despite a positive net income, suggests that cash generation is not yet stable, and the company may still be in a period of operational adjustment.
Capital Intensity Remains Moderate
Capital expenditures averaged around 4-5% of revenue over the past ten quarters, with Q2 2026 CapEx of $10.3M representing 3.3% of revenue, as per the cash flow data. This suggests a maintenance-heavy capex profile with limited growth investment.
The relatively low and stable capital expenditure relative to revenue indicates that Ingevity's asset base is not highly capital-intensive, but it also suggests limited investment in growth initiatives. The consistency of capex, even during periods of revenue decline, implies that the company is maintaining its existing facilities rather than expanding. This could be a deliberate strategy to preserve cash, but it may also limit future growth potential.
Working Capital Swings Drive Cash Flow
Working capital changes swung from -$73.9M in Q1 2026 to +$1.9M in Q2 2026, according to the cash flow statement, causing significant cash flow volatility. This suggests that inventory and receivables management are key to near-term cash generation.
The large negative working capital change in Q1 2026, followed by a small positive in Q2, indicates that the company is experiencing significant swings in its operating cycle. This could be due to seasonal build-up of inventory or delays in collections, which may be a concern if it reflects weakening demand. The volatility in working capital is a major driver of the inconsistent operating cash flow, and investors should monitor whether management can stabilize these swings.
Acquisitions and Buybacks Consume Cash
In Q2 2026, Ingevity spent $63.2M on acquisitions and $34.5M on buybacks, while paying no dividends, based on the cash flow data. This aggressive deployment of cash, despite negative operating cash flow, suggests a reliance on external financing or cash reserves.
The combination of acquisition spending and share repurchases in Q2 2026, when operating cash flow was negative, indicates that management is prioritizing capital deployment over cash conservation. This may signal confidence in future cash generation, but it also increases financial risk, especially given the company's elevated debt levels. Investors should assess whether these investments will generate adequate returns to justify the cash outflows.
Cash Flow Obscured by Non-Cash Adjustments
Stock-based compensation averaged $4-5M per quarter, and depreciation and amortization around $25M, according to the cash flow statement, but these non-cash items do not fully explain the gap between net income and operating cash flow. The recurring restructuring charges may be masking underlying cash generation.
The cash flow statement shows that SBC and D&A are relatively stable, but the large swings in working capital and other adjustments are the primary drivers of cash flow volatility. The company has reported significant impairment charges in prior quarters, which are non-cash but affect net income, making the operating cash flow appear stronger relative to earnings. However, the negative operating cash flow in Q2 2026 suggests that the company may be using working capital or other adjustments to manage reported cash flow, which warrants further investigation.