Slide 1: Earnings conference call second quarter fiscal 2026
earnings conference call second quarter fiscal 2026 — April 29, 2026
Slide 2: Forward-Looking Statements
Forward -Looking Statements This presentation contains forward -looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended . Ashland has identified some of these forward -looking statements with wo
Slide 3: Agenda
agenda — o Q2 performance summary o Q2 financial results o business unit reviews o strategic priorities & outlook o CEO priorities o Q&A 3
Slide 4: Q2 performance summary
Om 40 Wie: CRE Ce : Re Crh, 2 » Oo
Slide 5: Q2 business drivers
Q2 business drivers —o life sciences stable market demand; performance consistent with broader market trends and strong progress in tablet coatings and injectables; earnings impacted by Calvert City, adverse weather o personal care stable market demand; broad -based momentum led by double -digit gai
Slide 6: Q2 highlights
Q2 highlights 1 — resilient performance reflects execution & progress across growth platforms, despite operational headwinds sales a djusted EBITDA adjusted EBITDA % adjusted EPS 2 +1 % (9) % (220) bps (8) % $482 MM $98 MM 20.3 % $0.91 sales return to modest solid commercial improving demand & favor
Slide 7: Resilient demand with Calvert City margin impact
resilient demand with Calvert City margin impact — stable demand trends across the portfolio disciplined execution helped mitigate discrete cost headwinds sales comparisons versus prior -year quarter 3% adjusted EBITDA margin comparisons versus prior -year quarter 1% 0% 0% 29% 29% 20% 14% 12% (350)
Slide 8: Q2 financial results and business unit reviews
Q2 financial results and business unit reviews 8
Slide 9: Fiscal-second quarter adjusted results
fiscal -second quarter adjusted results 1 — Ashland adjusted results summary 1 ($US in millions, except percentages) Q2 FY26 Q2 FY25 change sales $482 $479 +1 % gross profit margin 32.6 % 34.7 % (210) Bps SG&A / R&D costs / intangible amortization $103 $106 (3) % operating income $54 $60 (10) % EBIT
Slide 10: Life sciences
life sciences — highlights adjusted results summary 1 ($US in millions, except o pharma resilience continued; percentages) Q2 FY26 Q2 FY25 change +LSD YoY growth driven by injectables & tablet coatings sales $172 $172 NM o pricing stable QoQ gross profit $64 $70 (9) % o favorable product mix gross p
Slide 11: Intermediates
intermediates — adjusted results summary 1 highlights ($US in millions, except o stable market conditions in a percentages) Q2 FY26 Q2 FY25 change trough environment sales $35 $37 (5) % o commercial & operating impact from Calvert City gross profit $6 $1 +500 % o lower captive BDO demand gross profi
Slide 12: Personal care
personal care — adjusted results summary 1 highlights ($US in millions, except o sales increased 3% YoY, driven Q2 FY26 Q2 FY25 change percentages) by broad -based volume growth across the portfolio sales $150 $146 +3 % o biofunctional actives up DD gross profit $63 $64 (2) % YoY, supported by new p
Slide 13: Specialty additives
specialty additives — adjusted results summary 1 highlights ($US in millions, except o coatings delivered YoY Q2 FY26 Q2 FY25 change percentages) volume growth & share gains sales $134 $134 NM o performance specialties demand improving gross profit $24 $31 (23) % o construction impacted by gross pro
Slide 14: Strategic priorities & outlook
strategic priorities & outlook 14
Slide 15: Advantaged cost structure | Middle East exposure
advantaged cost structure | middle east exposure — Ashland relative positioning geopolitical environment highlights limited direct regional exposure structural cost advantages • energy -linked raw material inflation • MEA is ~5% of sales (vast • energy -sensitive inputs ~15% of sales; • freight -cos
Slide 16: Execute: manufacturing optimization
execute: manufacturing optimization — key updates 1 VP&D optimization • progress remains in line with original commitments, with initiatives advancing as planned • consolidation actions progressing, with targeted 2 small plant consolidation completion by fiscal year -end FY26 • Performance behind pl
Slide 17: Globalize & innovate: FY26 mid-year progress
globalize & innovate : FY26 mid -year progress — on track ahead of plan Globalize: +14% YoY growth overall, with all four Globalize Innovate: broad outperformance across business units; strong businesses delivering strong gains and continued momentum growth in high -purity pharma excipients, & GLP -
Slide 18: FY26 outlook: updating guidance
FY26 outlook : updating guidance — forward looking insights •risks & opportunities key market factors • mixed macro with regional variability • Life Sciences and Personal Care remain resilient with stable fundamentals • geopolitical and tariff uncertainty • Specialty Additives & Intermediates stable
Slide 19: Innovative technology platforms
innovative technology platforms — transformed vegetable oil nature -derived with tunable water solubility • crop care oil dispersant program progressing toward year -end launch, following successful development milestones • customer trials ongoing, supported by Canada ECCC clearance for Agrimer comm
Slide 20: CEO priorities
CEO priorities —build resilience & deliver commitments drive leadership ownership & accountability • safety, sales growth, profitability, inventory, FCF, RONA • regional empowerment for ownership & accuracy • manufacturing optimization goals for FY26 -27 • stabilize operating performance strengthen
Slide 21: Closing comments
Guillermo Novo, Chair and CEO closing comments 21
Slide 22: Thank you Q&A
thank you Q&A o ) 3 i > vf Ashland clways solving 22
Slide 23: Appendix A: adjusted results summary and balance sheet
appendix A: adjusted results summary and balance sheet 23
Slide 24: Q2 adjusted results summary
Q2 adjusted results summary 1 — ($US in millions, except percentages and per share data) Q2 FY26 Q2 FY25 change sales $482 $479 +1 % gross profit $157 $166 (5) % gross profit margin 32.6 % 34.7 % (210) Bps SG&A / R&D costs / intangible amort. $103 $106 (3) % operating income $54 $60 (10) % depreciat
Slide 25: Q2 business unit consolidation
Q2 business unit consolidation 1 — specialty intercompany unallocated ($US in millions, except percentages) life sciences personal care Intermediates Ashland additives eliminations 2 and other 3 sales $172 $150 $134 $35 ($9) - $482 gross profit $64 $63 $24 $6 $157 gross profit margin 37.2% 42.0% 17.
Slide 26: Liquidity and net debt
liquidity and net debt — ($US in millions) expiration interest rate Moody’s rating S&P rating 3/31/26 balance cash $343 revolver availability 596 cash and revolver availability 1 $939 US and foreign A/R sales program 1 - debt 2.00% notes (EUR) Jan. 2028 2.000% Ba2 BB $573 3.375% notes Sept. 2031 3.3
Slide 27: Strong balance sheet & capital allocation strategy
strong balance sheet & capital allocation strategy — strong balance sheet and balanced capital allocation annual dividend 3 increase every year since 2009 strong balance sheet 1 o cash and liquidity available of ~$0.94 billion o net debt of $1,031 million; net leverage of 2.7x o next significant lon
Slide 28: Appendix B: non-GAAP reconciliation
appendix B: non -GAAP reconciliation 1 1 Although Ashland provides forward looking guidance for Adjusted EBITDA in this presentation, Ashland is not reaffirming or pr oviding forward -looking guidance for U.S. GAAP reported financial measures or a reconciliation of forward -looking non -GAAP financi
Slide 29: Reconciliation of Non-GAAP Data
Ashland Inc. and Consolidated Subsidiaries Reconciliation of Non -GAAP Data for the 12 Months Ended March 31, 2026 —($ millions, except percentages) Sales1 Q2 26 Q1 26 Q4 25 Q3 25 Total Q2 25 Life Sciences 172 139 173 162 646 172 Personal Care 150 123 151 147 571 146 Specialty Additives 134 102 131
Slide 30: Segment Components of Key Items – 3 months ended March 31, 2026
Ashland Inc. and Consolidated Subsidiaries Segment Components of Key Items for Applicable Income Statement Captions – for the 3 months ended March 31, 2026 — In millions - preliminary and unaudited ($ millions) T hre e M o nt hs E nde d M a rc h 3 1, 2 0 2 6 Unallo cated & Life Sciences P erso nal C
Slide 31: Segment Components of Key Items – 3 months ended March 31, 2025
Ashland Inc. and Consolidated Subsidiaries Segment Components of Key Items for Applicable Income Statement Captions – for the 3 months ended March 31, 2025 — In millions - preliminary and unaudited ($ millions) Life Sciences Personal Care Three Months Ended March 31, 2025 Specialty Additives Interme
Slide 32: Reconciliation of Non-GAAP Data – Free Cash Flow and Adjusted Operating Income
Ashland Inc. and Consolidated Subsidiaries Reconciliation of Non -GAAP Data – Free Cash Flow and Adjusted Operating Income for the 3 and 6 Months Ended March 31, 2026 and 2025 — ($ millions) Free cash flows Total cash flows provided (used) by operating activities from continuing operations $ Three m
Slide 33: Reconciliation of Non-GAAP Data – Adjusted EBITDA
Ashland Inc. Reconciliation of Non -GAAP Data – Adjusted EBITDA for the 3 Months Ended March 31, 2026 and 2025 — ($ millions) Three months ended March 31 Adjusted EBITDA - Ashland Inc. 2026 2025 Net income $ 16 $ 31 Income tax expense 5 9 Net interest and other expense 18 11 (a) Depreciation and amo
Slide 34: Reconciliation of Non-GAAP Data – Adjusted EBITDA
Life Sciences and Personal Care Reconciliation of Non -GAAP Data – Adjusted EBITDA for the 3 Months Ended March 31, 2026 and 2025 — ($ millions) Three months ended March 31 2026 2025 Adjusted EBITDA - Life Sciences Operating income $ 35 $ 28 Add: (a) Depreciation and amortization 14 13 Operating key
Slide 35: Reconciliation of Non-GAAP Data – Adjusted EBITDA
Specialties Additives and Intermediates Reconciliation of Non -GAAP Data – Adjusted EBITDA for the 3 Months Ended March 31, 2026 and 2025 — ($ millions) Three months ended March 31 2026 2025 Adjusted EBITDA - Specialty Additives Operating income (loss) $ (7) $ 7 Add: Depreciation and amortization 15
Slide 36: Reconciliation of Non-GAAP Data – Adjusted Income from Continuing Operations
Ashland Inc. and Consolidated Subsidiaries Reconciliation of Non -GAAP Data – Adjusted Income from Continuing Operations Three months ended March 31 Six months ended March 31 for the 3 and 6 Months Ended March 31, 2026 and 2025 — ($ millions) Income (loss) from continuing operations (as reported) Ke
Slide 37: Reconciliation of Non-GAAP Data – Adjusted Diluted EPS from Continuing Operations
Ashland Inc. and Consolidated Subsidiaries Reconciliation of Non -GAAP Data – Adjusted Diluted EPS from Continuing Operations Three months ended Six months ended for the 3 and 6 Months Ended March 31, 2026 and 2025 — March 31 March 31 2026 2025 2026 2025 Diluted EPS from continuing operations (as re
Slide 38: Ashland – always solving
<t Ashland always solving