Ingevity Corp Q1 2021 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: John Patrick McNulty - BMO Capital Markets Equity Research - Analyst : I guess a question just regarding the overall seasonality of the business. I mean, normally, when we look at your core platform, typically, first quarter is about 20% or so of EBITDA. Is there anything that would, given all kind of the wonky moves that we're seeing in terms of like shipping channels and supply chain issues and what have you? Is there anything that dramatically shifts that? Or should we expect the usual seasonality with the help of paving coming in, in 2Q and 3Q, et cetera, et cetera? How should we be thinking about that? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2021 / 2:00PM, NGVT.N - Q1 2021 Ingevity Corp Earnings Call

Question: John Patrick McNulty - BMO Capital Markets Equity Research - Analyst : Okay. No. Fair enough. And then, I guess, with your cash flow and your balance sheet improvements are, if anything, probably ahead of where we would have expected, and you're really making some pretty solid progress. I guess can you speak to how you're thinking about capital allocation as we look through this year and into next year, give us maybe an update in terms of the M&A pipeline? And also how you're thinking about buybacks. You obviously took some shares down this past quarter. And I guess how should we think about the potential for more of that as we go through the year?

Question: John Patrick McNulty - BMO Capital Markets Equity Research - Analyst : Got it. That makes sense. And maybe just one last question. When we think about the potential for an infrastructure bill, which admittedly, there's kind of a lot of fuzziness still around it. But I guess, how should we think about when the bill is announced and it's a little bit more definitive, how long it would take for your paving business to actually feel the real uptake at that point? Is it a 6 to 9 months thing? Is it multiyear?

Question: Paretosh Misra - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : Can you talk a bit about your work on developing feedstock for renewable diesel? Any progress that was made during the quarter? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. APRIL 29, 2021 / 2:00PM, NGVT.N - Q1 2021 Ingevity Corp Earnings Call

Question: Paretosh Misra - Joh. Berenberg, Gossler & Co. KG, Research Division - Analyst : Got it. And then just as a follow-up on earlier question on your commercial production for that soy-based fatty acid feedstock-based products. And I'm sorry, if I missed those comments, but how does that change the cost and pricing equation when you're using that feedstock versus the alternatives?