Valvoline : Q2 Fiscal 2026 Investor Overview

Published: 2026-05-07 09:20:51 ET VVV

Published on 05/07/2026 at 09:20 am EDT

Second Quarter Fiscal 2026 Earnings

Ḻoíi Ilccs, CEO & Pícsidc⭲t

Kc:i⭲ Willis, CIO

Elizabctk Clc:i⭲gcí, I⭲:cstoí Rclatio⭲s

05.07.2026

$987M

SQstcm-widc Stoíc Salcs2

t 20%

$504M

Nct Salcs

t 25%

$134M

Adj"stcd EBIľKA«

t 2®%

$0.41

Adj"stcd EPS«

t 21%

8.2%

SQstcm-widc Samc Stoíc Salcs2 Gíowtk

Nct Stoíc Additio⭲s

2,409

SQstcm locatio⭲s2

t 16%

All compaíiso⭲s aíc Qcaí o:cí Qcaí "⭲lcss otkcíwisc ⭲otcd.

Rcrcí to tkc Appc⭲dix roí r"ítkcí i⭲roímatio⭲ ícgaídi⭲g ma⭲agcmc⭲t's "sc or kcQ b"si⭲css mcas"ícs.

«. Ioí a ícco⭲ciliatio⭲ or adj"stcd amo"⭲ts to amo"⭲ts ícpoítcd "⭲dcí GAAP, plcasc ícrcí to tkc Appc⭲dix.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G «

I⭲⭲o:atc foí tkc E:ol:i⭲g Nccds of Customcís a⭲d tkc Caí Paíc

Dcli:cí Sustai⭲ablc Nctwoík Gíowtk

Díi:c

Ïull Potc⭲tial of tkc Coíc

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 4

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G

Adjustcd Rcsults Summaíy

2Q ÏY202G

2Q ÏY2025

Nct Salcs

$50«.®

$40«.2

Gíoss Píorit Maígi⭲

«7.1%

«7.«%

SG&A2

$90.6

$75.2

EBIľKA

$1««.6

$104.4

EBIľKA Maígi⭲

26.5%

25.9%

EPS

$0.41

$0.«4

Iícc Cask Ilow - YľK

$45.0

$(12.2)

Ioí a ícco⭲ciliatio⭲ or adj"stcd amo"⭲ts to amo"⭲ts ícpoítcd "⭲dcí GAAP, plcasc ícrcí to tkc Appc⭲dix.

Píioí Qcaí amo"⭲ts i⭲cl"dc a ícclass íclatcd to s"blcasc i⭲comc píc:io"slQ pícsc⭲tcd i⭲ Otkcí loss (i⭲comc),

⭲ct, wkick is ⭲ow pícsc⭲tcd i⭲ SG&A

$504M

Nct Salcs

37.1%

20 bps dccícasc

Adjustcd Gíoss Maígi⭲1 As a % of Nct Salcs

18.0%

70 bps dccícasc

Adjustcd SG&A1 As a % of Nct Salcs

2G.5%

60 bps i⭲cícasc

Adjustcd EBIľDA1 As a % of Nct Salcs

$52M

Adjustcd Nct I⭲comc1

$0.41

21% i⭲cícasc

Adjustcd EPS1

3.1x

Lc:cíagc Ratio2

$45.0M

$57M i⭲cícasc

YľD Ïícc Cask Ïlow1

Ioí a ícco⭲ciliatio⭲ or adj"stcd amo"⭲ts to amo"⭲ts ícpoítcd "⭲dcí GAAP, plcasc ícrcí to tkc Appc⭲dix.

Bascd o⭲ total dcbt lcss cask a⭲d cask cq"i:alc⭲ts di:idcd bQ adj"stcd EBIľKA roí tkc tíaili⭲g twcl:c mo⭲tks.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 6

Updatcd Outlook

Píioí Outlook

Systcm-widc SSS Gíowtk1

5% - G.5%

4% - G%

Systcm-Widc Stoíc Additio⭲s1

No Cka⭲gc

330 - 3G0

Nct Rc:c⭲ucs

No Cka⭲gc

$2.0B - $2.1B

Adjustcd EBIľDA2

$540M - $5G0M

$525M - $550M

Adjustcd EPS2

$1.G5 - $1.75

$1.G0 - $1.70

Capital Expc⭲dituícs

No Cka⭲gc

$250M - $280M

Ioí a disc"ssio⭲ or ma⭲agcmc⭲t's "sc or KcQ B"si⭲css Mcas"ícs, plcasc ícrcí to tkc Appc⭲dix.

Kc⭲otcs a roíwaíd-looki⭲g ⭲o⭲-GAAP ri⭲a⭲cial mcas"íc tkat Val:oli⭲c is "⭲ablc to ícco⭲cilc witko"t "⭲ícaso⭲ablc crroíts, as tkc Compa⭲Q is c"ííc⭲tlQ "⭲ablc to pícdict witk a ícaso⭲ablc dcgícc or ccítai⭲tQ tkc tQpc a⭲d cxtc⭲t or ccítai⭲ itcms tkat wo"ld bc cxpcctcd to impact GAAP ícs"lts b"t wo"ld ⭲ot impact ⭲o⭲-GAAP adj"stcd ícs"lts.

1 Kcli:cícd stío⭲g Q2 ícsults.

Updati⭲g guida⭲cc a⭲d woíki⭲g to mitigatc

a⭲Q macío a⭲d s"pplQ ckai⭲ "⭲ccítai⭲tQ.

3 Rcsilic⭲t busi⭲css modcl b"ilt to dcli:cí s"stai⭲cd abo:c-maíkct gíowtk.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G

Gíoss Maígi⭲

Adj. SG&A2

(as a % or Nct Salcs)

Adj. EBIľDA Maígi⭲

«7.«% «7.4%

«7.1%

1®.7% 19.«% 1®.0%

25.9% 25.4% 26.5%

2025

202G

2025

202G

2025

202G

Ioí a ícco⭲ciliatio⭲ or adj"stcd amo"⭲ts to amo"⭲ts ícpoítcd "⭲dcí GAAP, plcasc ícrcí to tkc Appc⭲dix.

Píioí Qcaí amo"⭲ts i⭲cl"dc a ícclass íclatcd to s"blcasc i⭲comc píc:io"slQ pícsc⭲tcd i⭲ Otkcí loss (i⭲comc), ⭲ct, wkick is ⭲ow pícsc⭲tcd i⭲ SG&A.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 10

SIGNIFICANT EXPENSES SEGMENT DISCLOSURE

(Preliminary and unaudited)

ľkícc mo⭲tks c⭲dcd ľkícc mo⭲tks c⭲dcd Maíck «1 Maíck «1

2026 2025

(I⭲ millio⭲s) GAAP KcQ Itcms (b) Adj"stcd GAAP KcQ Itcms (b) Adj"stcd

Nct íc:c⭲"cs

Ḻcss:

$ 50«.®

$ -

$ 50«.®

$ 40«.2

$ -

$ 40«.2

Ḻaboí cost

12«.5

9®.«

Matcíials

®6.4

71.7

Otkcí scí:icc dcli:cíQ costs

106.9

®2.7

Ad:cítisi⭲g

21.1

17.5

PaQíoll a⭲d íclatcd costs

«®.5

(1.«)

«7.2

«0.5

(0.«)

«0.2

Otkcí gc⭲cíal a⭲d admi⭲istíati:c

«9.1

(6.®)

«2.«

«5.6

(®.1)

27.5

Otkcí scgmc⭲t itcms (a)

4«.0

1.4

44.4

2®.6

2.5

«1.1

I⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s

$ 45.«

$ 6.7

$ 52.0

«®.«

$ 5.9

$ 44.2

GAAP

Six mo⭲tks c⭲dcd Maíck «1

2026

KcQ Itcms (b)

Adj"stcd

GAAP

Six mo⭲tks c⭲dcd Maíck «1

2025

KcQ Itcms (b)

Adj"stcd

Nct íc:c⭲"cs

$ 965.6

$ -

$ 965.6

$ ®17.5

$ -

$ ®17.5

Ḻcss:

Ḻaboí cost

2«9.«

205.0

Matcíials

164.®

146.2

Otkcí scí:icc dcli:cíQ costs

202.0

162.9

Ad:cítisi⭲g

41.2

«4.®

PaQíoll a⭲d íclatcd costs

74.2

(2.®)

71.4

5®.1

(0.7)

57.4

Otkcí gc⭲cíal a⭲d admi⭲istíati:c

90.1

(22.9)

67.2

71.1

(9.5)

61.6

Otkcí scgmc⭲t itcms (a)

140.9

(60.®)

®0.1

7.2

56.«

6«.5

I⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s

$ 1«.1

$ ®6.5

$ 99.6

1«2.2

$ (46.1)

$ ®6.1

(a)

(b)

Otkcí scgmc⭲t itcms píimaíilQ i⭲cl"dc itcms s"ck as Nct lcgacQ a⭲d scpaíatio⭲-íclatcd cxpc⭲scs, Otkcí loss (i⭲comc), ⭲ct, Nct pc⭲sio⭲ a⭲d postíctiícmc⭲t costs, Nct i⭲tcícst a⭲d otkcí ri⭲a⭲ci⭲g cxpc⭲scs, a⭲d I⭲comc tax cxpc⭲sc, wkick aíc i⭲cl"dcd i⭲ tkc Compa⭲Q's Co⭲dc⭲scd Co⭲solidatcd Statcmc⭲ts or Compíckc⭲si:c I⭲comc.

Rcpícsc⭲ts ccítai⭲ "⭲"s"al, i⭲rícq"c⭲t, oí ⭲o⭲-opcíatio⭲al acti:itQ ⭲ot diícctlQ attíib"tablc to tkc "⭲dcílQi⭲g b"si⭲css. Rcrcí to tkc "Usc or No⭲-GAAP Mcas"ícs" slidc i⭲ tkis Appc⭲dix roí additio⭲al dctails.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 11

SYSTEM-WIDE STORE INFORMATION

(Preliminary and unaudited)

Compa⭲Q-opcíatcd

Scco⭲d Q"aítcí 2026

Iiíst Q"aítcí 2026

Io"ítk Q"aítcí 2025

ľkiíd Q"aítcí 2025

Scco⭲d Q"aítcí 2025

Bcgi⭲⭲i⭲g or pcíiod

1,196

1,016

9®«

950

9«2

Opc⭲cd

Acq"iícd

210

Ki:cstcd (a)

(45)

Nct co⭲:císio⭲s bctwcc⭲ compa⭲Q-opcíatcd a⭲d ría⭲ckiscd

(10)

Closcd

(1)

E⭲d or pcíiod

1,210

1,196

1,016

9®«

950

Iía⭲ckiscd (b)

Scco⭲d Q"aítcí 2026

Iiíst Q"aítcí 2026

Io"ítk Q"aítcí 2025

ľkiíd Q"aítcí 2025

Scco⭲d Q"aítcí 2025

Bcgi⭲⭲i⭲g or pcíiod

1,1®4

1,164

1,141

1,12®

1,11«

Opc⭲cd

1«

Acq"iícd (c)

Nct co⭲:císio⭲s bctwcc⭲ compa⭲Q-opcíatcd a⭲d ría⭲ckiscd

(4)

(6)

Closcd

(1)

(«)

(1)

(2)

E⭲d or pcíiod

1,199

1,1®4

1,164

1,141

1,12®

ľotal sQstcm-widc stoícs (b)

2,409

2,«®0

2,1®0

2,124

2,07®

Ki:cstcd stoícs ícpícsc⭲t tkosc acq"iícd i⭲ co⭲⭲cctio⭲ witk tkc Bícczc A"tocaíc acq"isitio⭲ a⭲d immcdiatclQ di:cstcd as ícq"iícd bQ tkc Icdcíal ľíadc Commissio⭲.

Mcas"ícs i⭲cl"dc Val:oli⭲c ría⭲ckisccs, wkick aíc i⭲dcpc⭲dc⭲t lcgal c⭲titics. Val:oli⭲c docs ⭲ot co⭲solidatc tkc ícs"lts or opcíatio⭲s or its ría⭲ckisccs.

Rcpícsc⭲ts tkc acq"isitio⭲ or ría⭲ckisc stoícs tkat aíc ⭲cw to tkc Val:oli⭲c íctail stoíc sQstcm bQ Val:oli⭲c I⭲c.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 12

RETAIL SERVICES - Q2 SYSTEM RESULTS

ľkícc mo⭲tks c⭲dcd Six mo⭲tks c⭲dcd Maíck «1 Maíck «1

2026

2025

2026

2025

Salcs i⭲foímatio⭲

Stoíc salcs - i⭲ millio⭲s

Compa⭲Q-opcíatcd

450.7

«52.7

®59.0

$ 71®.0

Iía⭲ckiscd (a)

5«5.9

472.®

1,051.2

927.®

SQstcm-widc stoíc salcs (a)

$ 9®6.6

$ ®25.5

$ 1,910.2

$ 1,645.®

Yeaí-o»eí-Qeaí gío

10.S %

1S.1 %

12.0 %

SQstcm-widc samc-stoíc salcs gíowtk (a)(b) ®.2 %

5.® %

7.0 %

6.9 %

(Preliminary and unaudited)

N"mbcí or stoícs at c⭲d or pcíiod

Scco⭲d Q"aítcí Iiíst Q"aítcí Io"ítk Q"aítcí ľkiíd Q"aítcí Scco⭲d Q"aítcí 2026 2026 2025 2025 2025

Maíck «1

2026

2025

SQstcm-widc stoíc co"⭲t (a)

2,409

2,07®

Compa⭲Q-opcíatcd

1,210

1,196

1,016

9®«

950

Iía⭲ckiscd (a)

1,199

1,1®4

1,164

1,141

1,12®

Yeaí-o»eí-Qeaí gío

15.D %

7.D %

Mcas"ícs i⭲cl"dc Val:oli⭲c ría⭲ckisccs, wkick aíc i⭲dcpc⭲dc⭲t lcgal c⭲titics. Val:oli⭲c docs ⭲ot co⭲solidatc tkc ícs"lts or opcíatio⭲s or its ría⭲ckisccs.

Val:oli⭲c dctcími⭲cs SSS gíowtk as tkc Qcaí-o:cí-Qcaí cka⭲gc i⭲ ⭲ct íc:c⭲"cs or U.S. VIOC sQstcm-widc samc stoícs witk samc stoícs dcri⭲cd as tkosc tkat ka:c bcc⭲ i⭲ opcíatio⭲ witki⭲ tkc sQstcm roí at lcast 12 r"ll mo⭲tks, a⭲d bcgi⭲⭲i⭲g i⭲ riscal 2026, mobilc scí:icc ⭲ct íc:c⭲"cs i⭲ maíkcts tkat lc:cíagc stoíc maíkcti⭲g cka⭲⭲cls.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 1«

RECONCILIATION OF NON-GAAP DATA - INCOME FROM CONTINUING OPERATIONS & DILUTED EARNINGS PER SHARE

(Preliminary and unaudited)

ľkícc mo⭲tks c⭲dcd Maíck «1

2026 2025

Six mo⭲tks c⭲dcd Maíck «1

2026

2025

Rcpoítcd i⭲comc fíom co⭲ti⭲ui⭲g opcíatio⭲s

$ 45.«

$ «®.«

$ 1«.1

$ 1«2.2

Adjusťmenťs:

Nct pc⭲sio⭲ a⭲d otkcí postíctiícmc⭲t pla⭲ i⭲comc

(1.2)

(0.9)

(2.4)

(1.®)

Nct lcgacQ a⭲d scpaíatio⭲-íclatcd cxpc⭲scs

0.9

0.®

6.1

1.2

I⭲roímatio⭲ tcck⭲ologQ tía⭲sitio⭲ costs

2.7

4.9

5.®

6.4

I⭲:cstmc⭲t a⭲d di:cstit"íc-íclatcd costs (i⭲comc) (a)

7.«

«.4

69.5

(67.5)

ľotal adj"stmc⭲ts, píc-tax

9.7

®.2

79.0

(61.7)

I⭲comc tax (bc⭲crit) cxpc⭲sc or adj"stmc⭲ts

(1.9)

(2.«)

4.1

15.6

I⭲comc tax adj"stmc⭲ts (b)

(1.1)

«.4

ľotal adj"stmc⭲ts, artcí tax

6.7

5.9

®6.5

(46.1)

Adjustcd i⭲comc fíom co⭲ti⭲ui⭲g opcíatio⭲s(c) (d)

$ 52.0

$ 44.2

99.6

®6.1

Rcpoítcd dil"tcd caí⭲i⭲gs pcí skaíc ríom co⭲ti⭲"i⭲g opcíatio⭲s

$ 0.«5

$ 0.«0

0.10

1.02

Adj"stcd dil"tcd caí⭲i⭲gs pcí skaíc ríom co⭲ti⭲"i⭲g opcíatio⭲s (d) (c)

$ 0.41

$ 0.«4

0.7®

0.67

Wcigktcd a:cíagc dil"tcd commo⭲ skaícs o"tsta⭲di⭲g

12®.4

12®.2

12®.«

12®.9

I⭲cl"dcs ccítai⭲ píc-tax kcQ itcm acti:itQ witki⭲ amoítizatio⭲ a⭲d ⭲ct i⭲tcícst a⭲d otkcí ri⭲a⭲ci⭲g cxpc⭲scs tkat do ⭲ot impact EBIľKA b"t impact píc-tax adj"stcd caí⭲i⭲gs.

I⭲comc tax adj"stmc⭲ts i⭲cl"dc tkc crrccts associatcd witk i⭲:cstmc⭲t a⭲d di:cstit"íc-íclatcd acti:itQ, wkick is r"ítkcí dcscíibcd i⭲ tkc Appc⭲dix.

Adj"stcd i⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s is dcri⭲cd as i⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s adj"stcd roí tkc crrccts or kcQ itcms.

Rcpícsc⭲ts a ⭲o⭲-GAAP mcas"íc. Rcrcí to "Usc or No⭲-GAAP Mcas"ícs" a⭲d tkc Appc⭲dix roí additio⭲al dctails.

Adj"stcd dil"tcd caí⭲i⭲gs pcí skaíc ríom co⭲ti⭲"i⭲g opcíatio⭲s is dcri⭲cd as dil"tcd caí⭲i⭲gs pcí skaíc calc"latcd "si⭲g adj"stcd i⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 14

RECONCILIATION OF NON-GAAP DATA - 2Q ADJUSTED EBITDA

(Preliminary and unaudited)

ľkícc mo⭲tks c⭲dcd Six mo⭲tks c⭲dcd

Maíck «1 Maíck «1

(i⭲ millio⭲s) 2026 2025 2026 2025

Rcpoítcd ⭲ct íc:c⭲ucs (a)

$ 50«.®

$ 40«.2

$ 965.6

$ ®17.5

1«2.2

1«.1 $

«®.«

45.« $

I⭲comc fíom co⭲ti⭲ui⭲g opcíatio⭲s

Add:

I⭲comc tax cxpc⭲sc

14.2

12.6

40.4

45.9

Nct i⭲tcícst a⭲d otkcí ri⭲a⭲ci⭲g cxpc⭲scs

27.7

16.9

5«.2

«4.4

Kcpícciatio⭲ a⭲d amoítizatio⭲

«7.6

2®.4

71.1

56.4

EBIľDA fíom co⭲ti⭲ui⭲g opcíatio⭲s(b) (c)

124.®

96.2

177.®

26®.9

KcQ itcms:

Nct pc⭲sio⭲ a⭲d otkcí postíctiícmc⭲t pla⭲ i⭲comc

(1.2)

(0.9)

(2.4)

(1.®)

Nct lcgacQ a⭲d scpaíatio⭲-íclatcd cxpc⭲scs

0.9

0.®

6.1

1.2

I⭲roímatio⭲ tcck⭲ologQ tía⭲sitio⭲ costs

2.7

4.9

5.®

6.4

I⭲:cstmc⭲t a⭲d di:cstit"íc-íclatcd costs (i⭲comc) (d)

6.4

«.4

6«.7

(67.5)

KcQ itcms - s"btotal

®.®

®.2

7«.2

(61.7)

Adjustcd EBIľDA fíom co⭲ti⭲ui⭲g opcíatio⭲s(b) (c) $

1««.6 $

104.4

$ 251.0

$ 207.2

Nct píofit maígi⭲ (c)

9.0 %

9.5 %

1.4 %

16.2 %

Adjustcd EBIľDA maígi⭲ (b) (r)

26.5 %

25.9 %

26.0 %

25.« %

(a)

(b)

(c)

(d)

(c)

(r)

Nct íc:c⭲"cs do ⭲ot ka:c a⭲Q kcQ itcm adj"stmc⭲ts i⭲ tkc pcíiods pícsc⭲tcd kcíci⭲; tkcícroíc, GAAP ⭲ct íc:c⭲"cs a⭲d Adj"stcd ⭲ct íc:c⭲"cs aíc tkc samc. Rcpícsc⭲ts a ⭲o⭲-GAAP mcas"íc. Rcrcí to "Usc or No⭲-GAAP Mcas"ícs" a⭲d tkc Appc⭲dix roí additio⭲al dctails.

EBIľKA ríom co⭲ti⭲"i⭲g opcíatio⭲s is dcri⭲cd as I⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s, pl"s I⭲comc tax cxpc⭲sc, Nct i⭲tcícst a⭲d otkcí ri⭲a⭲ci⭲g cxpc⭲scs, a⭲d Kcpícciatio⭲ a⭲d amoítizatio⭲ attíib"tablc to co⭲ti⭲"i⭲g opcíatio⭲s. Adj"stcd EBIľKA ríom co⭲ti⭲"i⭲g opcíatio⭲s is EBIľKA adj"stcd roí kcQ itcms attíib"tablc to co⭲ti⭲"i⭲g opcíatio⭲s.

I⭲cl"dcs ccítai⭲ píc-tax kcQ itcm acti:itQ witki⭲ amoítizatio⭲ a⭲d ⭲ct i⭲tcícst a⭲d otkcí ri⭲a⭲ci⭲g cxpc⭲scs tkat do ⭲ot impact Adj"stcd EBIľKA b"t impact píc-tax adj"stcd caí⭲i⭲gs. Nct píorit maígi⭲ is dcri⭲cd as ícpoítcd i⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s di:idcd bQ ícpoítcd ⭲ct íc:c⭲"cs.

Adj"stcd EBIľKA maígi⭲ is dcri⭲cd as Adj"stcd EBIľKA ríom co⭲ti⭲"i⭲g opcíatio⭲s di:idcd bQ adj"stcd ⭲ct íc:c⭲"cs.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 15

RECONCILIATION OF NON-GAAP DATA - FREE CASH FLOWS

(Preliminary and unaudited)

Six mo⭲tks c⭲dcd

(I⭲ millio⭲s) Maíck «1

Iícc cask rlow (a)

2026

2025

Opcíati⭲g cask flows fíom co⭲ti⭲ui⭲g opcíatio⭲s

$ 160.2

$ 9«.2

Adjusťmenťs:

Additio⭲s to píopcítQ, pla⭲t a⭲d cq"ipmc⭲t ríom co⭲ti⭲"i⭲g opcíatio⭲s

(115.2)

(105.4)

Ïícc cask flow fíom co⭲ti⭲ui⭲g opcíatio⭲s (b) $ 45.0 $ (12.2)

Iícc cask rlow cxcl"di⭲g gíowtk capital cxpc⭲dit"ícs(c)

Six mo⭲tks c⭲dcd Maíck «1

2026

2025

Opcíati⭲g cask flows fíom co⭲ti⭲ui⭲g opcíatio⭲s

$ 160.2

$ 9«.2

Adjusťmenťs:

Mai⭲tc⭲a⭲cc additio⭲s to píopcítQ, pla⭲t a⭲d cq"ipmc⭲t (27.4) (15.6)

Ïícc cask flow cxcludi⭲g gíowtk capital cxpc⭲dituícs (b) $ 1«2.® $ 77.6

Free cash flow is defined as operating cash flows less additions to property, plant and equipment.

Represents a non-GAAP measure. Refer to "Use of Non-GAAP Measures" and the Appendix for additional details.

Free cash flow excluding growth capital expenditures is defined as operating cash flows less maintenance additions to property, plant and equipment.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 16

CONSOLIDATED GAAP INCOME STATEMENT

(Preliminary and unaudited)

(I⭲ millio⭲s, cxccpt pcí skaíc amo"⭲ts)

ľkícc mo⭲tks c⭲dcd Maíck «1

2026 2025

Six mo⭲tks c⭲dcd Maíck «1

2026

2025

Nct íc:c⭲"cs

$ 50«.®

$ 40«.2

$ 965.6

$ ®17.5

Cost or salcs

«16.®

252.7

606.1

514.1

Gíoss píofit

1®7.0

150.5

«59.5

«0«.4

Sclli⭲g, gc⭲cíal a⭲d admi⭲istíati:c cxpc⭲scs

9®.7

®«.6

205.5

164.0

Nct lcgacQ a⭲d scpaíatio⭲-íclatcd cxpc⭲scs

0.9

0.®

6.1

1.2

Otkcí loss (i⭲comc), ⭲ct

1.4

(0.®)

4«.6

(72.5)

Opcíati⭲g i⭲comc

®6.0

66.9

104.«

210.7

Nct pc⭲sio⭲ a⭲d otkcí postíctiícmc⭲t pla⭲ i⭲comc

(1.2)

(0.9)

(2.4)

(1.®)

Nct i⭲tcícst a⭲d otkcí ri⭲a⭲ci⭲g cxpc⭲scs

27.7

16.9

5«.2

«4.4

I⭲comc bcfoíc i⭲comc taxcs

59.5

50.9

5«.5

17®.1

I⭲comc tax cxpc⭲sc

14.2

12.6

40.4

45.9

I⭲comc ríom co⭲ti⭲"i⭲g opcíatio⭲s

45.«

«®.«

1«.1

1«2.2

Ḻoss ríom disco⭲ti⭲"cd opcíatio⭲s, ⭲ct or tax

(0.5)

(0.7)

(1.1)

(«.0)

Nct i⭲comc

44.®

«7.6

12.0

129.2

Nct caí⭲i⭲gs pcí skaíc

Basic caí⭲i⭲gs (loss) pcí skaíc

Co⭲ti⭲"i⭲g opcíatio⭲s

0.«5

0.«0

0.10

1.0«

Kisco⭲ti⭲"cd opcíatio⭲s

(0.01)

(0.02)

Basic caí⭲i⭲gs pcí skaíc

0.«5

0.29

0.09

1.01

Dilutcd caí⭲i⭲gs (loss) pcí skaíc

Co⭲ti⭲"i⭲g opcíatio⭲s

0.«5

0.«0

0.10

1.02

Kisco⭲ti⭲"cd opcíatio⭲s

(0.01)

(0.02)

Kil"tcd caí⭲i⭲gs pcí skaíc

0.«5

0.29

0.09

1.00

Wcigktcd a:cíagc commo⭲ skaícs outsta⭲di⭲g

Basic

127.®

127.6

127.7

12®.2

Kil"tcd

12®.4

12®.2

12®.«

12®.9

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 17

RECONCILIATION OF NON-GAAP DATA - ADJUSTED SG&A & OPERATING INCOME

I⭲ millio⭲s - píclimi⭲aíQ a⭲d "⭲a"ditcd

ľkícc mo⭲tks c⭲dcd Maíck «1

Selling, general and administrative expenses (d)

Opcíati⭲g i⭲comc

2026

2025

2026

2025

As ícpoítcd

$ 9®.7

$ ®«.6

$ ®6.0

$ 66.9

KeQ iťems:

Nct lcgacQ a⭲d scpaíatio⭲-íclatcd cxpc⭲scs

0.9

0.®

I⭲roímatio⭲ tcck⭲ologQ tía⭲sitio⭲ costs

2.7

4.5

2.7

4.9

I⭲:cstmc⭲t a⭲d di:cstit"íc-íclatcd costs (i⭲comc)

5.4

«.9

7.«

«.4

As adj"stcd (a)

90.6

75.2

96.9

$ 76.0

% of neť íe»enues as íepoíťed (b)

1D.S %

20.7 %

17.1 %

1S.S %

% of neť íe»enues as adjusťed (c)

1D.0 %

1D.7 %

1D.2 %

1D.D %

I⭲ millio⭲s - píclimi⭲aíQ a⭲d "⭲a"ditcd

Six mo⭲tks c⭲dcd Maíck «1

Sclli⭲g, gc⭲cíal a⭲d admi⭲istíati:c cxpc⭲scs (d)

Opcíati⭲g i⭲comc

2026

2025

2026

2025

As ícpoítcd

$ 205.5

$ 164.0

$ 104.«

$ 210.7

KeQ iťems:

Nct lcgacQ a⭲d scpaíatio⭲-íclatcd cxpc⭲scs

6.1

1.2

I⭲roímatio⭲ tcck⭲ologQ tía⭲sitio⭲ costs

5.®

6.0

5.®

6.4

I⭲:cstmc⭲t a⭲d di:cstit"íc-íclatcd costs (i⭲comc)

19.9

4.2

64.®

(67.5)

As adj"stcd (a)

179.®

15«.®

1®1.0

$ 150.®

% of neť íe»enues as íepoíťed (b)

21.3 %

20.1 %

10.D %

25.D %

% of neť íe»enues as adjusťed (c)

1D.S %

1D.D %

1D.7 %

1D.4 %

Rcpícsc⭲ts ⭲o⭲-GAAP mcas"íc. Rcrcí to "Usc or No⭲-GAAP Mcas"ícs" a⭲d tkis Appc⭲dix roí additio⭲al dctails.

Ii⭲a⭲cial mcas"ícs pícsc⭲tcd as tkc acti:itQ roí tkc íclc:a⭲t pcíiod ícpoítcd i⭲ accoída⭲cc witk US GAAP di:idcd bQ ⭲ct íc:c⭲"cs roí tkc íclc:a⭲t pcíiod as ícpoítcd i⭲ accoída⭲cc witk US GAAP.

Ii⭲a⭲cial mcas"ícs pícsc⭲tcd as tkc acti:itQ roí tkc íclc:a⭲t pcíiod wkcíc tkc ícs"lts ícpoítcd i⭲ accoída⭲cc witk US GAAP aíc adj"stcd roí kcQ itcms di:idcd bQ ⭲ct íc:c⭲"cs roí tkc íclc:a⭲t pcíiod as ícpoítcd i⭲ accoída⭲cc witk US GAAP adj"stcd roí kcQ itcms.

Píioí Qcaí amo"⭲ts i⭲cl"dc a ícclass íclatcd to s"blcasc i⭲comc píc:io"slQ pícsc⭲tcd i⭲ otkcí loss (i⭲comc), ⭲ct wkick is ⭲ow pícsc⭲tcd i⭲ SG&A.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 1®

USE OF NON-GAAP MEASURES

ľkis pícsc⭲tatio⭲ i⭲cl"dcs tkc rollowi⭲g ⭲o⭲-GAAP mcas"ícs: Adj"stcd opcíati⭲g i⭲comc; adj"stcd opcíati⭲g maígi⭲; adj"stcd sclli⭲g, gc⭲cíal a⭲d admi⭲istíati:c cxpc⭲scs; adj"stcd sclli⭲g, gc⭲cíal a⭲d admi⭲istíati:c maígi⭲; EBIľKA, adj"stcd EBIľKA, a⭲d adj"stcd EBIľKA maígi⭲; adj"stcd ⭲ct i⭲comc a⭲d adj"stcd dil"tcd caí⭲i⭲gs pcí skaíc; a⭲d rícc cask rlow a⭲d rícc cask rlow cxcl"di⭲g gíowtk capital cxpc⭲dit"ícs. Rcrcí to tkis Appc⭲dix roí ma⭲agcmc⭲t's dcri⭲itio⭲ or cack ⭲o⭲-GAAP mcas"íc a⭲d ícco⭲ciliatio⭲ to tkc most compaíablc U.S. GAAP mcas"íc.

No⭲-GAAP mcas"ícs i⭲cl"dc adj"stmc⭲ts ríom ícs"lts bascd o⭲ U.S. GAAP tkat ma⭲agcmc⭲t bclic:cs c⭲ablcs compaíiso⭲ or ccítai⭲ ri⭲a⭲cial tíc⭲ds a⭲d ícs"lts bctwcc⭲ pcíiods a⭲d pío:idcs a "scr"l s"pplcmc⭲tal pícsc⭲tatio⭲ or Val:oli⭲c's opcíati⭲g pcíroíma⭲cc tkat allows roí tía⭲spaíc⭲cQ witk ícspcct to kcQ mctíics "scd bQ ma⭲agcmc⭲t i⭲ opcíati⭲g tkc b"si⭲css a⭲d mcas"íi⭲g pcíroíma⭲cc. ľkcsc ⭲o⭲-GAAP mcas"ícs ka:c limitatio⭲s as a⭲alQtical tools a⭲d sko"ld ⭲ot bc co⭲sidcícd i⭲ isolatio⭲ ríom, a⭲ altcí⭲ati:c to, oí moíc mca⭲i⭲gr"l tka⭲, tkc ri⭲a⭲cial ícs"lts pícsc⭲tcd i⭲ accoída⭲cc witk U.S. GAAP. ľkc ri⭲a⭲cial ícs"lts pícsc⭲tcd i⭲ accoída⭲cc witk U.S. GAAP a⭲d tkc ícco⭲ciliatio⭲s or

⭲o⭲-GAAP mcas"ícs sko"ld bc caícr"llQ c:al"atcd. ľkc ma⭲⭲cí "scd to comp"tc tkc ⭲o⭲-GAAP i⭲roímatio⭲ "scd bQ ma⭲agcmc⭲t maQ dirrcí ríom tkc mctkods "scd bQ otkcí compa⭲ics a⭲d maQ ⭲ot bc compaíablc.

Ma⭲agcmc⭲t bclic:cs EBIľKA mcas"ícs pío:idc a mca⭲i⭲gr"l s"pplcmc⭲tal pícsc⭲tatio⭲ or Val:oli⭲c's opcíati⭲g pcíroíma⭲cc bctwcc⭲ pcíiods o⭲ a compaíablc basis d"c to tkc dcpícciablc asscts associatcd witk tkc ⭲at"íc or tkc Compa⭲Q's opcíatio⭲s, as wcll as i⭲comc tax a⭲d i⭲tcícst costs íclatcd to Val:oli⭲c's tax a⭲d capital stí"ct"ícs, ícspccti:clQ. Ma⭲agcmc⭲t "scs rícc cask rlow a⭲d rícc cask rlow cxcl"di⭲g gíowtk capital cxpc⭲dit"ícs as additio⭲al ⭲o⭲-GAAP mctíics or cask rlow gc⭲cíatio⭲. BQ i⭲cl"di⭲g capital cxpc⭲dit"ícs, ma⭲agcmc⭲t is ablc to pío:idc a⭲ i⭲dicatio⭲ or tkc o⭲goi⭲g cask bci⭲g gc⭲cíatcd tkat is "ltimatclQ a:ailablc roí botk dcbt a⭲d cq"itQ koldcís as wcll as otkcí i⭲:cstmc⭲t oppoít"⭲itics. Iícc cask rlow i⭲cl"dcs tkc impact or capital cxpc⭲dit"ícs, pío:idi⭲g a s"pplcmc⭲tal :icw or cask gc⭲cíatio⭲. Iícc cask rlow cxcl"di⭲g gíowtk capital cxpc⭲dit"ícs i⭲cl"dcs mai⭲tc⭲a⭲cc capital cxpc⭲dit"ícs, wkick aíc "scs or cask tkat aíc ⭲cccssaíQ to mai⭲tai⭲ tkc Compa⭲Q's cxisti⭲g b"si⭲css opcíatio⭲s, i⭲cl"di⭲g its íctail scí:icc cc⭲tcí stoíc ⭲ctwoík, scí:icc poítrolio, a⭲d s"ppoít r"⭲ctio⭲s. Iícc cask rlow cxcl"di⭲g gíowtk capital cxpc⭲dit"ícs pío:idcs a s"pplcmc⭲tal :icw or cask rlow gc⭲cíatio⭲ bcroíc i⭲:cstmc⭲ts i⭲ gíowtk capital, wkick cxpa⭲d r"t"íc b"si⭲css opcíatio⭲s, i⭲cl"di⭲g tkc opc⭲i⭲g oí cxpa⭲sio⭲ or íctail scí:icc cc⭲tcí stoícs a⭲d scí:icc capabilitics. Iícc cask rlow a⭲d rícc cask rlow cxcl"di⭲g gíowtk capital cxpc⭲dit"ícs ka:c ccítai⭲ limitatio⭲s, i⭲cl"di⭲g tkat tkcQ do ⭲ot ícrlcct adj"stmc⭲ts roí ccítai⭲ ⭲o⭲-discíctio⭲aíQ cask cxpc⭲dit"ícs, s"ck as ma⭲datoíQ dcbt ícpaQmc⭲ts.

Adj"stcd píoritabilitQ mcas"ícs (i.c., adj"stcd ⭲ct i⭲comc, dil"tcd caí⭲i⭲gs pcí skaíc a⭲d EBIľKA) c⭲ablc tkc compaíiso⭲ or ri⭲a⭲cial tíc⭲ds a⭲d ícs"lts bctwcc⭲ pcíiods wkcíc ccítai⭲ itcms maQ ⭲ot bc ícrlccti:c or tkc Compa⭲Q's "⭲dcílQi⭲g a⭲d o⭲goi⭲g opcíatio⭲al pcíroíma⭲cc oí :aíQ i⭲dcpc⭲dc⭲t or b"si⭲css pcíroíma⭲cc.ľkc ⭲o⭲-GAAP mcas"ícs "scd bQ ma⭲agcmc⭲t cxcl"dc tkc impact or ccítai⭲ "⭲"s"al, i⭲rícq"c⭲t oí ⭲o⭲-opcíatio⭲al acti:itQ ⭲ot diícctlQ attíib"tablc to tkc "⭲dcílQi⭲g b"si⭲css, wkick ma⭲agcmc⭲t bclic:cs impacts tkc compaíabilitQ or opcíatio⭲al ícs"lts bctwcc⭲ pcíiods ("kcQ itcms"). KcQ itcms aíc ortc⭲ íclatcd to lcgacQ mattcís oí maíkct-díi:c⭲ c:c⭲ts co⭲sidcícd bQ ma⭲agcmc⭲t to ⭲ot bc ícrlccti:c or tkc o⭲goi⭲g opcíati⭲g pcíroíma⭲cc. KcQ itcms maQ co⭲sist or adj"stmc⭲ts íclatcd to: lcgacQ b"si⭲csscs, i⭲cl"di⭲g tkc scpaíatio⭲ ríom Val:oli⭲c's roímcí paíc⭲t compa⭲Q, tkc salc or tkc roímcí Global Píod"cts ícpoítablc scgmc⭲t, a⭲d tkc associatcd impacts or íclatcd acti:itQ a⭲d i⭲dcm⭲itics; ⭲o⭲-scí:icc pc⭲sio⭲ a⭲d otkcí postíctiícmc⭲t pla⭲ acti:itQ; ícstí"ct"íi⭲g-íclatcd mattcís, i⭲cl"di⭲g oíga⭲izatio⭲al ícstí"ct"íi⭲g pla⭲s, sig⭲irica⭲t acq"isitio⭲s oí di:cstit"ícs, dcbt cxti⭲g"iskmc⭲t a⭲d modiricatio⭲, a⭲d tax ícroím lcgislatio⭲; i⭲ additio⭲ to otkcí mattcís tkat ma⭲agcmc⭲t co⭲sidcís ⭲o⭲-opcíatio⭲al, i⭲rícq"c⭲t oí "⭲"s"al i⭲ ⭲at"íc.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 19

USE OF NON-GAAP MEASURES, CONTINUED

Rcrcí to tkc rollowi⭲g roí dcscíiptio⭲s or tkc kcQ itcms tkat compíisc tkc adj"stmc⭲ts wkick dcpaít ríom tkc comp"tatio⭲s i⭲ accoída⭲cc witk U.S. GAAP:

Nct pc⭲sio⭲ a⭲d otkcí postíctiícmc⭲t pla⭲ i⭲comc: I⭲cl"dcs sc:cíal clcmc⭲ts impactcd bQ cka⭲gcs i⭲ pla⭲ asscts a⭲d obligatio⭲s tkat aíc píimaíilQ díi:c⭲ bQ tkc dcbt a⭲d cq"itQ maíkcts, i⭲cl"di⭲g ícmcas"ícmc⭲t gai⭲s a⭲d losscs, wkc⭲ applicablc; a⭲d ícc"ííi⭲g ⭲o⭲-scí:icc pc⭲sio⭲ a⭲d otkcí postíctiícmc⭲t ⭲ct pcíiodic acti:itQ, wkick co⭲sists or i⭲tcícst cost, cxpcctcd íct"í⭲ o⭲ pla⭲ asscts a⭲d amoítizatio⭲ or píioí scí:icc cícdits. Ma⭲agcmc⭲t co⭲sidcís tkcsc clcmc⭲ts aíc moíc ícrlccti:c or cka⭲gcs i⭲ c"ííc⭲t co⭲ditio⭲s i⭲ global maíkcts (i⭲ paític"laí, i⭲tcícst íatcs), o"tsidc tkc opcíatio⭲al pcíroíma⭲cc or tkc b"si⭲css, a⭲d aíc also lcgacQ amo"⭲ts tkat aíc

⭲ot diícctlQ íclatcd to tkc "⭲dcílQi⭲g b"si⭲css a⭲d do ⭲ot ka:c a⭲ impact o⭲ tkc compc⭲satio⭲ a⭲d bc⭲crits pío:idcd to cligiblc cmploQccs roí c"ííc⭲t scí:icc.

Nct lcgacy a⭲d scpaíatio⭲-íclatcd cxpc⭲scs: Acti:itQ associatcd witk lcgacQ b"si⭲csscs, i⭲cl"di⭲g tkc scpaíatio⭲ ríom Val:oli⭲c's roímcí paíc⭲t compa⭲Q a⭲d its roímcí Global Píod"cts ícpoítablc scgmc⭲t. ľkis acti:itQ i⭲cl"dcs tkc íccog⭲itio⭲ or a⭲d adj"stmc⭲ts to i⭲dcm⭲itQ obligatio⭲s to its roímcí paíc⭲t compa⭲Q; ccítai⭲ lcgal, ri⭲a⭲cial, píorcssio⭲al ad:isoíQ a⭲d co⭲s"lti⭲g rccs; a⭲d otkcí cxpc⭲scs i⭲c"íícd bQ tkc co⭲ti⭲"i⭲g opcíatio⭲s i⭲ co⭲⭲cctio⭲ witk a⭲d diícctlQ íclatcd to tkcsc scpaíatio⭲ tía⭲sactio⭲s a⭲d lcgacQ mattcís. ľkis i⭲cícmc⭲tal acti:itQ diícctlQ attíib"tablc to lcgacQ mattcís a⭲d scpaíatio⭲ tía⭲sactio⭲s is ⭲ot co⭲sidcícd ícrlccti:c or tkc "⭲dcílQi⭲g opcíati⭲g pcíroíma⭲cc or tkc Compa⭲Q's co⭲ti⭲"i⭲g opcíatio⭲s.

I⭲foímatio⭲ tcck⭲ology tía⭲sitio⭲ costs: Co⭲sists or cxpc⭲scs i⭲c"íícd diícctlQ íclatcd to tkc Compa⭲Q's i⭲roímatio⭲ tcck⭲ologQ tía⭲sitio⭲s, píimaíilQ crroíts íclatcd to implcmc⭲ti⭲g sta⭲d-alo⭲c c⭲tcípíisc ícso"ícc pla⭲⭲i⭲g a⭲d k"ma⭲ ícso"ícc i⭲roímatio⭲ sQstcms tkat gc⭲cíallQ bcga⭲ i⭲ riscal 202« rollowi⭲g tkc salc or tkc roímcí Global Píod"cts ícpoítablc scgmc⭲t. ľkcsc cxpc⭲scs i⭲cl"dc data co⭲:císio⭲, tíai⭲i⭲g, ícd"⭲da⭲t cxpc⭲scs i⭲c"íícd ríom d"plicati:c tcck⭲ologQ platroíms, a⭲d tcmpoíaíQ s"ppoít, wkick i⭲cl"dcs co⭲s"lti⭲g rccs a⭲d píorcssio⭲al scí:iccs to s"ppoít ccítai⭲ c⭲ka⭲ccd ma⭲"al píoccd"ícs a⭲d matcíial wcak⭲css ícmcdiatio⭲ crroíts. ľkcsc i⭲cícmc⭲tal costs aíc diícctlQ associatcd witk tcck⭲ologQ tía⭲sitio⭲s a⭲d aíc ⭲ot co⭲sidcícd to bc ícrlccti:c or tkc o⭲goi⭲g cxpc⭲scs or opcíati⭲g tkc Compa⭲Q's tcck⭲ologQ platroíms.

I⭲:cstmc⭲t a⭲d di:cstituíc-íclatcd costs (i⭲comc): Co⭲sists or acti:itQ diícctlQ associatcd witk spcciric sig⭲irica⭲t acq"isitio⭲s, i⭲:cstmc⭲ts a⭲d di:cstit"ícs, i⭲cl"di⭲g píorcssio⭲al a⭲d co⭲s"lti⭲g rccs roí lcgal a⭲d ad:isoíQ scí:iccs, i⭲ additio⭲ to gai⭲s oí losscs íccog⭲izcd "po⭲ dispositio⭲, tcmpoíaíQ ri⭲a⭲ci⭲g costs diícctlQ associatcd witk tía⭲sactio⭲s, ccítai⭲ acq"isitio⭲-íclatcd i⭲cc⭲ti:c compc⭲satio⭲ costs, amoítizatio⭲ or Bícczc acq"iícd i⭲ta⭲giblc asscts, a⭲d cxpc⭲sc íccog⭲izcd to ícd"cc tkc caííQi⭲g :al"cs or íclatcd asscts dctcími⭲cd to bc impaiícd. ľkis acti:itQ is ⭲ot co⭲sidcícd to bc ícrlccti:c or tkc "⭲dcílQi⭲g opcíati⭲g pcíroíma⭲cc or tkc Compa⭲Q's o⭲goi⭲g co⭲ti⭲"i⭲g opcíatio⭲s.

S E C O N D Q U A R ľ E R ÏI S C A L 2 0 2 G E A R N I N G S / 0 5 . 0 7 . 2 0 2 G 20

Disclaimer

Valvoline Inc. published this content on May 07, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 07, 2026 at 13:19 UTC.