Ashland’s Permexa launch comes amid Life Sciences growth and wider EBITDA decline

Insider Monkey

Ashland launched Permexa sodium caprate on Aug. 24 to help drugmakers make oral versions of injectable peptides and biologics; no product revenue figure has been disclosed. Q3 Life Sciences sales rose 11% to $180 million, while companywide adjusted EBITDA fell 4% to $109 million.

Permexa is designed to increase intestinal permeability to support drug absorption and improve powder flow and compressibility for large-scale tableting. Pharmaceutical, biotech and contract development and manufacturing organization (CDMO) partners were conducting technical evaluations, benchmarking and formulation trials before launch; such activity is not booked revenue, and converting it into recurring supply contracts may take several quarters. Ashland describes Permexa as the first product in a broader oral-biologics pipeline.

Fiscal Q3 2026 ended June 30; Life Sciences adjusted EBITDA rose 11% to $60 million, with a 33% margin. Ashland reported $121 million in quarterly operating cash flow and $103 million in ongoing free cash flow. Outside Life Sciences, Specialty Additives adjusted EBITDA fell to $20 million from $26 million, and Intermediates’ fell to $4 million from $7 million. Management cut its full-year adjusted EPS growth outlook from mid-to-high to low-to-mid single digits, citing tax-rate headwinds and higher raw-material and freight costs.

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