Discontinued Operations

12 Months Ended

Sep. 30, 2025

Discontinued Operations and Disposal Groups [Abstract]

DISCONTINUED OPERATIONS

Sale of Global Products

Financial results

On March 1, 2023, Valvoline completed the sale of Global Products for a cash purchase price of $2.650 billion and recognized a pre-tax gain on the sale within Income from discontinued operations, net of tax, during the second quarter of fiscal 2023, coinciding with the completion of the sale. The Transaction was subject to customary closing

settlements that were finalized in the third quarter of fiscal 2023 and resulted in the recognition of a pre-tax gain on sale of $1.572 billion during the fiscal year ended September 30, 2023.

The following table summarizes (Loss) income from discontinued operations, net of tax included in the Consolidated Statements of Comprehensive Income for the years ended September 30:



(In millions)	2025		2024		2023
Net revenues	$	—	$	—	$	1,174.4
Cost of sales	—		—		924.2
Gross profit	—		—		250.2

Selling, general and administrative expenses	—		—		124.9
Net legacy and separation-related expenses	1.2		14.1		53.7
Equity and other income, net	—		—		(14.2)
Operating (loss) income from discontinued operations	(1.2)		(14.1)		85.8
Net pension and other postretirement plan expense	—		—		0.1
Net interest and other financing expenses	—		—		4.4
Gain on sale of discontinued operations (a)	—		—		(1,571.6)
(Loss) income before income taxes - discontinued operations	(1.2)		(14.1)		1,652.9
Income tax (benefit) expense (b)	2.9		(11.1)		432.6
(Loss) income from discontinued operations, net of tax	$	(4.1)	$	(3.0)	$	1,220.3

(a)The gain on sale realized in fiscal 2023 included the release of Accumulated other comprehensive income of $30.7 million associated with the realization of cumulative translation losses attributed to the Global Products business.

(b)During fiscal 2024, Valvoline recognized an adjustment to reduce income tax expense on the gain on sale by $5.2 million. During fiscal 2023, tax expense on the gain of $424.3 million was recognized, bringing total tax expense on the gain on sale to-date to $419.1 million.

Post-closing arrangements

Valvoline sources substantially all lubricant and certain ancillary products for its stores through a long-term supply agreement with VGO. Net revenues of $89.7 million in fiscal 2023 prior to the closing of the Transaction are included above within the results of Global Products for product sales to the Company's continuing operations. These transactions were considered to be effectively settled and were not eliminated.

Valvoline also entered into a Transition Services Agreement with VGO, effective March 1, 2023, to provide and receive services including information technology, legal, finance, and human resources support. These transition services lapsed as business processes were transitioned, with all services substantially concluding on and before March 31, 2025. The income and costs associated with these services were not material for any of the periods presented herein.