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Restructuring
 12 Months Ended
Sep. 30, 2025
Restructuring and Related Activities [Abstract]  
Restructuring

Note N. Restructuring

2025 Reorganizations

During fiscal 2025, the Company undertook various actions that it believes have enabled the more efficient operation of the Company and reduced ongoing operational costs. These restructuring actions have resulted in reductions in workforce across business and functional teams. Under this plan, the Company recorded total charges of $10 million, primarily related to severance costs. The Company expects to record additional restructuring charges of $1 million and have cash payments of $7 million related to this plan in fiscal 2026.

2024 Reorganizations

During fiscal 2024, the Company initiated restructuring activities in both its Reinforcement Materials segment (“RM Plan”) and its Performance Chemicals segment (“PC Plan”). Under the RM Plan, the Company closed its reinforcing carbons unit at the facility in Tianjin, China that the Company acquired from Tokai Carbon Group in February 2022, consolidating its reinforcing carbons operations and reducing ongoing operational costs. Under the PC Plan, the Company temporarily idled its aerogel manufacturing plant in Frankfurt, Germany and reorganized certain positions within the Performance Chemicals segment to reduce operating costs. The Company anticipates restarting its aerogel manufacturing plant in fiscal 2026. As part of these plans, the Company recorded charges of $1 million and $13 million in fiscal 2025 and 2024, respectively, primarily for severance related costs and accelerated depreciation. The Company expects to have cash payments of $1 million related to these plans in fiscal 2026.

Details of the 2024 and 2025 Reorganization restructuring activities and the related reserves are as follows:

 

 

 

Severance and
Employee Benefits

 

 

Accelerated Depreciation on Assets

 

 

Other

 

 

Total

 

 

 

(In millions)

 

Reserve at September 30, 2023

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

Charges

 

 

5

 

 

 

6

 

 

 

2

 

 

 

13

 

Costs charged against assets

 

 

—

 

 

 

(6

)

 

 

—

 

 

 

(6

)

Cash paid

 

 

(5

)

 

 

—

 

 

 

(1

)

 

 

(6

)

Reserve at September 30, 2024

 

 

—

 

 

 

—

 

 

 

1

 

 

 

1

 

Charges

 

 

10

 

 

 

—

 

 

 

1

 

 

 

11

 

Cash paid

 

 

(3

)

 

 

—

 

 

 

(1

)

 

 

(4

)

Reserve at September 30, 2025

 

$

7

 

 

$

—

 

 

$

1

 

 

$

8

 

 

Cabot’s restructuring reserves are reflected in Accounts payable and accrued liabilities on the Company’s Consolidated Balance Sheets.

Cabot’s restructuring activities were recorded in the Consolidated Statements of Operations as follows:

 

 

 

Years Ended September 30

 

 

 

2025

 

 

2024

 

 

2023

 

 

 

(In millions)

 

Cost of sales

 

$

6

 

 

$

12

 

 

$

4

 

Selling and administrative expenses

 

 

3

 

 

 

1

 

 

 

—

 

Research and technical expenses

 

 

2

 

 

 

—

 

 

 

—

 

Total

 

$

11

 

 

$

13

 

 

$

4