Equity (Tables)

3 Months Ended

Mar. 31, 2024

Stockholders' Equity Note [Abstract]

Schedule of stock based compensation expense

Share-based compensation expense for the periods presented is as follows:

	Three Months Ended March 31,
	2024		2023
Stock options:
Pre-tax compensation expense	$	2	$	1
Income tax benefit	—		—
Stock option expense, net of income taxes	2		1
Restricted stock units (“RSUs”):
Pre-tax compensation expense	7		4
Income tax benefit	(1)		(1)
RSU expenses, net of income taxes	6		3
Performance shares and other share-based awards:
Pre-tax compensation expense	4		4
Income tax benefit	—		—
Performance shares and other share-based compensation expense, net of income taxes	4		4
Total share-based compensation:
Pre-tax compensation expense	13		9
Income tax benefit	(1)		(1)
Total share-based compensation expense, net of income taxes	$	12	$	8

Schedule of valuation assumptions for stock options

We estimated the fair value of each option grant by using the Black-Scholes option-pricing model with the following assumptions:

	Three Months Ended March 31,
	2024	2023
Expected life (in years)	5.5	5.5
Risk-free interest rate	4.2%	4.0%
Expected volatility	28.1%	28.3%
Expected dividend yield	2.9%	2.9%

Schedule of stock option transactions

Stock option activity for the first quarter of 2024 is as follows:

	Number of Options (in thousands)	Weighted Average Exercise Price per Share		Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in millions)
Outstanding as of December 31, 2023	1,953	$	96.61	4.97	$	29
Granted	178	108.38
Exercised	(165)	79.87
Cancelled	(21)	103.69
Outstanding as of March 31, 2024	1,945	$	99.03	5.44	$	38
Exercisable as of March 31, 2024	1,573	$	98.53	4.56	$	32

Schedule of additional information pertaining to stock option activity

Additional information pertaining to stock option activity is as follows:

	Three Months Ended March 31,
	2024		2023
Weighted average grant date fair value of stock options granted (per share)	$	26.33	$	23.80
Total intrinsic value of stock options exercised	5		6

Schedule of restricted unit activity

The following table summarizes RSU activity in 2024:

	Number of Restricted Shares (in thousands)	Weighted Average Fair Value per Share
Non-vested as of December 31, 2023	552	$	92.05
Granted	191	107.65
Vested	(161)	87.15
Cancelled	(18)	92.77
Non-vested as of March 31, 2024	564	$	98.84

Summary of net changes in accumulated other comprehensive loss

The following is a summary of accumulated other comprehensive (loss) for the first quarter of 2024 and 2023:

	Cumulative Translation Adjustment		Hedging Activities		Pension and Postretirement Adjustment		AOCL
Balance as of December 31, 2023	$	(961)	$	(48)	$	(47)	$	(1,056)
Other comprehensive (loss) before reclassification adjustments	—		(41)		—		(41)
Loss reclassified from AOCL	—		33		1		34
Tax benefit	—		1		—		1
Net other comprehensive (loss) income	—		(7)		1		(6)
Balance as of March 31, 2024	$	(961)	$	(55)	$	(46)	$	(1,062)

	Cumulative Translation Adjustment		Hedging Activities		Pension and Postretirement Adjustment		AOCL
Balance as of December 31, 2022	$	(1,008)	$	6	$	(46)	$	(1,048)
Other comprehensive gain (loss) before reclassification adjustments	6		(58)		—		(52)
(Gain) reclassified from AOCL	—		(18)		—		(18)
Tax benefit	—		20		—		20
Net other comprehensive income (loss)	6		(56)		—		(50)
Balance as of March 31, 2023	$	(1,002)	$	(50)	$	(46)	$	(1,098)

Schedule of basic and diluted earnings per common share

The following table provides the computation of basic and diluted earnings per common share (“EPS”) for the periods presented.

	Three Months Ended March 31, 2024					Three Months Ended March 31, 2023
	Net Income Available to Ingredion		Weighted Average Shares	Per Share Amount		Net Income Available to Ingredion		Weighted Average Shares	Per Share Amount
Basic EPS	$	216	65.7	$	3.29	$	191	66.1	$	2.89
Effect of Dilutive Securities:
Incremental shares from assumed exercise of dilutive stock options and vesting of dilutive RSUs and other awards			1.1					1.0
Diluted EPS	$	216	66.8	$	3.23	$	191	67.1	$	2.85