Certain Materials do not render on Destructible Meshes in Standalone and Packaged projects. I'm unsure of the exact cause but disabling "Used with Skeletal Mesh" in the materials Details panel, then Apply and Saving the material will cause the material to render as expected. This only seems to be an issue if a project from 4.16 is upgrade to 4.17 or higher.
Results: The material will not be rendered in Standalone Mode or Packaged project
Expected: For the material to render on Destructible Meshes in all play modes
There's no existing public thread on this issue, so head over toAnswerHub just mention UE-52258 in the post.