Materion Corporation Reports Fourth Quarter and Full-Year 2024 Results, Provides 2025 Outlook and Establishes New Mid-Term Profitability Target
Materion (NYSE: MTRN) reported its Q4 and full-year 2024 results. Q4 net sales were $436.9M with value-added sales of $296.1M. The company reported a Q4 net loss of $48.8M (-$2.33 per share) compared to net income of $19.5M ($0.93 per share) in the prior year quarter. However, adjusted earnings reached a record $1.55 per share.
For full-year 2024, net sales were $1.68B with value-added sales of $1.10B. Net income was $5.9M ($0.28 per share) versus $95.7M ($4.58 per share) in 2023. The company achieved its mid-term target of 20% adjusted EBITDA margin for the first time and established a new target of 23%. For 2025, Materion expects mid-single digit top-line growth and guides adjusted EPS of $5.30-$5.70.
Materion (NYSE: MTRN) ha riportato i risultati del quarto trimestre e dell'intero anno 2024. Le vendite nette del quarto trimestre sono state di 436,9 milioni di dollari, con vendite a valore aggiunto di 296,1 milioni di dollari. L'azienda ha registrato una perdita netta nel quarto trimestre di 48,8 milioni di dollari (-2,33 dollari per azione) rispetto a un utile netto di 19,5 milioni di dollari (0,93 dollari per azione) nello stesso trimestre dell'anno precedente. Tuttavia, gli utili rettificati hanno raggiunto un record di 1,55 dollari per azione.
Per l'intero anno 2024, le vendite nette sono state di 1,68 miliardi di dollari, con vendite a valore aggiunto di 1,10 miliardi di dollari. L'utile netto è stato di 5,9 milioni di dollari (0,28 dollari per azione) rispetto a 95,7 milioni di dollari (4,58 dollari per azione) nel 2023. L'azienda ha raggiunto per la prima volta il suo obiettivo di medio termine di un margine EBITDA rettificato del 20% e ha stabilito un nuovo obiettivo del 23%. Per il 2025, Materion prevede una crescita delle vendite a un cifra singola media e prevede utili per azione rettificati di 5,30-5,70 dollari.
Materion (NYSE: MTRN) reportó sus resultados del cuarto trimestre y del año completo 2024. Las ventas netas del cuarto trimestre fueron de 436,9 millones de dólares, con ventas de valor agregado de 296,1 millones de dólares. La compañía reportó una pérdida neta en el cuarto trimestre de 48,8 millones de dólares (-2,33 dólares por acción) en comparación con una ganancia neta de 19,5 millones de dólares (0,93 dólares por acción) en el mismo trimestre del año anterior. Sin embargo, las ganancias ajustadas alcanzaron un récord de 1,55 dólares por acción.
Para el año completo 2024, las ventas netas fueron de 1,68 mil millones de dólares, con ventas de valor agregado de 1,10 mil millones de dólares. La ganancia neta fue de 5,9 millones de dólares (0,28 dólares por acción) frente a 95,7 millones de dólares (4,58 dólares por acción) en 2023. La compañía logró por primera vez su objetivo a medio plazo de un margen EBITDA ajustado del 20% y estableció un nuevo objetivo del 23%. Para 2025, Materion espera un crecimiento de ventas de un solo dígito medio y guía un EPS ajustado de 5,30 a 5,70 dólares.
Materion (NYSE: MTRN)은 2024년 4분기 및 연간 실적을 발표했습니다. 4분기 순매출은 4억 3,690만 달러였으며 부가가치 매출은 2억 9,610만 달러였습니다. 회사는 4분기에 4,880만 달러의 순손실(-주당 2.33달러)을 기록했으며, 이는 작년 동기 순이익 1,950만 달러(주당 0.93달러)와 비교됩니다. 그러나 조정된 주당 순이익은 기록적인 1.55달러에 도달했습니다.
2024년 전체 연간 실적은 순매출 16억 8천만 달러, 부가가치 매출 11억 달러였습니다. 순이익은 590만 달러(주당 0.28달러)로, 2023년의 9,570만 달러(주당 4.58달러)와 비교됩니다. 회사는 처음으로 20%의 조정 EBITDA 마진이라는 중기 목표를 달성했으며, 23%의 새로운 목표를 설정했습니다. 2025년에는 중간 단일 자릿수의 매출 성장을 기대하며, 조정된 주당 순이익은 5.30~5.70달러로 안내하고 있습니다.
Materion (NYSE: MTRN) a publié ses résultats du quatrième trimestre et de l'année entière 2024. Les ventes nettes du quatrième trimestre s'élevaient à 436,9 millions de dollars, avec des ventes à valeur ajoutée de 296,1 millions de dollars. L'entreprise a enregistré une perte nette de 48,8 millions de dollars (-2,33 dollars par action) au quatrième trimestre, contre un bénéfice net de 19,5 millions de dollars (0,93 dollars par action) au trimestre de l'année précédente. Cependant, les bénéfices ajustés ont atteint un niveau record de 1,55 dollars par action.
Pour l'année 2024, les ventes nettes se sont élevées à 1,68 milliard de dollars, avec des ventes à valeur ajoutée de 1,10 milliard de dollars. Le bénéfice net était de 5,9 millions de dollars (0,28 dollars par action) contre 95,7 millions de dollars (4,58 dollars par action) en 2023. L'entreprise a atteint pour la première fois son objectif à moyen terme d'une marge EBITDA ajustée de 20 % et a établi un nouvel objectif de 23 %. Pour 2025, Materion prévoit une croissance des ventes à un chiffre unique moyen et prévoit un bénéfice par action ajusté de 5,30 à 5,70 dollars.
Materion (NYSE: MTRN) hat seine Ergebnisse für das vierte Quartal und das gesamte Jahr 2024 veröffentlicht. Die Nettoumsätze im vierten Quartal betrugen 436,9 Millionen Dollar, mit einem Umsatz aus Mehrwert von 296,1 Millionen Dollar. Das Unternehmen meldete einen Nettverlust im vierten Quartal von 48,8 Millionen Dollar (-2,33 Dollar pro Aktie) im Vergleich zu einem Nettogewinn von 19,5 Millionen Dollar (0,93 Dollar pro Aktie) im Vorjahresquartal. Die bereinigten Gewinne erreichten jedoch einen Rekord von 1,55 Dollar pro Aktie.
Für das gesamte Jahr 2024 lagen die Nettoumsätze bei 1,68 Milliarden Dollar, mit einem Umsatz aus Mehrwert von 1,10 Milliarden Dollar. Der Nettogewinn betrug 5,9 Millionen Dollar (0,28 Dollar pro Aktie) im Vergleich zu 95,7 Millionen Dollar (4,58 Dollar pro Aktie) im Jahr 2023. Das Unternehmen erreichte zum ersten Mal sein mittelfristiges Ziel einer bereinigten EBITDA-Marge von 20% und setzte ein neues Ziel von 23%. Für 2025 erwartet Materion ein Wachstum der Umsätze im mittleren einstelligen Bereich und gibt einen bereinigten Gewinn pro Aktie von 5,30 bis 5,70 Dollar an.
- Record Q4 adjusted earnings of $1.55 per share, up from $1.41 in prior year
- Record Q4 adjusted EBITDA of $61.5M, up from $53.3M year-over-year
- Achieved 20% adjusted EBITDA margin target for first time in company history
- Full-year adjusted EBITDA increased to $221.2M from $217.7M in prior year
- Q4 net loss of $48.8M versus net income of $19.5M in prior year
- Full-year net income declined to $5.9M from $95.7M in prior year
- Value-added sales decreased 3% year-over-year due to weakness in industrial, energy and automotive markets
- Precision clad strip inventory correction expected to continue through 2025
Insights
The Q4 and FY2024 results demonstrate Materion's resilience and operational excellence despite market headwinds. The achievement of a 20% adjusted EBITDA margin in challenging conditions showcases successful cost management and operational improvements. The $61.5M record quarterly adjusted EBITDA represents a 250-basis point margin expansion year-over-year, indicating structural improvements in profitability.
The $73.2M in impairment charges, primarily in Precision Optics, reflects a realistic assessment of business value and sets the stage for transformation under new leadership. This strategic reset, combined with the divestiture of the non-core large area targets business, indicates management's focus on portfolio optimization.
The new 23% adjusted EBITDA margin target is ambitious but achievable given: 1) demonstrated operational excellence in adverse conditions, 2) expected market recovery in semiconductor and industrial sectors, and 3) ongoing cost optimization initiatives. However, the precision clad strip inventory correction through 2025 presents a notable headwind.
Working capital management remains solid with relatively stable inventory levels despite market volatility. The $87.8M operating cash flow generation, though lower than 2023, demonstrates resilient cash conversion despite challenging conditions.
The 2025 guidance of $5.30-$5.70 adjusted EPS appears conservative, building in buffer for ongoing precision clad strip weakness while counting on operational improvements and selective end-market recovery. The mid-point implies modest 3% growth, suggesting potential upside if market conditions improve faster than anticipated.
Fourth Quarter 2024 Financial Summary
-
Net sales were
$436.9 million $296.1 million -
Net loss of
$48.8 million $2.33 $19.5 million $0.93 $1.55 $1.41 -
Operating loss of
$38.3 million $27.6 million $61.5 million $53.3 million
Full-Year 2024 Highlights
-
Net sales were
$1.68 billion $1.10 billion -
Net income was
$5.9 million $0.28 $95.7 million $4.58 $5.34 $5.64 -
Adjusted EBITDA of
$221.2 million $217.7 million -
Achieved mid-term target of
20% adjusted EBITDA margin for the year, first time in company history -
Established new mid-term adjusted EBITDA margin target of
23% based on the Company’s prospects and performance expectations - Secured several significant new business wins and customer partnerships further strengthening the organic pipeline
- Precision Optics transformation underway with appointment of new business president
-
Completed sale of non-core large area targets business in
Albuquerque, New Mexico
"The fourth-quarter and full-year results showcase the significant impact of our initiatives to enhance operational performance, streamline our cost structure, and optimize the Company’s footprint. I am extremely proud of our global team for their relentless efforts to serve our customers and drive improvements across Materion, even in the face of ongoing challenging market conditions," said Jugal Vijayvargiya, President & CEO of Materion.
“2024 was a landmark year for Materion, as we achieved our mid-term target of
FOURTH QUARTER 2024 RESULTS
Net sales for the quarter were
Operating loss for the quarter was
Excluding special items3 including a non-cash goodwill and intangible impairment in Precision Optics, adjusted EBITDA was a quarterly record
Adjusted net income was
FULL-YEAR 2024 RESULTS
Net sales for the year were
Operating profit for the year was
Excluding special items, adjusted EBITDA for the year was
Adjusted net income was
OUTLOOK
After a challenged macroenvironment in 2024, we remain cautiously optimistic about the market dynamics entering 2025, and are expecting mid-single digit top-line growth from our businesses, excluding precision clad strip. The precision clad strip inventory correction is expected to continue through 2025, returning to growth in 2026. Despite this impact, we expect earnings growth in 2025 from market outperformance, continued operational excellence, cost management and portfolio optimization actions. With this, we are guiding to the range of
ADJUSTED EARNINGS GUIDANCE
It is not possible for the Company to identify the amount or significance of future adjustments associated with potential insurance and litigation claims, legacy environmental costs, acquisition and integration costs, certain income tax items, or other non-routine costs that the Company adjusts in the presentation of adjusted earnings guidance. These items are dependent on future events that are not reasonably estimable at this time. Accordingly, the Company is unable to reconcile without unreasonable effort the forecasted range of adjusted earnings guidance for the full year to a comparable GAAP range. However, items excluded from the Company's adjusted earnings guidance include the historical adjustments noted in Attachments 4 through 8 to this press release.
CONFERENCE CALL
Materion Corporation will host an investor conference call with analysts at 10:00 a.m. Eastern Time, February 19, 2025. The conference call will be available via webcast through the Company’s website at www.materion.com. By phone, please dial (888) 506-0062. Calls outside the
FOOTNOTES
1 Value-added sales deducts the impact of pass-through metals from net sales
2 EBITDA represents earnings before interest, taxes, depreciation, depletion and amortization
3 Details of the special items can be found in Attachments 4 through 8
ABOUT MATERION
Materion Corporation is a global leader in advanced materials solutions for high-performance industries including semiconductor, industrial, aerospace & defense, energy and automotive. With nearly 100 years of expertise in specialty engineered alloy systems, inorganic chemicals and powders, precious and non-precious metals, beryllium and beryllium composites, and precision filters and optical coatings, Materion partners with customers to enable breakthrough solutions that move the world forward. Headquartered in
FORWARD-LOOKING STATEMENTS
Portions of the narrative set forth in this document that are not statements of historical or current facts are forward-looking statements. Our actual future performance may materially differ from that contemplated by the forward-looking statements as a result of a variety of factors. These factors include, in addition to those mentioned elsewhere herein: the global economy, including inflationary pressures, potential future recessionary conditions and the impact of tariffs and trade agreements; the impact of any
Attachment 1 Materion Corporation and Subsidiaries Consolidated Statements of Income (Unaudited) |
|||||||||||||||
|
Fourth Quarter Ended |
|
Year Ended |
||||||||||||
(In thousands except per share amounts) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Net sales |
$ |
436,871 |
|
|
$ |
421,043 |
|
|
$ |
1,684,739 |
|
|
$ |
1,665,187 |
|
Cost of sales |
|
343,895 |
|
|
|
341,328 |
|
|
|
1,358,754 |
|
|
|
1,316,145 |
|
Gross margin |
|
92,976 |
|
|
|
79,715 |
|
|
|
325,985 |
|
|
|
349,042 |
|
Selling, general, and administrative expense |
|
41,134 |
|
|
|
39,858 |
|
|
|
145,588 |
|
|
|
157,911 |
|
Research and development expense |
|
6,316 |
|
|
|
6,442 |
|
|
|
29,028 |
|
|
|
27,540 |
|
Goodwill impairment |
|
56,067 |
|
|
|
— |
|
|
|
56,067 |
|
|
|
— |
|
Long-lived asset impairment |
|
17,134 |
|
|
|
— |
|
|
|
17,134 |
|
|
|
— |
|
Loss on asset disposal |
|
6,412 |
|
|
|
— |
|
|
|
6,412 |
|
|
|
— |
|
Restructuring expense |
|
687 |
|
|
|
630 |
|
|
|
6,848 |
|
|
|
3,824 |
|
Other — net |
|
3,573 |
|
|
|
5,145 |
|
|
|
17,685 |
|
|
|
23,323 |
|
Operating profit (loss) |
|
(38,347 |
) |
|
|
27,640 |
|
|
|
47,223 |
|
|
|
136,444 |
|
Other non-operating (income) expense—net |
|
(518 |
) |
|
|
(569 |
) |
|
|
(2,443 |
) |
|
|
(2,710 |
) |
Interest expense — net |
|
8,844 |
|
|
|
8,503 |
|
|
|
34,764 |
|
|
|
31,323 |
|
Income (loss) before income taxes |
|
(46,673 |
) |
|
|
19,706 |
|
|
|
14,902 |
|
|
|
107,831 |
|
Income tax (benefit) expense |
|
2,177 |
|
|
|
238 |
|
|
|
9,014 |
|
|
|
12,129 |
|
Net income (loss) |
$ |
(48,850 |
) |
|
$ |
19,468 |
|
|
$ |
5,888 |
|
|
$ |
95,702 |
|
Basic earnings per share: |
|
|
|
|
|
|
|
||||||||
Net income (loss) per share of common stock |
$ |
(2.35 |
) |
|
$ |
0.94 |
|
|
$ |
0.28 |
|
|
$ |
4.64 |
|
Diluted earnings per share: |
|
|
|
|
|
|
|
||||||||
Net income (loss) per share of common stock |
$ |
(2.33 |
) |
|
$ |
0.93 |
|
|
$ |
0.28 |
|
|
$ |
4.58 |
|
Weighted-average number of shares of common stock outstanding: |
|
|
|
|
|
|
|
||||||||
Basic |
|
20,758 |
|
|
|
20,644 |
|
|
|
20,732 |
|
|
|
20,619 |
|
Diluted |
|
20,923 |
|
|
|
20,936 |
|
|
|
20,928 |
|
|
|
20,911 |
|
Attachment 2 Materion Corporation and Subsidiaries Consolidated Balance Sheets (Unaudited) |
||||||||
(Thousands) |
|
December 31, 2024 |
|
December 31, 2023 |
||||
Assets |
|
|
|
|
||||
Current assets |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
16,713 |
|
|
$ |
13,294 |
|
Accounts receivable, net |
|
|
193,793 |
|
|
|
192,747 |
|
Inventories, net |
|
|
441,299 |
|
|
|
441,597 |
|
Prepaid and other current assets |
|
|
72,419 |
|
|
|
61,744 |
|
Total current assets |
|
|
724,224 |
|
|
|
709,382 |
|
Deferred income taxes |
|
|
2,964 |
|
|
|
4,908 |
|
Property, plant, and equipment |
|
|
1,315,586 |
|
|
|
1,281,622 |
|
Less allowances for depreciation, depletion, and amortization |
|
|
(804,781 |
) |
|
|
(766,939 |
) |
Property, plant, and equipment—net |
|
|
510,805 |
|
|
|
514,683 |
|
Operating lease, right-of-use assets |
|
|
64,449 |
|
|
|
57,645 |
|
Intangible assets |
|
|
109,312 |
|
|
|
133,571 |
|
Other assets |
|
|
22,140 |
|
|
|
21,664 |
|
Goodwill |
|
|
263,738 |
|
|
|
320,873 |
|
Total Assets |
|
$ |
1,697,632 |
|
|
$ |
1,762,726 |
|
Liabilities and Shareholders’ Equity |
|
|
|
|
||||
Current liabilities |
|
|
|
|
||||
Short-term debt |
|
$ |
34,274 |
|
|
$ |
38,597 |
|
Accounts payable |
|
|
105,901 |
|
|
|
125,663 |
|
Salaries and wages |
|
|
20,939 |
|
|
|
25,912 |
|
Other liabilities and accrued items |
|
|
47,523 |
|
|
|
45,773 |
|
Income taxes |
|
|
4,906 |
|
|
|
5,207 |
|
Unearned revenue |
|
|
13,191 |
|
|
|
13,843 |
|
Total current liabilities |
|
|
226,734 |
|
|
|
254,995 |
|
Other long-term liabilities |
|
|
12,013 |
|
|
|
13,300 |
|
Operating lease liabilities |
|
|
62,626 |
|
|
|
53,817 |
|
Finance lease liabilities |
|
|
12,404 |
|
|
|
13,744 |
|
Retirement and post-employment benefits |
|
|
26,411 |
|
|
|
26,334 |
|
Unearned income |
|
|
75,769 |
|
|
|
103,983 |
|
Long-term income taxes |
|
|
1,818 |
|
|
|
3,815 |
|
Deferred income taxes |
|
|
3,242 |
|
|
|
20,109 |
|
Long-term debt |
|
|
407,734 |
|
|
|
387,576 |
|
Shareholders’ equity |
|
|
868,881 |
|
|
|
885,053 |
|
Total Liabilities and Shareholders’ Equity |
|
$ |
1,697,632 |
|
|
$ |
1,762,726 |
|
Attachment 3 Materion Corporation and Subsidiaries Consolidated Statements of Cash Flows |
|||||||
(Thousands) |
December 31, 2024 |
|
December 31, 2023 |
||||
Cash flows from operating activities: |
|
|
|
||||
Net income |
$ |
5,888 |
|
|
$ |
95,702 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
||||
Depreciation, depletion, and amortization |
|
68,676 |
|
|
|
61,644 |
|
Amortization of deferred financing costs in interest expense |
|
1,714 |
|
|
|
1,712 |
|
Stock-based compensation expense (non-cash) |
|
10,560 |
|
|
|
10,092 |
|
Amortization of pension and post-retirement costs |
|
(307 |
) |
|
|
(1,318 |
) |
Loss on sale of property, plant, and equipment |
|
1,201 |
|
|
|
20 |
|
Deferred income tax (benefit) expense |
|
(16,598 |
) |
|
|
(7,005 |
) |
Impairment charges |
|
73,201 |
|
|
|
— |
|
Loss on asset disposal |
|
6,412 |
|
|
|
— |
|
Net pension curtailments and settlements |
|
— |
|
|
|
142 |
|
Changes in assets and liabilities, net of acquired assets and liabilities: |
|
|
|
||||
Decrease (increase) in accounts receivable |
|
(3,723 |
) |
|
|
23,359 |
|
Decrease (increase) in inventory |
|
(468 |
) |
|
|
(18,700 |
) |
Decrease (increase) in prepaid and other current assets |
|
(11,345 |
) |
|
|
(22,663 |
) |
Increase (decrease) in accounts payable and accrued expenses |
|
(15,757 |
) |
|
|
6,631 |
|
Increase (decrease) in unearned revenue |
|
(24,692 |
) |
|
|
(17,361 |
) |
Increase (decrease) in interest and taxes payable |
|
(2,619 |
) |
|
|
3,771 |
|
Increase (decrease) in unearned income due to customer prepayments |
|
— |
|
|
|
16,676 |
|
Other — net |
|
(4,326 |
) |
|
|
(8,288 |
) |
Net cash provided by operating activities |
|
87,817 |
|
|
|
144,414 |
|
Cash flows from investing activities: |
|
|
|
||||
Payments for purchase of property, plant, and equipment |
|
(68,649 |
) |
|
|
(110,550 |
) |
Payments for mine development |
|
(12,159 |
) |
|
|
(9,326 |
) |
Proceeds from sale of property, plant, and equipment |
|
1,203 |
|
|
|
654 |
|
Net cash used in investing activities |
|
(79,605 |
) |
|
|
(119,222 |
) |
Cash flows from financing activities: |
|
|
|
||||
Proceeds from (repayment of) borrowings under credit facilities, net |
|
45,692 |
|
|
|
8,065 |
|
Repayment of debt |
|
(30,342 |
) |
|
|
(15,415 |
) |
Principal payments under finance lease obligations |
|
(683 |
) |
|
|
(1,645 |
) |
Cash dividends paid |
|
(11,087 |
) |
|
|
(10,621 |
) |
Deferred financing costs |
|
(156 |
) |
|
|
— |
|
Payments of withholding taxes for stock-based compensation awards |
|
(7,610 |
) |
|
|
(5,234 |
) |
Net cash used in financing activities |
|
(4,186 |
) |
|
|
(24,850 |
) |
Effects of exchange rate changes |
|
(607 |
) |
|
|
(149 |
) |
Net change in cash and cash equivalents |
|
3,419 |
|
|
|
193 |
|
Cash and cash equivalents at beginning of period |
|
13,294 |
|
|
|
13,101 |
|
Cash and cash equivalents at end of period |
$ |
16,713 |
|
|
$ |
13,294 |
|
Attachment 4 Materion Corporation and Subsidiaries Reconciliation of Non-GAAP Measure - Value-added Sales, Operating Profit, and EBITDA (Unaudited) |
|||||||||||||||
|
Fourth Quarter Ended |
|
Year Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Net Sales |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
211.0 |
|
$ |
201.1 |
|
$ |
744.5 |
|
$ |
755.5 |
||||
Electronic Materials |
|
204.2 |
|
|
|
193.9 |
|
|
|
845.7 |
|
|
|
805.8 |
|
Precision Optics |
|
21.7 |
|
|
|
26.0 |
|
|
|
94.5 |
|
|
|
103.9 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total |
$ |
436.9 |
|
|
$ |
421.0 |
|
|
$ |
1,684.7 |
|
|
$ |
1,665.2 |
|
|
|
|
|
|
|
|
|
||||||||
Less: Pass-through Metal Cost |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
15.2 |
|
|
$ |
15.1 |
|
|
$ |
56.5 |
|
|
$ |
66.9 |
|
Electronic Materials |
|
125.6 |
|
|
|
116.2 |
|
|
|
530.4 |
|
|
|
471.1 |
|
Precision Optics |
|
— |
|
|
|
— |
|
|
|
0.2 |
|
|
|
0.1 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total |
$ |
140.8 |
|
|
$ |
131.3 |
|
|
$ |
587.1 |
|
|
$ |
538.1 |
|
|
|
|
|
|
|
|
|
||||||||
Value-added Sales (non-GAAP) |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
195.8 |
|
|
$ |
186.0 |
|
|
$ |
688.0 |
|
|
$ |
688.6 |
|
Electronic Materials |
|
78.6 |
|
|
|
77.7 |
|
|
|
315.3 |
|
|
|
334.7 |
|
Precision Optics |
|
21.7 |
|
|
|
26.0 |
|
|
|
94.3 |
|
|
|
103.8 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total |
$ |
296.1 |
|
|
$ |
289.7 |
|
|
$ |
1,097.6 |
|
|
$ |
1,127.1 |
|
|
|
|
|
|
|
|
|
||||||||
Gross Margin |
|
|
|
|
|
|
|
||||||||
Performance Materials(1) |
$ |
62.6 |
|
|
$ |
50.5 |
|
|
$ |
203.2 |
|
|
$ |
216.5 |
|
Electronic Materials(1) |
|
26.0 |
|
|
|
21.5 |
|
|
|
99.5 |
|
|
|
100.4 |
|
Precision Optics(1) |
|
4.4 |
|
|
|
7.7 |
|
|
|
23.3 |
|
|
|
32.1 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total(1) |
$ |
93.0 |
|
|
$ |
79.7 |
|
|
$ |
326.0 |
|
|
$ |
349.0 |
|
(1) See reconciliation of gross margin to adjusted gross margin in Attachment 8 |
|||||||||||||||
Note: Quarterly information presented within this document and previously disclosed quarterly information may not equal the total computed for the year due to rounding |
|||||||||||||||
|
Fourth Quarter Ended |
|
Year Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Operating Profit (Loss) |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
43.4 |
|
|
$ |
33.0 |
|
|
$ |
132.1 |
|
|
$ |
143.9 |
|
Electronic Materials |
|
2.9 |
|
|
|
3.8 |
|
|
|
29.4 |
|
|
|
28.6 |
|
Precision Optics |
|
(77.0 |
) |
|
|
(0.4 |
) |
|
|
(84.7 |
) |
|
|
(2.0 |
) |
Other |
|
(7.6 |
) |
|
|
(8.8 |
) |
|
|
(29.6 |
) |
|
|
(34.1 |
) |
Total |
$ |
(38.3 |
) |
|
$ |
27.6 |
|
|
$ |
47.2 |
|
|
$ |
136.4 |
|
|
|
|
|
|
|
|
|
||||||||
Non-Operating (Income) Expense |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
0.1 |
|
|
$ |
0.2 |
|
|
$ |
0.5 |
|
|
$ |
0.6 |
|
Electronic Materials |
|
— |
|
|
|
(0.1 |
) |
|
|
— |
|
|
|
(0.1 |
) |
Precision Optics |
|
— |
|
|
|
— |
|
|
|
(0.4 |
) |
|
|
(0.6 |
) |
Other |
|
(0.6 |
) |
|
|
(0.7 |
) |
|
|
(2.5 |
) |
|
|
(2.7 |
) |
Total |
$ |
(0.5 |
) |
|
$ |
(0.6 |
) |
|
$ |
(2.4 |
) |
|
$ |
(2.8 |
) |
|
|
|
|
|
|
|
|
||||||||
Depreciation, Depletion, and Amortization |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
10.1 |
|
|
$ |
7.6 |
|
|
$ |
37.7 |
|
|
$ |
31.2 |
|
Electronic Materials |
|
4.4 |
|
|
|
4.3 |
|
|
|
18.0 |
|
|
|
17.0 |
|
Precision Optics |
|
2.4 |
|
|
|
2.6 |
|
|
|
11.0 |
|
|
|
11.3 |
|
Other |
|
0.4 |
|
|
|
0.6 |
|
|
|
2.0 |
|
|
|
2.1 |
|
Total |
$ |
17.3 |
|
|
$ |
15.1 |
|
|
$ |
68.7 |
|
|
$ |
61.6 |
|
|
|
|
|
|
|
|
|
||||||||
Segment EBITDA |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
53.4 |
|
|
$ |
40.4 |
|
|
$ |
169.3 |
|
|
$ |
174.5 |
|
Electronic Materials |
|
7.3 |
|
|
|
8.2 |
|
|
|
47.4 |
|
|
|
45.7 |
|
Precision Optics |
|
(74.6 |
) |
|
|
2.2 |
|
|
|
(73.3 |
) |
|
|
9.9 |
|
Other |
|
(6.6 |
) |
|
|
(7.5 |
) |
|
|
(25.1 |
) |
|
|
(29.3 |
) |
Total |
$ |
(20.5 |
) |
|
$ |
43.3 |
|
|
$ |
118.3 |
|
|
$ |
200.8 |
|
|
|
|
|
|
|
|
|
||||||||
Special Items(2) |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
0.2 |
|
|
$ |
5.6 |
|
|
$ |
9.5 |
|
|
$ |
6.7 |
|
Electronic Materials |
|
7.4 |
|
|
|
2.8 |
|
|
|
14.6 |
|
|
|
7.3 |
|
Precision Optics |
|
73.5 |
|
|
|
1.6 |
|
|
|
75.2 |
|
|
|
2.8 |
|
Other |
|
0.9 |
|
|
|
— |
|
|
|
3.6 |
|
|
|
0.1 |
|
Total |
$ |
82.0 |
|
|
$ |
10.0 |
|
|
$ |
102.9 |
|
|
$ |
16.9 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted EBITDA Excluding Special Items |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
53.6 |
|
|
$ |
46.0 |
|
|
$ |
178.8 |
|
|
$ |
181.2 |
|
Electronic Materials |
|
14.7 |
|
|
|
11.0 |
|
|
|
62.0 |
|
|
|
53.0 |
|
Precision Optics |
|
(1.1 |
) |
|
|
3.8 |
|
|
|
1.9 |
|
|
|
12.7 |
|
Other |
|
(5.7 |
) |
|
|
(7.5 |
) |
|
|
(21.5 |
) |
|
|
(29.2 |
) |
Total |
$ |
61.5 |
|
|
$ |
53.3 |
|
|
$ |
221.2 |
|
|
$ |
217.7 |
|
The cost of gold, silver, platinum, palladium, copper, ruthenium, iridium, rhodium, rhenium, and osmium is passed through to customers and, therefore, the trends and comparisons of net sales are affected by movements in the market price of these metals. Internally, management also reviews net sales on a value-added basis. Value-added sales is a non-GAAP financial measure that deducts the value of the pass-through metals sold from net sales. Value-added sales allows management to assess the impact of differences in net sales between periods or segments and analyze the resulting margins and profitability without the distortion of the movements in pass-through market metal prices. The dollar amount of gross margin and operating profit is not affected by the value-added sales calculation. The Company sells other metals and materials that are not considered direct pass throughs, and these costs are not deducted from net sales to calculate value-added sales.
The Company’s pricing policy is to pass the cost of these metals on to customers in order to mitigate the impact of price volatility on the Company’s results from operations. Value-added information is being presented since changes in metal prices may not directly impact profitability. It is the Company’s intent to allow users of the financial statements to review sales with and without the impact of the pass-through metals.
(2) See additional details of special items in Attachment 5.
Attachment 5 Materion Corporation and Subsidiaries Reconciliation of Net Sales to Value-added Sales, Net Income to EBITDA and Adjusted EBITDA (Unaudited) |
|||||||||||||||
|
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Net sales |
$ |
436.9 |
|
|
$ |
421.0 |
|
|
$ |
1,684.7 |
|
|
$ |
1,665.2 |
|
Pass-through metal cost |
|
140.8 |
|
|
|
131.3 |
|
|
|
587.1 |
|
|
|
538.1 |
|
Value-added sales |
$ |
296.1 |
|
|
$ |
289.7 |
|
|
$ |
1,097.6 |
|
|
$ |
1,127.1 |
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) |
$ |
(48.8 |
) |
|
$ |
19.5 |
|
|
$ |
5.9 |
|
|
$ |
95.7 |
|
Income tax expense |
|
2.2 |
|
|
|
0.2 |
|
|
|
9.0 |
|
|
|
12.2 |
|
Interest expense - net |
|
8.8 |
|
|
|
8.5 |
|
|
|
34.7 |
|
|
|
31.3 |
|
Depreciation, depletion and amortization |
|
17.3 |
|
|
|
15.1 |
|
|
|
68.7 |
|
|
|
61.6 |
|
Consolidated EBITDA |
$ |
(20.5 |
) |
|
$ |
43.3 |
|
|
$ |
118.3 |
|
|
$ |
200.8 |
|
Net Income as a % of Net sales |
|
(11.2 |
)% |
|
|
4.6 |
% |
|
|
0.4 |
% |
|
|
5.7 |
% |
Net Income as a % of Value-added sales |
|
(16.5 |
)% |
|
|
6.7 |
% |
|
|
0.5 |
% |
|
|
8.5 |
% |
EBITDA as a % of Net sales |
|
(4.7 |
)% |
|
|
10.3 |
% |
|
|
7.0 |
% |
|
|
12.1 |
% |
EBITDA as a % of Value-added sales |
|
(6.9 |
)% |
|
|
14.9 |
% |
|
|
10.8 |
% |
|
|
17.8 |
% |
|
|
|
|
|
|
|
|
||||||||
Special items |
|
|
|
|
|
|
|
||||||||
Restructuring and cost reduction |
$ |
0.7 |
|
|
$ |
4.2 |
|
|
$ |
11.4 |
|
|
$ |
11.1 |
|
Electronic Materials inventory adjustment |
|
— |
|
|
|
— |
|
|
|
2.8 |
|
|
|
— |
|
Business transformation costs |
|
0.7 |
|
|
|
— |
|
|
|
1.3 |
|
|
|
— |
|
Pension settlement |
|
— |
|
|
|
0.2 |
|
|
|
— |
|
|
|
0.2 |
|
Additional start up resources and scrap |
|
— |
|
|
|
5.6 |
|
|
|
6.1 |
|
|
|
5.6 |
|
Precision Optics impairments |
|
73.2 |
|
|
|
— |
|
|
|
73.2 |
|
|
|
— |
|
Merger, acquisition and divestiture related costs |
|
7.4 |
|
|
|
— |
|
|
|
8.1 |
|
|
|
— |
|
Total special items |
|
82.0 |
|
|
|
10.0 |
|
|
|
102.9 |
|
|
|
16.9 |
|
Adjusted EBITDA |
$ |
61.5 |
|
|
$ |
53.3 |
|
|
$ |
221.2 |
|
|
$ |
217.7 |
|
Adjusted EBITDA as a % of Net sales |
|
14.1 |
% |
|
|
12.7 |
% |
|
|
13.1 |
% |
|
|
13.1 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
20.8 |
% |
|
|
18.4 |
% |
|
|
20.2 |
% |
|
|
19.3 |
% |
In addition to presenting financial statements prepared in accordance with
- Restructuring and cost reduction – Costs include restructuring charges, costs associated with temporarily idled facilities as a result of decreased demand and costs associated with disposal of assets associated with obsolete products.
- Electronic Materials inventory adjustment – During the third quarter of 2024, the Company determined that material costs from prior years were understated due to unrecognized metal refine expense and other inventory adjustments.
- Business transformation costs – Represents project management and implementation expenses related to the Company's automation and transformation initiatives.
- Pension settlement - Represents settlement charges related to the Company's international pension plans.
- Additional start up resources and scrap – Represents incremental resource, consulting and specialists costs incurred related to the ramp of the precision clad strip facility and scrap related to product qualifications.
- Precision Optics impairments - Represents goodwill and long-lived asset impairment charges within the Precision Optics segment taken in the fourth quarter of 2024.
- Merger, acquisition and divestiture related costs – Includes due diligence costs associated with potential merger, acquisition and divestitures as well as loss on asset disposals.
Internally, management reviews the results of operations without the impact of these costs in order to assess the profitability from ongoing activities. We are providing this information because we believe it will assist investors in analyzing our financial results and, when viewed in conjunction with the GAAP results, provide a more comprehensive understanding of the factors and trends affecting our operations.
Attachment 6 Materion Corporation and Subsidiaries Reconciliation of Net Income to Adjusted Net Income and Diluted Earnings per Share to Adjusted Diluted Earnings per Share (Unaudited) |
|||||||||||||||||||||||||||||||
|
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||||||||||||||||||
(Millions) |
December
|
|
Diluted
|
|
December
|
|
Diluted
|
|
December
|
|
Diluted
|
|
December
|
|
Diluted
|
||||||||||||||||
Net income (loss) and EPS |
$ |
(48.8 |
) |
|
$ |
(2.33 |
) |
|
$ |
19.5 |
|
|
$ |
0.93 |
|
$ |
5.9 |
|
|
$ |
0.28 |
|
$ |
95.7 |
|
|
$ |
4.58 |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Special items |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Restructuring and cost reduction |
|
0.7 |
|
|
|
|
|
4.2 |
|
|
|
|
|
11.4 |
|
|
|
|
|
11.1 |
|
|
|
||||||||
Electronic Materials inventory adjustment |
|
— |
|
|
|
|
|
— |
|
|
|
|
|
2.8 |
|
|
|
|
|
— |
|
|
|
||||||||
Business transformation costs |
|
0.7 |
|
|
|
|
|
— |
|
|
|
|
|
1.3 |
|
|
|
|
|
— |
|
|
|
||||||||
Pension settlement |
|
— |
|
|
|
|
|
0.2 |
|
|
|
|
|
— |
|
|
|
|
|
0.2 |
|
|
|
||||||||
Additional start up resources and scrap |
|
— |
|
|
|
|
|
5.6 |
|
|
|
|
|
6.1 |
|
|
|
|
|
5.6 |
|
|
|
||||||||
Precision Optics impairments |
|
73.2 |
|
|
|
|
|
— |
|
|
|
|
|
73.2 |
|
|
|
|
|
— |
|
|
|
||||||||
Merger, acquisition and divestiture related costs |
|
7.4 |
|
|
|
|
|
— |
|
|
|
|
|
8.1 |
|
|
|
|
|
— |
|
|
|
||||||||
Provision for income taxes (1) |
|
(3.0 |
) |
|
|
|
|
(2.4 |
) |
|
|
|
|
(6.6 |
) |
|
|
|
|
(4.4 |
) |
|
|
||||||||
Total special items |
|
79.0 |
|
|
|
3.77 |
|
|
|
7.6 |
|
|
|
0.36 |
|
|
|
96.3 |
|
|
|
4.60 |
|
|
|
12.5 |
|
|
|
0.60 |
|
Adjusted net income and adjusted EPS |
$ |
30.2 |
|
|
$ |
1.44 |
|
|
$ |
27.1 |
|
|
$ |
1.29 |
|
|
$ |
102.2 |
|
|
$ |
4.88 |
|
|
$ |
108.2 |
|
|
$ |
5.17 |
|
Acquisition amortization (net of tax) |
|
2.2 |
|
|
|
0.11 |
|
|
|
2.5 |
|
|
|
0.12 |
|
|
|
9.6 |
|
|
|
0.46 |
|
|
|
9.8 |
|
|
|
0.47 |
|
Adjusted net income and adjusted EPS excl. amortization |
$ |
32.4 |
|
|
$ |
1.55 |
|
|
$ |
29.6 |
|
|
$ |
1.41 |
|
|
$ |
111.8 |
|
|
$ |
5.34 |
|
|
$ |
118.0 |
|
|
$ |
5.64 |
|
(1) Provision for income taxes includes the net tax impact on pre-tax adjustments (listed above), the impact of certain discrete tax items recorded during the respective periods as well as other adjustments to reflect the use of one overall effective tax rate on adjusted pre-tax income in interim periods.
Attachment 7 |
|||||||||||||||
Reconciliation of Segment Net sales to Segment Value-added sales and Segment EBITDA to Adjusted Segment EBITDA (Unaudited) |
|||||||||||||||
|
|
|
|
|
|
|
|
||||||||
Performance Materials |
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Net sales |
$ |
211.0 |
|
|
$ |
201.1 |
|
|
$ |
744.5 |
|
|
$ |
755.5 |
|
Pass-through metal cost |
|
15.2 |
|
|
|
15.1 |
|
|
|
56.5 |
|
|
|
66.9 |
|
Value-added sales |
$ |
195.8 |
|
|
$ |
186.0 |
|
|
$ |
688.0 |
|
|
$ |
688.6 |
|
|
|
|
|
|
|
|
|
||||||||
EBITDA |
$ |
53.4 |
|
|
$ |
40.4 |
|
|
$ |
169.3 |
|
|
$ |
174.5 |
|
Restructuring and cost reduction |
|
0.1 |
|
|
|
— |
|
|
|
2.9 |
|
|
|
1.1 |
|
Additional start up resources and scrap |
|
— |
|
|
|
5.6 |
|
|
|
6.1 |
|
|
|
5.6 |
|
Business transformation costs |
|
0.1 |
|
|
|
— |
|
|
|
0.5 |
|
|
|
— |
|
Adjusted EBITDA |
$ |
53.6 |
|
|
$ |
46.0 |
|
|
$ |
178.8 |
|
|
$ |
181.2 |
|
EBITDA as a % of Net sales |
|
25.3 |
% |
|
|
20.1 |
% |
|
|
22.7 |
% |
|
|
23.1 |
% |
EBITDA as a % of Value-added sales |
|
27.3 |
% |
|
|
21.7 |
% |
|
|
24.6 |
% |
|
|
25.3 |
% |
Adjusted EBITDA as a % of Net sales |
|
25.4 |
% |
|
|
22.9 |
% |
|
|
24.0 |
% |
|
|
24.0 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
27.4 |
% |
|
|
24.7 |
% |
|
|
26.0 |
% |
|
|
26.3 |
% |
|
|
|
|
|
|
|
|
||||||||
Electronic Materials |
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Net sales |
$ |
204.2 |
|
|
$ |
193.9 |
|
|
$ |
845.7 |
|
|
$ |
805.8 |
|
Pass-through metal cost |
|
125.6 |
|
|
|
116.2 |
|
|
|
530.4 |
|
|
|
471.1 |
|
Value-added sales |
$ |
78.6 |
|
|
$ |
77.7 |
|
|
$ |
315.3 |
|
|
$ |
334.7 |
|
|
|
|
|
|
|
|
|
||||||||
EBITDA |
$ |
7.3 |
|
|
$ |
8.2 |
|
|
$ |
47.4 |
|
|
$ |
45.7 |
|
Restructuring and cost reduction |
|
0.2 |
|
|
|
2.8 |
|
|
|
4.5 |
|
|
|
7.3 |
|
Merger, acquisition and divestiture related costs |
|
7.0 |
|
|
|
— |
|
|
|
7.0 |
|
|
|
— |
|
Business transformation costs |
|
0.2 |
|
|
|
— |
|
|
|
0.3 |
|
|
|
— |
|
Electronic Materials inventory adjustment |
|
— |
|
|
|
— |
|
|
|
2.8 |
|
|
|
— |
|
Adjusted EBITDA |
$ |
14.7 |
|
|
$ |
11.0 |
|
|
$ |
62.0 |
|
|
$ |
53.0 |
|
EBITDA as a % of Net sales |
|
3.6 |
% |
|
|
4.2 |
% |
|
|
5.6 |
% |
|
|
5.7 |
% |
EBITDA as a % of Value-added sales |
|
9.3 |
% |
|
|
10.6 |
% |
|
|
15.0 |
% |
|
|
13.7 |
% |
Adjusted EBITDA as a % of Net sales |
|
7.2 |
% |
|
|
5.7 |
% |
|
|
7.3 |
% |
|
|
6.6 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
18.7 |
% |
|
|
14.2 |
% |
|
|
19.7 |
% |
|
|
15.8 |
% |
|
|
|
|
|
|
|
|
||||||||
Precision Optics |
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
Net sales |
$ |
21.7 |
|
|
$ |
26.0 |
|
|
$ |
94.5 |
|
|
$ |
103.9 |
|
Pass-through metal cost |
|
— |
|
|
|
— |
|
|
|
0.2 |
|
|
|
0.1 |
|
Value-added sales |
$ |
21.7 |
|
|
$ |
26.0 |
|
|
$ |
94.3 |
|
|
$ |
103.8 |
|
|
|
|
|
|
|
|
|
||||||||
EBITDA |
$ |
(74.6 |
) |
|
$ |
2.2 |
|
|
$ |
(73.3 |
) |
|
$ |
9.9 |
|
Restructuring and cost reduction |
|
0.3 |
|
|
|
1.4 |
|
|
|
2.0 |
|
|
|
2.6 |
|
Pension settlement |
|
— |
|
|
|
0.2 |
|
|
|
— |
|
|
|
0.2 |
|
Precision Optics impairments |
|
73.2 |
|
|
|
— |
|
|
|
73.2 |
|
|
|
— |
|
Adjusted EBITDA |
$ |
(1.1 |
) |
|
$ |
3.8 |
|
|
$ |
1.9 |
|
|
$ |
12.7 |
|
EBITDA as a % of Net sales |
|
(343.8 |
)% |
|
|
8.5 |
% |
|
|
(77.6 |
)% |
|
|
9.5 |
% |
EBITDA as a % of Value-added sales |
|
(343.8 |
)% |
|
|
8.5 |
% |
|
|
(77.7 |
)% |
|
|
9.5 |
% |
Adjusted EBITDA as a % of Net sales |
|
(5.1 |
)% |
|
|
14.6 |
% |
|
|
2.0 |
% |
|
|
12.2 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
(5.1 |
)% |
|
|
14.6 |
% |
|
|
2.0 |
% |
|
|
12.2 |
% |
|
|
|
|
|
|
|
|
||||||||
Other |
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||
(Millions) |
December 31,
|
|
December 31,
|
|
December 31,
|
|
December 31,
|
||||||||
EBITDA |
$ |
(6.6 |
) |
|
$ |
(7.5 |
) |
|
$ |
(25.1 |
) |
|
$ |
(29.3 |
) |
Restructuring and cost reduction |
|
0.1 |
|
|
|
— |
|
|
|
2.0 |
|
|
|
0.1 |
|
Business transformation costs |
|
0.4 |
|
|
|
— |
|
|
|
0.5 |
|
|
|
— |
|
Merger, acquisition and divestiture related costs |
|
0.4 |
|
|
|
— |
|
|
|
1.1 |
|
|
|
— |
|
Adjusted EBITDA |
$ |
(5.7 |
) |
|
$ |
(7.5 |
) |
|
$ |
(21.5 |
) |
|
$ |
(29.2 |
) |
Attachment 8 Materion Corporation and Subsidiaries Reconciliation of Non-GAAP Measure - Gross Margin to Adjusted Gross Margin (Unaudited) |
|||||||||||||||
|
Fourth Quarter Ended |
|
Twelve Months Ended |
||||||||||||
(Millions) |
December 31, 2024 |
|
December 31, 2023 |
|
December 31, 2024 |
|
December 31, 2023 |
||||||||
Gross Margin |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
62.6 |
|
$ |
50.5 |
|
$ |
203.2 |
|
$ |
216.5 |
||||
Electronic Materials |
|
26.0 |
|
|
|
21.5 |
|
|
|
99.5 |
|
|
|
100.4 |
|
Precision Optics |
|
4.4 |
|
|
|
7.7 |
|
|
|
23.3 |
|
|
|
32.1 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total |
$ |
93.0 |
|
|
$ |
79.7 |
|
|
$ |
326.0 |
|
|
$ |
349.0 |
|
|
|
|
|
|
|
|
|
||||||||
Special Items (1) |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
— |
|
|
$ |
5.6 |
|
|
$ |
7.5 |
|
|
$ |
6.4 |
|
Electronic Materials |
|
— |
|
|
|
1.5 |
|
|
|
4.7 |
|
|
|
3.9 |
|
Precision Optics |
|
— |
|
|
|
1.0 |
|
|
|
0.2 |
|
|
|
1.3 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total |
$ |
— |
|
|
$ |
8.1 |
|
|
$ |
12.4 |
|
|
$ |
11.6 |
|
|
|
|
|
|
|
|
|
||||||||
Adjusted Gross Margin |
|
|
|
|
|
|
|
||||||||
Performance Materials |
$ |
62.6 |
|
|
$ |
56.1 |
|
|
$ |
210.7 |
|
|
$ |
222.9 |
|
Electronic Materials |
|
26.0 |
|
|
|
23.0 |
|
|
|
104.2 |
|
|
|
104.3 |
|
Precision Optics |
|
4.4 |
|
|
|
8.7 |
|
|
|
23.5 |
|
|
|
33.4 |
|
Other |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total |
$ |
93.0 |
|
|
$ |
87.8 |
|
|
$ |
338.4 |
|
|
$ |
360.6 |
|
(1) Special items impacting gross margin represent restructuring and cost reduction, the Electronic Materials inventory adjustment, and additional start up resources and scrap in 2024, and restructuring and cost reduction and additional start up resources and scrap in 2023.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250218125060/en/
Investor Contact:
Kyle Kelleher
(216) 383-4931
kyle.kelleher@materion.com
Media Contact:
Jason Saragian
(216) 383-6893
jason.saragian@materion.com
https://materion.com
Mayfield Hts-g
Source: Materion Corporation
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