Materion Corporation Reports Strong First Quarter 2026 Financial Results and Improves Full-Year Outlook
Key Terms
value-added sales financial
ebitda financial
adjusted earnings financial
Financial Summary
-
Net sales were
$549.8 million $420.3 million $261.8 million $259.3 million -
Net income of
$19.4 million $0.92 $17.7 million $0.85 $1.27 $1.13 -
Operating profit of
$28.2 million $27.2 million $52.9 million 20.2% of value-add sales versus$48.7 million 18.8% in the prior year quarter, representing 140 basis point margin expansion
Business Highlights
-
Value-added sales grew
10% year on year, excluding precision clad strip -
Electronic Materials delivered
18% value-added sales growth with record adjusted EBITDA and EBITDA margin - Precision Optics transformation delivered its strongest top line since 2021 and the 5th consecutive quarter of bottom-line improvement
-
Exiting the quarter with record backlog, up more than
20% year on year and up15% since the beginning of the year
“I am very pleased with the strong start to the year, as our teams delivered double-digit growth across most of our end markets and improved operational performance throughout the company. Electronic Materials achieved its strongest results on record, while the Precision Optics transformation took another meaningful step forward, delivering well ahead of expectations,” said Jugal Vijayvargiya, President & CEO of Materion.
“We continue to see unparalleled momentum in our order rates, and we exited the quarter with a record backlog, increasing our confidence in the results we expect to achieve in 2026.”
FIRST QUARTER 2026 RESULTS
Net sales for the quarter were
Operating profit for the quarter was
Excluding special items3, adjusted EBITDA was
Adjusted net income was
OUTLOOK
Supported by the momentum in our order book and an all-time high backlog as we exited the first quarter, our confidence in delivering strong results has meaningfully strengthened. We now expect top‑line growth in the low double‑digit range. We are reaffirming our full‑year adjusted earnings per share guidance 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 9:00 a.m. Eastern Time, April 29, 2026. 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) |
|||||||
|
First Quarter Ended |
||||||
(Thousands, except per share amounts) |
April 3, 2026 |
|
March 28, 2025 |
||||
Net sales |
$ |
549,824 |
|
|
$ |
420,330 |
|
Cost of sales |
|
467,989 |
|
|
|
344,151 |
|
Gross margin |
|
81,835 |
|
|
|
76,179 |
|
Selling, general, and administrative expense |
|
36,200 |
|
|
|
35,445 |
|
Research and development expense |
|
6,157 |
|
|
|
6,505 |
|
Restructuring expense |
|
2,295 |
|
|
|
2,038 |
|
Other — net |
|
9,008 |
|
|
|
4,996 |
|
Operating profit |
|
28,175 |
|
|
|
27,195 |
|
Other non-operating income—net |
|
(309 |
) |
|
|
(666 |
) |
Interest expense — net |
|
7,578 |
|
|
|
6,917 |
|
Income before income taxes |
|
20,906 |
|
|
|
20,944 |
|
Income tax expense |
|
1,533 |
|
|
|
3,246 |
|
Net income |
$ |
19,373 |
|
|
$ |
17,698 |
|
Basic earnings per share: |
|
|
|
||||
Net income per share of common stock |
$ |
0.93 |
|
|
$ |
0.85 |
|
Diluted earnings per share: |
|
|
|
||||
Net income per share of common stock |
$ |
0.92 |
|
|
$ |
0.85 |
|
Weighted-average number of shares of common stock outstanding: |
|
|
|
||||
Basic |
|
20,762 |
|
|
|
20,780 |
|
Diluted |
|
21,007 |
|
|
|
20,913 |
|
Attachment 2 |
||||||||
Materion Corporation and Subsidiaries |
||||||||
Consolidated Balance Sheets |
||||||||
|
|
(Unaudited) |
|
|
||||
(Thousands) |
|
April 3, 2026 |
|
December 31, 2025 |
||||
Assets |
|
|
|
|
||||
Current assets |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
16,189 |
|
|
$ |
13,681 |
|
Accounts receivable, net |
|
|
267,209 |
|
|
|
222,916 |
|
Inventories, net |
|
|
493,687 |
|
|
|
461,231 |
|
Prepaid and other current assets |
|
|
98,664 |
|
|
|
91,692 |
|
Total current assets |
|
|
875,749 |
|
|
|
789,520 |
|
Deferred income taxes |
|
|
7,718 |
|
|
|
7,727 |
|
Property, plant, and equipment |
|
|
1,390,729 |
|
|
|
1,376,703 |
|
Less allowances for depreciation, depletion, and amortization |
|
|
(860,870 |
) |
|
|
(841,245 |
) |
Property, plant, and equipment, net |
|
|
529,859 |
|
|
|
535,458 |
|
Operating lease, right-of-use assets |
|
|
59,024 |
|
|
|
62,036 |
|
Intangible assets, net |
|
|
102,739 |
|
|
|
105,874 |
|
Other assets |
|
|
21,975 |
|
|
|
21,529 |
|
Goodwill |
|
|
280,335 |
|
|
|
280,657 |
|
Total Assets |
|
$ |
1,877,399 |
|
|
$ |
1,802,801 |
|
Liabilities and Shareholders’ Equity |
|
|
|
|
||||
Current liabilities |
|
|
|
|
||||
Short-term debt |
|
$ |
23,050 |
|
|
$ |
22,445 |
|
Accounts payable |
|
|
189,036 |
|
|
|
148,642 |
|
Salaries and wages |
|
|
12,751 |
|
|
|
19,312 |
|
Other liabilities and accrued items |
|
|
47,563 |
|
|
|
45,445 |
|
Income taxes |
|
|
4,156 |
|
|
|
5,054 |
|
Unearned revenue |
|
|
11,929 |
|
|
|
12,685 |
|
Total current liabilities |
|
|
288,485 |
|
|
|
253,583 |
|
Other long-term liabilities |
|
|
12,680 |
|
|
|
12,556 |
|
Operating lease liabilities |
|
|
59,539 |
|
|
|
60,568 |
|
Finance lease liabilities |
|
|
12,950 |
|
|
|
13,384 |
|
Retirement and post-employment benefits |
|
|
23,360 |
|
|
|
23,931 |
|
Unearned income |
|
|
53,303 |
|
|
|
55,862 |
|
Long-term income taxes |
|
|
536 |
|
|
|
532 |
|
Deferred income taxes |
|
|
2,712 |
|
|
|
2,760 |
|
Long-term debt |
|
|
466,871 |
|
|
|
436,348 |
|
Shareholders’ equity |
|
|
956,963 |
|
|
|
943,277 |
|
Total Liabilities and Shareholders’ Equity |
|
$ |
1,877,399 |
|
|
$ |
1,802,801 |
|
Attachment 3 |
||||||||
Materion Corporation and Subsidiaries |
||||||||
Consolidated Statements of Cash Flows |
||||||||
(Unaudited) |
||||||||
|
|
Three Months Ended |
||||||
(Thousands) |
|
April 3, 2026 |
|
March 28, 2025 |
||||
Cash flows from operating activities: |
|
|
|
|
||||
Net income |
|
$ |
19,373 |
|
|
$ |
17,698 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
||||
Depreciation, depletion, and amortization |
|
|
18,426 |
|
|
|
16,538 |
|
Amortization of deferred financing costs in interest expense |
|
|
239 |
|
|
|
450 |
|
Stock-based compensation expense (non-cash) |
|
|
3,371 |
|
|
|
2,986 |
|
Deferred income tax (benefit) expense |
|
|
(3 |
) |
|
|
22 |
|
Changes in assets and liabilities: |
|
|
|
|
||||
Accounts receivable |
|
|
(45,097 |
) |
|
|
(24,912 |
) |
Inventory |
|
|
(28,916 |
) |
|
|
421 |
|
Prepaid and other current assets |
|
|
(8,406 |
) |
|
|
(10,428 |
) |
Accounts payable and accrued expenses |
|
|
36,420 |
|
|
|
19,191 |
|
Unearned revenue |
|
|
(1,956 |
) |
|
|
(4,616 |
) |
Interest and taxes payable |
|
|
(179 |
) |
|
|
(404 |
) |
Other-net |
|
|
2,421 |
|
|
|
(1,444 |
) |
Net cash provided by (used in) operating activities |
|
|
(4,307 |
) |
|
|
15,502 |
|
Cash flows from investing activities: |
|
|
|
|
||||
Payments for purchase of property, plant, and equipment |
|
|
(15,289 |
) |
|
|
(12,321 |
) |
Payments for mine development |
|
|
(60 |
) |
|
|
(8,683 |
) |
Proceeds from sale of property, plant, and equipment |
|
|
— |
|
|
|
266 |
|
Net cash used in investing activities |
|
|
(15,349 |
) |
|
|
(20,738 |
) |
Cash flows from financing activities: |
|
|
|
|
||||
Proceeds from (repayments of) borrowings under credit facilities, net |
|
|
32,783 |
|
|
|
16,190 |
|
Repayment of debt |
|
|
(1,572 |
) |
|
|
(7,522 |
) |
Principal payments under finance lease obligations |
|
|
(153 |
) |
|
|
(163 |
) |
Cash dividends paid |
|
|
(2,905 |
) |
|
|
(2,803 |
) |
Payments of withholding taxes for stock-based compensation awards |
|
|
(5,772 |
) |
|
|
(2,224 |
) |
Net cash provided by financing activities |
|
|
22,381 |
|
|
|
3,478 |
|
Effects of exchange rate changes |
|
|
(217 |
) |
|
|
679 |
|
Net change in cash and cash equivalents |
|
|
2,508 |
|
|
|
(1,079 |
) |
Cash and cash equivalents at beginning of period |
|
|
13,681 |
|
|
|
16,713 |
|
Cash and cash equivalents at end of period |
|
$ |
16,189 |
|
|
$ |
15,634 |
|
Attachment 4 |
|||||
Materion Corporation and Subsidiaries |
|||||
Reconciliation of Non-GAAP Measure - Value-added Sales, Operating Profit, and EBITDA |
|||||
(Unaudited) |
|||||
|
First Quarter Ended |
||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||
Net Sales |
|
|
|
||
Performance Materials |
$ |
155.7 |
|
$ |
174.0 |
Electronic Materials |
|
363.3 |
|
|
224.8 |
Precision Optics |
|
30.8 |
|
|
21.5 |
Other |
|
— |
|
|
— |
Total |
$ |
549.8 |
|
$ |
420.3 |
|
|
|
|
||
Less: Pass-through Metal Cost |
|
|
|
||
Performance Materials |
$ |
16.2 |
|
$ |
14.0 |
Electronic Materials |
|
271.7 |
|
|
147.0 |
Precision Optics |
|
0.1 |
|
|
— |
Other |
|
— |
|
|
— |
Total |
$ |
288.0 |
|
$ |
161.0 |
|
|
|
|
||
Value-added Sales (non-GAAP) |
|
|
|
||
Performance Materials |
$ |
139.5 |
|
$ |
160.0 |
Electronic Materials |
|
91.6 |
|
|
77.8 |
Precision Optics |
|
30.7 |
|
|
21.5 |
Other |
|
— |
|
|
— |
Total |
$ |
261.8 |
|
$ |
259.3 |
|
|
|
|
||
Gross Margin |
|
|
|
||
Performance Materials(1) |
$ |
31.0 |
|
$ |
48.2 |
Electronic Materials(1) |
|
39.8 |
|
|
23.8 |
Precision Optics(1) |
|
11.0 |
|
|
4.2 |
Other |
|
— |
|
|
— |
Total (1) |
$ |
81.8 |
|
$ |
76.2 |
(1) See reconciliation of gross margin to adjusted gross margin in Attachment 8 |
|||||
|
First Quarter Ended |
||||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||||
Operating Profit |
|
|
|
||||
Performance Materials |
$ |
12.9 |
|
|
$ |
31.3 |
|
Electronic Materials |
|
20.9 |
|
|
|
6.8 |
|
Precision Optics |
|
2.2 |
|
|
|
(4.1 |
) |
Other |
|
(7.8 |
) |
|
|
(6.8 |
) |
Total |
$ |
28.2 |
|
|
$ |
27.2 |
|
|
|
|
|
||||
Non-Operating (Income)/Expense |
|
|
|
||||
Performance Materials |
$ |
0.1 |
|
|
$ |
— |
|
Electronic Materials |
|
— |
|
|
|
— |
|
Precision Optics |
|
(0.2 |
) |
|
|
(0.3 |
) |
Other |
|
(0.2 |
) |
|
|
(0.4 |
) |
Total |
$ |
(0.3 |
) |
|
$ |
(0.7 |
) |
|
|
|
|
||||
Depreciation, Depletion, and Amortization |
|
|
|
||||
Performance Materials |
$ |
11.0 |
|
|
$ |
9.4 |
|
Electronic Materials |
|
4.6 |
|
|
|
4.3 |
|
Precision Optics |
|
2.3 |
|
|
|
2.3 |
|
Other |
|
0.5 |
|
|
|
0.5 |
|
Total |
$ |
18.4 |
|
|
$ |
16.5 |
|
|
|
|
|
||||
Segment EBITDA |
|
|
|
||||
Performance Materials |
$ |
23.8 |
|
|
$ |
40.7 |
|
Electronic Materials |
|
25.5 |
|
|
|
11.1 |
|
Precision Optics |
|
4.7 |
|
|
|
(1.5 |
) |
Other |
|
(7.1 |
) |
|
|
(5.9 |
) |
Total |
$ |
46.9 |
|
|
$ |
44.4 |
|
|
|
|
|
||||
Special Items(2) |
|
|
|
||||
Performance Materials |
$ |
4.2 |
|
|
$ |
0.2 |
|
Electronic Materials |
|
0.4 |
|
|
|
2.2 |
|
Precision Optics |
|
0.8 |
|
|
|
1.4 |
|
Other |
|
0.6 |
|
|
|
0.5 |
|
Total |
$ |
6.0 |
|
|
$ |
4.3 |
|
|
|
|
|
||||
Adjusted EBITDA Excluding Special Items |
|
|
|
||||
Performance Materials |
$ |
28.0 |
|
|
$ |
40.9 |
|
Electronic Materials |
|
25.9 |
|
|
|
13.3 |
|
Precision Optics |
|
5.5 |
|
|
|
(0.1 |
) |
Other |
|
(6.5 |
) |
|
|
(5.4 |
) |
Total |
$ |
52.9 |
|
|
$ |
48.7 |
|
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) |
|||||||
|
|
|
|
||||
|
First Quarter Ended |
|
First Quarter Ended |
||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||||
Net sales |
$ |
549.8 |
|
|
$ |
420.3 |
|
Pass-through metal cost |
|
288.0 |
|
|
|
161.0 |
|
Value-added sales |
$ |
261.8 |
|
|
$ |
259.3 |
|
|
|
|
|
||||
Net income |
$ |
19.4 |
|
|
$ |
17.7 |
|
Income tax expense |
|
1.5 |
|
|
|
3.3 |
|
Interest expense - net |
|
7.6 |
|
|
|
6.9 |
|
Depreciation, depletion and amortization |
|
18.4 |
|
|
|
16.5 |
|
Consolidated EBITDA |
$ |
46.9 |
|
|
$ |
44.4 |
|
Net Income as a % of Net sales |
|
3.5 |
% |
|
|
4.2 |
% |
Net Income as a % of Value-added sales |
|
7.4 |
% |
|
|
6.8 |
% |
EBITDA as a % of Net sales |
|
8.5 |
% |
|
|
10.6 |
% |
EBITDA as a % of Value-added sales |
|
17.9 |
% |
|
|
17.1 |
% |
|
|
|
|
||||
Special items |
|
|
|
||||
Restructuring and cost reduction |
$ |
2.4 |
|
|
$ |
2.1 |
|
Merger, acquisition and divestiture related costs |
|
— |
|
|
|
2.1 |
|
Product quality issue |
|
3.5 |
|
|
|
— |
|
Business transformation costs |
|
0.1 |
|
|
|
0.1 |
|
Total special items |
|
6.0 |
|
|
|
4.3 |
|
Adjusted EBITDA |
$ |
52.9 |
|
|
$ |
48.7 |
|
Adjusted EBITDA as a % of Net sales |
|
9.6 |
% |
|
|
11.6 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
20.2 |
% |
|
|
18.8 |
% |
In addition to presenting financial statements prepared in accordance with |
|||||||
|
|||||||
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) |
|||||||||||||
|
|
|
|
|
|
|
|
||||||
|
First Quarter Ended |
|
Diluted |
|
First Quarter Ended |
|
Diluted |
||||||
(Millions) |
April 3, 2026 |
|
EPS |
|
March 28, 2025 |
|
EPS |
||||||
Net income and EPS |
$ |
19.4 |
|
|
$ |
0.92 |
|
$ |
17.7 |
|
|
$ |
0.85 |
|
|
|
|
|
|
|
|
||||||
Special items |
|
|
|
|
|
|
|
||||||
Restructuring and cost reduction |
|
2.4 |
|
|
|
|
|
2.1 |
|
|
|
||
Merger, acquisition and divestiture related costs |
|
— |
|
|
|
|
|
2.1 |
|
|
|
||
Product quality issue |
|
3.5 |
|
|
|
|
|
— |
|
|
|
||
Business transformation costs |
|
0.1 |
|
|
|
|
|
0.1 |
|
|
|
||
Provision for income taxes(1) |
|
(0.7 |
) |
|
|
|
|
(0.5 |
) |
|
|
||
Total special items |
|
5.3 |
|
|
|
0.25 |
|
|
3.8 |
|
|
|
0.18 |
Adjusted net income and adjusted EPS |
$ |
24.7 |
|
|
$ |
1.17 |
|
$ |
21.5 |
|
|
$ |
1.03 |
Acquisition amortization (net of tax) |
|
2.0 |
|
|
|
0.10 |
|
|
2.2 |
|
|
|
0.10 |
Adjusted net income and adjusted EPS excl. amortization |
$ |
26.7 |
|
|
$ |
1.27 |
|
$ |
23.7 |
|
|
$ |
1.13 |
(1) Provision for income taxes includes the net tax impact on pre-tax adjustments (listed above), the impact of 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 |
|||||||
|
First Quarter Ended |
|
First Quarter Ended |
||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||||
Net sales |
$ |
155.7 |
|
|
$ |
174.0 |
|
Pass-through metal cost |
|
16.2 |
|
|
|
14.0 |
|
Value-added sales |
$ |
139.5 |
|
|
$ |
160.0 |
|
|
|
|
|
||||
EBITDA |
$ |
23.8 |
|
|
$ |
40.7 |
|
Restructuring and cost reduction |
|
0.6 |
|
|
|
0.2 |
|
Product quality issue |
|
3.5 |
|
|
|
— |
|
Business transformation costs |
|
0.1 |
|
|
|
— |
|
Adjusted EBITDA |
$ |
28.0 |
|
|
$ |
40.9 |
|
EBITDA as a % of Net sales |
|
15.3 |
% |
|
|
23.4 |
% |
EBITDA as a % of Value-added sales |
|
17.1 |
% |
|
|
25.4 |
% |
Adjusted EBITDA as a % of Net sales |
|
18.0 |
% |
|
|
23.5 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
20.1 |
% |
|
|
25.6 |
% |
|
|
|
|
||||
Electronic Materials |
|||||||
|
First Quarter Ended |
|
First Quarter Ended |
||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||||
Net sales |
$ |
363.3 |
|
|
$ |
224.8 |
|
Pass-through metal cost |
|
271.7 |
|
|
|
147.0 |
|
Value-added sales |
$ |
91.6 |
|
|
$ |
77.8 |
|
|
|
|
|
||||
EBITDA |
$ |
25.5 |
|
|
$ |
11.1 |
|
Restructuring and cost reduction |
|
0.4 |
|
|
|
0.5 |
|
Merger, acquisition and divestiture related costs |
|
— |
|
|
|
1.7 |
|
Adjusted EBITDA |
$ |
25.9 |
|
|
$ |
13.3 |
|
EBITDA as a % of Net sales |
|
7.0 |
% |
|
|
4.9 |
% |
EBITDA as a % of Value-added sales |
|
27.8 |
% |
|
|
14.3 |
% |
Adjusted EBITDA as a % of Net sales |
|
7.1 |
% |
|
|
5.9 |
% |
Adjusted EBITDA as a % of Value-added sales |
|
28.3 |
% |
|
|
17.1 |
% |
|
|
|
|
||||
Precision Optics |
|||||||
|
First Quarter Ended |
|
First Quarter Ended |
||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||||
Net sales |
$ |
30.8 |
|
|
$ |
21.5 |
|
Pass-through metal cost |
|
0.1 |
|
|
|
— |
|
Value-added sales |
$ |
30.7 |
|
|
$ |
21.5 |
|
|
|
|
|
||||
EBITDA |
$ |
4.7 |
|
|
$ |
(1.5 |
) |
Restructuring and cost reduction |
|
0.8 |
|
|
|
1.4 |
|
Adjusted EBITDA |
$ |
5.5 |
|
|
$ |
(0.1 |
) |
EBITDA as a % of Net sales |
|
15.3 |
% |
|
|
(7.0 |
)% |
EBITDA as a % of Value-added sales |
|
15.3 |
% |
|
|
(7.0 |
)% |
Adjusted EBITDA as a % of Net sales |
|
17.9 |
% |
|
|
(0.5 |
)% |
Adjusted EBITDA as a % of Value-added sales |
|
17.9 |
% |
|
|
(0.5 |
)% |
|
|
|
|
||||
|
|
|
|
||||
Other |
|||||||
|
First Quarter Ended |
|
First Quarter Ended |
||||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||||
EBITDA |
$ |
(7.1 |
) |
|
$ |
(5.9 |
) |
Restructuring and cost reduction |
|
0.6 |
|
|
|
— |
|
Merger, acquisition and divestiture related costs |
|
— |
|
|
|
0.4 |
|
Business transformation costs |
|
— |
|
|
|
0.1 |
|
Adjusted EBITDA |
$ |
(6.5 |
) |
|
$ |
(5.4 |
) |
Attachment 8 |
|||||
Materion Corporation and Subsidiaries |
|||||
Reconciliation of Non-GAAP Measure - Gross Margin to Adjusted Gross Margin |
|||||
(Unaudited) |
|||||
|
First Quarter Ended |
|
First Quarter Ended |
||
(Millions) |
April 3, 2026 |
|
March 28, 2025 |
||
Gross Margin |
|
|
|
||
Performance Materials |
$ |
31.0 |
|
$ |
48.2 |
Electronic Materials |
|
39.8 |
|
|
23.8 |
Precision Optics |
|
11.0 |
|
|
4.2 |
Other |
|
— |
|
|
— |
Total |
$ |
81.8 |
|
$ |
76.2 |
|
|
|
|
||
Special Items (1) |
|
|
|
||
Performance Materials |
$ |
3.5 |
|
$ |
— |
Electronic Materials |
|
— |
|
|
— |
Precision Optics |
|
— |
|
|
— |
Other |
|
— |
|
|
— |
Total |
$ |
3.5 |
|
$ |
— |
|
|
|
|
||
Adjusted Gross Margin |
|
|
|
||
Performance Materials |
$ |
34.5 |
|
$ |
48.2 |
Electronic Materials |
|
39.8 |
|
|
23.8 |
Precision Optics |
|
11.0 |
|
|
4.2 |
Other |
|
— |
|
|
— |
Total |
$ |
85.3 |
|
$ |
76.2 |
(1) Special items impacting gross margin represent the product quality issue identified in the fourth quarter of 2025. |
|||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20260428896039/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
Source: Materion Corporation