Materion (NYSE: MTRN) lifts 2026 EPS outlook after strong 2025 rebound

Rhea-AI Filing Summary

Materion Corporation reported stronger results for the fourth quarter and full year 2025 and issued upbeat 2026 guidance. Fourth-quarter net sales reached $489.7 million, with value-added sales of $253.9 million. Net income was $6.6 million, or $0.31 per diluted share, versus a $48.8 million loss a year earlier, while adjusted earnings were $1.53 per share.

For 2025, net sales grew to $1.79 billion from $1.68 billion. Net income jumped to $74.8 million, or $3.58 per diluted share, compared with $5.9 million, or $0.28 per share, in the prior year. Adjusted EBITDA was $217.0 million, representing a 20.7% value-added sales margin, marking a fifth straight year of margin expansion. Adjusted earnings were $5.44 per share, slightly above $5.34 in 2024.

The Electronic Materials segment delivered 8% organic value-added sales growth with about 300 basis points of margin expansion, and Precision Optics posted 7% growth with about 800 basis points of margin improvement. Materion also completed a semiconductor acquisition in Asia and announced a $65 million customer investment from a major defense prime to expand beryllium capacity. Looking to 2026, the company guides to adjusted earnings per share of $6.00 to $6.50, about a 15% increase at the midpoint, supported by expected sales growth across all three businesses and continued margin gains.

Positive

• Strong earnings recovery and margin expansion: 2025 net income rose to $74.8 million from $5.9 million, with adjusted EBITDA margin on value-added sales improving to 20.7%, marking a fifth consecutive year of margin expansion.
• Constructive 2026 outlook with double-digit EPS growth: Management guides 2026 adjusted EPS to $6.00–$6.50, about 15% above 2025 at the midpoint, driven by expected mid-single-digit sales growth and further margin gains.
• Strategic growth in key segments and end markets: Electronic Materials delivered 8% organic value-added growth with margin gains, Precision Optics grew 7% with substantial margin improvement, and a $65 million defense-related beryllium investment supports future demand.

Negative

• None.

Insights

Equity Research Analyst

Materion posts sharp 2025 profit rebound and targets ~15% EPS growth in 2026.

Materion delivered a notable turnaround in 2025. Net income rose to $74.8 million from $5.9 million, and net sales increased to $1.79 billion. Adjusted EBITDA of $217.0 million, at a 20.7% margin on value-added sales, extended a five-year margin expansion streak.

Segment performance was broad-based. Electronic Materials achieved 8% organic value-added sales growth with around 300 basis points of margin expansion, while Precision Optics posted 7% value-added growth and roughly 800 basis points of margin improvement. These shifts suggest stronger mix and efficiency despite earlier quality-related challenges.

The company guides full-year 2026 adjusted earnings per share to $6.00–$6.50, about 15% above 2025 at the midpoint, supported by mid-single-digit revenue growth and further margin expansion. A $65 million customer investment from a major defense prime to expand beryllium capacity adds long-term demand visibility tied to U.S. defense initiatives.

0001104657false00011046572026-02-122026-02-12

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) February 12, 2026

MATERION CORPORATION

(Exact name of registrant as specified in its charter)

Ohio 001-15885 34-1919973

(State or other jurisdiction of incorporation or organization) (Commission File Number) (I.R.S. Employer Identification No.)

6070 Parkland Blvd., Mayfield Hts., Ohio 44124

(Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code (216) 486-4200

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered

Common Stock, no par value MTRN New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§204.12b-2 of this chapter).

Emerging Growth Company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐

Item 2.02 Results of Operations and Financial Condition.

On February 12, 2026, Materion Corporation issued a press release announcing its results for the fourth quarter and full year 2025. The press release is attached hereto as Exhibit 99.1, which is incorporated herein by reference.

Item 9.01 Financial Statements and Exhibits.

Exhibits.

Exhibit Number						Description of Exhibit
99.1						Materion Corporation press release, dated February 12, 2026
104						Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

						Materion Corporation
February 12, 2026			By:			/s/ Melissa A. Fashinpaur
						Melissa A. Fashinpaur
						Chief Accounting Officer

Materion Corporation Reports Fourth Quarter and Full-Year 2025 Results; Provides Strong 2026 Outlook

Announces $65 Million Customer Investment to Support US Defense Initiatives

MAYFIELD HEIGHTS, Ohio – February 12, 2026 - Materion Corporation (NYSE: MTRN) today reported fourth quarter and full-year 2025 financial results, provided strong 2026 earnings guidance and announced a $65 million customer investment to support US defense initiatives.

Fourth Quarter 2025 Highlights

•Net sales were $489.7 million; value-added sales1 were $253.9 million

•Net income of $6.6 million, or $0.31 per share, diluted, versus net loss of $48.8 million, or $2.33 loss per share, in the prior year quarter; adjusted earnings of $1.53 per share versus $1.55 in the prior year quarter

•Operating profit of $10.8 million versus operating loss of $38.3 million in the prior year quarter; adjusted EBITDA2 of $57.0 million versus $61.5 million in the prior year quarter

•Secured $65 million investment from major defense prime to expand beryllium capacity in support of US initiatives to replenish inventory and increase capabilities

Full-Year 2025 Highlights

•Net sales were $1.79 billion; value-added sales were $1.05 billion

•Net income was $74.8 million, or $3.58 per share, diluted, versus net income of $5.9 million, or $0.28 per share, in the prior year; adjusted earnings of $5.44 per share versus $5.34 in the prior year

•Delivered full year adjusted EBITDA margin of 20.7% versus 20.2% in the prior year, marking the fifth consecutive year of margin expansion

•Electronic Materials delivered 8% organic3 year over year value-added sales growth with ~300 basis points of margin expansion

•Completed semiconductor acquisition to expand footprint and capabilities in Asia

•Transformation of Precision Optics delivered 7% year over year value-added sales growth with ~800 basis points of margin expansion

“I am very proud of our team for delivering strong results in the fourth quarter despite the intense focus placed on addressing a previously announced quality event that impacted our large precision clad strip customer. While working diligently to resolve the issue, the rest of our business performed very well, with Electronic Materials and Precision Optics driving double digit top and bottom-line growth, fueled by market outgrowth and strong operational execution,” said Jugal Vijayvargiya, President & CEO of Materion.

“Our full year results reflect the substantial progress we’ve made, including the meaningful cost structure improvements made in Precision Optics and Electronic Materials that drove strong margin expansion, and the new business initiatives across the company that have strengthened our order book, positioning us well for growth in 2026.”

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“We expect to continue the momentum by delivering on our organic initiatives, capturing new business and driving operational excellence, resulting in strong top and bottom-line growth while advancing towards our mid-term margin target of 23%.”

FOURTH QUARTER 2025 RESULTS

Net sales for the quarter were $489.7 million, compared to $436.9 million in the prior year period. Value-added sales were $253.9 million for the quarter, up 7% organic3 excluding precision clad strip from the prior year quarter due to strength in semiconductor, energy and data center growth.

Operating profit for the quarter was $10.8 million and net income was $6.6 million, or $0.31 per diluted share, compared to operating loss of $38.3 million and net loss of $48.8 million, or $2.33 loss per share, in the prior year period.

Adjusted EBITDA was $57.0 million, or 22.5% of value-added sales, compared to $61.5 million or 20.8% of value-added sales in the prior year period. This decrease was driven primarily by lower volume, partially offset by strong price/mix and operational performance in Electronic Materials and Precision Optics.

Adjusted net income was $32.0 million excluding acquisition amortization, or $1.53 per diluted share, compared to $1.55 per share in the prior year period.

FULL-YEAR 2025 RESULTS

Net sales for the year were $1.79 billion, compared to $1.68 billion in the prior year. Value-added sales were $1.05 billion for the year, up 4% organic3 excluding precision clad strip from the prior year due to strength in semiconductor, energy and data center growth.

Operating profit for the year was $109.8 million and net income was $74.8 million, or $3.58 per diluted share, compared to operating profit of $47.2 million and net income of $5.9 million, or $0.28 per diluted share, in the prior year.

Adjusted EBITDA was $217.0 million, or 20.7% of value-added sales, compared to $221.2 million or 20.2% of value-added sales in the prior year period. This decrease was driven primarily by lower volume, partially offset by strong price/mix and operational performance in Electronic Materials and Precision Optics.

Adjusted net income was $113.6 million excluding acquisition amortization, or $5.44 per diluted share, compared to $5.34 per diluted share in the prior year.

OUTLOOK

Moving into 2026, we expect to capture strong sales growth across each of our three businesses from new business wins and strong market conditions while driving performance improvements. With mid-single digit top line growth and continued margin expansion, we are guiding to the range of $6.00 to $6.50 for full year 2026 adjusted earnings per share, an increase of 15% from prior year at the midpoint. We remain focused on driving towards our mid-term adjusted EBITDA margin target of 23%.

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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, February 12, 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 U.S. can dial (973) 528-0011; please reference participant access code of 365914. A replay of the call will be available until February 26, 2026 by dialing (877) 481-4010 or (919) 882-2331 if international; please reference replay ID number 53270. The call will also be archived on the Company’s website.

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; adjusted EBITDA represents EBITDA excluding special items, the details of which can be found in Attachments 4 through 8

3 Excludes value-added sales from the divested Albuquerque, New Mexico large area targets business sold in 2024

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 Mayfield Heights, Ohio, the Company employs more than 3,000 talented people worldwide, serving customers in more than 60 countries.

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

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inflationary pressures, potential future recessionary conditions and the impact of tariffs and trade agreements; the impact of any U.S. Federal Government shutdowns or sequestrations; the condition of the markets which we serve, whether defined geographically or by segment; changes in product mix and the financial condition of customers; our success in developing and introducing new products and new product ramp-up rates; our success in passing through the costs of raw materials to customers or otherwise mitigating fluctuating prices for those materials, including the impact of fluctuating prices on inventory values; our success in identifying acquisition candidates and in acquiring and integrating such businesses; the impact of the results of acquisitions on our ability to fully achieve the strategic and financial objectives related to these acquisitions; our success in implementing our strategic plans and the timely and successful start-up and completion of any capital projects; other financial and economic factors, including the cost and availability of raw materials (both base and precious metals), physical inventory valuations, metal consignment fees, tax rates, exchange rates, interest rates, pension costs and required cash contributions and other employee benefit costs, energy costs, regulatory compliance costs, the cost and availability of insurance, credit availability, and the impact of the Company’s stock price on the cost of incentive compensation plans; the uncertainties related to the impact of war, terrorist activities, and acts of God; changes in government regulatory requirements and the enactment of new legislation that impacts our obligations and operations; the conclusion of pending litigation matters in accordance with our expectation that there will be no material adverse effects; the disruptions in operations from, and other effects of, catastrophic and other extraordinary events including outbreaks from infectious diseases and the conflict between Russia and Ukraine and other hostilities; realization of expected financial benefits expected from the Inflation Reduction Act of 2022; and the risk factors set forth in Part 1, Item 1A of the Company's 2024 Annual Report on Form 10-K and in other reports that we file with the SEC.

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

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Attachment 1

Materion Corporation and Subsidiaries

Consolidated Statements of Income

(Unaudited)

			Fourth Quarter Ended												Year Ended
(In thousands except per share amounts)			December 31, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Net sales			$	489,754					$	436,871					$	1,786,550					$	1,684,739
Cost of sales			426,088						343,895						1,477,924						1,358,754
Gross margin			63,666						92,976						308,626						325,985
Selling, general, and administrative expense			34,317						41,134						143,057						145,588
Research and development expense			6,475						6,316						25,941						29,028
Goodwill impairment			—						56,067						—						56,067
Long-lived asset impairment			—						17,134						—						17,134
Loss on asset disposal			—						6,412						—						6,412
Restructuring expense			426						687						3,155						6,848
Other — net			11,609						3,573						26,677						17,685
Operating profit (loss)			10,839						(38,347)						109,796						47,223
Other non-operating (income) expense—net			(493)						(518)						(2,437)						(2,443)
Interest expense — net			8,001						8,844						30,692						34,764
Income (loss) before income taxes			3,331						(46,673)						81,541						14,902
Income tax (benefit) expense			(3,242)						2,177						6,718						9,014
Net income (loss)			$	6,573					$	(48,850)					$	74,823					$	5,888
Basic earnings per share:
Net income (loss) per share of common stock			$	0.32					$	(2.35)					$	3.61					$	0.28
Diluted earnings per share:
Net income (loss) per share of common stock			$	0.31					$	(2.33)					$	3.58					$	0.28
Weighted-average number of shares of common stock outstanding:
Basic			20,734						20,758						20,755						20,732
Diluted			20,953						20,923						20,912						20,928

5

Attachment 2

Materion Corporation and Subsidiaries

Consolidated Balance Sheets

(Unaudited)

(Thousands)						December 31, 2025						December 31, 2024
Assets
Current assets
Cash and cash equivalents						$	13,681					$	16,713
Accounts receivable, net						222,916						193,793
Inventories, net						461,231						441,299
Prepaid and other current assets						91,692						72,419
Total current assets						789,520						724,224
Deferred income taxes						7,727						2,964
Property, plant, and equipment						1,376,703						1,315,586
Less allowances for depreciation, depletion, and amortization						(841,245)						(804,781)
Property, plant, and equipment—net						535,458						510,805
Operating lease, right-of-use assets						62,036						64,449
Intangible assets, net						105,874						109,312
Other assets						21,529						22,140
Goodwill						280,657						263,738
Total Assets						$	1,802,801					$	1,697,632
Liabilities and Shareholders’ Equity
Current liabilities
Short-term debt						$	22,445					$	34,274
Accounts payable						148,642						105,901
Salaries and wages						19,312						20,939
Other liabilities and accrued items						45,445						47,523
Income taxes						5,054						4,906
Unearned revenue						12,685						13,191
Total current liabilities						253,583						226,734
Other long-term liabilities						12,556						12,013
Operating lease liabilities						60,568						62,626
Finance lease liabilities						13,384						12,404
Retirement and post-employment benefits						23,931						26,411
Unearned income						55,862						75,769
Long-term income taxes						532						1,818
Deferred income taxes						2,760						3,242
Long-term debt						436,348						407,734
Shareholders’ equity						943,277						868,881
Total Liabilities and Shareholders’ Equity						$	1,802,801					$	1,697,632

6

Attachment 3

Materion Corporation and Subsidiaries

Consolidated Statements of Cash Flows

(Thousands)						December 31, 2025						December 31, 2024
Cash flows from operating activities:
Net income						$	74,823					$	5,888
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, depletion, and amortization						69,074						68,676
Amortization of deferred financing costs in interest expense						1,887						1,714
Stock-based compensation expense (non-cash)						10,925						10,560
Amortization of pension and post-retirement costs						(154)						(307)
Loss on sale of property, plant, and equipment						282						1,201
Deferred income tax expense (benefit)						(5,103)						(16,598)
Impairment charges						—						73,201
Loss on asset disposal						—						6,412
Net pension curtailments and settlements						230						—
Changes in assets and liabilities:
Accounts receivable						(25,790)						(3,723)
Inventory						(13,303)						(468)
Prepaid and other current assets						(15,101)						(11,345)
Accounts payable and accrued expenses						33,517						(15,757)
Unearned revenue						(15,204)						(24,692)
Interest and taxes payable						663						(2,619)
Other-net						(13,503)						(4,326)
Net cash provided by operating activities						103,243						87,817
Cash flows from investing activities:
Payments for purchase of property, plant, and equipment						(53,279)						(68,649)
Payments for mine development						(26,288)						(12,159)
Proceeds from sale of property, plant, and equipment						932						1,203
Payments for acquisition, net of cash acquired						(19,500)						—
Net cash used in investing activities						(98,135)						(79,605)
Cash flows from financing activities:
Proceeds from borrowings under credit facilities, net						33,890						45,692
Repayment of long-term debt						(18,177)						(30,342)
Principal payments under finance lease obligations						(604)						(683)
Cash dividends paid						(11,510)						(11,087)
Deferred financing costs						(2,935)						(156)
Repurchase of common stock						(7,843)						—
Payments of withholding taxes for stock-based compensation awards						(2,642)						(7,610)
Net cash provided by financing activities						(9,821)						(4,186)
Effects of exchange rate changes						1,681						(607)
Net change in cash and cash equivalents						(3,032)						3,419
Cash and cash equivalents at beginning of period						16,713						13,294
Cash and cash equivalents at end of period						$	13,681					$	16,713

7

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, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Net Sales
Performance Materials			$	148.3					$	211.0					$	675.9					$	744.5
Electronic Materials			313.9						204.2						1,010.0						845.7
Precision Optics			27.5						21.7						100.7						94.5
Other			—						—						—						—
Total			$	489.7					$	436.9					$	1,786.6					$	1,684.7
Less: Pass-through Metal Cost
Performance Materials			$	15.9					$	15.2					$	57.8					$	56.5
Electronic Materials			219.8						125.6						682.4						530.4
Precision Optics			0.1						—						0.2						0.2
Other			—						—						—						—
Total			$	235.8					$	140.8					$	740.4					$	587.1
Value-added Sales (non-GAAP)
Performance Materials			$	132.4					$	195.8					$	618.1					$	688.0
Electronic Materials			94.1						78.6						327.6						315.3
Precision Optics			27.4						21.7						100.5						94.3
Other			—						—						—						—
Total			$	253.9					$	296.1					$	1,046.2					$	1,097.6
Gross Margin
Performance Materials(1)			$	16.9					$	62.6					$	158.7					$	203.2
Electronic Materials(1)			37.2						26.0						121.3						99.5
Precision Optics(1)			9.6						4.4						28.6						23.3
Other			—						—						—						—
Total(1)			$	63.7					$	93.0					$	308.6					$	326.0
(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

8

			Fourth Quarter Ended												Year Ended
(Millions)			December 31, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Operating Profit (Loss)
Performance Materials			$	(1.6)					$	43.4					$	87.5					$	132.1
Electronic Materials			17.0						2.9						53.4						29.4
Precision Optics			1.7						(77.0)						(2.3)						(84.7)
Other			(6.3)						(7.6)						(28.8)						(29.6)
Total			$	10.8					$	(38.3)					$	109.8					$	47.2
Non-Operating (Income)/Expense
Performance Materials			$	0.1					$	0.1					$	0.4					$	0.5
Electronic Materials			—						—						(0.1)						—
Precision Optics			—						—						(0.6)						(0.4)
Other			(0.7)						(0.6)						(2.1)						(2.5)
Total			$	(0.6)					$	(0.5)					$	(2.4)					$	(2.4)
Depreciation, Depletion, and Amortization
Performance Materials			$	10.2					$	10.1					$	40.1					$	37.7
Electronic Materials			4.6						4.4						17.6						18.0
Precision Optics			2.2						2.4						9.4						11.0
Other			0.5						0.4						2.0						2.0
Total			$	17.5					$	17.3					$	69.1					$	68.7
Segment EBITDA
Performance Materials			$	8.5					$	53.4					$	127.2					$	169.3
Electronic Materials			21.6						7.3						71.1						47.4
Precision Optics			3.9						(74.6)						7.7						(73.3)
Other			(5.1)						(6.6)						(24.7)						(25.1)
Total			$	28.9					$	(20.5)					$	181.3					$	118.3
Special Items(2)
Performance Materials			$	27.3					$	0.2					$	29.0					$	9.5
Electronic Materials			0.4						7.4						3.6						14.6
Precision Optics			0.4						73.5						1.9						75.2
Other			—						0.9						1.2						3.6
Total			$	28.1					$	82.0					$	35.7					$	102.9
Adjusted EBITDA Excluding Special Items
Performance Materials			$	35.8					$	53.6					$	156.2					$	178.8
Electronic Materials			22.0						14.7						74.7						62.0
Precision Optics			4.3						(1.1)						9.6						1.9
Other			(5.1)						(5.7)						(23.5)						(21.5)
Total			$	57.0					$	61.5					$	217.0					$	221.2

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.

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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, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Net sales			$	489.7					$	436.9					$	1,786.6					$	1,684.7
Pass-through metal cost			235.8						140.8						740.4						587.1
Value-added sales			$	253.9					$	296.1					$	1,046.2					$	1,097.6
Net income (loss)			$	6.6					$	(48.8)					$	74.8					$	5.9
Income tax (benefit) expense			(3.2)						2.2						6.7						9.0
Interest expense - net			8.0						8.8						30.7						34.7
Depreciation, depletion and amortization			17.5						17.3						69.1						68.7
Consolidated EBITDA			$	28.9					$	(20.5)					$	181.3					$	118.3
Net Income as a % of Net sales			1.3		%				(11.2)		%				4.2		%				0.4		%
Net Income as a % of Value-added sales			2.6		%				(16.5)		%				7.1		%				0.5		%
EBITDA as a % of Net sales			5.9		%				(4.7)		%				10.1		%				7.0		%
EBITDA as a % of Value-added sales			11.4		%				(6.9)		%				17.3		%				10.8		%
Special items
Restructuring and cost reduction			$	0.4					$	0.7					$	3.2					$	11.4
Electronic Materials inventory adjustment			—						—						—						2.8
Environmental remediation			—						—						0.6						—
Business transformation costs			—						0.7						0.8						1.3
Pension settlement			0.3						—						0.3						—
Product quality issue			27.3						—						27.3						—
Additional start up resources and scrap			—						—						—						6.1
Merger, acquisition and divestiture related costs			0.1						7.4						3.5						8.1
Precision Optics impairments			—						73.2						—						73.2
Total special items			28.1						82.0						35.7						102.9
Adjusted EBITDA			$	57.0					$	61.5					$	217.0					$	221.2
Adjusted EBITDA as a % of Net sales			11.6		%				14.1		%				12.1		%				13.1		%
Adjusted EBITDA as a % of Value-added sales			22.5		%				20.8		%				20.7		%				20.2		%

In addition to presenting financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP), this earnings release contains financial measures, including operating profit, segment operating profit, earnings before interest, taxes, depreciation, depletion and amortization (EBITDA), net income, and earnings per share, on a non-GAAP basis. As detailed in the above reconciliation and Attachment 6, we have adjusted the results for certain special items, including the following:

1.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.

2.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.

3.Environmental remediation - Cost associated with non-recurring environmental remediation

4.Business transformation costs – Represents project management and implementation expenses related to the Company's automation and transformation initiatives.

5.Pension settlement - Represents settlement charges related to the Company's international pension plans.

6.Product quality issue - Represents costs incurred related to a quality issue identified by a large precision clad strip customer which led to temporarily idling production facilities within the Performance Materials segment.

7.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.

8.Merger, acquisition and divestiture related costs – Includes due diligence costs associated with potential merger, acquisition and divestitures as well as loss on asset disposals.

9.Precision Optics impairments - Represents goodwill and long-lived asset impairment charges within the Precision Optics segment taken in the fourth quarter of 2024.

10

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.

11

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 31, 2025						Diluted EPS						December 31, 2024						Diluted EPS						December 31, 2025						Diluted EPS						December 31, 2024						Diluted EPS
Net income (loss) and EPS			$	6.6					$	0.31					$	(48.8)					$	(2.33)					$	74.8					$	3.58					$	5.9					$	0.28
Special items
Restructuring and cost reduction			0.4												0.7												3.2												11.4
Electronic Materials inventory adjustment			—												—												—												2.8
Environmental remediation			—												—												0.6												—
Business transformation costs			—												0.7												0.8												1.3
Debt extinguishment costs (1)			—												—												0.5												—
Pension settlement			0.3												—												0.3												—
Product quality issue (2)			28.6												—												28.6												—
Additional start up resources and scrap			—												—												—												6.1
Merger, acquisition and divestiture related costs			0.1												7.4												3.5												8.1
Precision Optics impairments			—												73.2												—												73.2
Provision for income taxes (3)			(6.0)												(3.0)												(7.2)												(6.6)
Total special items			23.4						1.12						79.0						3.77						30.3						1.45						96.3						4.60
Adjusted net income and adjusted EPS			$	30.0					$	1.43					$	30.2					$	1.44					$	105.1					$	5.03					$	102.2					$	4.88
Acquisition amortization (net of tax)			2.0						0.10						2.2						0.11						8.5						0.41						9.6						0.46
Adjusted net income and adjusted EPS excl. amortization			$	32.0					$	1.53					$	32.4					$	1.55					$	113.6					$	5.44					$	111.8					$	5.34

(1) Debt extinguishment costs - Represents debt extinguishment costs incurred in connection with the amendment of the Company's Credit Agreement in June 2025.

(2) Product quality issue includes $1.3 million of depreciation expense

(3) 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.

12

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, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Net sales			$	148.3					$	211.0					$	675.9					$	744.5
Pass-through metal cost			15.9						15.2						57.8						56.5
Value-added sales			$	132.4					$	195.8					$	618.1					$	688.0
EBITDA			$	8.5					$	53.4					$	127.2					$	169.3
Restructuring and cost reduction			—						0.1						0.5						2.9
Additional start up resources and scrap			—						—						—						6.1
Product quality issue			27.3						—						27.3						—
Environmental remediation			—						—						0.6						—
Business transformation costs			—						0.1						0.6						0.5
Adjusted EBITDA			$	35.8					$	53.6					$	156.2					$	178.8
EBITDA as a % of Net sales			5.7		%				25.3		%				18.8		%				22.7		%
EBITDA as a % of Value-added sales			6.4		%				27.3		%				20.6		%				24.6		%
Adjusted EBITDA as a % of Net sales			24.1		%				25.4		%				23.1		%				24.0		%
Adjusted EBITDA as a % of Value-added sales			27.0		%				27.4		%				25.3		%				26.0		%
Electronic Materials			Fourth Quarter Ended												Twelve Months Ended
(Millions)			December 31, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Net sales			$	313.9					$	204.2					$	1,010.0					$	845.7
Pass-through metal cost			219.8						125.6						682.4						530.4
Value-added sales			$	94.1					$	78.6					$	327.6					$	315.3
EBITDA			$	21.6					$	7.3					$	71.1					$	47.4
Restructuring and cost reduction			0.3						0.2						1.1						4.5
Electronic Materials inventory adjustment			—						—						—						2.8
Business transformation costs			—						0.2						—						0.3
Merger, acquisition and divestiture related costs			0.1						7.0						2.5						7.0
Adjusted EBITDA			$	22.0					$	14.7					$	74.7					$	62.0
EBITDA as a % of Net sales			6.9		%				3.6		%				7.0		%				5.6		%
EBITDA as a % of Value-added sales			23.0		%				9.3		%				21.7		%				15.0		%
Adjusted EBITDA as a % of Net sales			7.0		%				7.2		%				7.4		%				7.3		%
Adjusted EBITDA as a % of Value-added sales			23.4		%				18.7		%				22.8		%				19.7		%
Precision Optics			Fourth Quarter Ended												Twelve Months Ended
(Millions)			December 31, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Net sales			$	27.5					$	21.7					$	100.7					$	94.5
Pass-through metal cost			0.1						—						0.2						0.2
Value-added sales			$	27.4					$	21.7					$	100.5					$	94.3
EBITDA			$	3.9					$	(74.6)					$	7.7					$	(73.3)
Restructuring and cost reduction			0.1						0.3						1.6						2.0
Pension settlement			0.3						—						0.3						—
Precision Optics impairments			—						73.2						—						73.2
Adjusted EBITDA			$	4.3					$	(1.1)					$	9.6					$	1.9
EBITDA as a % of Net sales			14.2		%				(343.8)		%				7.6		%				(77.6)		%

13

EBITDA as a % of Value-added sales			14.2		%				(343.8)		%				7.7		%				(77.7)		%
Adjusted EBITDA as a % of Net sales			15.6		%				(5.1)		%				9.5		%				2.0		%
Adjusted EBITDA as a % of Value-added sales			15.7		%				(5.1)		%				9.6		%				2.0		%
Other			Fourth Quarter Ended												Twelve Months Ended
(Millions)			December 31, 2025						December 31, 2024						December 31, 2025						December 31, 2024
EBITDA			$	(5.1)					$	(6.6)					$	(24.7)					$	(25.1)
Restructuring and cost reduction			—						0.1						—						2.0
Business transformation costs			—						0.4						0.2						0.5
Merger, acquisition and divestiture related costs			—						0.4						1.0						1.1
Adjusted EBITDA			$	(5.1)					$	(5.7)					$	(23.5)					$	(21.5)

14

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, 2025						December 31, 2024						December 31, 2025						December 31, 2024
Gross Margin
Performance Materials			$	16.9					$	62.6					$	158.7					$	203.2
Electronic Materials			37.2						26.0						121.3						99.5
Precision Optics			9.6						4.4						28.6						23.3
Other			—						—						—						—
Total			$	63.7					$	93.0					$	308.6					$	326.0
Special Items (1)
Performance Materials			$	25.7					$	—					$	26.4					$	7.5
Electronic Materials			—						—						—						4.7
Precision Optics			—						—						—						0.2
Other			—						—						—						—
Total			$	25.7					$	—					$	26.4					$	12.4
Adjusted Gross Margin
Performance Materials			42.6						62.6						$	185.1					$	210.7
Electronic Materials			37.2						26.0						121.3						104.2
Precision Optics			9.6						4.4						28.6						23.5
Other			—						—						—						—
Total			$	89.4					$	93.0					$	335.0					$	338.4

(1) Special items impacting gross margin represent the product quality issue and environmental remediation in 2025 and restructuring and cost reduction, the Electronic Materials inventory adjustment, and additional start up resources and scrap in 2024.

15

FAQ

How did Materion Corporation (MTRN) perform financially in full-year 2025?

Materion’s 2025 performance improved significantly. Net sales reached $1.79 billion, up from $1.68 billion in 2024, and net income increased to $74.8 million from $5.9 million. Adjusted EBITDA was $217.0 million with a 20.7% value-added sales margin, continuing multi-year margin expansion.

What were Materion Corporation’s (MTRN) fourth-quarter 2025 results?

Fourth-quarter 2025 showed a strong turnaround. Net sales were $489.7 million, with value-added sales of $253.9 million. Net income was $6.6 million, or $0.31 per diluted share, versus a $48.8 million loss previously. Adjusted earnings were $1.53 per share, nearly flat year over year.

What earnings guidance did Materion Corporation (MTRN) provide for 2026?

Materion issued upbeat 2026 earnings guidance. The company expects mid-single-digit top-line growth and continued margin expansion, targeting full-year 2026 adjusted earnings per share between $6.00 and $6.50, approximately 15% above 2025 at the midpoint of the range.

How did Materion’s key segments perform in 2025?

Segment performance was broadly positive in 2025. Electronic Materials delivered 8% organic value-added sales growth with roughly 300 basis points of margin expansion, while Precision Optics posted 7% value-added growth and about 800 basis points of margin improvement, reflecting stronger mix and efficiency gains.

What is the $65 million investment mentioned by Materion Corporation (MTRN)?

Materion secured a major customer-backed investment. A leading defense prime committed $65 million to help expand Materion’s beryllium capacity. This supports U.S. defense initiatives to replenish inventory and increase capabilities, reinforcing demand for the company’s high-performance materials.

How does Materion Corporation (MTRN) use adjusted EBITDA and value-added sales?

Materion uses non-GAAP metrics to clarify performance. Value-added sales remove pass-through metal costs from net sales, while adjusted EBITDA excludes items like restructuring, quality-related costs, and acquisition expenses. Management believes these measures better reflect underlying profitability and operational trends.

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