Matthews International 2025 Q4 Earnings Narrows Losses by 60% Amid Strategic Divestitures

Matthews International (MATW) reported fiscal 2025 Q4 earnings on Nov 21, 2025, delivering better-than-expected results despite a revenue decline. The company narrowed its net loss by 60% year-over-year and raised 2026 guidance, signaling progress in its debt-reduction strategy and operational restructuring.

Revenue

Matthews International’s total revenue fell 28.6% to $318.84 million in Q4 2025, reflecting the divestiture of non-core segments like SGK and warehouse automation. The Memorialization segment led with $209.7 million in revenue, driven by the Dodge acquisition and higher bronze memorial sales. Industrial Technologies revenue declined to $93 million, impacted by engineering segment challenges, while Brand Solutions revenue dropped sharply to $16.2 million.

Earnings/Net Income

The company reduced its net loss to $27.47 million ($0.89 per share) in Q4 2025, a 59.7% improvement from $68.16 million ($2.23 per share) in the prior year. The narrowed losses reflect strategic cost reductions and operational improvements, though the company still reported a net loss.

Post-Earnings Price Action Review

Matthews’ stock traded lower in the short term, falling 1.72% on the latest trading day and 2.93% over the past week. However, the shares gained 5.24% month-to-date, reflecting mixed investor sentiment. The stock closed at $24.65, down 0.55% post-earnings despite beating EPS estimates by 117.39%.

CEO Commentary

CEO Joe Bartolacci emphasized progress in memorialization and industrial tech, including the Axiom printhead’s GS1 certification and dry battery electrode (DBE) demand. Strategic priorities include divesting non-core assets to reduce debt toward a 2.5x leverage target and advancing energy storage partnerships.

Guidance

Matthews expects fiscal 2026 adjusted EBITDA of at least $180 million, driven by full-year Dodge integration and cost reductions. Debt reduction via divestitures will accelerate deleveraging, with $160 million from warehouse automation and $30 million from European packaging.

Additional News

Matthews completed key divestitures in fiscal 2025, including SGK, warehouse automation, and packaging operations, while retaining a 40% stake in Propelis. The company also acquired The Dodge Company and B. Heynck GmbH to strengthen its memorialization segment. In Q4, Matthews repurchased 5,262 shares at $20.33 average cost, signaling confidence in its long-term value. These moves align with its strategy to streamline operations and focus on high-growth areas like energy storage and industrial tech.