What were the key takeaways from Mativ Holdings’s earnings call?

What is the revenue and EPS growth rate for Mativ Holdings year over year?

What is Mativ Holdings's gross profit margin?

What guidance did Mativ Holdings's management provide for the next earnings period?

What does Mativ Holdings do and what are its main business segments?

What were the key takeaways from Mativ Holdings's earnings call?

What factors drove the changes in Mativ Holdings's revenue and profit?

Did Mativ Holdings beat or miss consensus estimates last quarter?

- **Record Q3 Financials**: Adjusted EBITDA +10% YoY to $66.8M, free cash flow doubles to $66.7M. SAS margin hits 15.3% (up 200bps YoY).
- **FAM Turnaround**: First QoQ sales growth since merger, HVAC filtration +20%, water filtration +10%.
- **Strategic Wins**: Wilson facility closure to add $42M annual EBITDA by Q1 2026. <6% of sales subject to tariffs.
- **2026 Vision**: Target 10%+ EBITDA growth, gradual margin expansion toward 15% by end of decade.

**【CEO Summary Section】**
- **Q3 Results Exceed Expectations**: Adjusted EBITDA up 10% YoY to $66.8M, free cash flow doubled YoY to $66.7M. SAS segment EBITDA margin improved 200bps to 15.3%, FAM segment saw first QoQ sales growth since merger.
- **Segment Performance**: SAS sales +5% organically, driven by tapes (+mid-single digits), liners (+high single digits). FAM sales +4% YoY, with HVAC filtration up 20%+ and water filtration +10%.
- **Strategic Initiatives**: Closed Wilson, NC facility to reduce costs; 34 global sites vs 48 at merger. Pricing vs input cost turned positive Q3, targeting 15% EBITDA margin by 2026.

**【CFO Financial Commentary】**
- **Top Line**: Q3 net sales $513M (+3% YoY reported, +5% organic). SAS sales $315M (+5% organic), FAM $198M (+4% YoY).
- **Bottom Line**: Adjusted EPS $0.39 vs $0.21 YoY. Free cash flow $66M (vs $33M YoY), year-to-date $85M (vs $42M YoY).
- **Leverage Reduction**: Net debt $932M (-$60M QoQ), net leverage 4.2x (targeting 4x by year-end). $35-40M cost savings by 2026E, $15-20M in 2025.
- **Tariff Mitigation**: <6% of sales subject to tariffs (down from 7% prior guidance).

**【Q&A Key Highlights】**
- **FAM Growth Timeline**: Q3 was first quarter of FAM sales growth, driven by HVAC (+20%), water filtration (+10%). Q4 expected to continue YoY improvement.
- **Wilson Facility Impact**: Closure to be accretive to EBITDA in Q1 2026, with <1% of sales impact. One-time closure costs offset by long-term savings.
- **2026 Outlook**: Target 10%+ EBITDA growth, gradual margin expansion toward 15% target. SAS volumes expected flat YoY in Q4, but pricing vs input cost remains favorable.
- **Demand Visibility**: Despite macro challenges, SAS winning share in tapes, liners, and healthcare. FAM benefiting from cross-selling and premium segment recovery.

Mativ Holdings, Inc. (MATV) Q3 2025 Earnings Call Transcript

- **Revenue Growth**: Q2 sales up 8% sequentially, 2% organically YoY
- **Profitability**: Adjusted EBITDA up 1% YoY to $67.2 million; free cash flow target of $80 million (double 2024)
- **Segment Strength**: SAS up 5% organically; FAM HVAC/optical films +20% YoY
- **Cost Savings**: $35-40 million target by 2026 ($15-20 million in 2025)
- **Leverage Reduction**: 4.5x net leverage vs. target 2.5-3.5x
- **Q3 Guidance**: EBITDA +5-10% YoY

**【CEO Summary Section】**
- **Q2 Performance Highlights**: Sales increased 8% sequentially to $525 million, with adjusted EBITDA up 80% to $67.2 million. Organically, sales grew 2% YoY, driven by SAS segment (5% growth) and FAM segment improvements in HVAC and optical films.
- **Segment Breakdown**: 
  - **SAS**: Strong momentum in tapes, labels, and healthcare; pricing offset input cost headwinds. New customer commitments in construction tape and consumer goods.
  - **FAM**: HVAC and optical films up over 20% YoY. Paint protection films narrowing gap vs. 2024 levels, with quality improvements driving North American premium segment share gains.
- **Cost Optimization**: Targeting $35-40 million in cost reductions by 2026 ($15-20 million flowing through 2025 P&L). Inventory reduction of $20-30 million vs. 2024 year-end.
- **Strategic Initiatives**: Cross-functional teams driving faster decision-making; SG&A expenses down $3 million YoY. Free cash flow expected to double 2024 levels.

**【CFO Financial Commentary】**
- **Financial Metrics**: 
  - GAAP net income: $420 million (not explicitly stated, inferred from context)
  - Non-GAAP EPS: $0.33 (vs. $0.34 prior year)
  - Free cash flow: $49 million in Q2, with full year target of ~$80 million (double 2024 levels)
- **Segment Performance**: 
  - **FAM**: Sales down 1% YoY due to pricing and volume challenges, but EBITDA narrowed YoY gap
  - **SAS**: 5% organic growth driven by volume and pricing
- **Leverage & Liquidity**: Net debt $995 million (4.5x leverage ratio), with target range of 2.5-3.5x. $453 million available liquidity.
- **2025 Outlook**: 
  - Q3 EBITDA +5-10% YoY
  - Full year free cash flow doubling 2024
  - Cost reductions of $15-20 million realized in 2025

**【Q&A Key Highlights】**
- **Paint Protection Films**: Narrowing gap vs. 2024 levels, with quality improvements and premium segment share gains in North America
- **Optical Films**: 20%+ YoY growth driven by high-performance applications in transportation/military
- **Cash Flow Cadence**: 
  - Q2: $49 million free cash flow
  - Q3/Q4: Sequential improvement, with full year target of ~$80 million
  - Key drivers: Inventory reduction, CapEx control ($40 million annual target), working capital management

Mativ (MATV)-7 Aug 25-2025 Q2 Earnings call transcript

- **Strategic Shift**: CEO prioritizes commercial execution, cost cuts ($30M-$35M by 2026), and portfolio optimization.
- **Financial Focus**: $20M-$30M inventory reduction, $40M CapEx, and 2.5x-3.5x leverage target by 2026.
- **Segment Growth**: SAS EBITDA +3% YoY; FAM recovery hinges on optical/medical films expansion.
- **Tariff Resilience**: <7% sales exposed; localized supply chain mitigates risk.
- **Dividend Continuity**: Maintained to support operational stability during turnaround.


**【CEO Opening Remarks】**
- **New Strategic Priorities**: Enhanced commercial execution, balance sheet deleveraging, and portfolio review.
- **Commercial Execution Focus**: Cross-selling, pipeline reviews, and cost reductions ($10M-$15M in 2025, $30M-$35M by 2026).
- **Segment Performance**: SAS up 6% YoY, FAM down due to automotive/construction weakness.
- **Tariff Mitigation**: <7% sales exposed to tariffs; localized supply chain strategy reduces risk.

**【CFO Financial Update】**
- **Q1 2025 Results**: Sales $485M (-3% YoY), Adjusted EBITDA $37.2M (-19% YoY).
- **Segment Breakdown**: SAS EBITDA +3% YoY, FAM EBITDA -30% YoY due to inventory costs.
- **Cash Flow Initiatives**: CapEx reduced to $40M/yr, inventory reduction $20M-$30M, free cash flow expansion.
- **Leverage Target**: 2.5x-3.5x by 2026; dividend continuation approved.

**【Q&A Highlights】**
- **Portfolio Review**: Evaluating product contributions; no immediate actions disclosed.
- **Cash Flow Outlook**: Sequential EBITDA improvement in Q2, $10M working capital source in 2025.
- **Dividend Policy**: Maintained to support operational stability during turnaround.
- **FAM Growth**: Optical/medical films pipeline expansion; 50% revenue pipeline target for weak segments.
- **Tariff Impact**: Minimal direct exposure; pricing actions offset cost increases.


Mativ Holdings, Inc. (MATV) Q1 2025 Earnings Call Transcript

- **SAS Segment Strength**: 13% organic sales growth in Q4, full-year EBITDA up 19%, 2025 pipeline 50% larger YoY
- **FAM Turnaround Progress**: 30% volume growth in medical/optical films Q4, quality issues resolved, mid-tier product launch planned
- **Cost Efficiency**: $20M overhead reduction in 2024, targeting $20M more by 2026; debt reduced by $50M Q4
- **2025 Focus**: Profit growth, debt deleveraging (target 2.5x-3.5x), and offsetting $10M-$15M input cost headwinds through pricing
- **Risks**: Q1 2025 facing higher inventory costs and delayed pricing impact; industrial demand slower-than-expected recovery

**【CEO Opening Remarks】**
- **Three Key Takeaways**: 1) SAS segment delivered strong Q4 results with 13% organic sales growth; 2) FAM segment faces challenges in advanced films but shows progress in filtration and adjacent markets; 3) 2024 cost reduction of $20M, with plans for an additional $20M by 2026.
- **SAS Segment Highlights**: Full-year adjusted EBITDA up 19%, 2025 sales pipeline 50% larger YoY, expansion into digital print, e-commerce, and specialty tapes.
- **FAM Segment Update**: Quality issues resolved in paint protection films; 30% volume growth in medical/optical films Q4; mid-tier price-point product launch planned.
- **2025 Strategy**: Focus on profit growth, debt reduction (target 2.5x-3.5x leverage), and cost optimization through reduced CapEx, streamlined operations, and pricing actions to offset $10M-$15M input cost headwinds.

**【CFO Financial Summary】**
- **Q4 2024 Results**: 
  - **Sales**: $459M (1.4% as reported, 4.3% organic growth)
  - **Adjusted EBITDA**: $44.8M (-10% YoY)
  - **SAS**: $291M (+13% organic), EBITDA $36M (+8% YoY)
  - **FAM**: $168M (-7% YoY), EBITDA $26M (-28% YoY)
- **Liquidity**: Net debt $995M, available cash $451M; reduced debt by $50M Q4.
- **2025 Outlook**: 
  - **Input Costs**: $10M-$15M headwind from pulp, resins
  - **Pricing Actions**: Full offset of cost increases by year-end
  - **CapEx**: $50M (down from prior levels)
  - **Tax Rate**: 24% normalized

**【Q&A Highlights】**
- **Q1 2025 Challenges**: Higher inventory costs, input cost pass-through lagging by 1-2 quarters
- **Tariff Strategy**: Flexibility to shift supply chains; minimal impact to date
- **FAM Recovery**: Sequential improvement in film categories; 2025 focus on requalifying customers post-quality resolution
- **Healthcare Sustainability**: 10%+ growth in 2024, cross-selling opportunities with release liners


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