Financial Data and Key Metrics Changes - In Q1 2025, the company reported revenue of $132 million, which is at the high end of the guided range, and EPS of $0.18, also at the midpoint of guidance [15][26] - Gross margins for Q1 were 48.7%, down 450 basis points year-over-year, primarily due to a supply agreement impacting margins and unfavorable customer mix [27] - Cash from operations exceeded the high end of guidance, driven by higher than expected customer prepayments, with $1 million generated in Q1 [30][32] Business Line Data and Key Metrics Changes - Medtech and specialty audio revenue was $60 million in Q1, slightly up year-over-year but seasonally down from Q4 [16][26] - Precision Device segment revenue was $73 million, flat compared to Q4, with expectations for growth as production challenges are addressed [19][20] - The company anticipates year-over-year revenue growth accelerating in Q2, supported by a strong backlog in medtech and specialty audio [18][24] Market Data and Key Metrics Changes - The company estimates that less than 5% of revenue is subject to current tariffs, with less than 3% of cost of goods sold impacted [9][10] - Inventory levels at distributors are normalizing, leading to increased order activity, particularly in the industrial market [48][75] - The medtech market is expected to remain resilient, with historical data showing modest impacts during economic downturns [12][17] Company Strategy and Development Direction - The company is focused on maintaining growth in earnings and revenue despite tariff challenges, leveraging its proximity manufacturing strategy [7][8] - There is a strong emphasis on innovation and partnerships in the medtech sector, with expectations for continued growth in 2025 [18][24] - The company is exploring acquisition opportunities and plans to maintain a manageable debt level while generating robust cash flow [22][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the current tariff environment with minimal impact on business [50] - The outlook for Q2 is positive, with expectations for revenue between $135 million and $145 million and EPS projected between $0.21 and $0.25 [33][34] - Management noted strong design wins and increasing backlog, indicating a solid foundation for growth in 2025 [24][78] Other Important Information - The company repurchased $5 million in shares and reduced debt by $15 million during Q1 [22][31] - The upcoming Investor Day on May 13 will provide further insights into future growth plans and competitive advantages [24][85] Q&A Session Summary Question: How is the company addressing customer exposure in uncertain times? - Management indicated that there has been no change in demand, with expectations for Q2 being higher than previously anticipated [42][44] Question: Any updates on the $75 million capacitor order for the energy market? - The company received a substantial prepayment for this order, indicating strong customer commitment and no expected delivery impacts [51][52] Question: What is the expected trajectory for gross margins in Q2 and Q4? - Management expects significant sequential improvement in gross margins, driven by increased capacity utilization and better customer mix [60][64] Question: Is there potential for gaining market share from competitors? - Management noted an increase in inquiries from customers looking for reliable supply sources, particularly in the industrial space [66][69] Question: Can you comment on bookings and receivables? - Bookings were strong, with a book-to-bill ratio above 1.15, and receivables were up due to timing of customer collections, not indicating any collection issues [73][79]

Financial Data and Key Metrics Changes - The company reported Q1 2025 revenue of $132 million, at the high end of the guided range, with EPS of $0.18, also at the midpoint of guidance [11][18] - Gross margins for Q1 were 48.7%, down 450 basis points year-over-year, primarily due to a supply agreement impacting margins and unfavorable customer mix [18] - Cash from operations exceeded the high end of the guided range, driven by higher than expected customer prepayments [20][21] Business Line Data and Key Metrics Changes - MedTech and Specialty Audio revenue was $60 million, slightly up year-over-year but seasonally down from Q4 [11][18] - Precision Device segment revenues were $73 million, flat compared to Q4, with gross margins at 35.7%, flat year-over-year [12][18] - The company expects year-over-year revenue growth to accelerate in Q2 2025, driven by strong demand in MedTech and Specialty Audio [12][16] Market Data and Key Metrics Changes - The company estimates that less than 5% of revenue is subject to current tariffs, with less than 3% of cost of goods sold impacted [6][8] - Inventory levels at distributors are normalizing, leading to increased order activity, particularly in the industrial market [33][52] Company Strategy and Development Direction - The company is focused on growth in 2025, with expectations for year-over-year revenue growth and strong cash generation [15][24] - The management highlighted the importance of partnerships with customers to drive innovation and performance enhancements in products [12][16] - The company plans to explore acquisition opportunities and maintain manageable debt levels while investing in capacity expansion [14][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to grow despite the current tariff environment, citing essential nature of products in MedTech and defense sectors [4][10] - The company is monitoring the macroeconomic environment closely, particularly in the industrial market, but currently sees no significant impact on demand [10][33] - Management anticipates a stronger second half of 2025, driven by increasing order activity and a growing backlog [39][40] Other Important Information - The company repurchased $5 million in shares and reduced debt by $15 million during Q1 [14][21] - The company expects capital spending to be 5% of revenues as it increases investments in capacity expansion related to the specialty film line [23] Q&A Session Summary Question: Can you discuss overall end market customer exposure and outlook? - Management noted no change in demand and higher expectations for Q2 compared to the previous quarter, emphasizing the essential nature of products in MedTech and defense [30][32] Question: Any updates on the $75 million capacitor order for the energy market? - Management confirmed a substantial prepayment received in Q1, indicating strong customer commitment and no expected impact on delivery starting in 2026 [35] Question: Can you provide insights on gross margin trajectory for Q2 and Q4? - Management expects significant sequential improvement in gross margins, driven by increased capacity utilization and better customer mix [38][39] Question: Are there opportunities for market share gain from competitors? - Management acknowledged receiving inquiries from customers considering switching suppliers due to tariff impacts, particularly in the industrial space [45][46] Question: Can you comment on bookings and receivables? - Management reported strong bookings trends and noted that receivables were up due to timing of customer payments, with no collection issues [49][55]

Financial Data and Key Metrics Changes - The company reported Q1 2025 revenue of $132 million, at the high end of the guided range, with EPS of $0.18, also at the midpoint of guidance [11][19] - Gross margins for the MedTech and Specialty Audio segment were 48.7%, down 450 basis points year-over-year, primarily due to a supply agreement impacting margins [19] - Precision Devices segment revenues were $73 million, flat compared to Q4, with gross margins at 35.7%, unchanged from the previous year [13][20] Business Line Data and Key Metrics Changes - MedTech and Specialty Audio revenue was $60 million, slightly up year-over-year but seasonally down from Q4 [11][19] - Precision Devices segment saw a flat revenue performance, with production challenges in the specialty film line being addressed [13][20] - The company expects year-over-year revenue growth to accelerate in Q2 2025, driven by strong demand in MedTech and Specialty Audio [12][17] Market Data and Key Metrics Changes - The company estimates that less than 5% of revenue is subject to current tariffs, with less than 3% of cost of goods sold impacted [7][8] - Inventory levels at distributors have normalized to 3-3.5 months, indicating increased order activity [34][52] - The company is seeing strong bookings trends across most end markets, particularly in Precision Devices [15][52] Company Strategy and Development Direction - The company is focused on growth in 2025, with strong design wins and increasing backlog across its product portfolio [17] - There is an emphasis on exploring acquisition opportunities while maintaining manageable debt levels [16][22] - The upcoming Investor Day will detail future growth plans and competitive advantages [17][60] Management's Comments on Operating Environment and Future Outlook - Management remains cautious about the tariff environment but believes the company is well-positioned for growth despite potential impacts [5][10] - The outlook for the MedTech and defense sectors remains strong, with essential devices expected to maintain demand [32][33] - Management anticipates a stronger second half of 2025, driven by improved capacity utilization and demand recovery [41][42] Other Important Information - The company repurchased $5 million in shares and reduced debt by $15 million in Q1 2025 [16][22] - Capital spending is projected to be $7 million in Q2, with full-year capital spending expected to be 5% of revenues [24] Q&A Session Summary Question: Overall end market customer exposure and outlook - Management indicated no change in demand and higher expectations for Q2, particularly in essential devices like pacemakers and hearing aids [31][32] Question: Updates on the $75 million capacitor order - A substantial prepayment was received, indicating strong customer commitment with no expected delivery impacts [37] Question: Gross margin trajectory for Q2 and Q4 - Management expects significant sequential improvement in gross margins, projecting an exit range of 45% to 47% by year-end [40][44] Question: Potential for gaining market share from competitors - Management noted increased inquiries from customers considering switching suppliers due to tariff impacts, particularly in the industrial space [46][47] Question: Commentary on bookings and receivables - Bookings were strong, with inventory levels at distributors decreasing, indicating rising demand [52][56]

Financial Performance - Q1 2025 revenues from continuing operations were $132.2 million, at the high end of the guided range[1] - Q2 2025 revenues are expected to be between $135 million and $145 million, representing a 4% year-over-year growth[7] - Non-GAAP diluted earnings per share for Q1 2025 were $0.18, consistent with Q1 2024[5] - Q2 2025 diluted earnings per share from continuing operations are expected to be between $0.11 and $0.15, with non-GAAP adjustments bringing it to $0.21 to $0.25[7] - Net loss from continuing operations for Q1 2025 was $0.4 million, compared to a profit of $10.4 million in Q4 2024[21] - Non-GAAP net earnings for Q1 2025 were $16.2 million, down from $24.3 million in Q4 2024[21] - For the three months ended March 31, 2025, the company reported a net loss of $2.0 million compared to net earnings of $2.5 million in the same period of 2024[26] Cash Flow and Liquidity - Net cash provided by operating activities exceeded the high end of the guided range, totaling $1.3 million[5] - Net cash provided by operating activities decreased to $1.3 million from $17.3 million year-over-year[26] - Adjusted free cash flow for the quarter was $18.3 million, representing 13.8% of revenues, compared to 10.0% in the same quarter of 2024[27] - The company experienced a significant decrease in cash and cash equivalents, ending the period with $101.9 million, down from $122.1 million in the previous year[26] - Non-GAAP net cash attributable to continuing operations was $22.3 million, up from $16.2 million in the same quarter of 2024[27] Expenses and Profitability - Gross profit for Q1 2025 was $53.3 million, representing 40.3% of revenues[5] - Gross profit for Q1 2025 was $53.3 million, representing a decrease of 12.5% from $60.9 million in Q4 2024[20] - Non-GAAP gross profit for Q1 2025 was $55.0 million, down from $62.9 million in Q4 2024, with a gross profit margin of 41.6%[20] - Research and development expenses for Q1 2025 totaled $9.7 million, slightly lower than $10.3 million in Q4 2024[20] - Selling and administrative expenses increased to $37.2 million in Q1 2025 from $35.2 million in Q4 2024[20] - Adjusted EBITDA for Q1 2025 was $26.7 million, representing 20.2% of revenues, compared to 24.4% in Q4 2024[20] Balance Sheet - Total current assets decreased to $337.9 million in Q1 2025 from $361.4 million in Q4 2024[24] - Total liabilities decreased to $341.0 million in Q1 2025 from $367.6 million in Q4 2024[24] - Total stockholders' equity remained relatively stable at $755.8 million in Q1 2025 compared to $756.0 million in Q4 2024[24] - The company reported a decrease in accounts payable by $19.3 million compared to an increase of $17.2 million in the same period last year[26] Strategic Initiatives - The company repurchased $5 million of shares and reduced debt by $15 million in Q1 2025[4] - The Precision Devices segment is experiencing increased order activity and backlog across most end markets[4] - The company anticipates another year of strong cash generation in 2025[4] - The company plans to provide further details on its 2025 strategy at the upcoming Investor Day on May 13[4] Other Financial Activities - The company incurred a loss on the sale of business amounting to $1.6 million during the quarter[26] - Payments under the revolving credit facility totaled $15.0 million, a decrease from $20.0 million in the same period last year[26] - The effect of exchange rate changes on cash and cash equivalents was a positive $0.2 million for the quarter[26]

Summary of Key Points Core Viewpoint - Knowles Corporation (NYSE: KN) has experienced a significant decline in stock price, down nearly 20% year-to-date, currently trading in the low $16/share range [1]. Company Performance - The stock was sold at around $20, resulting in a decent profit, but the current valuation reflects a notable decrease in performance [1]. Market Context - The decline in Knowles' stock price indicates potential challenges the company may be facing in the market, which could be relevant for investors considering future positions [1].

Core Insights - Syntiant Corp. is participating in Bernstein's 3rd Annual Technology, Media and Telecommunications Forum to discuss its growth strategy and recent acquisition [1][2] - The company acquired Knowles Corporation's Consumer MEMS Microphones business for $150 million, enhancing its capabilities in audio and speech applications [2][3] - Syntiant has raised a total of $270 million and shipped over 100 million purpose-built processors and machine learning models since its inception [3] Company Overview - Founded in 2017 and headquartered in Irvine, California, Syntiant specializes in low-power edge AI solutions, delivering efficient processors, sensors, and software [4] - The company has deployed billions of MEMS microphones and sensors, powering various edge AI applications across consumer and industrial sectors [4] Industry Context - Bernstein, a joint venture between Societe Generale and AllianceBernstein, provides investment insights and equity research, serving professional clients globally [5]

IRVINE, Calif., Feb. 20, 2025 (GLOBE NEWSWIRE) -- Syntiant Corp., the recognized leader in low-power edge AI deployment, today announced that its CEO, Kurt Busch, will participate in Bernstein’s 3rd Annual Technology, Media and Telecommunications (TMT) Forum, taking place February 26-27 at Hotel Nia in Menlo Park, Calif. Busch will join Bernstein’s Managing Director and Senior Analyst Dr. Stacy Rasgon, Ph.D., on February 26 at 11 a.m. PST for a fireside chat to discuss Syntiant’s value proposition and growt ...

Financial Data and Key Metrics Changes - For Q4 2024, revenue was $143 million, up 2% year-over-year and within guidance range. Non-GAAP diluted EPS was $0.27, up 23% from Q4 2023, also within guidance range [22][49][62] - For the full year 2024, revenue grew 21% and non-GAAP diluted EPS grew 32% compared to 2023, driven by strength in MedTech and specialty audio [10][50] Business Line Data and Key Metrics Changes - In Q4, MedTech and specialty audio revenue was $70 million, flat year-over-year. For the full year, revenue in this segment increased by 8% driven by increased shipments into the hearing health market [23][50] - The Precision Devices segment delivered Q4 revenues of $73 million, up 4% year-over-year. Full-year revenue grew 36% compared to 2023, aided by the addition of Cornell [58][64] Market Data and Key Metrics Changes - The distribution book-to-bill trend was positive in Q4, indicating a reduction in excess sales inventory in industrial end markets [58] - Approximately 5% of revenue in 2024 could be subject to tariffs on imports from China or Mexico, but exposure is considered limited [19][60] Company Strategy and Development Direction - The company aims to leverage core competencies in medical markets and expects to see growth in 2025 and beyond through innovative customer solutions [11][35] - The recent sale of the consumer MEMS microphone business is part of a strategic transformation to strengthen the balance sheet and focus on core businesses [37][78] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in revenue and profitability growth in 2025, citing a healthy pipeline of new opportunities and strong demand in various markets [36][76] - The company anticipates a return to year-over-year revenue and earnings growth beginning in Q2 2025, supported by a strong backlog of orders [72][76] Other Important Information - Cash from operations for Q4 was $35 million, with full-year cash from operations totaling $130 million [26][66] - The board authorized an additional $150 million for stock repurchase, reflecting continued support for returning capital to shareholders [18][68] Q&A Session Summary Question: Pricing pressure across segments - Management noted that pricing pressure is mainly observed in the MSA business on mature products, while the Precision Devices segment has seen a net positive pricing impact [86][87] Question: Inventory levels - Inventory at distribution partners decreased from about six months at the end of Q3 to four to four and a half months at the end of Q4, with strong bookings in Q4 providing confidence for growth [88][90] Question: Specialty film production challenges - Management indicated that production challenges in the specialty film business are expected to improve by the end of Q1 or into Q2, with a significant backlog of orders already in place [94][95] Question: Consumer MEMS microphone business revenue - The consumer MEMS microphone business generated approximately $260 million in revenue from January 2024 until its closure in December 2024 [97]

FORM 10-K UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2024. or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-36102 Knowles Corporation (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorporation or o ...

Financial Contact: Sarah Cook Knowles Investor Relations Email: investorrelations@knowles.com Knowles received $75M+, multi-year, order for high-performance capacitors in Energy market Knowles Reports Q4 & Full Year 2024 Financial Results and Provides Outlook for Q1 2025 Fourth Quarter Revenues from Continuing Operations increased 2% and Full Year Revenues from Continuing Operations increased 21% on a year over year basis Generated Fourth Quarter Net Cash from Operations of $35M and full year Net Cash from ...