About Koppers Koppers (NYSE: KOP) is an integrated global provider of essential treated wood products, wood preservation technologies and carbon compounds. Our team of 2,100 employees create, protect and preserve key elements of our global infrastructure – including railroad crossties, utility poles, outdoor wooden structures, and production feedstocks for steel, aluminum and construction materials, among others – applying decades of industry-leading expertise while constantly innovating to anticipate the n ...

Koppers (KOP) Conference Summary - June 12, 2025 Company Overview - Koppers is a leading supplier in critical infrastructure products, particularly in the railroad and utility sectors, with significant market shares in North America and Australia [12][13] Key Points and Arguments Strategic Focus - Koppers has been implementing a strategy over the past five years aimed at improving profitability through internal projects, resulting in lower expected capital spending in the near term, which is anticipated to enhance cash flow [6][7] Market Leadership - The company holds a number one or two position in critical end markets, including railroad products and utility poles, supplying major utilities and railroads in North America [12][13] Product Portfolio - Koppers' product offerings include: - Railroad crossties, with a significant market share among Class 1 railroads in North America - Utility poles, supplying eight of the ten largest utilities in the U.S. - Performance chemicals for wood treatment, serving the top ten lumber treating companies in the U.S. [12][13][14] Financial Performance - In the first quarter, Koppers reported a decrease in top-line revenue by approximately $40 million, primarily due to reduced performance in the chemicals business, but managed to increase adjusted EBITDA by around $44 million [29][30] - The adjusted EBITDA margin improved to 12%, with a long-term goal of reaching mid-teens [31] Capital Expenditures and Debt Management - Capital expenditures are projected to be around $65 million for the year, down from over $100 million in previous years due to the completion of major projects [32] - The company is focused on debt reduction, with current debt around $909 million and a long-term leverage target of 2-3 times [33][55] Share Repurchase and Dividends - Koppers has a share repurchase program, having repurchased $15 million in stock in the first quarter, with plans for opportunistic buying [34][51] - The company has steadily increased its dividend, currently at 8 cents per quarter [35] Growth Drivers - The performance chemicals business is driven by repair and remodeling spending, which has remained strong despite inflation [36] - The carbon materials and chemicals segment is linked to the aluminum industry, with demand driven by overall economic strength [37] Market Dynamics - The railroad sector is experiencing increased volume driven by maintenance and repair needs, with a cyclical nature to spending [42][44] - Pricing dynamics in contracts with railroads and utility providers can limit price increases, but there is more flexibility in utility contracts [46][48] Market Perception - Koppers' diversified business model allows for steady earnings streams, which may not be fully recognized by the market [50] Additional Important Insights - The company has reduced its carbon materials and chemicals business from 11 plants to 3 core plants over the past decade due to changing market conditions [26] - The utility pole business has a significant replacement demand, with 2-3 million poles needing replacement annually [21] This summary encapsulates the key insights from the Koppers conference, highlighting the company's strategic direction, market position, financial performance, and growth opportunities.

Core Viewpoint - Koppers Holdings Inc. has appointed James A. Sullivan as President and Chief Transformation Officer to lead a company-wide transformation initiative named Catalyst, aimed at enhancing performance and profitability [1][2][3]. Company Overview - Koppers Holdings Inc. is a global provider of treated wood products, wood treatment chemicals, and carbon compounds, employing approximately 2,100 people [5]. Leadership Changes - James A. Sullivan will oversee the Catalyst initiative, focusing on evaluating and executing opportunities to improve the company's performance across all dimensions [2][3]. - Sullivan has over 25 years of industry experience and has been with Koppers since June 2013, previously serving as President and Chief Operating Officer [4]. Transformation Initiative - The Catalyst initiative is designed to challenge the status quo and improve performance across the organization, with Sullivan leading a newly established Transformation Office [3][4]. - The organizational change allows Sullivan to focus on actions that will enhance margins and cash flow, aligning current strategies with the company's long-term goals for 2030 [3].

Koppers (NYSE: KOP) is an integrated global provider of essential treated wood products, wood preservation technologies and carbon compounds. Our team of 2,100 employees create, protect and preserve key elements of our global infrastructure – including railroad crossties, utility poles, outdoor wooden structures, and production feedstocks for steel, aluminum and construction materials, among others – applying decades of industry-leading expertise while constantly innovating to anticipate the needs of tomorr ...

Core Viewpoint - Koppers Holdings Inc. reported a loss of $13.9 million or 68 cents per share for Q1 2025, contrasting with a profit of $13 million or 59 cents per share in the same quarter last year. Adjusted earnings were 71 cents per share, up from 62 cents year-over-year and exceeding the Zacks Consensus Estimate of 56 cents [1][2]. Financial Performance - Revenues for Koppers in Q1 2025 were $456.5 million, down approximately 8% year-over-year, missing the Zacks Consensus Estimate of $488 million [2]. - The company ended the quarter with cash and cash equivalents of $33.3 million, a decrease of around 24% from the previous quarter. Long-term debt increased to $975.9 million, up about 5% sequentially [5]. Segment Highlights - The Railroad and Utility Products and Services (RUPS) segment saw sales rise about 4% year-over-year to $235 million, surpassing the consensus estimate of $230 million, driven by increased volumes and price rises [3]. - The Performance Chemicals (PC) segment recorded sales of $120.9 million, down around 20% year-over-year, falling short of the consensus estimate of $139 million due to reduced volumes [4]. - Sales from the Carbon Materials and Chemicals (CMC) division fell approximately 18% year-over-year to $100.6 million, missing the consensus estimate of $119 million, attributed to lower volumes and reduced prices [4]. Outlook - Koppers anticipates sales for 2025 to be in the range of $2 billion to $2.2 billion, slightly lower than the previous expectation of $2.17 billion, considering the competitive landscape and global economic conditions. The company expects adjusted EBITDA to be around $280 million and adjusted earnings per share to be $4.75 for 2025 [6]. - Capital expenditures are projected at $65 million for the year, with operating cash flows expected to be $150 million in 2025 [7]. Stock Performance - Koppers' shares have declined by 31.7% over the past year, compared to a 25.4% decline in the Zacks Chemicals Diversified industry [8].

PITTSBURGH, May 12, 2025 /PRNewswire/ -- Koppers Holdings Inc. (NYSE: KOP), an integrated global provider of treated wood products, wood treatment chemicals and carbon compounds, today announced that the company will host meetings with the investment community as part of its participation in the B. Riley Securities Investor Conference, which will be in person on May 21, 2025, in Marina del Rey, California. Koppers management will be represented by Jimmi Sue Smith, Chief Financial Officer, and Quynh McGuire, ...

Q1 2025 Results Safe Harbor Statement Certain statements in this presentation are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and may include, but are not limited to, statements about sales levels, acquisitions, restructuring, declines in the value of Koppers assets and the effect of any resulting impairment charges, profitability and anticipated expenses and cash outflows. All forward-looking statements involve risks and uncertainties. All stateme ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 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 1-32737 KOPPERS HOLDINGS INC. (Exact name of registrant as specified in its charter) Pennsylvania 20-1878963 (S ...

Koppers (KOP) Q1 2025 Earnings Call May 09, 2025 11:00 AM ET Company Participants Quynh McGuire - Vice President-Investor RelationsLeroy Ball - CEO & Board chairmanJimmi Sue Smith - Chief Financial OfficerLiam Burke - Managing DirectorGary Prestopino - Managing DirectorJames Wilen - President & CCO Conference Call Participants David Marsh - Equity Analyst Operator Good morning, and gentlemen. Thank you for standing by. Welcome to Koppers First Quarter twenty twenty five Earnings Conference Call and Webcast. ...

Financial Data and Key Metrics Changes - Consolidated sales for Q1 2025 were $456.5 million, down from $497.6 million in the prior year, representing an 8% decrease [7][14] - Adjusted EBITDA for Q1 was $55.5 million, compared to $51.5 million in the prior year, with an adjusted EBITDA margin of 12.2%, up from 10.3% [8][14] - First quarter diluted loss per share was $0.68, compared to diluted earnings per share of $0.59 in the prior year, primarily due to restructuring charges [8] - Adjusted earnings per share for the quarter were $0.71, up from $0.62 in the prior year [9] - Cash flow used in operations was $22.7 million, including a $14 million payment related to the termination of the U.S. pension plan [9] Business Line Data and Key Metrics Changes - The RUPS segment saw sales increase by $10 million or 4%, while the Performance Chemicals (PC) segment sales decreased by $29 million or 19.5%, and CMMC sales decreased by $22 million or 18% [14] - RUPS generated adjusted EBITDA of $26 million with an 11% margin, while PC delivered adjusted EBITDA of $20 million with a 17% margin [15] - CMMC sales were $101 million, down from $122 million in the prior year, but adjusted EBITDA improved to $10 million from $4 million due to lower raw material costs [18] Market Data and Key Metrics Changes - In the Performance Chemicals business, there was a 21.5% volume decrease in residential and industrial wood treatment preservatives in the Americas [17] - The average pricing of major products increased by 5% compared to the prior quarter, while average coal tar costs were higher by 6% [18] - Year-over-year, first quarter crosstie procurement was down 19% [16] Company Strategy and Development Direction - The company is focusing on improving business performance and margins through cost structure adjustments and resizing the employee base [6] - The acquisition of Brownwood Preserving Company is expected to enhance product offerings and geographic reach [11] - The company aims to maintain a balanced approach to capital allocation, targeting $65 million in net capital expenditures for 2025 [19][32] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about economic uncertainty affecting demand, particularly in the Performance Chemicals segment [23][24] - There is an expectation for a volume pickup in the second half of the year based on market feedback, despite worries about high interest rates [25][46] - The company anticipates consolidated sales of $2 billion to $2.2 billion in 2025, with adjusted EBITDA forecasted at $280 million [30][31] Other Important Information - The company was recognized for its sustainability efforts, being named to USA Today's list of America's climate leaders for the third consecutive year [12] - A quarterly cash dividend of $0.08 per share was declared, representing a 14% increase over the previous year's dividend [21] Q&A Session Summary Question: How does the utility pole product mix help margins going forward? - The utility pole business historically generates better margin performance, and growth in this area is expected to positively impact margins [38] Question: Are contracts with Class 1s satisfactory? - There is still work to be done on contracts, but the situation has improved [40] Question: What drives the expected growth in the second half of the year? - Feedback from the market indicates a volume pickup, along with increased activity in newer markets [46] Question: How does the company plan to manage costs if sales trend towards the lower end of guidance? - The company has several cost measures in place to maintain EBITDA guidance even with lower sales [57] Question: What are the priority uses of cash flow? - The focus is on share repurchases and deleveraging the balance sheet [68] Question: Are there attractive M&A opportunities due to economic disruption? - The company remains active in discussions for potential acquisitions, particularly in the utility and industrial products business [70] Question: Why not accelerate stock buybacks given the low share price? - There are limitations within credit agreements, but the company intends to be consistent in its share repurchase approach [78]