Financial Performance - Mativ's revenue for the twelve-month period ended December 31, 2025, was approximately $2 billion, with no single product category accounting for more than 35% of total sales, allowing for reduced dependency on any single end market or product line [29]. - The Filtration & Advanced Materials segment comprised approximately 39% of Mativ's revenues for the same period, focusing on highly engineered polymer, resin, and fiber-based substrates [43]. - SAS segment comprised approximately 61% of total revenues for the twelve-month period ended December 31, 2025 [49]. - FAM segment net sales in 2025: filtration & netting at 67% and advanced films at 33% [44]. - SAS segment net sales in 2025: tape, labels & liners at 48%, paper & packaging at 27%, and healthcare & other at 25% [50]. Debt and Financial Management - Mativ has reduced net debt by approximately 45% since the merger, indicating a strong focus on debt reduction and financial optimization [26]. - The company enacted an organizational realignment initiative projected to deliver $20 million in run-rate savings by the end of 2024, with an additional $20 million targeted by the end of 2026 [27]. - As of December 31, 2025, 39.0% of the company's total debt was fixed-rate, while 61.0% was floating-rate; a 100 basis point increase in interest rates would decrease future annual pre-tax earnings by $1.5 million [264]. Growth and Expansion - The company is leveraging geographic expansion as a growth opportunity, with recent investments in facilities in Italy, Canada, the United Kingdom, and Mexico [24]. - Mativ aims to capture accelerated growth potential by aligning with macroeconomic trends such as the demand for cleaner air and water, and advancements in health and wellness [23]. Sustainability Initiatives - Mativ's sustainability initiatives include sourcing unprocessed wood pulp exclusively from certified suppliers and recycling waste materials in manufacturing processes [34]. - The company is committed to sustainability, with a focus on environmental, product stewardship, social, and governance dimensions [76]. - Since 2017, all pulp purchased by Mativ has met FSC Mix, FSC Recycled, or FSC Controlled Wood standards, with a policy to only source wood pulp that meets at least the FSC Controlled Wood standard [83]. - In 2025, Mativ generated over 30 product carbon footprint disclosures, managing the program to the ISO 14067 standard [82]. - Ten facilities achieved ISO 14001 certification for environmental management systems as of December 31, 2025 [79]. - Four facilities achieved ISO 50001 certification for energy management systems as of December 31, 2025 [79]. - As of December 31, 2025, 29 Mativ facilities achieved ISO 9001 certification, with additional certifications under ISO 13485 and IATF 16949 for medical and automotive products respectively [81]. Research and Development - Company employs over 100 research and development employees globally as of December 31, 2025 [60]. - Company owns over 1,100 patents and patent applications globally as of December 31, 2025 [61]. Employee Engagement and Corporate Culture - In 2024, Mativ's first global employee engagement survey had an 81% participation rate among its white-collar workforce [87]. - Mativ's matching gift program offers up to $2,500 per person or organization in unrestricted funds to amplify employee contributions to qualified educational and charitable organizations [87]. Risk Management - Mativ's European operations are exposed to currency transaction risk, particularly with U.S. dollar, euro, and British pound denominated sales [261]. - For the year ended December 31, 2025, a 10% unfavorable change in exchange rates would have had an insignificant impact on the company's results [263]. - The company has not utilized derivative instruments to manage commodity price risks, which are material to its results of operations [270]. - The company periodically enters into agreements to procure energy for future periods to reduce uncertainty in energy costs [273]. Inventory and Supply Chain Management - Mativ maintains approximately 60 to 80 days of inventories to support operations, with sales terms averaging between 30 and 60 days for customer payments [92]. - The company maintains approximately 60 to 80 days of inventories, resulting in a lag in the impact of changes in raw material prices on the cost of products sold [266]. Commodity Price Sensitivity - A hypothetical 10% change in per ton resin and polymer prices would impact future annual pre-tax earnings by approximately $19.7 million [267]. - A hypothetical 10% change in per ton wood pulp prices would impact future annual pre-tax earnings by approximately $12.6 million [268]. - A hypothetical 10% change in energy prices would impact future annual pre-tax earnings by approximately $6.6 million [272]. - The average list price of northern bleached softwood kraft pulp (NBSK) for the year 2025 was $1,710 per ton, with prices ranging from $1,100 to $1,835 per ton from January 2017 to December 2025 [265]. Leadership Changes - Mativ's Chief Financial Officer, Greg Weitzel, departed effective December 31, 2025, with Scott Minder appointed as his successor starting January 1, 2026 [93][97]. Safety and ESG Commitments - The company implements a Balanced Scorecard of leading safety indicators, tracking progress on site-level safety action plans as part of its commitment to employee safety [86]. - Mativ's ESG Committee meets monthly to assess and monitor developments related to ESG matters, including risks and opportunities [90]. Geopolitical and Economic Factors - The geopolitical events in Russia and Ukraine have resulted in volatile energy prices in Europe, although supplies appear to be stable [271].

Core Insights - Mativ's full-year 2025 net sales are projected to be "just under $2 billion," reflecting a 2.5% organic growth compared to the previous year, with adjusted EBITDA at $225 million, up 3% year-over-year, and adjusted EPS increasing to $0.70 from $0.62 [1][7] Financial Performance - In Q4, Mativ reported net sales of $463 million, nearly 2% organic growth, and adjusted EBITDA of $53.5 million, which is a 19% increase year-over-year [6][8] - The company achieved record free cash flow of $94 million in 2025, up approximately 140% year-over-year, attributed to effective inventory management and cost controls [8][7] Strategic Focus - Mativ is undergoing a cultural reset emphasizing speed, accountability, and alignment with customers, shifting from a defensive to an offensive strategy aimed at market share gains and value maximization [2] - The company is prioritizing cost savings, with nearly $20 million realized in 2025 and an additional $15 million to $20 million expected in 2026 through ongoing cost actions [13][5] Segment Performance - The Filtration and Advanced Materials (FAM) segment saw Q4 net sales of $177 million, up over 5% year-over-year, with adjusted EBITDA rising 26% to $33 million [9] - The Sustainable & Adhesive Solutions (SAS) segment reported Q4 net sales of $285 million, largely flat year-over-year, but adjusted EBITDA increased more than 8% to nearly $39 million [10][11] Outlook and Challenges - Mativ anticipates entering 2026 with soft demand but expects Q1 adjusted EBITDA to rise by 15% to 20%, despite projected input cost headwinds of $20 million to $25 million [5][16][17] - The company plans to leverage AI for various operational improvements, including sales lead generation and predictive maintenance [18] Capital Expenditures and Investments - Mativ's capital expenditures for the year are projected at $45 million, with investments split between growth and efficiency projects, alongside a $10 million investment in net working capital [19]

Financial Data and Key Metrics Changes - Mativ's full year 2025 net sales were just under $2 billion, up 2.5% organically and modestly on a reported basis compared to the prior year [18] - Adjusted EBITDA for 2025 was $225 million, up 3% year-over-year, with Q4 Adjusted EBITDA increasing 19% to $53.5 million [19][24] - Free Cash Flow reached a record $94 million in 2025, more than doubling the previous year's result [10][24] Business Line Data and Key Metrics Changes - Filtration and Advanced Materials (FAM) segment net sales were up over 5% year-over-year, with adjusted EBITDA increasing by 26% [20][12] - Sustainable & Adhesive Solutions (SAS) segment sales were largely flat year-over-year on an organic basis, with adjusted EBITDA increasing by more than 8% [21][22] Market Data and Key Metrics Changes - The company faced an anemic demand environment in certain industrial sectors, particularly in Europe, impacting the SAS segment [4][12] - Despite challenges, the FAM segment showed resilience with growth in transportation and industrial filtration [36] Company Strategy and Development Direction - Mativ's strategy focuses on three pillars: enhancing commercial excellence, strengthening the balance sheet, and optimizing the portfolio [7][10] - The company aims to leverage AI as a foundational enterprise capability to drive productivity and operational improvements [16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by geopolitical instability and dynamic trade movements but expressed confidence in Mativ's ability to navigate these complexities [13][15] - The outlook for 2026 includes expectations for continued cost-saving initiatives and a focus on profitable growth [29][30] Other Important Information - The company reduced net debt by over $60 million in 2025, with a target leverage range of 2.5-3.5 times [24][29] - Mativ plans to invest $45 million in capital expenditures in 2026, split between growth and efficiency projects [26] Q&A Session Summary Question: Details on headwinds within SAS and potential catalysts for improvement - Management noted weakness in automotive labels and industrial tapes, but expressed optimism for growth in release liners and other categories in 2026 [35][36] Question: Sustainability of momentum in FAM - Management highlighted ongoing investments and improvements in the FAM segment, expecting continued growth despite market challenges [36][37] Question: Cadence of free cash flow in 2026 - Management anticipates a small decline in free cash flow from 2025's record levels, primarily due to funding growth initiatives [38][39] Question: Guidance for Q1 and market conditions - Management expects low single-digit volume growth in Q1, with EBITDA growth of 15%-20% driven by operational improvements [46][52] Question: Commercial pipeline and performance relative to the market - Management emphasized a focused approach to the commercial pipeline, with strong customer collaboration and optimism for performance in both SAS and FAM segments [56]

Financial Data and Key Metrics Changes - Mativ's full year 2025 net sales were just under $2 billion, up 2.5% organically and modestly on a reported basis compared to the prior year [17] - Adjusted EBITDA for 2025 was $225 million, up 3% year-over-year, with Q4 Adjusted EBITDA increasing 19% to $53.5 million [18][22] - Free cash flow reached a record $94 million in 2025, more than doubling the previous year's result [22][23] Business Line Data and Key Metrics Changes - Filtration and Advanced Materials (FAM) segment net sales were up over 5% year-over-year, with adjusted EBITDA increasing by 26% [19][20] - Sustainable & Adhesive Solutions (SAS) segment sales were largely flat year-over-year on an organic basis, with adjusted EBITDA increasing by more than 8% [20][21] Market Data and Key Metrics Changes - The company faced headwinds in certain markets, particularly in automotive labels and release liners in Europe, impacting the SAS segment [33][49] - Despite challenges, FAM segment showed growth in transportation and industrial filtration, indicating resilience in specific market categories [35][56] Company Strategy and Development Direction - Mativ's strategy focuses on three pillars: enhancing commercial excellence, strengthening the balance sheet, and optimizing the portfolio [6][10] - The company aims to leverage AI as a foundational enterprise capability to drive productivity and operational improvements [15] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a complex macroeconomic environment with dynamic trade movements and geopolitical instability, emphasizing the need for agility [12][28] - For 2026, the company anticipates continued focus on cost-saving initiatives, with expected savings of $15 million to $20 million [27] Other Important Information - Mativ reduced net debt by over $60 million in 2025, ending the year with a net leverage ratio of 4.2 times [23][40] - The company plans to invest $45 million in capital expenditures in 2026, split between growth and efficiency projects [25] Q&A Session Summary Question: Details on headwinds within SAS and potential catalysts for improvement - Management noted weakness in automotive tapes and release liners, but expressed optimism about growth opportunities in other categories and regions [33][34] Question: Sustainability of momentum in FAM segment - Management highlighted ongoing investments and improvements in the FAM segment, expecting continued growth despite market challenges [35][36] Question: Free cash flow expectations for 2026 - Management indicated a small decline in free cash flow from 2025's record levels, primarily due to funding growth initiatives [37][38] Question: Guidance for Q1 and market conditions - Management expects low single-digit volume growth in Q1, with EBITDA growth of 15%-20% despite soft demand [45][52] Question: Commercial pipeline performance relative to market - Management emphasized a focused approach to the commercial pipeline, with strong customer collaboration and improved operational metrics [56]

Financial Data and Key Metrics Changes - Mativ's full year 2025 net sales were just under $2 billion, up 2.5% organically and modestly on a reported basis compared to the prior year [18] - Adjusted EBITDA for 2025 was $225 million, up 3% versus the prior year, with a favorable price to input cost ratio and lower SG&A expenses contributing to this growth [18][19] - Free Cash Flow reached a record $94 million in 2025, more than doubling the previous year's result, driven by operating cash flow of nearly $134 million, which increased by over 40% compared to the prior year [24] Business Line Data and Key Metrics Changes - In Q4, net sales for the Filtration and Advanced Materials (FAM) segment were $177 million, up over 5% year-over-year, with adjusted EBITDA increasing by 26% to $33 million [20] - The Sustainable & Adhesive Solutions (SAS) segment saw net sales of $285 million, largely flat year-over-year on an organic basis, with adjusted EBITDA of nearly $39 million, increasing by more than 8% year-over-year [21] Market Data and Key Metrics Changes - The company faced headwinds in the SAS segment, particularly in automotive tapes and release liners in Europe, but remains optimistic about overcoming these challenges [12][35] - The FAM segment experienced growth in transportation and industrial filtration, indicating resilience despite market volatility [36] Company Strategy and Development Direction - Mativ's strategy is built on three pillars: enhancing commercial excellence, strengthening the balance sheet, and optimizing the portfolio [6][30] - The company is focusing on cash flow generation and disciplined capital deployment, with an expectation of $15 million-$20 million in additional cost savings in 2026 [28] Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of agility in navigating a complex macroeconomic environment characterized by geopolitical instability and trade dynamics [13] - The company is optimistic about its ability to adapt and grow, with a focus on profitable growth and execution in 2026 [15][30] Other Important Information - Mativ's cultural transformation has fostered agility, speed, and accountability, which are seen as critical to navigating market challenges [5] - The company plans to leverage AI as a foundational enterprise capability to enhance productivity and operational efficiency [16] Q&A Session Summary Question: Can you provide more detail on the specific businesses under pressure in SAS and potential catalysts for improvement? - Management noted weakness in automotive labels and release liners in Europe but is optimistic about growth opportunities in North America and Europe [35][36] Question: How sustainable is the momentum in FAM given the current demand backdrop? - Management expressed confidence in the sustainability of growth in FAM, particularly in transportation and industrial filtration, supported by strategic investments [36][37] Question: What is the expected cadence of free cash flow in 2026? - Management anticipates a small decline in free cash flow from 2025's record levels, primarily to fund growth initiatives, with a seasonal pattern expected [39][40]

Driving Enhanced Commercial Excellence Strengthening Our Balance Sheet Mativ Fourth Quarter and Full Year 2025 Earnings Release Presentation February 2026 Forward Looking Statements, Non-GAAP Disclosure, & Definitions This presentation may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws that are subject to the safe harbor created by such laws and other legal protections. Caution should be taken not to place und ...

分组1 - Mativ Holdings reported quarterly earnings of $0.15 per share, exceeding the Zacks Consensus Estimate of $0.09 per share, and showing an increase from $0.05 per share a year ago, resulting in an earnings surprise of +66.67% [1] - The company achieved revenues of $463.1 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 0.43% and showing growth from $458.6 million year-over-year [2] - Mativ Holdings has outperformed the S&P 500 with a 17.4% increase in share price since the beginning of the year, while the S&P 500 has shown a zero return [3] 分组2 - The earnings outlook for Mativ Holdings is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes in these expectations [4] - The estimate revisions trend for Mativ Holdings was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] - The current consensus EPS estimate for the upcoming quarter is $0.02 on revenues of $502.4 million, and for the current fiscal year, it is $1.00 on revenues of $2.05 billion [7] 分组3 - The Chemical - Specialty industry, to which Mativ Holdings belongs, is currently ranked in the bottom 25% of over 250 Zacks industries, which may impact stock performance [8] - Another company in the same industry, Balchem, is expected to report quarterly earnings of $1.29 per share, reflecting a year-over-year change of +25.2%, with revenues projected to be $264.03 million, up 10% from the previous year [9]

Financial Performance - Q4 2025 sales reached $463.1 million, a 1.0% increase year-over-year, with adjusted EBITDA of $53.5 million, up 19% from the previous year[7] - Full-year 2025 sales totaled $1,987.0 million, a 0.3% increase year-over-year, with record free cash flow of $93.8 million, up 139% compared to the prior year[7] - Adjusted EBITDA margin for Q4 2025 was 11.6%, an increase of 180 basis points year-over-year, while full-year adjusted EBITDA margin was 11.3%, up 30 basis points[7] - The company reported a net income of $100.8 million in Q4 2025, a significant increase from $1.5 million in Q4 2024[31] - The net income for the year ended December 31, 2025, was $100.8 million, a significant improvement from a net loss of $337.4 million in 2024[42] - Adjusted EBITDA for the year ended December 31, 2025, reached $224.7 million, up from $218.0 million in 2024, indicating a 3% growth[42] - The diluted earnings per share for the three months ended December 31, 2025, was $1.80, a significant increase from $0.03 in the same period of 2024[41] - Adjusted income for the year ended December 31, 2025, was $42.6 million, compared to $34.1 million in 2024, reflecting a 25% increase[41] Segment Performance - The Filtration & Advanced Materials segment reported Q4 2025 sales of $177.2 million, a 5.6% increase from Q4 2024, driven by higher volume and favorable currency translation[8] - The Sustainable & Adhesive Solutions segment had Q4 2025 sales of $285.9 million, down 1.7% year-over-year, primarily due to lower volume/mix despite favorable currency translation[10] - The FAM segment reported net sales of $177.2 million, a 5.6% increase from $167.8 million in the same period last year[34] - The SAS segment experienced a slight decline in net sales, down 1.7% to $285.9 million from $290.8 million[34] - Adjusted operating profit for the FAM segment increased by 14.8% to $26.3 million, with a return on net sales of 14.8%[37] - The SAS segment's adjusted operating profit rose by 9.3% to $26.7 million, achieving a return on net sales of 9.3%[37] Cash Flow and Debt - Cash from operating activities for the full year 2025 was $133.8 million, a 41% increase compared to the previous year[7] - Total debt as of December 31, 2025, was $1,018.2 million, with net debt of $934.0 million after accounting for cash and cash equivalents of $84.2 million[16] - Cash and cash equivalents at the end of 2025 were $89.8 million, down from $94.3 million at the end of 2024[33] - Total debt as of December 31, 2025, was $1,018.2 million, down from $1,089.3 million in 2024[42] - Net debt decreased to $934.0 million as of December 31, 2025, compared to $995.0 million in 2024, showing a reduction of 6%[42] - Free cash flow for the year ended December 31, 2025, was $93.8 million, compared to $39.2 million in 2024, representing an increase of 139%[42] Operational Highlights - Management highlighted a focus on disciplined operational execution and prudent inventory management as key drivers of performance in 2025[5] - The company anticipates continued growth and value creation in 2026, despite navigating an environment of anemic market demand[6] - Organic growth for the consolidated Mativ was 1.9% for the three months ended December 31, 2025[40] Impairments and Expenses - The company experienced a goodwill impairment expense of $411.9 million in 2025, compared to none in 2024[33] - The company reported a significant increase in restructuring and impairment expenses, totaling $431.8 million for the year ended December 31, 2025, compared to $38.1 million in 2024[36] Assets and Liabilities - Total assets decreased to $2,051.6 million in 2025 from $2,447.9 million in 2024[32] - Long-term debt decreased to $1,015.3 million in 2025 from $1,086.7 million in 2024[32] - The company’s total liabilities decreased slightly to $1,552.9 million in 2025 from $1,589.4 million in 2024[32]

Core Insights - Mativ Holdings, Inc. (MATV) has made a strategic equity investment in Miru Smart Technologies to accelerate the commercialization of dynamic electrochromic eWindow technology for automotive applications [1][7] Group 1: Partnership and Investment - The collaboration between Mativ and Miru builds on their 2024 joint development agreement, focusing on transitioning the technology from technical validation to large-scale production [2] - Mativ's investment will support Miru's goal of delivering 10 million square feet of eWindows by 2028, leveraging Mativ's global extrusion capabilities and Argotec high-performance TPU films [2][7] Group 2: Technological Achievements - The companies have achieved significant milestones, including the creation of one of the largest compound-curved electrochromic sunroofs in the industry and securing early commercial orders from leading glass manufacturers [3] - Their combined technology is recognized for its neutral tint, high clarity, effective solar-heat management, and the potential to improve electric vehicle (EV) driving range by up to 10% [3][7] Group 3: Market Performance - Shares of MATV have increased by 27.2% over the past year, contrasting with a 0.1% decline in the industry [5] - MATV currently holds a Zacks Rank of 3 (Hold), while other companies in the Basic Materials sector, such as Albemarle Corporation and LSB Industries, have higher rankings [6]

Company Announcement - Mativ Holdings, Inc. announced the appointment of Scott Minder as Chief Financial Officer, effective January 1, 2026, succeeding Greg Weitzel, who will remain until December 31, 2025 [1] Executive Profile - Scott Minder brings over 30 years of experience in finance, treasury, and investor relations across global companies in industrial, manufacturing, and automotive sectors [2] - Prior to joining Mativ, Minder served as SVP, CFO, and Treasurer for Hyster-Yale, Inc., where he led a financial turnaround and strengthened the balance sheet through significant deleveraging [2] Leadership Perspective - Shruti Singhal, President and CEO of Mativ, expressed confidence in Minder's ability to enhance financial performance and achieve strategic objectives, emphasizing the importance of his turnaround experience [3] - Minder expressed excitement about joining Mativ during a pivotal time and aims to build on the company's recent turnaround efforts while focusing on long-term shareholder value [3] Company Overview - Mativ Holdings, Inc. is a global leader in specialty materials, providing innovative solutions across various sectors, with operations on three continents and sales in over 80 countries [4] - The company operates in two segments: Filtration & Advanced Materials and Sustainable & Adhesive Solutions, targeting premium applications across diverse categories [4]