Core Insights - DMC Global Inc. reported a consolidated sales of $151.5 million for Q3 2025, reflecting a 1% decrease year-over-year and a 3% sequential decline [1][8] - Adjusted EBITDA attributable to DMC was $8.6 million, representing a 51% increase compared to the same period last year, but a 37% decrease sequentially [1][8] Financial Performance - Consolidated sales decreased to $151.5 million from $155.5 million in Q2 2025 and $152.4 million in Q3 2024 [10] - The net loss attributable to DMC was $3.1 million, with an adjusted net loss of $1.6 million or $(0.08) per diluted share [8][10] - Adjusted EBITDA attributable to DMC was $8.6 million, while total adjusted EBITDA, including non-controlling interest, was $12.0 million [8][10] Segment Performance Arcadia Products - Sales were $61.7 million, up 7% year-over-year but down 1% sequentially [2] - Adjusted EBITDA more than doubled to $5.1 million from $2.0 million in the year-ago quarter [2] - The business is stabilizing despite high interest rates affecting market activity [2] DynaEnergetics - Reported sales of $68.9 million, down 1% year-over-year and up 3% sequentially [3] - Adjusted EBITDA was $4.9 million, a significant increase from breakeven results in the year-ago quarter [3] - Margins were impacted by lower product pricing and higher costs due to tariffs [3] NobelClad - Sales were $20.9 million, down 16% year-over-year and down 21% sequentially [4] - Adjusted EBITDA was $2.1 million, down 64% compared to the same period last year [4] - The business received a $20 million order for an international petrochemical project, marking the largest order in its history [5] Guidance - For Q4 2025, sales are expected to range from $140 million to $150 million, with adjusted EBITDA anticipated between $5 million and $8 million [7] - Guidance reflects the impact of declining U.S. bookings and ongoing challenges in the North American market [7][9]

Core Viewpoint - DMC Global Inc. reported a decline in sales and adjusted EBITDA for the second quarter of 2025, reflecting challenging market conditions across its business segments, particularly in the architectural building products and energy sectors [1][2][3]. Financial Performance - Consolidated second-quarter sales totaled $155.5 million, a decline of 2% sequentially and 9% year-over-year [1][7]. - Adjusted EBITDA attributable to DMC was $13.5 million, down 6% sequentially and 30% compared to the same period last year, but above management's guidance [1][7]. - Net income attributable to DMC was $0.1 million, with adjusted net income of $2.5 million, or $0.12 per diluted share [7][20]. Segment Performance Arcadia (Architectural Building Products) - Sales were $62.0 million, down 5% sequentially and 11% year-over-year [2][9]. - Adjusted EBITDA was $4.0 million, down 28% sequentially and 46% year-over-year, primarily due to lower absorption of fixed manufacturing overhead [2][9]. DynaEnergetics (Energy Products) - Reported sales of $66.9 million, up 2% sequentially but down 12% year-over-year [3][10]. - Adjusted EBITDA was $9.0 million, up 22% sequentially and 3% year-over-year, attributed to lower material costs [3][10]. NobelClad (Composite Metals) - Sales were $26.6 million, down 5% sequentially but up 6% year-over-year [4][11]. - Adjusted EBITDA was $4.4 million, down 19% from the previous quarter and 23% from the year-ago period, mainly due to a less favorable order mix [4][11]. Guidance and Market Outlook - For the third quarter, sales are expected to be in the range of $142 million to $150 million, with adjusted EBITDA anticipated between $8 million and $12 million [6][19]. - The guidance reflects increased uncertainty in DMC's end markets, particularly in the U.S. construction industry and energy markets, influenced by macroeconomic concerns and tariff policies [6][19]. Debt and Financial Position - Total debt was reduced by 17% year-to-date, and the company amended its credit facility to enhance financial flexibility [5][7].