Overview
Mativ Q2 sales rise 0.3% yr/yr, beating analyst expectations
Adjusted EPS for Q2 beats consensus, adjusted EBITDA also exceeds estimates
Outlook
Mativ focuses on strong year-over-year adjusted EBITDA improvement
Company aims to enhance free cash flow for remainder of year
Mativ's strategic portfolio review underway to reduce leverage
Result Drivers
SAS SEGMENT GROWTH - Higher organic volume and selling prices drove a 5% organic sales increase in the SAS segment
COST MANAGEMENT - Lower SG&A expenses and favorable cost mix contributed to adjusted EBITDA growth, despite higher manufacturing and distribution costs
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$525.40 mln
$505 mln (1 Analyst)
Q2 Adjusted EPS
Beat
$0.33
$0.18 (1 Analyst)
Q2 EPS
-$0.18
Q2 Adjusted EBITDA
Beat
$67.20 mln
$58 mln (1 Analyst)
Analyst Coverage
The one available analyst rating on the shares is "strong buy"
Wall Street's median 12-month price target for Mativ Holdings Inc is $13.00, about 49.5% above its August 5 closing price of $6.56
The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 6 three months ago
Press Release: ID:nBw561xp5a
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)