Overview

• Specialty materials maker's Q1 sales fell 1.1% yr/yr, adjusted EPS turned positive

• Adjusted EBITDA for Q1 rose 28% yr/yr, driven by cost efficiencies and pricing

• Company improved profitability despite lower sales amid turbulent market conditions

Outlook

• Company expects favorable price versus input costs and manufacturing efficiencies to continue in 2026

• Mativ says turbulent macroeconomic and demand environment persists

• Company remains focused on operational improvements and leverage reduction

Result Drivers

• PRICE VS INPUT COSTS - Co said improved profitability and margins were driven by favorable price versus input costs

• MANUFACTURING EFFICIENCIES - Co attributed margin expansion to ongoing manufacturing and supply chain efficiencies

• SEGMENT SALES TRENDS - FAM segment saw organic sales growth, while SAS segment sales declined due to lower volume/mix, partially offset by higher prices and favorable currency

Company press release: ID:nBw52jpJMa

Key Details

Analyst Coverage

• Wall Street's median 12-month price target for Mativ Holdings Inc is $21.00, about 129.8% above its May 5 closing price of $9.14

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 12 three months ago

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