Fri, Apr 25, 7:38 PM (28 days ago)
**Minerals Technologies Inc. (MTX) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** $491.8 million, down 8% from $534.5 million in Q1 2024 due to softer demand and unfavorable foreign exchange rates. - **Net Loss:** $144.0 million, compared to a net income of $46.7 million in Q1 2024. - **Earnings per Share (EPS):** Basic and diluted loss of $4.51, compared to earnings of $1.45 and $1.44, respectively, in Q1 2024. - **Operating Loss:** $160.1 million, including a $215 million provision for litigation reserve and $5.5 million in restructuring costs. - **Cash Flow:** $4.4 million used in operations, with $312.2 million in cash and short-term investments, and over $650 million in available liquidity. **Profit Margins:** - **Production Margin:** 24.3% of sales, down from 25.4% in Q1 2024. - **Operating Margin:** Negative due to significant litigation and restructuring costs. **Segment Performance:** - **Consumer & Specialties:** Sales down 10% to $268.3 million, with income from operations at $27.5 million. - **Engineered Solutions:** Sales down 6% to $223.5 million, with income from operations at $33.6 million. **Trends and Uncertainties:** - **Tariffs:** Increased uncertainty due to additional tariffs and reciprocal actions by other nations. - **Litigation:** Significant litigation costs related to asbestos-contaminated talc products, with ongoing Chapter 11 cases and discussions for a potential consensual plan of reorganization. - **Future Operations:** Focus on innovation, new product development, and selective acquisitions to drive growth. **Outlook:** - **Growth Initiatives:** Plans to increase market share in various product lines and expand into new applications. - **Financial Covenants:** Commitment to maintain a maximum Net Leverage Ratio of 4.00 to 1.00, with the ability to increase to 5.00 to 1.00 for significant acquisitions. - **Capital Expenditures:** Approximately $90 million expected for 2025, primarily for operational improvements and strategic growth objectives. **Ticker:** MTX