Materion Net Sales Reach $1.2 Billion in 2018
According to Materion, strong commercial execution across many of its top end markets, along with new product and new application wins, contributed to growth.
Materion Corp. recently reported its financial results for the fourth quarter and full year 2018. Net sales for the fourth quarter were $298.1 million, compared to $308.7 million in the 2017 fourth quarter. Value-added sales of $185.8 million were a fourth quarter record, up 3% from the prior year. Continued focus on commercial excellence initiatives and application wins reportedly led to sales growth despite softening market conditions in the fourth quarter.
The fourth quarter 2018 net loss was $20.8 million, as a result of a non-cash, non-operating pension settlement charge of approximately $41 million for annuitizing a portion of the U.S. pension obligations. On an adjusted basis, net income was $13.4 million, an increase of 27% compared to the fourth quarter of 2017.
Net sales in 2018 were $1.2 billion, compared to $1.1 billion in 2017. Value-added sales were a record of $739 million, up 9% compared to $677.7 million for the prior year. According to Materion, strong commercial execution across many of its top end markets, along with new product and new application wins, contributed to growth.
Operating profit for the full year was $61.5 million vs. $40 million in 2017. Adjusted operating profit was an all-time record of $66 million, up 39% from the prior year. This is reportedly the company’s second consecutive year of delivering greater than 30% profit growth.
“We had an exceptional quarter and year as our multi-pillar strategy continued to drive significant improvements across the company,” said Jugal Vijayvargiya, president and CEO. “Our team achieved record results for employee safety, value-added sales, and adjusted operating profit and EPS, despite softening market conditions in the fourth quarter. We have now delivered eight consecutive quarters of sales and profit growth. Going into 2019, we have established a solid base for sales and profit growth and expect to deliver double-digit profit growth for the third consecutive year.”
Additional details are available at https://materion.com.