Materion Corporation · NYSE:MTRN
Materion — Q3 2026 Earnings Presentation
26 slides from Materion's earnings presentation, Nov 4, 2026
Slide 1: Materion Corporation 3Q 2026 Earnings Presentation
Materion Corporation 3Q 2026 Earnings Presentation November 4, 2026 © 2026 Materion Corporation
Slide 2: Agenda
Agenda Introduction Kyle Kelleher – Director, Investor Relations and Corporate FP&A Opening Remarks & Jugal Vijayvargiya – President and Chief Executive Officer Business Update Financial Shelly Chadwick – Vice President and Chief Financial Officer Review Q&A Question and Answer Session © 2026 Materi
Slide 3: Forward-looking Statements and Non-GAAP Financial Information
Forward-looking Statements and Non-GAAP Financial Information These slides contain (and the accompanying oral discussion will contain, where applicable) “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements involve known and unknown
Slide 4: Opening Remarks & Business Update
Opening Remarks & Business Update Jugal Vijayvargiya President and Chief Executive Officer © 2026 Materion Corporation 4
Slide 5: Q3 2026 Highlights
Q3 2026 Highlights Delivering Another Quarter of Record Sales, Earnings and Backlog Record value-added (VA) sales of $313.7 million, up 19% YoY ▪ Driven primarily by all-time high semiconductor sales and continued strength in both aerospace & defense and telecom & data center ▪ Each business segment
Slide 6: End Market Performance
End Market Performance Q3 2026 Market VA Sales vs. Q3 2025 Comments ▪ Delivered all-time high quarterly sales driven by strong market growth and new business wins Semiconductor $93.3 40% ▪ Fifth consecutive quarter of YoY growth Aerospace & ▪ Strength driven by double-digit growth across defense, sp
Slide 7: 2026 Sales Outlook Strengthens as Backlog Grows for Fifth Consecutive Quarter
2026 Sales Outlook Strengthens as Backlog Grows for Fifth Consecutive Quarter ▪ Exited the quarter with record backlog, up ~35% YoY and up ~25% since the beginning of the year ▪ YTD 2026 incoming orders reached a new high, increasing ~25% YoY ▪ Strong momentum continues in defense with record ~$140M
Slide 8: Key Takeaways
Key Takeaways ▪ Delivered record quarterly VA sales and earnings ▪ Highest quarterly semiconductor sales in company history ▪ Each business segment delivered double-digit YoY growth on top and bottom-line ▪ Generated strong free cash flow of ~$46M in the quarter, conversion of 120% ▪ Positioned to d
Slide 9: Financial Review
Financial Review Shelly Chadwick Vice President and Chief Financial Officer © 2026 Materion Corporation 9
Slide 10: Q3 2026 Operating Performance
Q3 2026 Operating Performance Value-added Sales ($M) Adj. EBITDA ($M) Adj. EPS $313.7 $1.93 $70.7 +19% +27% +37% $263.9 $55.5 $1.41 22.5% 21.0% Q3 2025 Q3 2026 Q3 2025 Q3 2026 Q3 2025 Q3 2026 Record value-added sales of $313.7 million, up Adjusted EBITDA of $70.7 million, or 22.5% of VA Record Adjus
Slide 11: Q3 2026 Financial Comparison
Q3 2026 Financial Comparison Adjusted EBITDA of $70.7 million, or 22.5% of VA, up 150 bps YoY ▪ Increase driven primarily by higher volume and strong price/mix ▪ Other includes incentive compensation and currency impact ▪ Continued progress towards mid-term adjusted EBITDA margin target of 23% 20.8%
Slide 12: Performance Materials Segment
Performance Materials Segment Value-added Sales ($M) Adj. EBITDA ($M) Value-added sales of $178.7 million, up 14% YoY ▪ Increase driven primarily by market growth and new $178.7 business in aerospace & defense, telecom & data $42.6 center and industrial $157.1 $38.0 +14% ▪ Second consecutive quarter
Slide 13: Electronic Materials Segment
Electronic Materials Segment Value-added Sales ($M) Adj. EBITDA ($M) Value-added sales of $103.4 million, up 30% YoY $103.4 $33.2 ▪ Record organic* sales driven by significant strength across the semiconductor market +54% ▪ New business wins and accelerating broad-based +30% demand are fueling sales
Slide 14: Precision Optics Segment
Precision Optics Segment Value-added Sales ($M) Adj. EBITDA ($M) Value-added sales of $31.6 million, up 17% YoY ▪ Increase driven by new business wins and market strength across most end markets $31.6 $5.5 ▪ Sixth consecutive quarter of top-line $27.1 improvement, the highest quarterly sales since +
Slide 15: Cash, Debt and Liquidity
Cash, Debt and Liquidity Strong free cash flow generation of ~$46M in the ($M) Q3 2025 Q3 2026 quarter; 120% conversion Short-term Debt $10.2 $19.6 Leverage at low end of target range of 1.5x – 3x Approximately $276 million available on the Long-term Debt $446.8 $377.4 revolving credit facility Tota
Slide 16: Full Year 2026 Guidance
Full Year 2026 Guidance Adj. EPS Guidance $7.10 - $7.40 ~33% 2026 Guidance $5.44 ▪ Raising full-year adjusted EPS guidance to $7.10 - $7.40, an increase of ~33% YoY at the midpoint ▪ Expect strong top and bottom-line performance in Q4 to close out record 2026 2025 2026E 2026 Modeling Assumptions Cap
Slide 17: Invest in Materion as We Advance Our Strategy
Invest in Materion as We Advance Our Strategy Becoming a global leader in high-performing advanced materials serving diverse and attractive markets well-aligned with megatrends Building robust pipeline with investments in R&D as we focus on developing innovative solutions for our customers Leveragin
Slide 18: Reconciliation for Value-added Sales
Reconciliation for Value-added Sales The cost of gold, silver, platinum, palladium, copper, ruthenium, iridium, rhodium, rhenium, and osmium is passed through to customers and, therefore, the trends and comparisons of net sales are affected by movements in the market price of these metals. The use o
Slide 19: Reconciliation for Non-GAAP Measures
Reconciliation for Non-GAAP Measures We have adjusted the results for certain special items such as restructuring and cost reduction initiatives (including costs associated with temporarily idled facilities), Electronic Materials inventory adjustment, business transformation costs, environmental rem
Slide 20: Reconciliation for Non-GAAP Measures (Cont.)
Reconciliation for Non-GAAP Measures (Cont.) We have adjusted the results for certain special items such as restructuring and cost reduction initiatives (including costs associated with temporarily idled facilities), Electronic Materials inventory adjustment, business transformation costs, environme
Slide 21: Reconciliation for Non-GAAP Measures (Cont.)
Reconciliation for Non-GAAP Measures (Cont.) We have adjusted the results for certain special items such as restructuring and cost reduction initiatives (including costs associated with temporarily idled facilities), Electronic Materials inventory adjustment, business transformation costs, environme
Slide 22: Reconciliation for Non-GAAP Measures (Cont.)
Reconciliation for Non-GAAP Measures (Cont.) We have adjusted the results for certain special items such as restructuring and cost reduction initiatives (including costs associated with temporarily idled facilities), Electronic Materials inventory adjustment, business transformation costs, environme
Slide 23: Reconciliation for Non-GAAP Measures (Cont.)
Reconciliation for Non-GAAP Measures (Cont.) We have adjusted the results for certain special items such as restructuring and cost reduction initiatives (including costs associated with temporarily idled facilities), Electronic Materials inventory adjustment, business transformation costs, environme
Slide 24: Reconciliation for Non-GAAP Measures (Cont.)
Reconciliation for Non-GAAP Measures (Cont.) ($ in millions) Q3 2026 Q3 2025 Q3 2026 TTM Q3 2025 TTM GAAP as Reported Net income $ 38.3 $ 25.4 $ 103.1 $ 19.4 Income tax expense (benefit) 5.9 2.7 9.9 12.2 Interest expense 6.6 7.6 29.7 31.6 Depreciation, depletion, and amortization 19.7 17.5 74.8 68.8
Slide 25: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation © 2026 Materion Corporation 25
Slide 26: Materion enables what's next
Materion enables what’s next Materion Corporation +1 216.486.4200 http://www.materion.com Connect With Us © 2025 Materion Corporation