Ascent Industries Reports Second Quarter 2025 Results

About this update from Ascent Industries Co.

SCHAUMBURG, Ill., August 06, 2025 --( BUSINESS WIRE )--Ascent Industries Co. (Nasdaq: ACNT) ("Ascent" or the "Company"), a specialty chemicals platform focused on the development, production, and distribution of tailored, performance-driven chemical solutions, is reporting its results for the second quarter ended June 30, 2025. Second Quarter 2025 Summary 1 Management Commentary "In Q2 2025, we delivered on our portfolio-optimization commitments—completing the sale of BRISMET in April and ASTI in June—to fully transform Ascent into a pure-play specialty chemicals company," said Bryan Kitchen, CEO of Ascent Industries. "Even amid muted end-market demand and navigating two divestitures, our team delivered $4.9 million in gross profit from continuing operations in Q2 2025, lifting gross margin to 26.1%—up 1,298 basis points versus 13.1% in Q2 2024 and up 888 basis points versus 17% in Q1 2025— improvements reflective of our relentless focus on cost management, strategic sourcing, and ongoing product-line optimization." "We are energized by a growing pipeline of high-quality growth opportunities and remain committed to driving durable value for our shareholders. Underscoring our confidence and commitment, we repurchased 644,171 shares—about 6% of our outstanding stock—in Q2 2025, returning cash directly to shareholders." Second Quarter 2025 Financial Results Net sales from continuing operations were $18.7 million compared to $21.5 million in the second quarter of 2024. The decline was a result of lower volume partially offset by increased average selling prices. Gross profit from continuing operations increased 73.0% to $4.9 million, or 26.1% of net sales, compared to $2.8 million, or 13.1% of net sales, in the second quarter of 2024. The increase was primarily driven by continued cost management, improved strategic sourcing, and continued product line optimization. Net loss from continuing operations increased to ($2.4) million, or ($0.25) diluted loss per share compared to a net loss from continuing operations of ($1.5) million, or ($0.14) diluted loss per share, in the second quarter of 2024. Excluding the one-time asset impairment charge in the quarter, net loss from continuing operations decreased to ($0.8) million. Adjusted EBITDA remained flat to prior year at ($0.3) million in the second quarter of 2025, with adjusted EBITDA margin decreasing to (1.8)% compared to (1.3)% in the prior year period. The decrease was primarily driven by the aforementioned decline in sales in the quarter. On April 4, 2025, the Company closed on the sale of substantially all of the assets of Bristol Metals, LLC. ("BRISMET") for a transaction price of $45 million in cash, subject to working capital and other closing adjustments. On June 30, 2025, the Company closed on a transaction to sell substantially all of the assets of American Stainless Tubing, Inc ("ASTI") for a transaction price of $16 million in cash, subject to working capital and other closing adjustments. As a result of these transactions, financial results from BRISMET and ASTI have been categorized into discontinued operations and the Company no longer has any operating tubular assets. Liquidity As of June 30, 2025, the Company had $60.5 million in cash and cash equivalents, no debt outstanding under its revolving credit facilities and had $13.4 million in availability under its revolving credit facility. For the quarter ended June 30, 2025, the Company repurchased 644,171 shares at an average cost of $12.15 per share for approximately $7.8 million. Conference Call Ascent will hold a conference call today at 5:00 p.m. Eastern time to discuss its financial results for the second quarter ended June 30, 2025. Ascent management will host the conference call, followed by a question-and-answer period. Date: Wednesday, August 6, 2025 Time: 5:00 p.m. Eastern time Webcast Registration Link: Here Toll-free dial-in number: 800-715-9871 International dial-in number: 646-307-1963 Conference ID: 2734329 Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group, Inc. at 1-949-574-3860. The conference call will also be broadcast live and available for replay via the webcast registration link above or here . The webcast will be archived for one year in the investor relations section of the Company’s website at www.ascentco.com . About Ascent Industries Co. Ascent Industries Co. (Nasdaq: ACNT) is a specialty chemicals platform focused on the development, production, and distribution of tailored, performance-driven chemical solutions. For more information about Ascent, please visit its website at www.ascentco.com . Forward-Looking Statements This press release may include "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and other applicable federal securities laws. All statements that are not historical facts are forward-looking statements. Forward looking statements can be identified through the use of words such as "estimate," "project," "intend," "expect," "believe," "should," "anticipate," "hope," "optimistic," "plan," "outlook," "should," "could," "may" and similar expressions. The forward-looking statements are subject to certain risks and uncertainties which could cause actual results to differ materially from historical results or those anticipated. Readers are cautioned not to place undue reliance on these forward-looking statements and to review the risks as set forth in more detail in Ascent Industries Co.’s Securities and Exchange Commission filings, including our Annual Report on Form 10-K, which filings are available from the SEC or on our website. Ascent Industries Co. assumes no obligation to update any forward-looking information included in this release. Non-GAAP Financial Information Financial statement information included in this earnings release includes non-GAAP (Generally Accepted Accounting Principles) measures and should be read along with the accompanying tables which provide a reconciliation of non-GAAP measures to GAAP measures. Adjusted EBITDA is a non-GAAP financial measure that the Company believes is useful to investors in evaluating its results to determine the value of a company. An item is excluded in the measure if its periodic value is inconsistent and sufficiently material that not identifying the item would render period comparability less meaningful to the reader or if including the item provides a clearer representation of normalized periodic earnings. The Company excludes in Adjusted EBITDA two categories of items: 1) Base EBITDA components, including: interest expense, income taxes, depreciation and amortization, and 2) Material transaction costs including: goodwill impairment, asset impairment, gain on lease modification, stock-based compensation, non-cash lease cost, acquisition costs and other fees, shelf registration costs, loss on extinguishment of debt, retention costs and restructuring & severance costs from net income (loss). Management believes that these non-GAAP measures are useful because they are key measures used by our management team to evaluate our operating performance, generate future operating plans and make strategic decisions as well as allow readers to compare the financial results between periods. Non-GAAP measures should not be considered as an alternative to any measure of performance or financial condition as promulgated under GAAP, and investors should consider the Company's performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the Company's results or financial condition as reported under GAAP.         View source version on businesswire.com: https://www.businesswire.com/news/home/20250806165896/en/ Contacts Company Contact Ryan Kavalauskas Chief Financial Officer 1-630-884-9181 Investor Relations Ralf Esper Gateway Group, Inc. 1-949-574-3860 [email protected]

View stock analysis, news, and events for Ascent Industries Co.