MINERALS TECHNOLOGIES INC

Previous wording

Net income in the second quarter of 2025 was $45.4 million, as compared to income of $19.7 million in the second quarter of 2024. Diluted earnings in the second quarter of 2025 was $1.44 per share, as compared with earnings of $0.61 per share in the second quarter of 2024.

Current wording

Net income in the third quarter of 2025 was $43.0 million, as compared to income of $46.7 million in the third quarter of 2024. Diluted earnings in the third quarter of 2025 was $1.37 per share, as compared with earnings of $1.45 per share in the third quarter of 2024.

Previous wording

Our balance sheet continues to be strong. The Company repurchased $19 million in shares in the second quarter of 2025 under our $200 million buyback program. Cash, cash equivalents and short-term investments were $319.9 million as of June 29, 2025 and the Company had more than $650 million of available liquidity, including cash on hand as well as availability under its revolving credit facility. We believe that these factors will allow us to meet our anticipated funding requirements.

Current wording

Our balance sheet continues to be strong. The Company repurchased $17 million in shares in the third quarter of 2025 under our $200 million buyback program. Cash, cash equivalents and short-term investments were $328.3 million as of September 28, 2025 and the Company had more than $700 million of available liquidity, including cash on hand as well as availability under its revolving credit facility. We believe that these factors will allow us to meet our anticipated funding requirements.

Previous wording

Net sales in the United States increased slightly to $281.9 million in the second quarter of 2025 from $281.3 million in the second quarter of 2024. International sales decreased to $247.0 million from $259.9 million in the prior year.

Current wording

Net sales in the United States increased to $273.3 million in the third quarter of 2025 from $268.3 million in the third quarter of 2024. International sales increased to $259.1 million from $256.4 million in the prior year.

Previous wording

Cost of goods sold was $392.0 million and represented 74.1% of sales for the three-month period ended June 29, 2025, as compared with $397.3 million and 73.4% of sales in the prior year. Production margin decreased from 26.6% of sales in the prior year to 25.9% of sales in the second quarter of 2025.

Current wording

Cost of goods sold was $395.4 million and represented 74.3% of sales for the three-month period ended September 28, 2025, as compared with $389.5 million and 74.2% of sales in the prior year. Production margin decreased from 25.8% of sales in the prior year to 25.7% of sales in the third quarter of 2025.

Previous wording

Marketing and administrative costs were $52.2 million and 9.9% of sales for the three-month period ended June 29, 2025, as compared to $53.3 million and 9.8% of sales in the prior year.

Current wording

Marketing and administrative costs were $53.0 million and 10.0% of sales for the three-month period ended September 28, 2025, as compared to $50.1 million and 9.5% of sales in the prior year.

Previous wording

Research and development expenses were $5.7 million and represented 1.1% of sales for the three-month period ended June 29, 2025, as compared with $5.8 million and 1.1% of sales in the prior year.

Current wording

Research and development expenses were $5.6 million and represented 1.1% of sales for the three-month period ended September 28, 2025, as compared with $5.9 million and 1.1% of sales in the prior year.

Previous wording

In addition, during the six-month periods ended June 29, 2025 and June 30, 2024, the Company recorded litigation expenses of $7.0 million and $6.3 million, respectively, in connection with Oldco's bankruptcy filing.

Current wording

The Company recorded litigation expenses in connection with Oldco's bankruptcy filing of $7.5 million and $2.6 million during the three-month periods ending September 28, 2025 and September 29, 2024, respectively.

Previous wording

In the second quarter of 2025, non-operating deductions were $15.5 million, as compared with $16.0 million in the prior year. Included in other non-operating deductions in the second quarter of 2025 was net interest expense of $13.6 million, as compared to $14.9 million in the second quarter of the prior year.

Current wording

In the third quarter of 2025, non-operating deductions were $14.3 million, as compared with $17.1 million in the prior year. Included in other non-operating deductions in the third quarter of 2025 was net interest expense of $13.8 million, as compared to $14.0 million in the third quarter of the prior year.

Previous wording

Net income attributable to MTI shareholders was $45.4 million for the three-month period ended June 29, 2025, as compared with $19.7 million in the prior year.

Current wording

Net income attributable to MTI shareholders was $43.0 million for the three-month period ended September 28, 2025, as compared with $46.7 million in the prior year.

Previous wording

Net sales in the Consumer & Specialties segment was $277.7 million for the three-month period ended June 29, 2025, as compared with $284.3 million in the prior year. Household & Personal Care sales increased slightly to $127.4 million, as compared with $126.8 million in the prior year. Sales in Specialty Additives decreased 5% to $150.3 million as compared with prior year driven by weaker paper demand in North America and Europe.

Current wording

Net sales in the Consumer & Specialties segment was $277.4 million for the three-month period ended September 28, 2025, as compared with $280.3 million in the prior year. Household & Personal Care sales decreased 1% to $129.8 million, as compared with $130.9 million in the prior year. Sales in Specialty Additives decreased 1% to $147.6 million as compared with prior year.

Previous wording

Income from operations was $34.0 million, as compared to $43.9 million in the prior year due to higher operating costs primarily through unfavorable volume leverage and product mix. Included in income from operations for the three-month period ended June 29, 2025 were $3.3 million of restructuring and other items.

Current wording

Income from operations was $37.4 million, as compared to $41.7 million in the prior year due to higher operating costs primarily through unfavorable volume leverage and product mix.

Previous wording

Worldwide net sales in the Engineered Solutions segment decreased to $474.7 million from $494.5 million in the prior year. High-Temperature Technologies' sales decreased 4% to $347.8 million as compared to $362.0 million in the prior year. Environmental & Infrastructure sales decreased 4% to $126.9 million from $132.5 million in the prior yearas continued stability in environmental and construction projects were offset by lower sales in offshore water filtration and services.

Current wording

Net sales in the Engineered Solutions segment increased 4% to $255.0 million from $244.4 million in the prior year. High-Temperature Technologies sales increased 2% to $178.9 million, as compared with $174.8 million in the prior year. Strong volume growth in Asia foundry and refractory equipment sales were partially offset by lower volumes in North America foundry business. Environmental & Infrastructure sales increased 9% to $76.1 million, as compared with $69.6 million in the prior year driven by an increase in offshore water filtration and services, as well as infrastructure drilling products.

Previous wording

Total net sales decreased 5% from the previous year to $1,020.7 million. Net sales in the United States decreased 2% to $544.3 million from $556.4 million in the prior year. International sales decreased by 8% to $476.4 million from $519.3 million in the prior year.

Current wording

Total net sales decreased 3% from the previous year to $1,553.1 million. Net sales in the United States decreased 1% to $817.6 million from $824.7 million in the prior year. International sales decreased by 5% to $735.5 million from $775.7 million in the prior year.

Previous wording

Cost of goods sold decreased 4% from the prior year and was 74.9% of sales, as compared with 74.0% in the prior year. Gross margin decreased to 25.1% of sales as compared with 26.0% of sales in the prior year.

Current wording

Cost of goods sold decreased 2% from the prior year and was 74.7% of sales, as compared with 74.1% in the prior year. Gross margin decreased to 25.3% of sales as compared with 25.9% of sales in the prior year.

Previous wording

Marketing and administrative costs were $102.8 million and 10.1% of sales for the six-month period ended June 29, 2025, as compared to $106.3 million and 9.9% of sales in the prior year.

Current wording

Marketing and administrative costs were $155.8 million and 10.0% of sales for the nine-month period ended September 28, 2025, as compared to $156.4 million and 9.8% of sales in the prior year.

Previous wording

Research and development expenses were $11.5 million and represented 1.1% of sales for the six-month period ended June 29, 2025, as compared with $11.4 million and 1.1% of sales in the prior year.

Current wording

Research and development expenses were $17.1 million and represented 1.1% of sales for the nine-month period ended September 28, 2025, as compared with $17.3 million and 1.1% of sales in the prior year.

Previous wording

During the six-month period ended June 29, 2025, the Company recorded a provision for litigation reserve and credit losses of $215 million to establish a reserve for estimated costs to fund a trust to resolve all current and future talc-related claims, as well as fund the bankruptcy of Oldco and BVT, and related litigation costs. Included in this provision is $30 million of additional debtor-in-possession financing by Minerals Technologies Investments LLC to the debtors. In addition, the Company recorded a $11.3 million restructuring and other items charge for the write-down of assets and severance and other costs, offset by a $5.6 million net gain on the final installment for the sale of refractories manufacturing assets in China.

Current wording

During the nine-month period ended September 28, 2025, the Company recorded a provision for litigation reserve and credit losses of $215.0 million to establish a reserve for estimated costs to fund a trust to resolve all current and future talc-related claims, as well as fund the bankruptcy of Oldco and Barretts Ventures Texas LLC ("BVT"), and related litigation costs. Included in this provision is $30 million of additional debtor-in-possession financing to the debtors.

Previous wording

The Company recorded a loss from operations of $85.5 million for the six-month period ended June 29, 2025, as compared to income of $125.8 million in the prior year. Loss from operations for the six months ended June 29, 2025 includes a provision for litigation reserve and credit losses of $215.0 million and a $11.3 million restructuring and other items charge for the write-down of assets and severance and other costs, offset by a $5.6 million net gain on the final installment for the sale of refractories manufacturing assets in China during the six-month period ended June 29, 2025. Income from operations for the six months ended June 30, 2024 includes a $30 million charge related to a provision for credit losses in connection with the DIP Credit Agreement.

Current wording

The Company recorded a loss from operations of $14.6 million for the nine-month period ended September 28, 2025, as compared to income of $202.4 million in the prior year. Loss from operations for the nine-months ended September 28, 2025 includes a provision for litigation reserve and credit losses of $215.0 million and a $11.3 million restructuring and other items charge for the write-down of assets and severance and other costs, offset by a $5.6 million net gain on the final installment for the sale of refractories manufacturing assets in China. Income from operations for the nine-months ended September 29, 2024 includes a $30 million charge related to a provision for credit losses in connection with the DIP Credit Agreement.

Previous wording

In addition, operating income during the six-month periods ended June 29, 2025 and June 30, 2024 includes $7.0 million and $6.3 million, respectively, of litigation expenses in connection with Oldco's bankruptcy filing.

Current wording

In addition, operating income (loss) during the nine-month periods ended September 28, 2025 and September 29, 2024 includes $14.5 million and $8.9 million, respectively, of litigation expenses in connection with Oldco’s bankruptcy filing and lawsuits related to talc products sold by Oldco.

Previous wording

The Company recorded non-operating deductions of $31.7 million for the six-month period ended June 29, 2025, as compared with $31.1 million in the prior year. Included in non-operating deductions for the six-month period ended June 29, 2025 is $27.8 million of net interest expense. Included in non-operating deductions for the six-month period ended June 30, 2024 was $29.8 million of net interest expense.

Current wording

The Company recorded non-operating deductions of $46.0 million for the nine-month period ended September 28, 2025, as compared with $48.2 million in the prior year. Included in non-operating deductions for the nine-month periods ended September 28, 2025 and September 29, 2024 is $41.6 million and $43.8 million, respectively, of net interest expense.

Previous wording

Provision (benefit) for taxes was $(18.2) million, as compared to $29.5 million in the prior year. The effective tax rate was 15.5%, as compared to 31.2% in the prior year. The rate was lower primarily due to the provision for litigation reserve and credit losses recorded in the first quarter of 2025.

Current wording

Provision (benefit) for taxes was $(4.7) million, as compared to $43.2 million in the prior year. The effective tax rate was 7.8%, as compared to 28.0% in the prior year. The rate was lower primarily due to the provision for litigation reserve and credit losses recorded in the first quarter of 2025.

Previous wording

Consolidated Net Income (Loss) Attributable to MTI Shareholders

Current wording

Net Income (Loss) Attributable to MTI Shareholders

Previous wording

Consolidated net loss was $98.6 million during the six-month period ended June 29, 2025, as compared with net income of $66.4 million in the prior year.

Current wording

Consolidated net loss was $55.6 million during the nine-month period ended September 28, 2025, as compared with net income of $113.1 million in the prior year.

Previous wording

Net sales in the Consumer & Specialties segment decreased 6% to $546.0 million from $581.2 million in the prior year. Household & Personal Care sales decreased 6% to $250.5 million as compared to $265.2 million in the prior year driven by customer inventory destocking and inconsistent ordering patterns. Sales in Specialty Additives decreased 6% to $295.5 million as compared to $316.0 million in the prior year driven by weaker paper demand in North America and Europe.

Current wording

Net sales in the Consumer & Specialties segment decreased 4% to $823.4 million from $861.5 million in the prior year. Household & Personal Care sales decreased 4% to $380.3 million as compared to $396.1 million in the prior year driven by customer inventory destocking and inconsistent ordering patterns at the beginning of the year. Sales in Specialty Additives decreased 5% to $443.1 million as compared to $465.4 million in the prior year driven by weaker paper demand in North America and Europe.

Previous wording

Income from operations was $61.5 million and 11.3% of sales as compared to $85.9 million and 14.8% of sales in the prior year. Included in income from operations for the six-month period ended June 29, 2025 are $5.8 million of restructuring and other items.

Current wording

Income from operations was $98.9 million and 12.0% of sales as compared to $127.6 million and 14.8% of sales in the prior year. Included in income from operations for the nine-month period ended September 28, 2025 are $5.8 million of restructuring and other items.

Previous wording

Net sales in the Engineered Solutions segment decreased 2% to $251.2 million from $256.9 million in the prior year. High-Temperature Technologies sales decreased 3% to $178.4 million, as compared with $184.7 million in the prior year driven by weaker demand in Europe. Environmental & Infrastructure sales increased 1% to $72.8 million, as compared with $72.2 million in the prior year.

Current wording

Net sales in the Engineered Solutions segment decreased to $729.7 million from $738.9 million in the prior year. High-Temperature Technologies’ sales decreased 2% to $526.7 million as compared to $536.8 million in the prior year. Environmental & Infrastructure sales increased slightly to $203.0 million from $202.1 million in the prior year.

Previous wording

Income from operations was $80.4 million and 16.9% of net sales as compared to $83.2 million and 16.8% of sales in the prior year. Included in income from operations for the six-month period ended June 29, 2025 are $3.3 million of restructuring and other items, offset by a $5.6 million net gain on the final installment for the sale of refractories manufacturing assets in China.

Current wording

Income from operations was $125.2 million and 17.2% of net sales as compared to $122.0 million and 16.5% of sales in the prior year. Included in income from operations for the nine-month period ended September 28, 2025 are $3.3 million of restructuring and other items, offset by a $5.6 million net gain on the final installment for the sale of refractories manufacturing assets in China.

Previous wording

Cash flow provided by operations during the six-month period ended June 29, 2025, was approximately $58.5 million. Cash flows from operations during the first six months of 2025 were principally used to fund capital expenditures, repurchase shares, and to pay the Company’s dividend to common shareholders. The aggregate maturities of long-term debt are as follows: remainder of 2025 - $5.1 million; 2026 - $6.4 million; 2027 - $6.0 million; 2028 - $405.8 million; 2029 - $5.7 million; thereafter - $546.3 million.

Current wording

Cash flow provided by operations during the nine-month period ended September 28, 2025, was approximately $129.4 million. Cash flows from operations during the first nine months of 2025 were principally used to fund capital expenditures, repurchase shares, and to pay the Company’s dividend to common shareholders. The aggregate maturities of long-term debt are as follows: remainder of 2025 - $3.4 million; 2026 - $6.4 million; 2027 - $6.0 million; 2028 - $405.8 million; 2029 - $5.7 million; thereafter - $546.3 million.

Previous wording

As of June 29, 2025, there were $17.0 million in loans and $9.2 million in letters of credit outstanding under the Revolving Facility.

Current wording

As of September 28, 2025, there were $13.0 million in loans and $9.3 million in letters of credit outstanding under the Revolving Facility.

Previous wording

The Company has a committed loan facility in Japan. As of June 29, 2025, $0.8 million was outstanding under this loan facility. Principal will be repaid in accordance with the payment schedule ending in 2026. The Company repaid $0.1 on this loan during the first six months of 2025.

Current wording

The Company has a committed loan facility in Japan. As of September 28, 2025, $0.7 million was outstanding under this loan facility. Principal will be repaid in accordance with the payment schedule ending in 2026. The Company repaid $0.2 million on this loan during the first nine months of 2025.

Previous wording

As part of the Concept Pet acquisition, the Company assumed $1.9 million in long-term debt, recorded at fair value, consisting of two terms loans, one that matures in 2025 and one that matures in 2027. Both loans have annual payments and carry a variable interest rate. The Company did not make repayments on these loans during the first six months of 2025.

Current wording

As part of the Concept Pet acquisition, the Company assumed $1.9 million in long-term debt, recorded at fair value, consisting of two terms loans, one that matures in 2025 and one that matures in 2027. Both loans have annual payments and carry a variable interest rate. The Company repaid $0.1 million on these loans during the first nine months of 2025.

Previous wording

As of June 29, 2025, the Company had $13.3 million in uncommitted short-term bank credit lines, of which $0.7 million were in use. The credit lines are primarily outside the U.S. and are generally one year in term at competitive market rates at large, well-established institutions. The Company typically uses its available credit lines to fund working capital requirements or local capital spending needs.

Current wording

As of September 28, 2025, the Company had $15.2 million in uncommitted short-term bank credit lines, of which $0.4 million were in use. The credit lines are primarily outside the U.S. and are generally one year in term at competitive market rates at large, well-established institutions. The Company typically uses its available credit lines to fund working capital requirements or local capital spending needs.

Previous wording

In the second quarter of 2023, the Company entered into a new floating to fixed interest rate swap for a notional amount of $150 million. The fair value of this instrument at June 29, 2025 is an asset less than $0.1 million.

Current wording

In the second quarter of 2023, the Company entered into a new floating to fixed interest rate swap for a notional amount of $150 million. The fair value of this instrument at September 28, 2025 is a liability of $0.1 million.

Previous wording

On October 16, 2024, the Company's Board of Directors authorized the Company's management to repurchase, at its discretion, up to $200 million of the Company's shares. As of June 29, 2025, 535,514 shares have been repurchased under this program for $33.3 million, or an average price of approximately $62.11 per share.

Current wording

On October 16, 2024, the Company’s Board of Directors authorized the Company’s management to repurchase, at its discretion, up to $200 million of the Company’s shares. As of September 28, 2025, 816,990 shares have been repurchased under this program for $50.3 million, or an average price of approximately $61.56 per share.

Previous wording

The Company is required to make future payments under various contracts, including debt agreements and lease agreements. The Company also has commitments to fund its pension plans and provide payments for other post-retirement benefit plans. During the six-month period ended June 29, 2025, there were no material changes in the Company’s contractual obligations.

Current wording

The Company is required to make future payments under various contracts, including debt agreements and lease agreements. The Company also has commitments to fund its pension plans and provide payments for other post-retirement benefit plans. During the nine-month period ended September 28, 2025, there were no material changes in the Company’s contractual obligations.

Previous wording

The Company and certain of the Company’s subsidiaries are among numerous defendants in over seven hundred cases seeking damages for alleged exposure to asbestos-contaminated talc products sold by the Company’s subsidiary Oldco. The Company’s position is that these cases are meritless and all talc products sold by Oldco are safe. On October 2, 2023 (the “Petition Date”), notwithstanding the Company’s confidence in the safety of Oldco’s talc products, Oldco and Barretts Ventures Texas LLC ("BVT" and together with Oldco, the "Chapter 11 Debtors")filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the “Chapter 11 Cases”) to address and comprehensively resolve Oldco’s liabilities associated with talc. Minerals Technologies Inc. and the Company’s other subsidiaries were not included in the Chapter 11 filing.

Current wording

The Company and certain of the Company’s subsidiaries are among numerous defendants in over eight hundred cases seeking damages for alleged exposure to asbestos-contaminated talc products sold by the Company’s subsidiary Oldco. The Company’s position is that these cases are meritless and all talc products sold by Oldco are safe. On October 2, 2023 (the “Petition Date”), notwithstanding the Company’s confidence in the safety of Oldco’s talc products, Oldco and Barretts Ventures Texas LLC (“BVT” and together with Oldco, the“Chapter 11 Debtors”) filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the Southern District of Texas (the “Chapter 11 Cases”) to address and comprehensively resolve Oldco’s liabilities associated with talc. Minerals Technologies Inc. and the Company’s other subsidiaries were not included in the Chapter 11 filing.