Materion Corporation Reports Strong Third Quarter 2025 Financial Results and Affirms Full Year Outlook

MAYFIELD HEIGHTS, Ohio, October 29, 2025--(BUSINESS WIRE)--Materion Corporation (NYSE: MTRN) today reported third-quarter 2025 financial results and affirmed full year outlook.

Financial Summary

Net sales were $444.8 million; value-added sales1 were $263.9 million Net income of $25.4 million, or $1.22 per share, diluted, versus net income of $22.3 million, or $1.07 per share, in the prior year quarter; adjusted earnings of $1.41 per share versus $1.41 in the prior year quarter Operating profit of $34.9 million versus operating profit of $31.3 million in the prior year quarter; adjusted EBITDA2 of $55.5 million, versus $56.7 million in the prior year quarter

Business Highlights

Delivered record EBITDA margins of 27.1% in Electronic Materials, up 700 basis points year on year Precision Optics transformation led to significant step up in sales with approximately 1000 basis points of margin expansion year on year Order rates up double-digit sequentially with increases across all three businesses, driven by organic initiatives and strong macroeconomic trends Announced supply agreement with Commonwealth Fusion Systems, the leading and largest commercial fusion energy company, to provide materials for groundbreaking fusion technologies Board of Directors authorized a new $50 million stock repurchase program, replacing existing stock repurchase program

"I am incredibly proud of our team's performance in the third quarter, with both Electronic Materials and Precision Optics achieving significant milestones. The record margin performance in Electronic Materials underscores the substantial improvements we've made in that business, as our semiconductor sales start to rebound on a much-improved cost structure. In addition, the Precision Optics transformation is delivering ahead of our expectations with a significant step up in sales in the quarter, and a return to double digit EBITDA margins," said Jugal Vijayvargiya, President & CEO of Materion.

"As we look ahead, we are encouraged by the increasing order rates in each of our business segments, specifically in markets impacted by strong macro trends, including semiconductor, energy, space and defense. Our deep customer partnerships and broad portfolio of critical advanced materials position us well to close out a strong 2025 and seed the pipeline for future growth."

THIRD QUARTER 2025 RESULTS

Net sales for the quarter were $444.8 million, compared to $436.7 million in the prior year period. Value-added sales were $263.9 million for the quarter, up 1% organic3 from the prior year quarter due to strength in non-China semiconductor and space, partially offset by equipment downtime at a Performance Materials facility impacting sales output.

Story Continues

Operating profit for the quarter was $34.9 million and net income was $25.4 million, or $1.22 per diluted share, compared to operating profit of $31.3 million and net income of $22.3 million, or $1.07 per share, in the prior year period.

Adjusted EBITDA was $55.5 million, or 21.0% of value-added sales, compared to $56.7 million or 21.5% of value-added sales in the prior year period. This decrease was driven primarily by equipment downtime within Performance Materials, partially offset by strong price/mix and operational performance in Electronic Materials as well as the improved performance in Precision Optics.

Adjusted net income was $29.4 million excluding acquisition amortization, or $1.41 per diluted share, compared to $1.41 per share in the prior year period.

OUTLOOK

With one quarter remaining in the full year, we expect to deliver a strong fourth quarter and finish 2025 on a high note. With that, we are affirming our prior guide of $5.30 to $5.70 adjusted earnings per share for the full year.

ADJUSTED EARNINGS GUIDANCE

It is not possible for the Company to identify the amount or significance of future adjustments associated with potential insurance and litigation claims, legacy environmental costs, acquisition and integration costs, certain income tax items, or other non-routine costs that the Company adjusts in the presentation of adjusted earnings guidance. These items are dependent on future events that are not reasonably estimable at this time. Accordingly, the Company is unable to reconcile without unreasonable effort the forecasted range of adjusted earnings guidance for the full year to a comparable GAAP range. However, items excluded from the Company's adjusted earnings guidance include the historical adjustments noted in Attachments 4 through 8 to this press release.

CONFERENCE CALL

Materion Corporation will host an investor conference call with analysts at 10:00 a.m. Eastern Time, October 29, 2025. The conference call will be available via webcast through the Company’s website at www.materion.com. By phone, please dial (888) 506-0062. Calls outside the U.S. can dial (973) 528-0011; please reference participant access code of 496425. A replay of the call will be available until November 12, 2025 by dialing (877) 481-4010 or (919) 882-2331 if international; please reference replay ID number 51695. The call will also be archived on the Company’s website.

FOOTNOTES 1 Value-added sales deducts the impact of pass-through metals from net sales
2 EBITDA represents earnings before interest, taxes, depreciation, depletion and amortization; adjusted EBITDA represents EBITDA excluding special items, the details of which can be found in Attachments 4 through 8
3 Excludes value-added sales from the divested Albuquerque, New Mexico large area targets business sold in 2024

ABOUT MATERION

Materion Corporation is a global leader in advanced materials solutions for high-performance industries including semiconductor, industrial, aerospace & defense, energy and automotive. With nearly 100 years of expertise in specialty engineered alloy systems, inorganic chemicals and powders, precious and non-precious metals, beryllium and beryllium composites, and precision filters and optical coatings, Materion partners with customers to enable breakthrough solutions that move the world forward. Headquartered in Mayfield Heights, Ohio, the Company employs more than 3,000 talented people worldwide, serving customers in more than 60 countries.

FORWARD-LOOKING STATEMENTS

Portions of the narrative set forth in this document that are not statements of historical or current facts are forward-looking statements. Our actual future performance may materially differ from that contemplated by the forward-looking statements as a result of a variety of factors. These factors include, in addition to those mentioned elsewhere herein: the global economy, including inflationary pressures, potential future recessionary conditions and the impact of tariffs and trade agreements; the impact of any U.S. Federal Government shutdowns or sequestrations; the condition of the markets which we serve, whether defined geographically or by segment; changes in product mix and the financial condition of customers; our success in developing and introducing new products and new product ramp-up rates; our success in passing through the costs of raw materials to customers or otherwise mitigating fluctuating prices for those materials, including the impact of fluctuating prices on inventory values; our success in identifying acquisition candidates and in acquiring and integrating such businesses; the impact of the results of acquisitions on our ability to fully achieve the strategic and financial objectives related to these acquisitions; our success in implementing our strategic plans and the timely and successful start-up and completion of any capital projects; other financial and economic factors, including the cost and availability of raw materials (both base and precious metals), physical inventory valuations, metal consignment fees, tax rates, exchange rates, interest rates, pension costs and required cash contributions and other employee benefit costs, energy costs, regulatory compliance costs, the cost and availability of insurance, credit availability, and the impact of the Company’s stock price on the cost of incentive compensation plans; the uncertainties related to the impact of war, terrorist activities, and acts of God; changes in government regulatory requirements and the enactment of new legislation that impacts our obligations and operations, including changes in tax regulations or guidance promulgated pursuant to the new legislation implemented in the One Big Beautiful Bill Act; the conclusion of pending litigation matters in accordance with our expectation that there will be no material adverse effects; the disruptions in operations from, and other effects of, catastrophic and other extraordinary events including outbreaks of infectious diseases and the conflict between Russia and Ukraine; realization of expected financial benefits expected from the Inflation Reduction Act of 2022; the amount and timing of any repurchases of our shares; and the risk factors set forth in Part 1, Item 1A of the Company's 2024 Annual Report on Form 10-K.

Attachment 1 Materion Corporation and Subsidiaries

Consolidated Statements of Income

(Unaudited) Third Quarter Ended Nine Months Ended (In thousands except per share amounts) September 26,
2025 September 27,
2024 September 26,
2025 September 27,
2024 Net sales $ 444,808 $ 436,715 $ 1,296,796 $ 1,247,868 Cost of sales 358,685 355,777 1,051,836 1,014,859 Gross margin 86,123 80,938 244,960 233,009 Selling, general, and administrative expense 38,256 35,009 108,740 104,454 Research and development expense 6,548 7,868 19,466 22,712 Restructuring expense 212 1,493 2,729 6,161 Other — net 6,164 5,309 15,068 14,112 Operating profit 34,943 31,259 98,957 85,570 Other non-operating (income)—net (711 ) (642 ) (1,944 ) (1,925 ) Interest expense — net 7,544 8,839 22,691 25,920 Income before income taxes 28,110 23,062 78,210 61,575 Income tax expense 2,698 768 9,960 6,836 Net income $ 25,412 $ 22,294 $ 68,250 $ 54,739 Basic earnings per share: Net income per share of common stock $ 1.23 $ 1.07 $ 3.29 $ 2.64 Diluted earnings per share: Net income per share of common stock $ 1.22 $ 1.07 $ 3.27 $ 2.61 Weighted-average number of shares of common stock outstanding: Basic 20,731 20,749 20,763 20,723 Diluted 20,883 20,920 20,893 20,935

Attachment 2 Materion Corporation and Subsidiaries

Consolidated Balance Sheets

(Unaudited) (Thousands) September 26, 2025 December 31, 2024 Assets Current assets Cash and cash equivalents $ 16,411 $ 16,713 Accounts receivable, net 195,289 193,793 Inventories, net 467,329 441,299 Prepaid and other current assets 97,296 72,419 Total current assets 776,325 724,224 Deferred income taxes 2,975 2,964 Property, plant, and equipment 1,380,432 1,315,586 Less allowances for depreciation, depletion, and amortization (841,102 ) (804,781 ) Property, plant, and equipment—net 539,330 510,805 Operating lease, right-of-use assets 74,402 64,449 Intangible assets, net 108,059 109,312 Other assets 22,362 22,140 Goodwill 280,474 263,738 Total Assets $ 1,803,927 $ 1,697,632 Liabilities and Shareholders’ Equity Current liabilities Short-term debt $ 10,166 $ 34,274 Accounts payable 139,789 105,901 Salaries and wages 23,685 20,939 Other liabilities and accrued items 44,767 47,523 Income taxes 2,324 4,906 Unearned revenue 15,783 13,191 Total current liabilities 236,514 226,734 Other long-term liabilities 12,059 12,013 Operating lease liabilities 71,269 62,626 Finance lease liabilities 13,418 12,404 Retirement and post-employment benefits 27,038 26,411 Unearned income 56,990 75,769 Long-term income taxes 2,135 1,818 Deferred income taxes 3,153 3,242 Long-term debt 446,772 407,734 Shareholders’ equity 934,579 868,881 Total Liabilities and Shareholders’ Equity $ 1,803,927 $ 1,697,632

Attachment 3 Materion Corporation and Subsidiaries

Consolidated Statements of Cash Flows

(Unaudited) Nine Months Ended (Thousands) September 26,
2025 September 27,
2024 Cash flows from operating activities: Net income $ 68,250 $ 54,739 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation, depletion, and amortization 51,551 51,291 Amortization of deferred financing costs in interest expense 1,647 1,286 Stock-based compensation expense (non-cash) 8,520 7,715 Deferred income tax expense (benefit) (43 ) (9 ) Changes in assets and liabilities: Accounts receivable 1,701 (21,921 ) Inventory (21,980 ) (34,215 ) Prepaid and other current assets (21,089 ) (24,646 ) Accounts payable and accrued expenses 21,532 3,704 Unearned revenue (13,142 ) (17,568 ) Interest and taxes payable (1,550 ) (3,233 ) Other-net (11,673 ) (5,579 ) Net cash provided by operating activities 83,724 11,564 Cash flows from investing activities: Payments for purchase of property, plant, and equipment (38,741 ) (50,730 ) Payments for mine development (19,952 ) (10,376 ) Proceeds from sale of property, plant, and equipment 932 561 Payments for acquisition, net of cash acquired (19,500 ) — Net cash used in investing activities (77,261 ) (60,545 ) Cash flows from financing activities: Proceeds from borrowings under credit facilities, net 30,574 91,057 Repayment of long-term debt (16,609 ) (22,694 ) Principal payments under finance lease obligations (456 ) (567 ) Cash dividends paid (8,608 ) (8,295 ) Deferred financing costs (2,935 ) — Repurchase of common stock (7,843 ) — Payments of withholding taxes for stock-based compensation awards (2,540 ) (6,575 ) Net cash provided by financing activities (8,417 ) 52,926 Effects of exchange rate changes 1,652 635 Net change in cash and cash equivalents (302 ) 4,580 Cash and cash equivalents at beginning of period 16,713 13,294 Cash and cash equivalents at end of period $ 16,411 $ 17,874

Attachment 4 Materion Corporation and Subsidiaries

Reconciliation of Non-GAAP Measure - Value-added Sales, Operating Profit, and EBITDA

(Unaudited) Third Quarter Ended Nine Months Ended (Millions) September 26,
2025 September 27,
2024 September 26,
2025 September 27,
2024 Net Sales Performance Materials $ 170.8 $ 177.4 $ 527.6 $ 533.5 Electronic Materials 246.8 236.9 696.0 641.6 Precision Optics 27.2 22.4 73.2 72.8 Other — — — — Total $ 444.8 $ 436.7 $ 1,296.8 $ 1,247.9 Less: Pass-through Metal Cost Performance Materials $ 13.7 $ 13.8 $ 41.9 $ 41.2 Electronic Materials 167.1 159.1 462.4 405.0 Precision Optics 0.1 — 0.2 0.2 Other — — — — Total $ 180.9 $ 172.9 $ 504.5 $ 446.4 Value-added Sales (non-GAAP) Performance Materials $ 157.1 $ 163.6 $ 485.7 $ 492.3 Electronic Materials 79.7 77.8 233.6 236.6 Precision Optics 27.1 22.4 73.0 72.6 Other — — — — Total $ 263.9 $ 263.8 $ 792.3 $ 801.5 Gross Margin Performance Materials(1) $ 44.7 $ 51.8 $ 141.9 $ 140.6 Electronic Materials(1) 33.1 23.3 84.1 73.5 Precision Optics(1) 8.3 5.8 19.0 18.9 Other — — — — Total(1) $ 86.1 $ 80.9 $ 245.0 $ 233.0 (1) See reconciliation of gross margin to adjusted gross margin in Attachment 8 Note: Quarterly information presented within this document and previously disclosed quarterly information may not equal the total computed for the year due to rounding

Third Quarter Ended Nine Months Ended (Millions) September 26,
2025 September 27,
2024 September 26,
2025 September 27,
2024 Operating Profit/(Loss) Performance Materials $ 26.8 $ 34.2 $ 89.1 $ 88.7 Electronic Materials 16.3 7.8 36.4 26.5 Precision Optics 0.7 (3.0 ) (4.0 ) (7.7 ) Other (8.9 ) (7.7 ) (22.5 ) (21.9 ) Total $ 34.9 $ 31.3 $ 99.0 $ 85.6 Non-Operating (Income)/Expense Performance Materials $ 0.2 $ 0.1 $ 0.3 $ 0.4 Electronic Materials (0.2 ) — (0.2 ) — Precision Optics (0.2 ) (0.1 ) (0.6 ) (0.4 ) Other (0.6 ) (0.6 ) (1.4 ) (1.9 ) Total $ (0.8 ) $ (0.6 ) $ (1.9 ) $ (1.9 ) Depreciation, Depletion, and Amortization Performance Materials $ 10.3 $ 10.7 $ 29.9 $ 27.6 Electronic Materials 4.4 4.5 13.0 13.6 Precision Optics 2.3 2.9 7.2 8.6 Other 0.5 0.5 1.5 1.5 Total $ 17.5 $ 18.6 $ 51.6 $ 51.3 Segment EBITDA Performance Materials $ 36.9 $ 44.8 $ 118.7 $ 115.9 Electronic Materials 20.9 12.3 49.6 40.1 Precision Optics 3.2 — 3.8 1.3 Other (7.8 ) (6.6 ) (19.6 ) (18.5 ) Total $ 53.2 $ 50.5 $ 152.5 $ 138.8 Special Items(2) Performance Materials $ 1.1 $ 1.7 $ 1.7 $ 9.4 Electronic Materials 0.7 3.3 3.1 7.1 Precision Optics — 0.5 1.5 1.7 Other 0.5 0.7 1.2 2.7 Total $ 2.3 $ 6.2 $ 7.5 $ 20.9 Adjusted EBITDA Excluding Special Items Performance Materials $ 38.0 $ 46.5 $ 120.4 $ 125.3 Electronic Materials 21.6 15.6 52.7 47.2 Precision Optics 3.2 0.5 5.3 3.0 Other (7.3 ) (5.9 ) (18.4 ) (15.8 ) Total $ 55.5 $ 56.7 $ 160.0 $ 159.7 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. Internally, management also reviews net sales on a value-added basis. Value-added sales is a non-GAAP financial measure that deducts the value of the pass-through metals sold from net sales. Value-added sales allows management to assess the impact of differences in net sales between periods or segments and analyze the resulting margins and profitability without the distortion of the movements in pass-through market metal prices. The dollar amount of gross margin and operating profit is not affected by the value-added sales calculation. The Company sells other metals and materials that are not considered direct pass throughs, and these costs are not deducted from net sales to calculate value-added sales.

The Company’s pricing policy is to pass the cost of these metals on to customers in order to mitigate the impact of price volatility on the Company’s results from operations. Value-added information is being presented since changes in metal prices may not directly impact profitability. It is the Company’s intent to allow users of the financial statements to review sales with and without the impact of the pass-through metals. (2) See additional details of special items in Attachment 5.

Attachment 5 Materion Corporation and Subsidiaries

Reconciliation of Net Sales to Value-added Sales, Net Income to EBITDA and Adjusted EBITDA

(Unaudited) Third Quarter Ended Nine Months Ended (Millions) September 26,
2025 September 27,
2024 September 26,
2025 September 27,
2024 Net sales $ 444.8 $ 436.7 $ 1,296.8 $ 1,247.9 Pass-through metal cost 180.9 172.9 504.5 446.4 Value-added sales $ 263.9 $ 263.8 $ 792.3 $ 801.5 Net income $ 25.4 $ 22.3 $ 68.3 $ 54.7 Income tax expense 2.7 0.8 9.9 6.9 Interest expense - net 7.6 8.8 22.7 25.9 Depreciation, depletion and amortization 17.5 18.6 51.6 51.3 Consolidated EBITDA $ 53.2 $ 50.5 $ 152.5 $ 138.8 Net Income as a % of Net sales 5.7 % 5.1 % 5.3 % 4.4 % Net Income as a % of Value-added sales 9.6 % 8.5 % 8.6 % 6.8 % EBITDA as a % of Net sales 12.0 % 11.6 % 11.8 % 11.1 % EBITDA as a % of Value-added sales 20.2 % 19.1 % 19.2 % 17.3 % Special items Restructuring and cost reduction $ 0.2 $ 1.6 $ 2.8 $ 10.7 Electronic Materials inventory adjustment — 2.8 — 2.8 Environmental remediation 0.6 — 0.6 — Business transformation costs 0.5 0.6 0.8 0.6 Additional start up resources and scrap — 1.2 — 6.1 Merger, acquisition and divestiture related costs 1.0 — 3.3 0.7 Total special items 2.3 6.2 7.5 20.9 Adjusted EBITDA $ 55.5 $ 56.7 $ 160.0 $ 159.7 Adjusted EBITDA as a % of Net sales 12.5 % 13.0 % 12.3 % 12.8 % Adjusted EBITDA as a % of Value-added sales 21.0 % 21.5 % 20.2 % 19.9 % In addition to presenting financial statements prepared in accordance with U.S. generally accepted accounting principles (GAAP), this earnings release contains financial measures, including operating profit, segment operating profit, earnings before interest, taxes, depreciation, depletion and amortization (EBITDA), net income, and earnings per share, on a non-GAAP basis. As detailed in the above reconciliation and Attachment 6, we have adjusted the results for certain special items, including the following: Restructuring and cost reduction – Costs include restructuring charges, costs associated with temporarily idled facilities as a result of decreased demand and costs associated with disposal of assets associated with obsolete products. Electronic Materials inventory adjustment – During the third quarter of 2024, the Company determined that material costs from prior years were understated due to unrecognized metal refine expense and other inventory adjustments. Environmental remediation - Cost associated with non-recurring environmental remediation Business transformation costs – Represents project management and implementation expenses related to the Company's automation and transformation initiatives. Additional start up resources and scrap – Represents incremental resource, consulting and specialists costs incurred related to the ramp of the precision clad strip facility and scrap related to product qualifications. Merger, acquisition and divestiture related costs – Includes due diligence costs associated with potential merger, acquisition and divestitures as well as loss on asset disposals. Internally, management reviews the results of operations without the impact of these costs in order to assess the profitability from ongoing activities. We are providing this information because we believe it will assist investors in analyzing our financial results and, when viewed in conjunction with the GAAP results, provide a more comprehensive understanding of the factors and trends affecting our operations.

Attachment 6 Materion Corporation and Subsidiaries

Reconciliation of Net Income to Adjusted Net Income

and Diluted Earnings per Share to Adjusted Diluted Earnings per Share (Unaudited) Third Quarter Ended Nine Months Ended (Millions) September 26,
2025 Diluted
EPS September 27,
2024 Diluted
EPS September 26,
2025 Diluted
EPS September 27,
2024 Diluted
EPS Net income and EPS $ 25.4 $ 1.22 $ 22.3 $ 1.07 $ 68.3 $ 3.27 $ 54.7 $ 2.61 Special items Restructuring and cost reduction 0.2 1.6 2.8 10.7 Electronic Materials inventory adjustment — 2.8 — 2.8 Business transformation costs 0.5 0.6 0.8 0.6 Debt extinguishment costs(1) — — 0.5 — Environmental remediation 0.6 — 0.6 — Additional start up resources and scrap — 1.2 — 6.1 Merger, acquisition and divestiture related costs 1.0 — 3.3 0.7 Provision for income taxes(2) (0.4 ) (1.4 ) (1.2 ) (3.6 ) Total special items 1.9 0.09 4.8 0.22 6.8 0.33 17.3 0.83 Adjusted net income and adjusted EPS $ 27.3 $ 1.31 $ 27.1 $ 1.29 $ 75.1 $ 3.60 $ 72.0 $ 3.44 Acquisition amortization (net of tax) 2.1 0.10 2.5 0.12 6.5 0.31 7.4 0.35 Adjusted net income and adjusted EPS excl. amortization $ 29.4 $ 1.41 $ 29.6 $ 1.41 $ 81.6 $ 3.91 $ 79.4 $ 3.79 (1) Debt extinguishment costs - Represents debt extinguishment costs incurred in connection with the amendment of the Company's Credit Agreement in June 2025.

(2) Provision for income taxes includes the net tax impact on pre-tax adjustments (listed above), the impact of certain discrete tax items recorded during the respective periods as well as other adjustments to reflect the use of one overall effective tax rate on adjusted pre-tax income in interim periods.

Attachment 7 Reconciliation of Segment Net sales to Segment Value-added sales and Segment EBITDA to Adjusted Segment EBITDA (Unaudited) Performance Materials Third Quarter Ended Nine Months Ended (Millions) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Net sales $ 170.8 $ 177.4 $ 527.6 $ 533.5 Pass-through metal cost 13.7 13.8 41.9 41.2 Value-added sales $ 157.1 $ 163.6 $ 485.7 $ 492.3 EBITDA $ 36.9 $ 44.8 $ 118.7 $ 115.9 Restructuring and cost reduction — 0.1 0.5 2.9 Additional start up resources and scrap — 1.2 — 6.1 Environmental remediation 0.6 — 0.6 — Business transformation costs 0.5 0.4 0.6 0.4 Adjusted EBITDA $ 38.0 $ 46.5 $ 120.4 $ 125.3 EBITDA as a % of Net sales 21.6 % 25.3 % 22.5 % 21.7 % EBITDA as a % of Value-added sales 23.5 % 27.4 % 24.4 % 23.5 % Adjusted EBITDA as a % of Net sales 22.2 % 26.2 % 22.8 % 23.5 % Adjusted EBITDA as a % of Value-added sales 24.2 % 28.4 % 24.8 % 25.5 % Electronic Materials Third Quarter Ended Nine Months Ended (Millions) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Net sales $ 246.8 $ 236.9 $ 696.0 $ 641.6 Pass-through metal cost 167.1 159.1 462.4 405.0 Value-added sales $ 79.7 $ 77.8 $ 233.6 $ 236.6 EBITDA $ 20.9 $ 12.3 $ 49.6 $ 40.1 Restructuring and cost reduction 0.2 0.5 0.8 4.3 Electronic Materials inventory adjustment — 2.8 — 2.8 Merger, acquisition and divestiture related costs 0.5 — 2.3 — Adjusted EBITDA $ 21.6 $ 15.6 $ 52.7 $ 47.2 EBITDA as a % of Net sales 8.5 % 5.2 % 7.1 % 6.3 % EBITDA as a % of Value-added sales 26.2 % 15.8 % 21.2 % 16.9 % Adjusted EBITDA as a % of Net sales 8.8 % 6.6 % 7.6 % 7.4 % Adjusted EBITDA as a % of Value-added sales 27.1 % 20.1 % 22.6 % 19.9 % Precision Optics Third Quarter Ended Nine Months Ended (Millions) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Net sales $ 27.2 $ 22.4 $ 73.2 $ 72.8 Pass-through metal cost 0.1 — 0.2 0.2 Value-added sales $ 27.1 $ 22.4 $ 73.0 $ 72.6 EBITDA $ 3.2 $ — $ 3.8 $ 1.3 Restructuring and cost reduction — 0.5 1.5 1.7 Adjusted EBITDA $ 3.2 $ 0.5 $ 5.3 $ 3.0 EBITDA as a % of Net sales 11.8 % — % 5.2 % 1.8 % EBITDA as a % of Value-added sales 11.8 % — % 5.2 % 1.8 % Adjusted EBITDA as a % of Net sales 11.8 % 2.2 % 7.2 % 4.1 % Adjusted EBITDA as a % of Value-added sales 11.8 % 2.2 % 7.3 % 4.1 % Other Third Quarter Ended Nine Months Ended (Millions) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 EBITDA $ (7.8 ) $ (6.6 ) $ (19.6 ) $ (18.5 ) Restructuring and cost reduction — 0.5 — 1.8 Business transformation costs — 0.2 0.2 0.2 Merger, acquisition and divestiture related costs 0.5 — 1.0 0.7 Adjusted EBITDA $ (7.3 ) $ (5.9 ) $ (18.4 ) $ (15.8 )

Attachment 8 Materion Corporation and Subsidiaries

Reconciliation of Non-GAAP Measure - Gross Margin to Adjusted Gross Margin

(Unaudited) Third Quarter Ended Nine Months Ended (Millions) September 26, 2025 September 27, 2024 September 26, 2025 September 27, 2024 Gross Margin Performance Materials $ 44.7 $ 51.8 $ 141.9 $ 140.6 Electronic Materials 33.1 23.3 84.1 73.5 Precision Optics 8.3 5.8 19.0 18.9 Other — — — — Total $ 86.1 $ 80.9 $ 245.0 $ 233.0 Special Items (1) Performance Materials $ 0.6 $ 1.3 $ 0.6 $ 7.5 Electronic Materials — 2.6 — 4.6 Precision Optics — — — 0.2 Other — — — — Total $ 0.6 $ 3.9 $ 0.6 $ 12.3 Adjusted Gross Margin Performance Materials $ 45.3 $ 53.1 $ 142.5 $ 148.1 Electronic Materials 33.1 25.9 84.1 78.1 Precision Optics 8.3 5.8 19.0 19.1 Other — — — — Total $ 86.7 $ 84.8 $ 245.6 $ 245.3 (1) Special items impacting gross margin represent environmental remediation in 2025 and restructuring and cost reduction, the Electronic Materials inventory adjustment, and additional start up resources and scrap in 2024.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251028235346/en/

Contacts

Investor Contact:
Kyle Kelleher
(216) 383-4931
[email protected]

Media Contact:
Jason Saragian
(216) 383-6893
[email protected]
https://materion.com

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