Materion Corporation (NYSE:MTRN) today reported fourth quarter and full-year 2012 results. The Company also confirmed its outlook for a stronger 2013.
FOURTH QUARTER AND FULL-YEAR 2012 RESULTS
Sales for the fourth quarter were $303.8 million, down approximately 9%, or $30.6 million, compared to sales of $334.4 million for the fourth quarter of 2011. Net of pass-through metal influences, sales were up approximately 4% year over year.
The increase in the fourth quarter sales, net of pass-through metal influences, was primarily due to higher demand from the medical, consumer electronics, automotive electronics, telecom infrastructure and the industrial components and commercial aerospace markets. The increase in these markets was offset, in part, by weaker demand from the defense and science, energy and appliance markets. Order entry experienced a lift in the fourth quarter of 2012 and this strength has continued into the first quarter of 2013.Net income for the fourth quarter was $2.5 million, or $0.12 per share, diluted, compared to net income of $0.8 million, or $0.04 per share, diluted, for the same period of the prior year. Fourth quarter 2012 net income was negatively impacted by the previously announced facility consolidation charge of $0.13 per share and the previously announced physical inventory adjustment of $0.25 per share. These negative adjustments were offset in part by an unrelated tax benefit of $0.09 per share related to changes in financial projections. Excluding the above-mentioned adjustments and tax benefit, earnings were $0.41 per share, slightly ahead of the high-end of the previously announced expectation that results would be in the range of $0.37 to $0.40 per share. Sales for the full-year 2012 were $1,273.1 million, a decline of 17% compared to the full-year 2011 record sales of $1,526.7 million. Net of pass-through metal influences, sales were down 3% year over year. The decline in sales, net of pass-through metal influences, in 2012 was due to lower demand from the defense and science, telecom infrastructure, energy and appliance markets. The weakness was partially offset by increased volume from the commercial aerospace, consumer and automotive electronics and medical markets and the full-year results of EIS Optics Limited, which was acquired in the fourth quarter of 2011.