Key Highlights

  • Third-quarter sales were USD 499.5 million, down 2.8% year over year and 2.3% organically, mainly because of a July tornado in Wisconsin.
  • The GAAP loss was USD 1.2 million, or USD 0.03 per share, narrower than a USD 3.2 million loss, while adjusted income was USD 17.5 million, or USD 0.31 per share.
  • Adjusted EBITDA, a non-GAAP measure, fell 7% to USD 62.3 million, as Filtration and Advanced Materials rose 20.4% to USD 39.6 million.
  • Nine-month Operating Cash Flow was USD 117.4 million, up 3%, and free cash flow was USD 90.5 million, up 5%, with total Debt at USD 976.4 million.

July Tornado Disrupts Paper and Packaging Output

Mativ Holdings (NYSE:MATV) announced third-quarter results on November 4, 2026, for the three months to September 30. Sales of USD 499.5 million fell mainly because of the previously disclosed tornado, which hit its Paper and Packaging business. Management said recovery remains on plan, that it expects inventory losses to be fully recoverable, and that the company would have delivered year-over-year adjusted EBITDA growth before the disruption. Adjusted EBITDA declined 7% to USD 62.3 million. The tax rate was 185.7%, with USD 2.6 million of tax expense, because losses in certain jurisdictions with full valuation allowances cannot be used.

Filtration Posts Strong Growth While Adhesive Solutions Slides

The Filtration and Advanced Materials segment grew sales 10.2% to USD 218.5 million, or 11.6% organically, with Demand cited in aerospace and defense and transportation. Its adjusted EBITDA Margin rose 150 basis points to 18.1%. Sustainable and Adhesive Solutions, which includes tapes, labels, liners, specialty paper, packaging and healthcare products, saw sales drop 10.9% to USD 281.0 million. Its adjusted EBITDA fell 24.7% to USD 32.6 million, and margin slipped 210 basis points to 11.6%. Unallocated adjusted expenses were USD 9.9 million, slightly above last year. Interest expense was USD 18.1 million, reflecting higher rates on floating debt. The company, a specialty materials maker headquartered in Alpharetta, Georgia, manufactures on three continents and sells to customers in over 100 countries. Other expense, net improved to USD 0.4 million from USD 3.9 million.

Cash Generation, Net Debt and the Dividend

Mativ Holdings (NYSE:MATV) reported nine-month Gross Profit of USD 295.9 million, up 7%, and Capital spending of USD 26.9 million. Working Capital was an USD 11.9 million source of cash. Total debt of USD 976.4 million was USD 52.5 million lower than a year earlier. Cash was USD 97.3 million, so net debt was USD 879.1 million. Liquidity was about USD 373.5 million, including USD 276.2 million of revolver availability, and debt matures on a staggered basis through 2033. A quarterly Dividend of USD 0.10 per share is payable December 18, 2026 to holders of record on November 27. The conference call was set for November 5, 2026.

Where Things Stand

The tornado explains most of the shortfall, since the release says adjusted EBITDA growth was on track before it struck. Mativ Holdings (NYSE:MATV) cut its GAAP loss to USD 1.2 million and earned USD 0.31 adjusted per share even as sales fell 2.8%. The release did not give numeric full-year guidance, but management expressed confidence in full-year results ahead of the prior year. Watch plant recovery and inventory recoveries, the Adhesive Solutions margin, continued Filtration growth, and progress on the growth initiatives the CEO described.