Metallus (MTUS) investor relations material

Executive summary

• Net sales reached $308.3 million in Q1 2026, up 10% year-over-year and 15% sequentially, with net income of $5.4 million and adjusted EBITDA of $24.6 million, a 39% increase year-over-year.

• Shipments increased 11% sequentially and 7% year-over-year, driven by strong demand across industrial, defense, and automotive markets.

• Order book grew over 40% year-over-year, reflecting robust customer demand and longer lead times into late Q3.

• Operational milestones included the successful commissioning of a new bloom reheat furnace and multiple spot price increases for bar and tube products.

• Safety and risk management initiatives advanced, with a focus on proactive reporting and capability building.

Financial highlights

• Net sales for Q1 2026 were $308.3 million, up from $281 million in Q1 2025 and $267 million in Q4 2025.

• Net income was $5.4 million ($0.13 per diluted share); adjusted net income was $7.7 million ($0.18 per share).

• Adjusted EBITDA reached $24.6 million, a 39% increase year-over-year.

• Capital expenditures totaled $24.7 million in Q1, with $18.3 million partially funded by the U.S. government.

• Cash and cash equivalents stood at $104 million at quarter-end, with total liquidity of $375 million.

Outlook and guidance

• Q2 2026 shipments expected to increase modestly sequentially, with price realization improving in the second half of 2026.

• Adjusted EBITDA for Q2 2026 projected to be modestly higher both sequentially and year-over-year.

• Full-year 2026 planned capital expenditures of $70 million, with $35 million funded by the U.S. government.

• Adjusted effective income tax rate expected between 27% and 30% for 2026.

• Manufacturing costs projected to improve by $2 million in Q2 2026 due to higher melt utilization.