Q1 Results Consistent With Expectations

Rogers Corporation (NYSE:ROG) today announced financial results for the first quarter of 2025.

"Our first quarter unfolded largely as we expected with financial results that were in line with our guidance expectations," stated Colin Gouveia, Rogers' President and CEO. "Sales decreased slightly versus the prior quarter as a result of unfavorable foreign currency changes and seasonally lower sales in the portable electronics market, but we were pleased to see improved demand in the ADAS and industrial end markets. We also further strengthened our balance sheet, ending the quarter with a $176 million cash position. Furthermore, we implemented additional measures to reduce operating expenses and manufacturing costs to enhance Rogers' competitiveness in this current environment.

"Visibility into the remainder of the year is limited due to broad uncertainty related to tariffs and global trade," said Gouveia. "However, despite these challenges, we remain focused on executing our commercial, innovation, and operational priorities. Combined with our strong financial position, these priorities are positioning Rogers for success as market conditions improve."

Financial Overview
GAAP Results (dollars in millions, except per share amounts)	Q1 2025	Q4 2024	Q1 2024
Net Sales	$190.5	$192.2	$213.4
Gross Margin	29.9%	32.1%	32.0%
Net Income (Loss)	$(1.4)	$(0.5)	$7.8
Diluted Earnings (Loss) Per Share	$(0.08)	$(0.03)	$0.42
Adjusted Earnings Per Diluted Share¹	$0.27	$0.46	$0.58
Adjusted EBITDA¹	$19.5	$23.3	$28.3
Net Cash Provided by Operating Activities	$11.7	$33.7	$28.1
Free Cash Flow¹	$2.1	$18.3	$18.7

1 - Adjusted Earnings Per Diluted Share, Adjusted EBITDA and Free Cash Flow are non-GAAP measures. A reconciliation of non-GAAP to GAAP measures is provided in the schedules included below.

Q1 2025 Summary of Results

Net sales of $190.5 million decreased 0.9% versus the prior quarter. Advanced Electronics Solutions (AES) net sales increased by 1.8% primarily related to higher ADAS and aerospace and defense sales, partially offset by lower EV/HEV and industrial sales. Elastomeric Material Solutions (EMS) net sales decreased by 4.3% primarily from a seasonal decline in portable electronics sales and lower EV/HEV sales, partially offset by higher general industrial sales. Currency exchange rates unfavorably impacted total company net sales in the first quarter of 2025 by $3.0 million compared to the prior quarter.

GAAP losses per diluted share were $(0.08) compared to losses per diluted share of $(0.03) in the previous quarter. On an adjusted basis, earnings were $0.27 per diluted share compared to earnings of $0.46 per diluted share in the prior quarter.

Ending cash and cash equivalents were $175.6 million, an increase of $15.8 million versus the prior quarter. Net cash provided by operating activities in the first quarter was $11.7 million and capital expenditures were $9.6 million. Proceeds from the sale of a manufacturing facility in Arizona were $13.4 million.

Financial Outlook

Guidance for the second quarter is based on global tariff policies in place as of April 29, 2025. Rogers has implemented actions that are expected to largely offset the impact of tariffs in the second quarter.

(dollars in millions, except per share amounts)	Q2 2025
Net Sales	$190 to $205
Gross Margin	31.0% to 33.0%
Earnings Per Diluted Share¹	$0.00 to $0.40
Adjusted Earnings Per Diluted Share²	$0.30 to $0.70

	2025
Capital Expenditures	$30 to $40

1 - Includes expected restructuring charges associated with the wind-down of AES manufacturing operations in our Evergem, Belgium facility.
2 - A reconciliation of non-GAAP to GAAP measures is provided in the schedules included below.

Conference Call and Additional Information

A conference call to discuss the results for the first quarter will take place today, Tuesday, April 29, 2025 at 5:00 pm ET. A live webcast of the event and the accompanying presentation can be accessed on the Rogers Corporation website at https://www.rogerscorp.com/investors.

About Rogers Corporation

Rogers Corporation (NYSE:ROG) is a global leader in engineered materials to power, protect and connect our world. Rogers delivers innovative solutions to help our customers solve their toughest material challenges. Rogers' advanced electronic and elastomeric materials are used in applications for EV/HEV, automotive safety and radar systems, mobile devices, renewable energy, wireless infrastructure, energy-efficient motor drives, industrial equipment and more. Headquartered in Chandler, Arizona, Rogers operates manufacturing facilities in the United States (U.S.), Asia and Europe, with sales offices worldwide.

Safe Harbor Statement

Statements included in this release that are not a description of historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are generally accompanied by words or phrases such as "anticipate," "assume," "believe," "could," "estimate," "expect," "foresee," "goal," "intend," "may," "might," "plan," "potential," "predict," "project," "should," "seek," "target" or similar expressions that convey uncertainty as to the future events or outcomes. Forward-looking statements are based on assumptions and beliefs that we believe to be reasonable; however, assumed facts almost always vary from actual results, and the differences between assumed facts and actual results could be material depending upon the circumstances. Where we express an expectation or belief as to future results, that expectation or belief is expressed in good faith and based on assumptions believed to have a reasonable basis. We cannot assure you, however, that the stated expectation or belief will occur or be achieved or accomplished. This release contains forward-looking statements regarding our plans, objectives, outlook, goals, strategies, future events, future net sales or performance, capital expenditures, future restructuring, plans or intentions relating to expansions, business trends and other information that is not historical information. All forward-looking statements are based upon information available to us on the date of this release and are subject to risks, uncertainties and other factors, many of which are outside of our control, which could cause actual results to differ materially from those indicated by the forward-looking statements. Other risks and uncertainties that could cause such results to differ include the following, without limitation: failure to capitalize on, volatility within, or other adverse changes with respect to our growth drivers, such as delays in adoption or implementation of new technologies; failure to successfully execute on our long-term growth strategy; uncertain business, economic and political conditions in the U.S. and abroad, particularly in China, South Korea, Germany, Belgium, England, and Hungary, where we maintain significant manufacturing, sales or administrative operations; the trade policy dynamics between the U.S. and other countries where we do business, in particular China, as reflected in recently escalated tariff impositions and associated countermeasures, as well as the potential for U.S.-China supply chain decoupling; fluctuations in foreign currency exchange rates; our ability to develop innovative products and the extent to which they are incorporated into end-user products and systems; the extent to which end-user products and systems incorporating our products achieve commercial success; the ability and willingness of our sole or limited source suppliers to deliver certain key raw materials, including commodities, to us in a timely and cost-effective manner; business interruptions due to catastrophes or other similar events, such as natural disasters, war, terrorism or public health crises; the impact of sanctions, export controls and other foreign asset or investment restrictions; failure to realize, or delays in the realization of anticipated benefits of acquisitions and divestitures due to, among other things, the existence of unknown liabilities or difficulty integrating acquired businesses; our ability to attract and retain management and skilled technical personnel; our ability to protect our proprietary technology from infringement by third parties and/or allegations that our technology infringes third party rights; changes in effective tax rates or tax laws and regulations in the jurisdictions in which we operate; failure to comply with financial and restrictive covenants in our credit agreement or restrictions on our operational and financial flexibility due to such covenants; the outcome of ongoing and future litigation, including our asbestos-related product liability litigation; changes in environmental laws and regulations applicable to our business; and disruptions in, or breaches of, our information technology systems. Should any risks and uncertainties develop into actual events, these developments could have a material adverse effect on the Company. Our forward-looking statements are expressly qualified by these cautionary statements, which you should consider carefully. For additional information about the risks, uncertainties and other factors that may affect our business, please see our most recent annual report on Form 10-K and any subsequent reports filed with the Securities and Exchange Commission, including quarterly reports on Form 10-Q. Rogers Corporation assumes no responsibility to update or revise any forward-looking statements contained herein, whether as a result of new information, future events or otherwise, except as required by law.

(Financial statements follow)


*Condensed Consolidated Statements of Operations (Unaudited)*

	Three Months Ended
(DOLLARS AND SHARES IN MILLIONS, EXCEPT PER SHARE AMOUNTS)	March 31, 2025			March 31, 2024
Net sales	$	190.5		$	213.4
Cost of sales		133.5			145.2
Gross margin		57.0			68.2

Selling, general and administrative expenses		44.5			47.5
Research and development expenses		7.1			8.9
Restructuring and impairment charges		5.9			0.1
Other operating (income) expense, net		(0.2	)		—
Operating income (loss)		(0.3	)		11.7

Equity income in unconsolidated joint ventures		—			0.3
Other income (expense), net		(1.6	)		0.4
Interest income (expense), net		0.3			(0.8	)
Income (loss) before income taxes		(1.6	)		11.6
Income tax (benefit) expense		(0.2	)		3.8
Net income (loss)	$	(1.4	)	$	7.8

Basic earnings (loss) per share	$	(0.08	)	$	0.42
Diluted earnings (loss) per share	$	(0.08	)	$	0.42

Shares used in computing:
Basic earnings (loss) per share		18.5			18.6
Diluted earnings (loss) per share		18.5			18.7


*Condensed Consolidated Statements of Financial Position (Unaudited)*

(DOLLARS AND SHARES IN MILLIONS, EXCEPT PAR VALUE)	March 31, 2025			December 31, 2024
Assets
Current assets
Cash and cash equivalents	$	175.6		$	159.8
Accounts receivable, net		139.2			135.3
Contract assets		25.0			23.7
Inventories, net		143.0			142.3
Asbestos-related insurance recoverables, current portion		4.3			4.3
Other current assets		15.8			28.5
Total current assets		502.9			493.9
Property, plant and equipment, net of accumulated depreciation of $403.6 and $390.8		375.5			365.1
Operating lease right-of-use assets		23.4			24.1
Goodwill		363.4			357.6
Other intangible assets, net of amortization		109.6			110.3
Asbestos-related insurance recoverables, non-current portion		48.0			48.0
Deferred income taxes		66.4			61.5
Other long-term assets		21.2			20.6
Total assets	$	1,510.4		$	1,481.1
Liabilities and Shareholders' Equity
Current liabilities
Accounts payable	$	50.9		$	48.1
Accrued employee benefits and compensation		41.3			41.5
Accrued income taxes payable		5.6			7.7
Operating lease obligations, current portion		4.1			4.0
Asbestos-related liabilities, current portion		5.4			5.4
Other accrued liabilities		20.3			16.8
Total current liabilities		127.6			123.5
Operating lease obligations, non-current portion		20.1			20.6
Asbestos-related liabilities, non-current portion		52.0			52.1
Non-current income tax		5.8			5.7
Deferred income taxes		18.3			18.0
Other long-term liabilities		16.3			9.6
Shareholders' equity
Capital stock - $1 par value; 50.0 authorized shares; 18.5 and 18.5 shares issued and outstanding		18.5			18.5
Additional paid-in capital		149.7			147.3
Retained earnings		1,179.7			1,181.1
Accumulated other comprehensive loss		(77.6	)		(95.3	)
Total shareholders' equity		1,270.3			1,251.6
Total liabilities and shareholders' equity	$	1,510.4		$	1,481.1

Reconciliation of non-GAAP financial measures to the comparable GAAP measures

Non-GAAP Financial Measures:

This earnings release includes the following financial measures that are not presented in accordance with generally accepted accounting principles in the United States of America ("GAAP"):

(1) Adjusted earnings per diluted share, which the Company defines as earnings (loss) per diluted share excluding acquisition and related integration costs, dispositions, intangible amortization, (gains) losses on the sale or disposal of property, plant and equipment, restructuring, severance, impairment and other related costs, asbestos-related charges (credits), and the related income tax effect on these items, divided by adjusted weighted average shares outstanding - diluted;

(2) Adjusted EBITDA, which the Company defines as net income (loss) excluding acquisition and related integration costs, dispositions, intangible amortization, (gains) losses on the sale or disposal of property, plant and equipment, restructuring, severance, impairment and other related costs, asbestos-related charges (credits), interest income (expense), net, income tax (benefit) expense , depreciation of fixed assets, and equity compensation expense;

(3) Adjusted EBITDA Margin, which the Company defines as the percentage that results from dividing Adjusted EBITDA by total net sales;

(4) Free cash flow, which the Company defines as net cash provided by operating activities less non-acquisition capital expenditures.

Management believes adjusted earnings per diluted share, adjusted EBITDA and adjusted EBITDA margin are useful to investors because they allow for comparison to the Company's performance in prior periods without the effect of items that, by their nature, tend to obscure the Company's core operating results due to potential variability across periods based on the timing, frequency and magnitude of such items. As a result, management believes that these measures enhance the ability of investors to analyze trends in the Company's business and evaluate the Company's performance relative to peer companies. Management also believes free cash flow is useful to investors as an additional way of viewing the Company's liquidity and provides a more complete understanding of factors and trends affecting the Company's cash flows. However, non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation from, or as alternatives to, financial measures prepared in accordance with GAAP. In addition, these non-GAAP financial measures may differ from, and should not be compared to, similarly named measures used by other companies. Reconciliations of the differences between these non-GAAP financial measures and their most directly comparable financial measures calculated in accordance with GAAP are set forth below.


**Reconciliation of GAAP Earnings (Loss) Per Diluted Share to Adjusted Earnings Per Diluted Share:***

	2025			2024
	Q1			Q4			Q1
GAAP Earnings (Loss) Per Diluted Share	$	(0.08	)	$	(0.03	)	$	0.42

Acquisition & Divestiture Related Costs:
Acquisition & Related Integration Costs		—			(0.40	)		—
Intangible Amortization		0.15			0.17			0.17
(Gain) Loss on Sale or Disposal of PPE		—			0.01			—

Restructuring, Business Realignment & Other Cost Saving Initiatives:
Restructuring, Severance, Impairment & Other Related Costs		0.32			0.91			0.06

Asbestos-Related Charges (Credits)		—			0.08			—
Estimated Income Tax Impacts of Adjustments		(0.11	)		(0.27	)		(0.06	)
Impact of Including Dilutive Securities		—			—			—
Total Adjustments	$	0.35		$	0.49		$	0.17
Adjusted Earnings Per Diluted Share	$	0.27		$	0.46		$	0.58
*Values in table may not add due to rounding.
**Some amounts have been updated to conform to current period presentation.


The following table reconciles weighted average shares outstanding - diluted under US GAAP to adjusted weighted average shares outstanding - diluted used in the calculation of adjusted diluted EPS:

	2025	2024
(shares in millions	Q1	Q4	Q1
Weighed average shares outstanding - diluted	18.5	18.6	18.7
Dilutive effect of awards under equity compensation plans	—	—	—
Adjusted weighted average shares outstanding - diluted	18.5	18.6	18.7


**Reconciliation of GAAP Net Income (Loss) to Adjusted EBITDA:***

	2025			2024
(dollars in millions)	Q1			Q4			Q1
GAAP Net Income (Loss)	$	(1.4	)	$	(0.5	)	$	7.8

Acquisition & Divestiture Related Costs:
Acquisition & Related Integration Costs		—			(7.5	)		—
Intangible Amortization		2.7			3.1			3.1
(Gain) Loss on Sale or Disposal of PPE		—			0.1			—

Restructuring, Business Realignment & Other Cost Saving Initiatives:
Restructuring, Severance, Impairment & Other Related Costs		5.9			16.9			1.1

Asbestos-Related Charges (Credits)		—			1.4			—

Interest (Income) Expense, net		(0.3	)		(0.2	)		0.8
Income Tax (Benefit) Expense		(0.2	)		(2.3	)		3.8
Depreciation		9.2			9.3			8.2
Equity Compensation		3.6			2.9			3.5
Total Adjustments	$	20.9		$	23.7		$	20.5
Adjusted EBITDA	$	19.5		$	23.3		$	28.3
*Values in table may not add due to rounding.


**Calculation of Adjusted EBITDA margin:***

	2025			2024
(dollars in millions)	Q1			Q4			Q1
Adjusted EBITDA	$	19.5		$	23.3		$	28.3
Divided by Total Net Sales		190.5			192.2			213.4
Adjusted EBITDA Margin		10.2	%		12.1	%		13.3	%
*Values in table may not add due to rounding.


**Reconciliation of Net Cash Provided By Operating Activities to Free Cash Flow:***

	2025			2024
(dollars in millions)	Q1			Q4			Q1
Net Cash Provided By Operating Activities	$	11.7		$	33.7		$	28.1
Non-Acquisition Capital Expenditures		(9.6	)		(15.4	)		(9.4	)
Free Cash Flow	$	2.1		$	18.3		$	18.7


*Reconciliation of GAAP Earnings Per Diluted Share to Adjusted Earnings Per Diluted Share Guidance for the 2025 Second Quarter:*

	Guidance Q2 2025
GAAP Earnings per Diluted Share	$0.00 to $0.40

Intangible Amortization	$0.11

Other Adjustments*	$0.19

Adjusted Earnings per Diluted Share	$0.30 to $0.70
*Other Adjustments is mainly comprised of expected restructuring charges associated with the wind-down of AES manufacturing operations in our Evergem, Belgium facility

View source version on businesswire.com: https://www.businesswire.com/news/home/20250429077259/en/

Investor Contact:

Steve Haymore

Phone: 480-917-6026

Email: stephen.haymore@rogerscorporation.com

Website Address: https://www.rogerscorp.com

Rogers Corporation Reports First Quarter 2025 Results