Mativ Holdings, Inc. reported its financial results for the three and nine months ended September 30, 2024, showing a mixed performance compared to the previous fiscal period. For the third quarter, net sales reached $498.5 million, a slight increase from $498.2 million in the same period of 2023. However, for the nine months ended September 30, 2024, net sales decreased to $1,522.5 million from $1,573.7 million in the prior year.

The company's gross profit for the third quarter improved to $93.6 million, up from $86.7 million, reflecting a gross profit margin increase to 18.8% from 17.4%. For the nine-month period, gross profit rose to $286.5 million, compared to $269.9 million in 2023. Operating profit for the third quarter was $7.0 million, a significant turnaround from an operating loss of $419.9 million in the prior year. For the nine months, operating profit was $3.7 million, compared to an operating loss of $411.7 million.

Despite these improvements, Mativ reported a net loss from continuing operations of $(20.8) million for the third quarter, a substantial reduction from $(464.3) million in the same period last year. For the nine months, the net loss was $(50.2) million, down from $(494.1) million in 2023. The loss per share from continuing operations also improved to $(0.38) from $(8.50) year-over-year.

The company underwent significant strategic changes, including the sale of its Engineered Papers business on November 30, 2023, which marked its exit from tobacco-related markets. Mativ reorganized into two reportable segments: Filtration & Advanced Materials (FAM) and Sustainable & Adhesive Solutions (SAS) as of Q1 2024. The FAM segment reported a decline in sales due to lower volumes and selling prices, while the SAS segment saw an increase driven by higher volumes and prices.

Mativ's total assets slightly decreased to $2,623.1 million as of September 30, 2024, from $2,642.4 million at the end of 2023. Total liabilities increased to $1,740.8 million, up from $1,693.3 million, with long-term debt rising to $1,140.6 million. The company maintained cash and cash equivalents of $162.2 million, an increase from $120.2 million at the end of 2023.

In terms of operational efficiency, Mativ reported net cash provided by operating activities of $70.7 million for the nine months ended September 30, 2024, compared to $37.8 million in the prior year. The company also reduced capital spending to $32.9 million from $49.4 million in the same period last year.

Overall, Mativ's financial results reflect a significant recovery in profitability metrics, although challenges remain in sales performance and market conditions.