Rogers Corporation reported a decline in financial performance for the third quarter and the first nine months of 2024 compared to the same periods in 2023. For the three months ended September 30, 2024, net sales were $210.3 million, down 8.2% from $229.1 million in Q3 2023. The nine-month figures also reflected a decrease, with net sales of $637.9 million compared to $703.8 million in the prior year, marking a 9.4% decline. The Advanced Electronics Solutions (AES) segment experienced a significant drop in sales, down 11.2% in Q3 and 10.9% for the nine months, primarily due to reduced demand in the EV/HEV, industrial power systems, and ADAS markets.

Operating income for Q3 2024 was $14.6 million, a decrease from $27.2 million in Q3 2023, while for the nine months, it fell to $37.6 million from $54.8 million. Net income for the third quarter was $10.7 million, down from $19.0 million, and for the nine months, it decreased to $26.6 million from $33.4 million. Basic and diluted earnings per share for Q3 2024 were $0.58, compared to $1.02 in Q3 2023.

Despite the decline in sales and profitability, the company reported an increase in other comprehensive income, which was $25.9 million for Q3 2024, compared to a loss of $17.8 million in the same quarter of 2023. Total comprehensive income for Q3 2024 was $36.6 million, significantly higher than $1.2 million in Q3 2023.

Rogers Corporation has undertaken strategic restructuring initiatives, incurring $5.9 million in restructuring charges in Q3 2024 related to the consolidation of manufacturing operations in Belgium, expected to yield annual savings of $7.0 million to $9.0 million. The company also announced the closure of its Burlington, Massachusetts Innovation Center, with anticipated restructuring charges of $1.3 million to $1.7 million.

As of September 30, 2024, cash and cash equivalents increased to $146.4 million from $131.7 million at the end of 2023. The company maintained a total net leverage ratio of less than 2.75 to 1.00, allowing for cash dividends under its credit agreement. No borrowings were made under the revolving credit facility during the reported periods, and the company made discretionary principal payments totaling $30.0 million in 2024.

Overall, Rogers Corporation's financial results reflect challenges in key markets, prompting strategic adjustments aimed at improving operational efficiency and profitability moving forward.

About ROGERS CORP

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