Ecovyst (ECVT)2025-05-01 10:01Financial Performance - Sales for Q1 2025 were $162.2 million, a slight increase from $160.5 million in Q1 2024[4] - Net loss for Q1 2025 was $3.6 million, compared to a net income of $1.2 million in the same quarter last year, resulting in a net loss margin of 2.2%[4] - Adjusted EBITDA for Q1 2025 was $38.9 million, down from $45.5 million in Q1 2024, with an Adjusted EBITDA margin of 19.5%[4] - Operating loss for Q1 2025 was $0.9 million, a significant decline of 106.5% compared to an operating income of $13.9 million in Q1 2024[24] - Adjusted Net Income for the first quarter of 2025 was $1.6 million, compared to $7.0 million in the first quarter of 2024[31] Segment Performance - Ecoservices segment sales increased to $143.1 million in Q1 2025 from $141.6 million in Q1 2024, but Adjusted EBITDA decreased to $28.5 million from $41.5 million[5] - Advanced Materials & Catalysts segment saw sales rise to $19.1 million in Q1 2025 from $18.9 million in Q1 2024, with Adjusted EBITDA increasing to $17.5 million from $11.1 million[6] - Zeolyst Joint Venture sales surged by 60.4% to $37.7 million from $23.5 million year-over-year[33] - Ecoservices Adjusted EBITDA margin decreased to 19.9% from 29.3% year-over-year[33] - Advanced Materials & Catalysts Adjusted EBITDA increased by 57.7% to $17.5 million from $11.1 million in the previous year[33] Cash Flow and Debt - Cash flows from operating activities were $10.3 million in Q1 2025, significantly down from $36.5 million in Q1 2024[7] - Cash and cash equivalents decreased to $127.5 million from $146.0 million at the end of Q4 2024[26] - The net debt leverage ratio was 3.2x as of March 31, 2025, with total gross debt of $868.6 million[7] - The Net Debt Leverage ratio increased to 3.2x as of March 31, 2025, compared to 2.9x a year earlier[35] - Total debt as of March 31, 2025, was $868.6 million, a slight decrease from $875.3 million a year prior[35] Guidance and Outlook - The company reaffirmed its full-year 2025 Adjusted EBITDA guidance and increased sales outlook to $785 million to $845 million, up from $755 million to $815 million[10] - Adjusted Net Income for the full year 2025 is projected to be between $58 million and $85 million, with Adjusted Diluted Income per share expected to be between $0.50 and $0.70[15] Tax and Equity - The effective tax rate for Q1 2025 was 13.3%, compared to 49.1% in Q1 2024[24] - The company reported a significant increase in equity in net income from affiliated companies, which was a loss of $8.9 million in Q1 2025 compared to a loss of $2.1 million in Q1 2024, representing a 323.8% increase in losses[24] Other Financial Metrics - Cost of goods sold increased by 12.6% to $136.6 million, resulting in a gross profit of $25.6 million, down 34.7% from $39.2 million[24] - Total assets as of March 31, 2025, were $1,786.9 million, a slight decrease from $1,802.3 million at the end of 2024[26] - Total liabilities decreased to $1,088.2 million from $1,101.8 million at the end of 2024[26] - Adjusted Free Cash Flow for the first quarter of 2025 was $(13.0) million, a significant decline from $19.1 million in the same quarter of 2024[34]