Atkore (ATKR) - 2025 Q2 - Quarterly Report

Financial Performance - Net sales decreased by $91.2 million, or 11.5$701.7 million for the three months ended March 28, 2025, compared to $792.9 million for the same period in 2024[107]. - For the six months ended March 28, 2025, net sales decreased by$228.1 million, or 14.3%, to $1,363.3 million compared to$1,591.4 million for the same period in 2024[125]. - Net sales decreased by $226.4 million, or 19.1$958.0 million for the six months ended March 28, 2025, from $1,184.5 million for the same period in 2024[134]. Profitability - Gross profit fell by$106.5 million, or 36.5%, to $185.1 million for the three months ended March 28, 2025, primarily due to lower net sales[105]. - Operating loss increased to$51.8 million for the three months ended March 28, 2025, compared to an operating income of $178.8 million for the same period in 2024, representing a change of$230.6 million[105]. - Adjusted EBITDA for the Electrical segment decreased by $104.8 million, or 53.5$90.9 million for the three months ended March 28, 2025, with an Adjusted EBITDA margin of 18.5%[120]. - Adjusted EBITDA decreased by $216.8 million, or 54.2$183.3 million for the six months ended March 28, 2025, from $400.1 million for the same period in 2024[135]. - Adjusted EBITDA margin decreased to 19.1$8.7 million, or 4.4%, to $190.5 million for the six months ended March 28, 2025, primarily due to increased productivity and reduced administrative costs[127]. - Other expense, net increased to$6.4 million for the three months ended March 28, 2025, compared to $0.7 million for the same period in 2024, primarily due to a loss on the sale of Northwest Polymers[113]. - Intangible asset amortization expense decreased to$21.9 million for the six months ended March 28, 2025, from $28.7 million for the same period in 2024[128]. Asset Impairment - Asset impairment charges rose to$127.7 million for the three months ended March 28, 2025, compared to no charges in the same period in 2024[111]. - Asset impairment charges increased to $127.7 million for the six months ended March 28, 2025, compared to no charges for the same period in 2024[129]. Cash Flow - Cash and cash equivalents were$330.4 million as of March 28, 2025, with $82.1 million held at non-U.S. subsidiaries[139]. - Cash flows provided by operating activities were$160.9 million for the six months ended March 28, 2025, down from $245.3 million for the same period in 2024[149]. - The company used$48.0 million in investing activities during the six months ended March 28, 2025, compared to $79.0 million for the same period in 2024[150]. - Financing activities resulted in a cash outflow of$129.2 million for the six months ended March 28, 2025, compared to $187.5 million for the same period in 2024[151]. Taxation - The company's income tax rate increased to 24.7% for the three months ended March 28, 2025, compared to 18.7% for the same period in 2024[114]. - The effective income tax rate increased to 53.0% for the six months ended March 28, 2025, from 18.1% for the same period in 2024[132]. Risks and Uncertainties - The company acknowledges that actual future results may differ materially from expectations due to various risks and uncertainties[156]. - There have been no material changes to the quantitative and qualitative disclosures about market risks previously disclosed in the Annual Report on Form 10-K[159]. - Comparisons of results for current and prior periods should only be viewed as historical data and not as indicators of future performance[158].