Mativ Sales Up 76 Percent

Sales of Mativ Holdings increased 76 percent to $674.1 million in the third quarter of 2022, with 12 percent constant currency organic sales growth, or 7 percent organic growth including negative currency impacts, the company announced in a press note.

Strong sales growth in release liners, protective solutions, filtration, and paper and specialty packaging led the portfolio, according to the company, which was created in July following the merger between Schweitzer Mauduit International and Neenah.

Pricing actions drove top-line gains while offsetting raw material cost increases, with margin expansion across most categories. Macro trends such as negative currency changes, increasing global economic uncertainty and European energy inflation impacted results, as did a cybersecurity incident unrelated to the integration of the Neenah merger during the quarter

Fiber-Based Solutions segment sales were $248 million, up 101 percent, and reflect the merged company results versus the prior year period, which reflected only legacy SWM results. Organic sales growth was 7 percent, or 12 percent excluding negative currency impacts, driven primarily by price increases, and comparable adjusted operating profit increased 6 percent. Double-digit sales growth in packaging and specialty papers led the portfolio. Price increases exceeded inflationary pressures for the segment.

“Mativ delivered organic constant currency sales growth of 12 percent in the quarter, with most business areas delivering increased price, revenue and margin,” said Mativ CEO Julie Schertell. “On a comparable basis, adjusted operating profits were up nearly 25 percent. Our merger integration is progressing well, and we are executing on our $65 million cost synergy plan. Based on current performance, we now expect to exceed our previously communicated $20 million synergy run-rate exiting 2022.”