Key Highlights

  • Third-quarter sales came to USD 499.5 million, a 2.8% decline that reached 2.3% on an organic basis, largely because a July tornado in Wisconsin hit operations.
  • A GAAP loss of USD 1.2 million, or USD 0.03 a share, improved on a USD 3.2 million loss a year earlier, while adjusted income landed at USD 17.5 million, or USD 0.31 a share.
  • Adjusted EBITDA slid 7% to USD 62.3 million, even though Filtration and Advanced Materials grew 20.4% to USD 39.6 million.
  • Nine-month Operating Cash Flow reached USD 117.4 million, up 3%, and free cash flow hit USD 90.5 million, up 5%, against total Debt of USD 976.4 million.

Tornado Disrupts Paper and Packaging Production in July

Mativ Holdings (NYSE:MATV) reported third-quarter numbers on November 4, 2026, for the three months ended September 30. Sales of USD 499.5 million declined chiefly due to a July tornado that struck its Paper and Packaging operations, which the company had previously disclosed. Management said recovery remains on schedule, expects inventory losses to be fully recoverable, and believes adjusted EBITDA would have grown year over year without the disruption. Adjusted EBITDA fell 7% to USD 62.3 million. The effective tax rate reached 185.7%, with USD 2.6 million of tax expense, since losses in some jurisdictions carry full valuation allowances and cannot be used.

Filtration Gains Contrast With a Shrinking Adhesive Solutions Unit

The Filtration and Advanced Materials segment lifted sales 10.2% to USD 218.5 million, or 11.6% organically, with Demand cited in aerospace, defense and transportation. Its adjusted EBITDA Margin improved 150 basis points to 18.1%. Sustainable and Adhesive Solutions, which spans tapes, labels, liners, specialty paper, packaging and healthcare products, saw sales decline 10.9% to USD 281.0 million. Adjusted EBITDA there dropped 24.7% to USD 32.6 million, and its margin compressed 210 basis points to 11.6%. Unallocated adjusted expenses reached USD 9.9 million, slightly above last year. Interest expense came to USD 18.1 million, reflecting higher rates on floating-rate debt. The company manufactures on three continents from its Alpharetta, Georgia headquarters and sells to customers in more than 100 countries. Other expense, net improved to USD 0.4 million from USD 3.9 million.

Cash Generation, Net Debt and a Steady Dividend

Year-to-date gross profit, inferred from the release's year-to-date highlights, totaled USD 295.9 million, up 7%, while Capital spending came to USD 26.9 million. Working Capital was an USD 11.9 million source of cash. Total debt of USD 976.4 million sat USD 52.5 million below a year earlier. With cash of USD 97.3 million, net debt stood at USD 879.1 million. Liquidity totaled about USD 373.5 million, including USD 276.2 million of revolver availability, and maturities are staggered through 2033. A quarterly Dividend of USD 0.10 a share is payable December 18, 2026 to holders of record on November 27, 2026. The conference call was set for November 5, 2026.

Where Things Stand

Mostly the tornado. The release says adjusted EBITDA growth was on track before the storm hit, and Mativ Holdings (NYSE:MATV) cut its GAAP loss to USD 1.2 million and earned USD 0.31 adjusted per share even as sales fell 2.8%. The release gave no numeric full-year guidance, though management expressed confidence in full-year results ahead of the prior year. Watch plant and inventory recoveries, the Adhesive Solutions margin, Filtration growth and the initiatives the CEO outlined.