Materion Cuts Outlook on Lower-Than-Expected Semiconductor, Industrial Orders

By Sabela Ojea

Materion cut its outlook for the year, citing lower-than-expected incoming semiconductor and industrial orders for the second half of 2024.

The supplier of engineered materials on Tuesday said that it now forecasts adjusted earnings per share of $5.20 to $5.40, below the $5.60 to $5.90 range provided in early August.

The company said it has put in place cost-control actions, as value-added sales for the second half should be 5% below its prior expectations.

"The impact from a recovery in the semiconductor market is taking longer than planned, with customer inventories remaining at high levels, and the anticipated rebound in the industrial end markets has not yet materialized," the company said in a Securities and Exchange Commission filing.

The outlooks for aerospace and automotive have also been reduced due to continued reductions in customer build rates, Materion added.

Write to Sabela Ojea at sabela.ojea@wsj.com; @sabelaojeaguix

(END) Dow Jones Newswires

October 01, 2024 17:28 ET (21:28 GMT)

Copyright (c) 2024 Dow Jones & Company, Inc.