Myers Industries Inc. has announced results for the third quarter ended September 30, 2025.
Myers Industries President and CEO Aaron Schapper commented, “I am encouraged by the higher gross profit and free cash flow this quarter, indicating Myers’ ability to generate value from our core businesses and strengthen operations. We achieved growth in gross profit due to a favorable product mix. Infrastructure and Industrial growth were offset by continued softness in the Vehicle and Automotive Aftermarket. Scepter’s Industrial sales growth more than compensated for the lower weather-driven fuel container sales in the Consumer end market. We made significant improvements in free cash flow, generating $21.5 million during the quarter compared to $10.1 million in the third quarter of 2024. With the idling of two rotational molding production facilities, we have identified $19 million in structural cost reductions, and we remain on track to deliver annualized cost savings of $20 million, primarily in SG&A, by the end of 2025.”
Third Quarter 2025 Financial Summary
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Quarter Ended September 30, |
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(Dollars in thousands, except per share data) |
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2025 |
|
|
2024 |
|
|
% Inc |
|
|||
|
Net sales |
|
$ |
205,435 |
|
|
$ |
205,067 |
|
|
|
0.2 |
% |
|
Gross profit |
|
$ |
68,570 |
|
|
$ |
65,130 |
|
|
|
5.3 |
% |
|
Gross margin |
|
|
33.4 |
% |
|
|
31.8 |
% |
|
|
|
|
|
Operating income (loss) |
|
$ |
17,689 |
|
|
$ |
(4,764 |
) |
|
NM |
|
|
|
Net income (loss) |
|
$ |
7,088 |
|
|
$ |
(10,878 |
) |
|
NM |
|
|
|
Net income (loss) per diluted share |
|
$ |
0.19 |
|
|
$ |
(0.29 |
) |
|
NM |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
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Adjusted operating income |
|
$ |
20,907 |
|
|
$ |
20,539 |
|
|
|
1.8 |
% |
|
Adjusted net income |
|
$ |
9,924 |
|
|
$ |
9,212 |
|
|
|
7.7 |
% |
|
Adjusted earnings per diluted share |
|
$ |
0.26 |
|
|
$ |
0.25 |
|
|
|
4.0 |
% |
|
Adjusted EBITDA |
|
$ |
30,595 |
|
|
$ |
30,735 |
|
|
|
(0.5 |
)% |
- Net sales: Increased due to higher demand in the Infrastructure and Industrial end markets, particularly military products. This was offset by lower demand in the Automotive Aftermarket, Consumer and Vehicle end markets.
- Gross profit and Operating income: Increased due to higher volume, favorable mix, favorable cost productivity and lower material cost.
Third Quarter 2025 Segment Results
(Dollar amounts in the segment tables below are reported in millions)
Material Handling
|
|
Net Sales |
|
Op Income |
|
Op Income |
|
Adj EBITDA |
|
Adj EBITDA |
|
Q3 2025 Results |
$153.5 |
|
$26.6 |
|
17.3% |
|
$36.8 |
|
24.0% |
|
Q3 2024 Results |
$150.7 |
|
$0.9 |
|
0.6% |
|
$33.5 |
|
22.2% |
|
$ Increase (decrease) vs prior year |
$2.8 |
|
$25.7 |
|
|
|
$3.4 |
|
|
|
% Increase (decrease) vs prior year |
1.9% |
|
NM |
|
+1,670 bps |
|
10.0% |
|
+180 bps |
|
Items in this table may not recalculate due to rounding |
- Operating income: Increased primarily due to a $22 million non-cash charge for goodwill impairment taken in the third quarter of 2024. Excluding this item, operating income would have improved by $3.7 million.
- Adjusted EBITDA: Increased due to higher volume and favorable material costs, partially offset by lower pricing.
Distribution
|
|
Net Sales |
|
Op Income |
|
Op Income |
|
Adj EBITDA |
|
Adj EBITDA |
|
Q3 2025 Results |
$52.0 |
|
$0.8 |
|
1.6% |
|
$1.6 |
|
3.2% |
|
Q3 2024 Results |
$54.4 |
|
$2.1 |
|
3.9% |
|
$3.2 |
|
5.8% |
|
$ Increase (decrease) vs prior year |
($2.4) |
|
($1.3) |
|
|
|
($1.5) |
|
|
|
% Increase (decrease) vs prior year |
(4.4)% |
|
(60.6)% |
|
-230 bps |
|
(48.2)% |
|
-260 bps |
|
Items in this table may not recalculate due to rounding |
- Operating income and Adjusted EBITDA: Decreased due to lower volume, partially offset by favorable SG&A.
Balance Sheet & Cash Flow
- Total liquidity of $292.7 million, including $244.7 million of availability under the revolving credit facility and $48.0 million in cash on hand.
- Cash flow from operations was $25.8 million. Free cash flow was $21.5 million, up $11.4 million versus prior year, due to improvements in working capital. Capital expenditures were $4.2 million.
- Total debt was reduced by $10.0 million with a net leverage ratio of 2.6x.
- Repurchased $0.5 million shares in the third quarter with $8.0 million remaining under the 2025 Share Repurchase Program.
Sale Process Initiated for Myers Tire Supply Business
As a result of the Strategic Review announced in the second quarter of this year, the Company has now initiated a sale process to divest the business. The company has partnered with KeyBanc to act as financial advisor for this process.
2025 End Market Outlook
The following table presents the Company’s current 2025 outlook for each of its end markets. The 2025 outlook is updated from the outlook provided on July 31, 2025.
|
End Markets (TTM Sales as of September 30, 2025) |
2025 Outlook |
|
Industrial (30% of sales) Akro-Mils®, Buckhorn® & Jamco® containers, organizational bins, totes, carts and cabinets; Scepter® military ammunition containers; OEM parts for general industrial equipment |
Moderate growth |
|
Infrastructure (14% of sales) Signature Systems™ ground protection matting for construction, industrial sites, and event venues |
Strong growth |
|
Vehicle (12% of sales) RV, marine, and automotive components |
Down |
|
Consumer (11% of sales) Scepter® fuel containers; outdoor furniture and equipment |
Down, affected by absence of U.S. landed storms |
|
Food & Beverage (8% of sales) Buckhorn® seed boxes, intermediate bulk containers, and Tuff Series bulk containers for agricultural and chemical customers |
Stable |
|
Automotive Aftermarket Distribution (25% of sales) Distribution sales to tire service aftermarket |
Down |
Conference Call Details
The Company will host an earnings conference call and webcast for investors and analysts on Thursday, October 30, 2025, at 8:30 a.m. ET. The call is anticipated to last less than one hour and may be accessed using the following online participation registration link: https://www.netroadshow.com/events/login/LE9zwo4BXUEngAbx5H8AnNUHwe2NmdCRXTY. Upon registering, each participant will be provided with call details and a registrant ID. Reminders will also be sent to registered participants via email. Alternatively, the conference call will be available via a live webcast. To access the live webcast or a replay, visit the Company’s website www.myersindustries.com and click on the Investor Relations tab. An archived replay of the call will also be available on the site shortly after the event. To listen to the telephone replay, callers should dial: (U.S. Local) 1-929-458-6194 or (U.S. Toll-Free) 1-866-813-9403 and use access code 135145.
Use of Non-GAAP Financial Measures
The Company uses certain non-GAAP measures in this release. Adjusted gross profit, adjusted gross margin, adjusted operating income (loss), adjusted operating income margin, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted EBITDA margin, adjusted net income, adjusted earnings per diluted share (adjusted EPS), and free cash flow are non-GAAP financial measures and are intended to serve as a supplement to results provided in accordance with accounting principles generally accepted in the United States. Myers Industries believes that such information provides an additional measurement and consistent historical comparison of the Company’s performance. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures is available in this news release.
