Metallus (MTUS) investor relations material

Executive summary

• Order book grew over 50% year-over-year, positioning for a stronger start to 2026 and robust A&D growth.

• Achieved commercial recovery in specialty steel and multi-metal solutions, with shipments up 14% year-over-year, driven by improved demand and a supportive trade environment.

• Net sales reached $1.2 billion in 2025, up 7% year-over-year, with full-year net loss of $1.2 million but adjusted net income of $15.3 million and adjusted EBITDA of $75.6 million.

• Maintained a strong safety record, earning industry recognition and reducing injury frequency by 11% year-over-year.

• New four-year labor agreement ratified with United Steelworkers, including a $2M one-time payment in Q1 2026 and 5% annual wage increases.

Financial highlights

• Fourth quarter net sales were $267.3 million, with a net loss of $14.3 million and adjusted EBITDA of $2.4 million.

• Full-year net sales rose 7% to $1.2 billion, with shipments up 14% to 631,700 tons.

• Aerospace & defense net sales grew 19% to $160.6 million, now 14% of total sales.

• Cash and cash equivalents at year-end were $156.7 million; total liquidity was $389 million.

• Capital expenditures in 2025 totaled $109 million, with $81.3 million government-funded.

Outlook and guidance

• Q1 2026 shipments expected to rise ~10% sequentially, with improved operational performance and manufacturing costs projected to improve by ~$10 million.

• Adjusted EBITDA expected to ramp throughout 2026, with positive free cash flow after Q1 and stronger performance anticipated in each quarter versus 2025.

• Full-year 2026 capital expenditures planned at ~$70 million, including $35 million government-related; $17 million more in government funding expected in H1 2026.

• Average base price per ton expected to increase slightly year-over-year; spot price increases implemented for key products.

• Required pension contributions for 2026 expected to drop nearly 60% to $27 million.