Rogers Corporation Reports Q2 2024 Results
July 26, 2024 | Rogers CorporationEstimated reading time: 1 minute
Rogers Corporation announced financial results for the second quarter of 2024.
"Solid execution contributed to results that were in line with our second quarter expectations,” stated Colin Gouveia, Rogers' President and CEO. "Sales were near the mid-point of our Q2 guidance, as stronger portable electronics and wireless infrastructure revenues were tempered by lower general industrial demand. We achieved record quarterly sales of our leading EV battery solutions, but overall EV/HEV results were mixed as power substrate sales declined due to elevated customer inventory levels. Stronger gross margin results drove higher earnings and reflect the structural cost improvements we have implemented in recent quarters. We remain intently focused on executing our strategy to grow the business and drive significant margin and profitability improvements."
Q2 2024 Summary of Results
Net sales of $214.2 million increased 0.4% versus the prior quarter resulting from higher sales in the EMS business unit. EMS net sales increased by 10.5% primarily from higher EV/HEV and portable electronics sales, partially offset by slightly lower aerospace and defense (A&D) sales. AES net sales decreased by 5.4% primarily related to lower EV/HEV, industrial and A&D sales, partially offset by higher wireless infrastructure sales. Currency exchange rates unfavorably impacted total company net sales in the second quarter of 2024 by $0.7 million compared to the prior quarter.
Gross margin increased to 34.1% from 32.0% in the prior quarter primarily from favorable product mix and reductions in manufacturing costs.
Selling, general and administrative (SG&A) expenses increased by $3.4 million from the prior quarter to $50.9 million. The higher SG&A was primarily due to the timing of variable compensation expenses and factory start-up costs.
GAAP operating margin of 5.3% decreased from 5.5% in the prior quarter, primarily due to higher SG&A and restructuring expenses. Adjusted operating margin of 8.2% increased by 70 basis points versus the prior quarter.
GAAP earnings per diluted share were $0.44 compared to earnings per diluted share of $0.42 in the previous quarter. On an adjusted basis, earnings were $0.69 per diluted share compared to earnings of $0.58 per diluted share in the prior quarter.
Ending cash and cash equivalents were $119.9 million, an increase of $3.0 million versus the prior quarter. Net cash provided by operating activities in the second quarter was $22.9 million and capital expenditures were $14.1 million.
Suggested Items
I-Connect007 Editor's Choice: Five Must-Reads for the Week
09/06/2024 | Nolan Johnson, I-Connect007This week’s Top 5 starts with steps you can take to cultivate a culture of thriving. We also have bullish news from the global semiconductor sector, advice on how to tease out hidden cost drivers during the PCB design cycle, how the Altium-Ansys collaboration will affect design, and Happy Holden’s version of Occam’s Razor—three simple tools to keep your wet processes in line.
Bachmann Electronic Opens a Branch in Norway
09/05/2024 | BachmannThe Austrian company Bachmann electronic, which specializes in automation technology for maritime applications, renewable energies, and industry, is expanding its international footprint with a new branch in Norway.
Altus Enhances Customer Support in the North
09/05/2024 | Altus GroupAltus Group, a leading capital equipment distributor for the electronics industry in the UK and Ireland, is pleased to announce the addition of a Senior Sales Manager to its growing team.
Koh Young Welcomes Chris Treadway to Lead Sales in Key Regions of the U.S.
09/04/2024 | Brent Fischthal, Koh Young AmericaKoh Young Technology has announced the addition of Chris Treadway to its sales team in the United States. Chris will play a crucial role in our continued market expansion as he leads a team of sales partners in his new role as Regional Sales Manager for the Central and Northwest regions of the United States.
Global Semiconductor Sales Increase 18.7% Year-to-Year in July
09/03/2024 | SIAThe Semiconductor Industry Association (SIA) announced global semiconductor industry sales hit $51.3 billion during the month of July 2024, an increase of 18.7% compared to the July 2023 total of $43.2 billion and 2.7% more than the June 2024 total of $50.0 billion. Monthly sales are compiled by the World Semiconductor Trade Statistics (WSTS) organization and represent a three-month moving average.