Myers Industries reports first quarter earnings

Akron, OH – Myers Industries, Inc. announced results for the first quarter ended March 31, 2023.

First Quarter 2023 Financial Highlights include Net sales of $215.7 million compared to $225.5 million in the prior year period. Gross margin of 32.9%, up 100 basis points versus the prior year period. GAAP net income per diluted share of $0.35 compared to $0.47 in the prior year period. Adjusted earnings per diluted share of $0.38 compared to $0.50 in the prior year period. Cash flow provided by operations was $25.8 million and free cash flow was $16.7 million.

Myers Industries’ President and CEO Mike McGaugh said, “We are pleased with our gross margin expansion and increased cash flow generation in the first quarter. These results demonstrate the strength of our ongoing self-help initiatives and cost savings measures, which are a cornerstone of Horizon 1 of our Strategy. Countering those great results, though, was continued and anticipated reduced demand for our products that serve the Recreational Vehicle end market and our products that are high quality, high dollar discretionary purchases for the Consumer. Inflationary trends are impacting overall consumption and performance in those two markets year-over-year. To help offset these demand headwinds, we are laser focused on pursuing growth and winning new business in our other end markets.

“In the Distribution segment, I continue to be optimistic about the strategic move of acquiring Mohawk Rubber; we are stronger together, we have more channel power, and we can serve our customers better than ever. As we continue to integrate Mohawk, I expect our Distribution segment to deliver breakthrough performance.”

McGaugh continued, “We are keenly focused on operational excellence, by way of the “Myers Business System” which serves as the foundation for sustainable and scalable improvements throughout our organization. The System is an integral part of our transformation into a world-class organization that generates significant value for all our stakeholders.”

McGaugh concluded, “We believe our Strategy to drive commercial and operational excellence, our leading positions in the strong markets in which we play, and our culture of continuous improvement will serve as a solid defense against these near-term macroeconomic headwinds and will propel our long-term growth as we progress through our 3-horizon strategy.”