Minerals Technologies Q2 Earnings Call Highlights

Minerals Technologies reported solid Q2 results: Sales rose 4% to $548 million, operating income reached $75 million, and EPS increased 3% to $1.60. Year-to-date operating cash flow improved by $37 million to $95 million, while net leverage declined to 1.6 times EBITDA. Engineered Solutions delivered record profitability, with sales up 9% and operating margin reaching 17.8%, supported by strength in steel, Asian foundry demand, and infrastructure projects. Consumer & Specialties faced higher freight, energy and mining costs, with pricing expected to lag costs by $5 million to $6 million in Q3. The company forecast Q3 sales of approximately $550 million and EPS of $1.55–$1.60 , while maintaining its mid-single-digit full-year sales-growth outlook. It also recorded a $290 million charge related to the BMI OldCo talc bankruptcy cases and disclosed potential funding of about $450 million for a proposed trust.

Minerals Technologies NYSE: MTX reported second-quarter sales of $548 million, up 4% from a year earlier, while operating income totaled $75 million. Earnings per share were $1.60, up 3% year over year, Chairman and Chief Executive Officer Doug Dietrich said on the company’s second-quarter 2026 earnings call. For the first half of 2026, sales rose 7%, including 5% growth in Consumer & Specialties and 10% growth in Engineered Solutions. The company said volume growth from strategic projects and improved end-market conditions supported the increase. Excluding special items, second-quarter earnings per share increased 3%, while year-to-date earnings per share rose 11%, according to Chief Financial Officer Erik Aldag.

The company also reported improved cash generation, with year-to-date cash from operations reaching $95 million, up $37 million from the prior-year period. Year-to-date free cash flow was $45 million, and net leverage declined to 1.6 times EBITDA.

Engineered Solutions delivered second-quarter sales of $274 million, an increase of 9% from the prior year, and operating income of $49 million. The segment’s operating margin reached a record 17.8%, which Aldag said reflected sales growth translating effectively into income as price adjustments kept pace with cost increases. High-Temperature Technologies sales rose 7% to $190 million in the quarter. The company cited continued strength among North American steel customers, improved demand signs in Europe, and strong sales to Asian foundry customers. Foundry sales in Asia rose 14% during the quarter. Environmental & Infrastructure sales increased 15% to $84 million. Building materials sales climbed 41%, aided by large projects, while drilling products sales rose 20% and environmental lining solutions sales increased 18%, supported by mining-sector project activity. Brett Argirakis, Group President of Engineered Solutions, said European steel markets remain soft but have improved from the preceding quarter. He cited carbon-regulation safeguards intended to address imports, improved production in Germany, and the nationalization of a major U.K. steel mill that the company has served for many years. The company expects Engineered Solutions sales to grow 3% to 5% year over year in the third quarter, led by steady steel demand and continued improvement in Environmental & Infrastructure markets.

Consumer & Specialties generated second-quarter sales of $275 million. Sales in Household & Personal Care totaled $123 million, with cat litter demand moderating after a strong first quarter. Dietrich said first-quarter cat litter sales benefited from distribution-center inventory fills tied to new products, while order patterns slowed.