3 unchanged sentences
(Dollar amounts in thousands)
−Removed: March 31, 2025 September 30, 2024
+Added: June 30, 2025 September 30, 2024
Current assets:
4 unchanged sentences
Other current assets 48,404 54,886
−Removed: Current assets held-for-sale 124,562 —
Total current assets 516,279 632,543
6 unchanged sentences
Other non-current assets 15,972 9,576
−Removed: Non-current assets held-for-sale 303,448 —
Total assets $ 1,705,965 $ 1,834,890
−Removed: The accompanying notes are an integral part of these consolidated financial statements.
−Removed: MATTHEWS INTERNATIONAL CORPORATION AND SUBSIDIARIES
−Removed: CONSOLIDATED BALANCE SHEETS (Unaudited), continued
−Removed: (Dollar amounts in thousands)
−Removed: March 31, 2025 September 30, 2024
−Removed: LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
7 unchanged sentences
Other current liabilities 120,757 148,151
−Removed: Current liabilities held-for-sale 70,393 —
Total current liabilities 310,750 434,775
3 unchanged sentences
Other non-current liabilities 92,429 107,534
−Removed: Non-current liabilities held-for-sale 31,971 —
Total liabilities 1,192,133 1,397,684
15 unchanged sentences
Three Months Ended
−Removed: March 31, Six Months Ended
+Added: June 30, Nine Months Ended
2025 2024 2025 2024
5 unchanged sentences
Intangible amortization ( 3,474 ) ( 9,037 ) ( 16,362 ) ( 27,791 )
+Added: Gain on sale of SGK Business 57,103 — 57,103 —
Operating profit 75,191 6,702 86,813 37,457
1 unchanged sentence
Other income (deductions), net ( 497 ) ( 974 ) 1,954 ( 2,732 )
−Removed: (Loss) income before income taxes ( 11,644 ) 7,905 ( 17,474 ) 4,876
−Removed: Income tax benefit 2,728 1,122 5,086 1,848
−Removed: Net (loss) income ( 8,916 ) 9,027 ( 12,388 ) 6,724
+Added: Income (loss) before income taxes 58,864 ( 7,052 ) 41,390 ( 2,176 )
+Added: Income tax (provision) benefit ( 43,477 ) 8,829 ( 38,391 ) 10,677
+Added: Net income 15,387 1,777 2,999 8,501
Net loss attributable to noncontrolling interests — — — —
−Removed: Net (loss) income attributable to Matthews shareholders $ ( 8,916 ) $ 9,027 $ ( 12,388 ) $ 6,724
−Removed: (Loss) earnings per share attributable to Matthews shareholders:
+Added: Net income attributable to Matthews shareholders $ 15,387 $ 1,777 $ 2,999 $ 8,501
+Added: Earnings per share attributable to Matthews shareholders:
Basic $ 0.50 $ 0.06 $ 0.10 $ 0.28
4 unchanged sentences
(Dollar amounts in thousands)
−Removed: Three Months Ended March 31,
+Added: Three Months Ended June 30,
Matthews Noncontrolling Interest Total
2025 2024 2025 2024 2025 2024
−Removed: Net (loss) income:
$ 15,387 $ 1,777 $ — $ — $ 15,387 $ 1,777
5 unchanged sentences
Net amount reclassified to earnings ( 204 ) ( 506 ) — — ( 204 ) ( 506 )
−Removed: Net change in unrecognized (loss) gain on cash flow hedges ( 1,966 ) 1,484 — — ( 1,966 ) 1,484
+Added: Net change in unrecognized loss on cash flow hedges ( 1,399 ) ( 401 ) — — ( 1,399 ) ( 401 )
OCI, net of tax 97,446 ( 1,605 ) — — 97,446 ( 1,605 )
−Removed: Comprehensive (loss) income $ ( 2,599 ) $ 4,203 $ — $ — $ ( 2,599 ) $ 4,203
−Removed: Six Months Ended March 31,
+Added: Comprehensive income $ 112,833 $ 172 $ — $ — $ 112,833 $ 172
+Added: Nine Months Ended June 30,
Matthews Noncontrolling Interest Total
2025 2024 2025 2024 2025 2024
−Removed: Net (loss) income:
$ 2,999 $ 8,501 $ — $ — $ 2,999 $ 8,501
2 unchanged sentences
Pension plans and other postretirement benefits ( 378 ) ( 596 ) — — ( 378 ) ( 596 )
−Removed: Unrecognized gain (loss) on cash flow hedges:
+Added: Unrecognized (loss) gain on cash flow hedges:
Net change from periodic revaluation ( 408 ) ( 2,301 ) — — ( 408 ) ( 2,301 )
Net amount reclassified to earnings ( 742 ) ( 1,497 ) — — ( 742 ) ( 1,497 )
−Removed: Net change in unrecognized gain (loss) on cash flow hedges 249 ( 3,397 ) — — 249 ( 3,397 )
+Added: Net change in unrecognized (loss) gain on cash flow hedges ( 1,150 ) ( 3,798 ) — — ( 1,150 ) ( 3,798 )
OCI, net of tax 91,014 295 — 22 91,014 317
−Removed: Comprehensive (loss) income $ ( 18,820 ) $ 8,624 $ — $ 22 $ ( 18,820 ) $ 8,646
+Added: Comprehensive income $ 94,013 $ 8,796 $ — $ 22 $ 94,013 $ 8,818
The accompanying notes are an integral part of these consolidated financial statements.
1 unchanged sentence
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY
−Removed: for the three and six months ended March 31, 2025 and 2024 (Unaudited)
+Added: for the three and nine months ended June 30, 2025 and 2024 (Unaudited)
(Dollar amounts in thousands, except per share data)
31 unchanged sentences
March 31, 2025 $ 36,334 $ 148,922 $ 593,958 $ ( 175,174 ) $ ( 195,848 ) $ 48 $ 408,240
+Added: Net income — — 15,387 — — — 15,387
+Added: Minimum pension liability — — — 44 — — 44
+Added: Translation adjustment — — — 98,801 — — 98,801
+Added: Fair value of cash flow hedges — — — ( 1,399 ) — — ( 1,399 )
+Added: Total comprehensive income 112,833
+Added: Stock-based compensation — 8,841 — — — — 8,841
+Added: Purchase of 385,525 shares of treasury stock
+Added: — — — — ( 7,696 ) — ( 7,696 )
+Added: Issuance of 167,808 shares of treasury stock
+Added: — ( 6,010 ) — — 6,010 — —
+Added: Dividends — — ( 8,338 ) — — — ( 8,338 )
+Added: Divestiture — — — — — ( 48 ) ( 48 )
+Added: June 30, 2025 $ 36,334 $ 151,753 $ 601,007 $ ( 77,728 ) $ ( 197,534 ) $ — $ 513,832
MATTHEWS INTERNATIONAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY, Continued
−Removed: for the three and six months ended March 31, 2025 and 2024 (Unaudited)
+Added: for the three and nine months ended June 30, 2025 and 2024 (Unaudited)
(Dollar amounts in thousands, except per share data)
32 unchanged sentences
March 31, 2024 $ 36,334 $ 150,344 $ 705,113 $ ( 172,504 ) $ ( 209,987 ) $ 47 $ 509,347
+Added: Net income — — 1,777 — — — 1,777
+Added: Minimum pension liability — — — ( 234 ) — — ( 234 )
+Added: Translation adjustment — — — ( 970 ) — — ( 970 )
+Added: Fair value of cash flow hedges — — — ( 401 ) — — ( 401 )
+Added: Total comprehensive income 172
+Added: Stock-based compensation — 5,331 — — — — 5,331
+Added: Purchase of 114,666 shares of treasury stock
+Added: — — — — ( 3,305 ) — ( 3,305 )
+Added: Issuance of 2,431 shares of treasury stock
+Added: — ( 91 ) — — 91 — —
+Added: Dividends — — ( 7,853 ) — — — ( 7,853 )
+Added: June 30, 2024 $ 36,334 $ 155,584 $ 699,037 $ ( 174,109 ) $ ( 213,201 ) $ 47 $ 503,692
The accompanying notes are an integral part of these consolidated financial statements.
2 unchanged sentences
(Dollar amounts in thousands)
−Removed: Six Months Ended
+Added: Nine Months Ended
Cash flows from operating activities:
−Removed: Net (loss) income $ ( 12,388 ) $ 6,724
−Removed: Adjustments to reconcile net (loss) income to net cash flows from operating activities:
+Added: Net income $ 2,999 $ 8,501
+Added: Adjustments to reconcile net income to net cash flows from operating activities:
Depreciation and amortization 56,571 70,441
Stock-based compensation expense 19,838 14,309
−Removed: Deferred tax (benefit) expense ( 6,402 ) 29
+Added: Deferred tax expense (benefit) 15,852 ( 24,269 )
Gain on sale of assets, net ( 10,062 ) ( 453 )
−Removed: Loss on divestiture 2,072 —
+Added: Gain on sale of SGK Business ( 57,103 ) —
+Added: Loss on other divestitures 2,072 —
Changes in working capital items ( 50,559 ) ( 29,154 )
7 unchanged sentences
Proceeds from sale of assets 14,927 —
−Removed: Proceeds from divestiture 2,049 —
+Added: Proceeds from sale of SGK Business 228,004 —
+Added: Proceeds from other divestitures 2,049 —
+Added: Investments and advances ( 7,436 ) ( 825 )
Other investing activities, net ( 63 ) 1,199
−Removed: Net cash used in investing activities ( 3,895 ) ( 29,763 )
+Added: Net cash provided by (used in) investing activities 153,249 ( 38,631 )
Cash flows from financing activities:
3 unchanged sentences
Dividends ( 24,740 ) ( 24,063 )
−Removed: Proceeds from net investment hedge 14,990 —
+Added: Proceeds from net investment hedges 14,990 17,416
+Added: Payments on net investment hedges ( 37,092 ) —
Acquisition holdback and deferred purchase price payments ( 10,184 ) —
Payments of debt issuance costs — ( 4,704 )
−Removed: Net cash provided by financing activities 33,551 3,018
+Added: Net cash used in financing activities ( 139,440 ) ( 4,096 )
Effect of exchange rate changes on cash ( 361 ) 35
−Removed: Net change in cash and cash equivalents including balances classified as assets held-for-sale 9,430 3,396
−Removed: Net change in cash and cash equivalents classified as assets held-for-sale ( 10,000 ) —
Net change in cash and cash equivalents ( 20,433 ) 644
4 unchanged sentences
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
−Removed: March 31, 2025
+Added: June 30, 2025
(Dollar amounts in thousands, except per share data)
2 unchanged sentences
The Company manages its businesses under three segments:
−Removed: Memorialization, Industrial Technologies and SGK Brand Solutions.
+Added: Memorialization, Industrial Technologies and Brand Solutions.
Memorialization products consist primarily of bronze and granite memorials and other memorialization products, caskets, cremation-related products, and cremation and incineration equipment primarily for the cemetery and funeral home industries.
2 unchanged sentences
and coating and converting lines for the packaging, pharma, foil, décor and tissue industries.
−Removed: SGK Brand Solutions consists of brand management, pre-media services, printing plates and cylinders, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries.
−Removed: See Note 15, "Acquisitions and Divestitures" for a description of certain anticipated transactions with respect to the SGK Brand Solutions business.
−Removed: As of March 31, 2025, the Company had facilities in North America, Europe, Asia, Australia, and Central and South America.
+Added: Brand Solutions consists of brand management, pre-media services, printing plates and cylinders, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries.
+Added: On May 1, 2025, the Company contributed the vast majority of its Brand Solutions segment (the "SGK Business") to a newly-formed entity, Propelis Group (“Propelis”), in exchange for a 40 % ownership interest in Propelis and other consideration.
+Added: Propelis is expected to be a leading global provider of brand solutions.
+Added: Following the completion of this transaction, the Company's Brand Solutions segment consists of its printing plates and cylinders business, and its 40 % ownership interest in Propelis.
+Added: See Notes 6, "Investments" and 15, "Acquisitions and Divestitures" for further information with respect to the Company's sale of its interest in the SGK Business.
+Added: As of June 30, 2025, the Company had facilities in North America, Europe, Asia, Australia, and Central America.
Basis of Presentation
1 unchanged sentence
Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements.
−Removed: Certain assets and liabilities for the Company's SGK Brand Solutions business have been presented as held-for-sale on the Consolidated Balance Sheet as of March 31, 2025.
The year-end consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by GAAP.
In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included.
−Removed: Operating results for the three and six months ended March 31, 2025 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2025.
+Added: Operating results for the three and nine months ended June 30, 2025 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2025.
For further information, refer to the consolidated financial statements and footnotes thereto included in the Company's Annual Report on Form 10-K for the fiscal year ended September 30, 2024.
3 unchanged sentences
All intercompany accounts and transactions have been eliminated.
+Added: Activity prior to May 1, 2025 for the SGK Business is included within the consolidated financial statements of the Company.
+Added: As of May 1, 2025 the SGK Business has been deconsolidated from the financial statements and is now accounted for as part of the Company's equity-method investment in Propelis.
+Added: See Note 6, "Investments" for further information with respect to the equity-method investment in Propelis.
The Company applies highly inflationary accounting for subsidiaries when the cumulative inflation rate for a three-year period meets or exceeds 100 percent.
2 unchanged sentences
dollar) and exchange gains and losses from the remeasurement of monetary assets and liabilities are reflected in current earnings, rather than accumulated other comprehensive loss on the Consolidated Balance Sheets , until such time as the applicable economy is no longer considered highly inflationary.
−Removed: As of March 31, 2025 and September 30, 2024, the Company had net monetary assets related to its Turkish subsidiaries of $ 6,497 and $ 5,327 , respectively.
−Removed: Exchange losses related to highly inflationary accounting totaled $ 520 and $ 711 for the three and six months ended March 31, 2025, respectively, and $ 390 and $ 710 for the three and six months ended and March 31, 2024, respectively.
+Added: As of June 30, 2025 and September 30, 2024, the Company had net monetary assets related to its Turkish subsidiaries of $ 7,306 and $ 5,327 , respectively.
+Added: Exchange losses related to highly inflationary accounting totaled $ 325 and $ 1,036 for the three and nine months ended June 30, 2025, respectively, and $ 185 and $ 895 for the three and nine months ended and June 30, 2024, respectively.
Such amounts were included in the Consolidated Statements of Income within other income (deductions), net.
−Removed: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.
−Removed: Actual results could differ from those estimates.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
1 unchanged sentence
Basis of Presentation (continued)
+Added: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period.
+Added: Actual results could differ from those estimates.
New Accounting Pronouncements:
11 unchanged sentences
The ASU is effective for annual periods for the Company beginning in fiscal year 2025, and interim periods beginning in fiscal year 2026.
−Removed: The Company is in the process of assessing the impact this ASU will have on its consolidated financial statements.
+Added: The adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements, but will require modified disclosures effective for annual periods beginning in fiscal year 2025.
In October 2023, the FASB issued ASU No.
4 unchanged sentences
The adoption of this ASU is not expected to have a material impact on the Company's consolidated financial statements.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
Revenue Recognition
The Company disaggregates revenue from contracts with customers by geography, as it believes geographic regions best depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors.
−Removed: Disaggregated sales by segment and region for the three and six months ended March 31, 2025 and 2024 were as follows:
−Removed: Memorialization Industrial Technologies SGK Brand Solutions Consolidated
−Removed: Three Months Ended March 31, Three Months Ended March 31, Three Months Ended March 31, Three Months Ended March 31,
+Added: Disaggregated sales by segment and region for the three and nine months ended June 30, 2025 and 2024 were as follows:
+Added: Memorialization Industrial Technologies Brand Solutions Consolidated
+Added: Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30, Three Months Ended June 30,
2025 2024 2025 2024 2025 2024 2025 2024
1 unchanged sentence
Central and South America (1)
+Added: — — — — 451 1,641 451 1,641
Europe 5,717 7,496 53,372 56,558 24,303 50,671 83,392 114,725
2 unchanged sentences
Total Sales $ 203,728 $ 202,664 $ 87,901 $ 91,731 $ 57,748 $ 133,438 $ 349,377 $ 427,833
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
−Removed: (Dollar amounts in thousands, except per share data)
−Removed: Revenue Recognition (continued)
−Removed: Memorialization Industrial Technologies SGK Brand Solutions Consolidated
−Removed: Six Months Ended March 31, Six Months Ended March 31, Six Months Ended March 31, Six Months Ended March 31,
+Added: Memorialization Industrial Technologies Brand Solutions Consolidated
+Added: Nine Months Ended June 30, Nine Months Ended June 30, Nine Months Ended June 30, Nine Months Ended June 30,
2025 2024 2025 2024 2025 2024 2025 2024
1 unchanged sentence
Central and South America (1)
+Added: — — — — 3,089 4,203 3,089 4,203
Europe 17,674 23,374 149,758 214,913 124,120 153,534 291,552 391,821
2 unchanged sentences
Total Sales $ 599,834 $ 632,891 $ 249,269 $ 319,241 $ 329,745 $ 396,910 $ 1,178,848 $ 1,349,042
−Removed: Revenue recognized using the over time method accounted for approximately 13 % and 18 % of revenue for the three months ended March 31, 2025 and 2024, respectively and 13 % and 19 % of revenue for the six months ended March 31, 2025 and 2024, respectively.
−Removed: As of March 31, 2025 and September 30, 2024, the Company had net contract assets for projects recognized using the over time method totaling $ 73,402 and $ 64,246 , respectively, which primarily represent unbilled revenues, net of deferred revenues related to customer deposits and progress billings.
−Removed: Net contract assets at March 31, 2025 and September 30, 2024 predominantly related to ongoing projects with the Company's largest energy storage customer.
+Added: (1) Following the contribution of the SGK Business to Propelis in the third quarter of fiscal 2025, the Company no longer had operations in South America.
+Added: Revenue recognized using the over time method accounted for approximately 14 % and 13 % of revenue for the three months ended June 30, 2025 and 2024, respectively and 13 % and 17 % of revenue for the nine months ended June 30, 2025 and 2024, respectively.
+Added: As of June 30, 2025 and September 30, 2024, the Company had net contract assets for projects recognized using the over time method totaling $ 70,159 and $ 64,246 , respectively, which primarily represent unbilled revenues, net of deferred revenues related to customer deposits and progress billings.
+Added: Net contract assets at June 30, 2025 and September 30, 2024 predominantly related to ongoing projects with the Company's largest energy storage customer.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
Fair Value Measurements
5 unchanged sentences
The fair values of the Company's assets and liabilities measured on a recurring basis are categorized as follows:
−Removed: March 31, 2025 September 30, 2024
+Added: June 30, 2025 September 30, 2024
Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
8 unchanged sentences
(1) Interest rate swaps and cross currency swaps are valued based on observable market swap rates and are classified within Level 2 of the fair value hierarchy.
−Removed: (2) Derivative amounts at March 31, 2025 and September 30, 2024 reflect $ 73,422 and $ 58,432 of partial advance payments received from the counterparties to certain cross-currency swaps, respectively.
+Added: (2) Derivative amounts at June 30, 2025 and September 30, 2024 reflect $ 40,186 and $ 58,432 of partial advance payments received from the counterparties to certain cross-currency swaps, respectively.
See Note 8, "Derivatives and Hedging Activities" for further details.
−Removed: The carrying values for other financial assets and liabilities approximated fair value at March 31, 2025 and September 30, 2024.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
−Removed: (Dollar amounts in thousands, except per share data)
+Added: The carrying values for other financial assets and liabilities approximated fair value at June 30, 2025 and September 30, 2024.
Inventories consisted of the following:
−Removed: March 31, 2025 September 30, 2024
+Added: June 30, 2025 September 30, 2024
Raw materials $ 60,543 $ 61,333
3 unchanged sentences
Non-current investments consisted of the following:
−Removed: March 31, 2025 September 30, 2024
+Added: June 30, 2025 September 30, 2024
Equity and fixed income mutual funds $ 862 $ 839
1 unchanged sentence
Equity-method investments 213,000 349
+Added: Preferred equity investment 50,000 —
Other (primarily cost-method) investments 16,280 16,395
$ 285,398 $ 23,076
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
+Added: Investments (continued)
+Added: On May 1, 2025, the Company contributed its SGK Business to a newly-formed entity, Propelis, in exchange for consideration which included 40 % of the common equity of Propelis and a $ 50,000 preferred equity investment in Propelis.
+Added: The Company initially recognized these investments at fair value, which totaled $ 263,000 ($ 213,000 equity-method and $ 50,000 preferred equity investment).
+Added: The Company will subsequently adjust the carrying amount of its equity-method investment for its share of earnings and losses reported by the investee, distributions received, and other-than-temporary impairments.
+Added: The Company recognizes its portion of the earnings or losses for its equity-method investment in Propelis on a three-month lag to ensure consistency and timely filing of the Company’s financial statements.
+Added: As a result, the Company has not recorded earnings or losses for its investment in Propelis during the quarter ended June 30, 2025.
During the first quarter of fiscal 2025, the Company completed the disposal of its investment in Liquid X Printed Metals Inc.
3 unchanged sentences
Debt and Financing Arrangements
−Removed: Long-term debt at March 31, 2025 and September 30, 2024 consisted of the following:
−Removed: March 31, 2025 September 30, 2024
+Added: Long-term debt at June 30, 2025 and September 30, 2024 consisted of the following:
+Added: June 30, 2025 September 30, 2024
Revolving credit facilities $ 380,785 $ 444,011
9 unchanged sentences
A portion of the revolving credit facility (not to exceed $ 350,000 ) can be drawn in foreign currencies.
−Removed: Borrowings under the revolving credit facility bear interest at the Secured Overnight Financing Rate ("SOFR"), plus a 0.10 % per annum rate spread adjustment, plus a factor ranging from 1.00 % to 2.00 % ( 1.50 % at March 31, 2025) based on the Company's leverage ratio.
+Added: Borrowings under the revolving credit facility bear interest at the Secured Overnight Financing Rate ("SOFR"), plus a 0.10 % per annum rate spread adjustment, plus a factor ranging from 1.00 % to 2.00 % ( 1.50 % at June 30, 2025) based on the Company's leverage ratio.
The leverage ratio is defined as total indebtedness divided by EBITDA (earnings before interest, income taxes, depreciation and amortization) as defined within the domestic credit facility agreement.
1 unchanged sentence
The Company incurred debt issuance costs in connection with the amended and restated agreement.
−Removed: Unamortized costs were $ 4,427 and $ 4,961 at March 31, 2025 and September 30, 2024, respectively.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
−Removed: (Dollar amounts in thousands, except per share data)
−Removed: Debt and Financing Arrangements (continued)
+Added: Unamortized costs were $ 4,218 and $ 4,961 at June 30, 2025 and September 30, 2024, respectively.
The domestic credit facility requires the Company to maintain certain leverage and interest coverage ratios.
1 unchanged sentence
Outstanding U.S.
−Removed: dollar denominated borrowings on the revolving credit facility at March 31, 2025 and September 30, 2024 were $ 495,000 and $ 410,527 , respectively.
−Removed: There were no outstanding Euro denominated borrowings on the revolving credit facility at March 31, 2025.
+Added: dollar denominated borrowings on the revolving credit facility at June 30, 2025 and September 30, 2024 were $ 380,420 and $ 410,527 , respectively.
+Added: There were no outstanding Euro denominated borrowings on the revolving credit facility at June 30, 2025 .
Outstanding Euro denominated borrowings on the revolving credit facility at September 30, 2024 were € 30.0 million ($ 33,485 ).
−Removed: The weighted-average interest rate on outstanding borrowings for the domestic credit facility (including the effects of interest rate swaps and Euro denominated borrowings) at March 31, 2025 and 2024 was 4.29 % and 4.89 %, respectively.
+Added: The weighted-average interest rate on outstanding borrowings for the domestic credit facility (including the effects of interest rate swaps and Euro denominated borrowings) at June 30, 2025 and 2024 was 4.16 % and 4.61 %, respectively.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
+Added: Debt and Financing Arrangements (continued)
The Company has $ 300,000 aggregate principal amount of 8.625 % senior secured second lien notes due October 1, 2027 (the "2027 Senior Secured Notes").
−Removed: The 2027 Senior Secured Notes bear interest at a rate of 8.625 % per annum with interest payable semi-annually in arrears on April 1 and October 1 of each year beginning on April 1, 2025.
+Added: The 2027 Senior Secured Notes bear interest at a rate of 8.625 % per annum with interest payable semi-annually in arrears on April 1 and October 1 of each year.
The Company's obligations under the 2027 Senior Secured Notes are secured by a second priority lien on substantially all of the assets of the Company and certain of its domestic subsidiaries.
1 unchanged sentence
The Company incurred direct financing fees and costs in connection with 2027 Senior Secured Notes.
−Removed: Unamortized costs related to the Company’s notes were $ 4,804 and $ 5,249 at March 31, 2025 and September 30, 2024, respectively.
+Added: Unamortized costs related to the Company’s notes were $ 4,371 and $ 5,249 at June 30, 2025 and September 30, 2024, respectively.
The Company and certain of its domestic subsidiaries sell, on a continuous basis without recourse, their trade receivables to Matthews Receivables Funding Corporation, LLC (“Matthews RFC”), a wholly-owned bankruptcy-remote subsidiary of the Company.
−Removed: Matthews RFC has a receivables purchase agreement (“RPA”) to sell up to $ 125,000 of receivables to certain purchasers (the “Purchasers”) on a recurring basis in exchange for cash (referred to as “capital” within the RPA) equal to the gross receivables transferred.
+Added: Matthews RFC has a receivables purchase agreement (“RPA”) to sell up to $ 110,000 of receivables as of June 30, 2025 to certain purchasers (the “Purchasers”) on a recurring basis in exchange for cash (referred to as “capital” within the RPA) equal to the gross receivables transferred.
The parties intend that the transfers of receivables to the Purchasers constitute purchases and sales of receivables.
2 unchanged sentences
The Company is the master servicer under the RPA, and is responsible for administering and collecting receivables.
−Removed: The RPA matures in March 2026.
+Added: The RPA will reduce to $ 75,000 as of August 1, 2025, and matures in April 2027.
The proceeds of the RPA are classified as operating activities in the Company’s Consolidated Statements of Cash Flows.
1 unchanged sentence
The fair value of the sold receivables approximated book value due to their credit quality and short-term nature, and as a result, no gain or loss on sale of receivables was recorded.
−Removed: As of March 31, 2025 and September 30, 2024, the amount sold to the Purchasers was $ 99,100 and $ 96,300 , respectively, which was derecognized from the Consolidated Balance Sheets.
−Removed: As collateral against sold receivables, Matthews RFC maintains a certain level of unsold receivables, which was $ 67,807 and $ 58,183 as of March 31, 2025 and September 30, 2024, respectively.
+Added: As of June 30, 2025 and September 30, 2024, the amount sold to the Purchasers was $ 85,600 and $ 96,300 , respectively, which was derecognized from the Consolidated Balance Sheets.
+Added: As collateral against sold receivables, Matthews RFC maintains a certain level of unsold receivables, which was $ 79,495 and $ 58,183 as of June 30, 2025 and September 30, 2024, respectively.
The following table sets forth a summary of receivables sold as part of the RPA:
−Removed: Six Months Ended
−Removed: March 31, 2025 Six Months Ended
−Removed: March 31, 2024
+Added: Nine Months Ended
+Added: June 30, 2025 Nine Months Ended
+Added: June 30, 2024
Gross receivables sold
2 unchanged sentences
( 242,288 ) ( 287,889 )
−Removed: Net cash proceeds received $ 2,800 $ 8,100
+Added: Net cash (reinvested) received $ ( 10,700 ) $ 3,300
The Company, through its U.K.
−Removed: subsidiary, participates in a non-recourse factoring arrangement.
−Removed: In connection with this arrangement, the Company periodically sells trade receivables to a third-party purchaser in exchange for cash.
−Removed: These transfers of financial assets are recorded at the time the Company surrenders control of the assets.
−Removed: As these transfers qualify as true sales under the applicable accounting guidance, the receivables are de-recognized from the Company's Consolidated Balance Sheets upon transfer.
−Removed: The principal amount of receivables sold under this arrangement was $ 38,789 and $ 34,993 during the six months ended March 31, 2025 and 2024, respectively.
+Added: subsidiary, previously participated in a non-recourse factoring arrangement.
+Added: In connection with this arrangement, the Company periodically sold trade receivables to a third-party purchaser in exchange for cash.
+Added: These transfers of financial assets were recorded at the time the Company surrendered control of the assets.
+Added: As these transfers qualified as true sales under the applicable accounting guidance, the receivables were de-recognized from the Company's Consolidated Balance Sheets upon transfer.
+Added: As a result of the sale of the Company's interest in the SGK Business, this arrangement no longer exists for the Company at June 30, 2025.
+Added: The principal amount of receivables sold under this arrangement was $ 45,813 and $ 53,087 during the nine months ended June 30, 2025 and 2024, respectively.
The discounts on the trade receivables sold are included within administrative expense in the Consolidated Statements of Income.
The proceeds from the sale of receivables are classified as operating activities in the Company's Consolidated Statements of Cash Flows.
−Removed: As of March 31, 2025 and September 30, 2024, the amount of factored receivables that remained outstanding was $ 16,215 and $ 15,665 , respectively.
+Added: As of September 30, 2024, the amount of factored receivables that remained outstanding were $ 15,665 .
+Added: See Note 15, "Acquisitions and Divestitures" for further information with respect to the sale of the Company's interest in the SGK Business.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
6 unchanged sentences
The Company accounts for all payments made under the Program as a reduction to operating cash flows in changes in working capital within the Consolidated Statements of Cash Flows.
−Removed: The amounts owed to a participating financial institution under the Program and included in trade accounts payable were $ 4,081 and $ 3,014 at March 31, 2025 and September 30, 2024, respectively.
+Added: The amounts owed to a participating financial institution under the Program and included in trade accounts payable were $ 4,398 and $ 3,014 at June 30, 2025 and September 30, 2024, respectively.
The Company, through certain of its European subsidiaries, has a credit facility with a European bank, which is guaranteed by Matthews.
2 unchanged sentences
This facility has no stated maturity date and is available until terminated.
−Removed: Outstanding borrowings under the credit facility totaled € 3.6 million ($ 3,912 ) at March 31, 2025.
+Added: Outstanding borrowings under the credit facility totaled € 311,000 ($ 366 ) at June 30, 2025.
There were no outstanding borrowings under the credit facility at September 30, 2024.
−Removed: The weighted-average interest rate on outstanding borrowings under this facility was 4.60 % and 6.11 % at March 31, 2025 and 2024, respectively.
−Removed: Other borrowings totaled $ 6,495 and $ 15,602 at March 31, 2025 and September 30, 2024, respectively.
−Removed: The weighted-average interest rate on all other borrowings was 2.16 % and 2.55 % at March 31, 2025 and 2024, respectively.
−Removed: As of March 31, 2025 and September 30, 2024, the fair value of the Company's long-term debt, including current maturities, which is classified as Level 2 in the fair value hierarchy, approximated the carrying value included in the Consolidated Balance Sheets.
−Removed: The Company was in compliance with all of its debt covenants as of March 31, 2025.
+Added: The weighted-average interest rate on outstanding borrowings under this facility was 4.16 % and 5.88 % at June 30, 2025 and 2024, respectively.
+Added: Other borrowings totaled $ 5,836 and $ 15,602 at June 30, 2025 and September 30, 2024, respectively.
+Added: The weighted-average interest rate on all other borrowings was 3.42 % and 2.61 % at June 30, 2025 and 2024, respectively.
+Added: As of June 30, 2025 and September 30, 2024, the fair value of the Company's long-term debt, including current maturities, which is classified as Level 2 in the fair value hierarchy, approximated the carrying value included in the Consolidated Balance Sheets.
+Added: The Company was in compliance with all of its debt covenants as of June 30, 2025.
On March 11, 2025, in connection with the filing of an automatic shelf registration statement on Form S-3 pursuant to which the Company re-registered 3,000,000 shares of Class A Common Stock, the Company entered into an Equity Distribution Agreement for an At-The-Market equity offering program ("ATM Program") where the Company may issue and sell, from time to time, up to 1,250,000 shares of its Class A Common Stock under the shelf registration.
−Removed: For the three months ended March 31, 2025, the Company did not sell any shares of its Class A Common Stock under its ATM Program.
−Removed: As of March 31, 2025, the Company had 1,250,000 shares remaining for sale under the ATM Program.
+Added: For the three months ended June 30, 2025, the Company did not sell any shares of its Class A Common Stock under its ATM Program.
+Added: As of June 30, 2025, the Company had 1,250,000 shares remaining for sale under the ATM Program.
The Company has no near-term intention to utilize the ATM Program.
1 unchanged sentence
The Company operates internationally and utilizes certain derivative financial instruments to manage its foreign currency, debt and interest rate exposures.
−Removed: At March 31, 2025 and September 30, 2024, derivative instruments were reflected on a gross-basis in the consolidated balance sheets as follows:
−Removed: March 31, 2025 September 30, 2024
+Added: At June 30, 2025 and September 30, 2024, derivative instruments were reflected on a gross-basis in the Consolidated Balance Sheets as follows:
+Added: June 30, 2025 September 30, 2024
Interest Rate Swaps Cross-Currency Swaps Interest Rate Swaps Cross-Currency Swaps
9 unchanged sentences
$ ( 2,209 ) $ ( 59,717 ) $ ( 2,606 ) $ ( 66,967 )
−Removed: (1) Cross-currency swap amounts at March 31, 2025 and September 30, 2024 reflect $ 73,422 and $ 58,432 of partial advanced payments received from the counterparties to certain swap contracts, respectively (see below).
+Added: (1) Cross-currency swap amounts at June 30, 2025 and September 30, 2024 reflect $ 40,186 and $ 58,432 of partial advanced payments received from the counterparties to certain swap contracts, respectively (see below).
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
2 unchanged sentences
The following table presents information related to interest rate swaps entered into by the Company and designated as cash flow hedges:
−Removed: March 31, 2025 September 30, 2024
+Added: June 30, 2025 September 30, 2024
Notional amount $ 225,000 $ 175,000
5 unchanged sentences
Based on the Company's assessment, all of the critical terms of each of the hedges matched the underlying terms of the hedged debt and related forecasted interest payments, and as such, these hedges were considered highly effective.
−Removed: The fair value of the interest rate swaps reflected a net unrealized loss of $ 765 ($ 571 after tax) and $ 2,606 ($ 1,948 after tax) at March 31, 2025 and September 30, 2024, respectively, that is included in shareholders' equity as part of accumulated other comprehensive income (loss) ("AOCI").
−Removed: Unrecognized gains of $ 2,341 ($ 1,746 after tax) and $ 3,848 ($ 2,874 after tax) related to previously terminated London Interbank Offered Rate ("LIBOR") based swaps were also included in AOCI as of March 31, 2025 and September 30, 2024, respectively.
−Removed: Assuming market rates remain constant with the rates at March 31, 2025, a gain (net of tax) of approximately $ 755 included in AOCI is expected to be recognized in earnings over the next twelve months.
+Added: The fair value of the interest rate swaps reflected a net unrealized loss of $ 2,209 ($ 1,655 after tax) and $ 2,606 ($ 1,948 after tax) at June 30, 2025 and September 30, 2024, respectively, that is included in shareholders' equity as part of accumulated other comprehensive income (loss) ("AOCI").
+Added: Unrecognized gains of $ 1,914 ($ 1,431 after tax) and $ 3,848 ($ 2,874 after tax) related to previously terminated London Interbank Offered Rate ("LIBOR") based swaps were also included in AOCI as of June 30, 2025 and September 30, 2024, respectively.
+Added: Assuming market rates remain constant with the rates at June 30, 2025, a gain (net of tax) of approximately $ 252 included in AOCI is expected to be recognized in earnings over the next twelve months.
The Company utilizes certain cross currency swaps as net investment hedges of foreign operations and assesses effectiveness for these contracts based on changes in fair value attributable to changes in spot prices.
2 unchanged sentences
Recognized in AOCI
−Removed: Swap Currencies Maturity Date March 31, 2025 September 30, 2024 March 31, 2025 September 30, 2024
+Added: Swap Currencies Maturity Date June 30, 2025 September 30, 2024 June 30, 2025 September 30, 2024
USD/EUR September 2027 $ 81,392 $ 81,392 $ ( 5,786 ) $ ( 5,440 )
5 unchanged sentences
$ ( 6,379 ) (1)
−Removed: (1) Total unrealized gains (losses) are presented net of tax of $ 621 and $ 2,156 as of March 31, 2025 and September 30, 2024, respectively.
+Added: (1) Total unrealized gains (losses) are presented net of tax of $ 4,506 and $ 2,156 as of June 30, 2025 and September 30, 2024, respectively.
In connection with certain of these cross currency swaps, the Company received cash from the counterparties, representing partial advance payments of amounts due under the U.S.
dollar leg of the swaps.
−Removed: Advance payment amounts totaled $ 73,422 at March 31, 2025, of which $ 32,406 and $ 41,016 were included in other current liabilities and other non-current liabilities on the Consolidated Balance Sheet, respectively.
−Removed: Advance payment amounts totaled $ 58,432 at September 30, 2024, of which $ 17,416 and $ 41,016 were included in other current liabilities and other non-current liabilities on the Consolidated Balance Sheet, respectively.
+Added: Outstanding advance payment amounts totaled $ 40,186 at June 30, 2025, of which $ 17,416 and $ 22,770 were included in other current liabilities and other non-current liabilities on the Consolidated Balance Sheet, respectively.
+Added: Outstanding advance payment amounts totaled $ 58,432 at September 30, 2024, of which $ 17,416 and $ 41,016 were included in other current liabilities and other non-current liabilities on the Consolidated Balance Sheet, respectively.
+Added: During the third quarter of fiscal 2025, certain cross currency swaps were terminated or modified following the sale of the Company's interest in the SGK Business.
+Added: The Company made payments totaling $ 37,092 in connection with the settlement or modification of these cross currency swap contracts.
The Company previously used certain foreign currency debt instruments as net investment hedges of foreign operations with a notional amount of € 30.0 million ($ 33,485 ) as of September 30, 2024.
Currency losses of $ 3,820 (net of income taxes of $ 1,113 ), which represent effective hedges of net investments, were reported as a component of AOCI within currency translation adjustment at September 30, 2024.
−Removed: Refer to Note 12, "Accumulated Other Comprehensive Income" for further details regarding amounts recorded in AOCI and the Consolidated Statements of Income (Loss) related to derivatives.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
(Dollar amounts in thousands, except per share data)
+Added: Derivatives and Hedging Activities (continued)
+Added: Refer to Note 12, "Accumulated Other Comprehensive Income" for further details regarding amounts recorded in AOCI and the Consolidated Statements of Income (Loss) related to derivatives.
Restructuring
6 unchanged sentences
Three Months Ended
−Removed: March 31, Six Months Ended
+Added: June 30, Nine Months Ended
2025 2024 2025 2024
5 unchanged sentences
The costs associated with the Company's restructuring programs principally relate to severance and employee termination benefits.
−Removed: The following table provides a summary of the severance and employee termination restructuring activities for the six-month period ended March 31, 2025.
+Added: The following table provides a summary of the severance and employee termination restructuring activities for the nine-month period ended June 30, 2025.
Severance and Employee Termination Restructuring Activities
−Removed: Memorialization Industrial Technologies SGK Brand Solutions Corporate/Non-Operating Consolidated
+Added: Memorialization Industrial Technologies Brand Solutions Corporate/Non-Operating Consolidated
September 30, 2024 $ 181 $ 35,368 $ 1,247 $ 4,226 $ 41,022
3 unchanged sentences
( 17 ) 533 ( 156 ) ( 212 ) 148
−Removed: Reclassified to current liabilities held-for-sale — — ( 1,011 ) — ( 1,011 )
−Removed: March 31, 2025 $ 34 $ 6,161 $ — $ 361 $ 6,556
+Added: Sale of SGK Business — — ( 1,011 ) — ( 1,011 )
+Added: Liability at June 30, 2025 $ 15 $ 4,005 $ — $ 452 $ 4,472
Cumulative severance and employee termination costs incurred to date (2)
1 unchanged sentence
(1) Other adjustments primarily reflects reclassifications of certain balance sheet amounts.
−Removed: (2) Substantially all estimated severance and employee termination costs related to the restructuring programs have been recognized as of March 31, 2025.
+Added: (2) Substantially all estimated severance and employee termination costs related to the restructuring programs have been recognized as of June 30, 2025.
The severance and employee termination liability is included in accrued compensation in the accompanying Consolidated Balance Sheets.
4 unchanged sentences
Under the 2017 Equity Incentive Plan, which has a ten-year term from the date the Company's Board of Directors approved of the second amendment and restatement of the 2017 Equity Incentive Plan, the maximum number of shares available for grants or awards is an aggregate of 4,950,000 (subject to adjustment upon certain events such as stock dividends or stock splits), following the second amendment and restatement of the 2017 Equity Incentive Plan at the Company's 2025 Annual Shareholder Meeting.
−Removed: At March 31, 2025, 1,734,834 shares have been issued under the 2017 Equity Incentive Plan.
+Added: At June 30, 2025, 1,886,557 shares have been issued under the 2017 Equity Incentive Plan.
1,517,963 time-based RSUs, 1,961,834 performance-based RSUs, and 75,000 stock options have been granted under the 2017 Equity Incentive Plan.
−Removed: 1,818,068 of these share-based awards are outstanding as of March 31, 2025.
+Added: 1,655,845 of these share-based awards are outstanding as of June 30, 2025.
The 2017 Equity Incentive Plan is administered by the Compensation Committee of the Board of Directors.
The number of shares issued under performance-based RSUs may be up to 200 % of the number of performance-based RSUs, based on the satisfaction of specific criteria established by the plan administrator.
−Removed: For the three-month periods ended March 31, 2025 and 2024, stock-based compensation cost totaled $ 6,018 and $ 4,327 , respectively.
−Removed: For the six-month periods ended March 31, 2025 and 2024, stock-based compensation cost totaled $ 10,997 and $ 8,978 , respectively.
−Removed: The associated future income tax benefit recognized for stock-based compensation was $ 1,520 and $ 1,093 for the three-month periods ended March 31, 2025 and 2024, respectively, and $ 2,338 and $ 1,778 for the six-month periods ended March 31, 2025 and 2024, respectively.
+Added: For the three-month periods ended June 30, 2025 and 2024, stock-based compensation cost totaled $ 8,841 and $ 5,331 , respectively.
+Added: For the nine-month periods ended June 30, 2025 and 2024, stock-based compensation cost totaled $ 19,838 and $ 14,309 , respectively.
+Added: The associated future income tax benefit recognized for stock-based compensation was $ 2,233 and $ 1,351 for the three-month periods ended June 30, 2025 and 2024, respectively, and $ 4,572 and $ 3,128 for the nine-month periods ended June 30, 2025 and 2024, respectively.
With respect to the grants of RSUs, awards generally vest on the third anniversary of the grant date.
1 unchanged sentence
Such performance thresholds include adjusted earnings per share, return on invested capital, appreciation in the market value of the Company's Class A Common Stock, or other targets established by the Compensation Committee of the Board of Directors.
−Removed: Approximately 40 % of the outstanding share units vest based on time, while the remaining vest based on pre-defined performance thresholds.
+Added: Approximately 40 % of the outstanding share units vest
+Added: based on time, while the remaining vest based on pre-defined performance thresholds.
The Company issues common stock from treasury shares once the units become vested.
−Removed: The transactions for RSUs for the six months ended March 31, 2025 were as follows:
+Added: In conjunction with the sale of the Company's interest in the SGK Business, outstanding RSU awards for SGK Business employees were modified to remove future service requirements and to guarantee vesting at a minimum of 100 percent of target for certain performance-based RSUs (Type III modification under Accounting Standards Codification ("ASC") 718).
+Added: Consequently, the outstanding RSU awards for these individuals were remeasured as of the date of the sale transaction, and any resulting additional expense or benefit was immediately recognized in the Consolidated Statements of Income.
+Added: The transactions for RSUs for the nine months ended June 30, 2025 were as follows:
RSUs Weighted-
3 unchanged sentences
Expired or forfeited ( 129,740 ) 37.42
−Removed: Non-vested at March 31, 2025 1,818,068 $ 29.42
−Removed: As of March 31, 2025, the total unrecognized compensation cost related to all unvested stock-based awards was $ 28,080 and is expected to be recognized over a weighted average period of 2.1 years.
+Added: Non-vested at June 30, 2025 1,655,845 $ 30.24
+Added: As of June 30, 2025, the total unrecognized compensation cost related to all unvested stock-based awards was $ 16,771 and is expected to be recognized over a weighted average period of 1.9 years.
The fair value of certain stock-based awards that are subject to performance conditions are estimated on the date of grant using a binomial lattice valuation model.
−Removed: The following table indicates the assumptions used in estimating the fair value of certain stock-based awards granted during the six-month period ended March 31, 2025.
−Removed: Six Months Ended
−Removed: March 31, 2025
+Added: The following table indicates the assumptions used in estimating the fair value of certain stock-based awards granted or modified during the nine-month period ended June 30, 2025.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
+Added: Share-Based Payments (continued)
+Added: Nine Months Ended June 30, 2025
+Added: November 2024 RSU Grant - Matthews Modified November 2024 RSU Grant - SGK Business Modified November 2023 RSU Grant - SGK Business
Expected volatility 31.8 % 36.7 % 36.7 %
2 unchanged sentences
Average expected term (years) 3.0 2.5 1.5
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
−Removed: (Dollar amounts in thousands, except per share data)
−Removed: Share-Based Payments (continued)
−Removed: The risk-free interest rate is based on United States Treasury yields at the date of grant.
−Removed: The dividend yield is based on the most recent dividend payment and average stock price over the 12 months prior to the grant date.
+Added: The risk-free interest rate is based on United States Treasury yields at the date of grant or modification.
+Added: The dividend yield is based on the most recent dividend payment and average stock price over the 12 months prior to the grant or modification date.
Expected volatilities are based on the historical volatility of the Company's stock price.
−Removed: The expected term for grants in the six months ended March 31, 2025 represents an estimate of the average period of time for RSUs to vest.
+Added: The expected term for grants in the nine months ended June 30, 2025 represents an estimate of the average period of time for RSUs to vest.
The Company maintains the Amended and Restated 2019 Director Fee Plan, the Amended and Restated 2014 Director Fee Plan and the 1994 Director Fee Plan (collectively, the "Director Fee Plans").
5 unchanged sentences
The value of deferred shares is recorded in other non-current liabilities.
−Removed: A total of 56,067 shares and share units had been deferred under the Director Fee Plans as of March 31, 2025.
+Added: A total of 56,663 shares and share units had been deferred under the Director Fee Plans as of June 30, 2025.
Additionally, non-employee directors each receive an annual stock-based grant (non-statutory stock options, stock appreciation rights and/or restricted shares or units) with a value of $ 140 for fiscal 2025.
−Removed: As of March 31, 2025, 439,740 restricted shares and RSUs have been granted under the Director Fee Plans, 266,511 of which were issued under the 2019 Director Fee Plan.
−Removed: 98,945 RSUs are unvested at March 31, 2025 under the Director Fee Plans.
+Added: As of June 30, 2025, 439,740 restricted shares and RSUs have been granted under the Director Fee Plans, 266,511 of which were issued under the 2019 Director Fee Plan.
+Added: 98,945 RSUs are unvested at June 30, 2025 under the Director Fee Plans.
Earnings Per Share Attributable to Matthews' Shareholders
−Removed: The information used to compute (loss) earnings per share attributable to Matthews' common shareholders was as follows:
+Added: The information used to compute earnings per share attributable to Matthews' common shareholders was as follows:
Three Months Ended
−Removed: March 31, Six Months Ended
+Added: June 30, Nine Months Ended
2025 2024 2025 2024
−Removed: Net (loss) income attributable to Matthews shareholders $ ( 8,916 ) $ 9,027 $ ( 12,388 ) $ 6,724
+Added: Net income attributable to Matthews shareholders $ 15,387 $ 1,777 $ 2,999 $ 8,501
Weighted-average shares outstanding (in thousands):
3 unchanged sentences
Dividends declared per common share $ 0.25 $ 0.24 $ 0.75 $ 0.72
−Removed: During periods in which the Company incurs a net loss, diluted weighted-average shares outstanding are equal to basic weighted-average shares outstanding because the effect of all equity awards is anti-dilutive.
+Added: Anti-dilutive securities excluded from the dilutive calculation were insignificant for applicable periods.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
1 unchanged sentence
Accumulated Other Comprehensive Income
−Removed: The changes in AOCI by component, net of tax, for the three-month periods ended March 31, 2025 and 2024 were as follows:
+Added: The changes in AOCI by component, net of tax, for the three-month periods ended June 30, 2025 and 2024 were as follows:
Post-retirement benefit plans Currency translation adjustment Cash Flow Hedges Total
Attributable to Matthews:
−Removed: Balance, December 31, 2024 $ 4,602 $ ( 189,234 ) $ 3,141 $ ( 181,491 )
+Added: Balance, March 31, 2025 $ 4,533 $ ( 180,882 ) $ 1,175 $ ( 175,174 )
OCI before reclassification 208 6,264 ( 1,195 ) 5,277
3 unchanged sentences
( 1,399 ) 97,446
−Removed: Balance, March 31, 2025 $ 4,533 $ ( 180,882 ) $ 1,175 $ ( 175,174 )
+Added: Balance, June 30, 2025 $ 4,577 $ ( 82,081 ) $ ( 224 ) $ ( 77,728 )
Attributable to noncontrolling interest:
−Removed: Balance, December 31, 2024 $ — $ 289 $ — $ 289
+Added: Balance, March 31, 2025 $ — $ 289 $ — $ 289
OCI before reclassification — — — —
Net current-period OCI — — — —
−Removed: Balance, March 31, 2025 $ — $ 289 $ — $ 289
+Added: Balance, June 30, 2025 $ — $ 289 $ — $ 289
Post-retirement benefit plans Currency translation adjustment Cash Flow Hedges Total
Attributable to Matthews:
−Removed: Balance, December 31, 2023 $ 6,680 $ ( 178,511 ) $ 4,151 $ ( 167,680 )
+Added: Balance, March 31, 2024 $ 6,398 $ ( 184,537 ) $ 5,635 $ ( 172,504 )
OCI before reclassification ( 22 ) ( 738 ) 105 ( 655 )
2 unchanged sentences
Net current-period OCI ( 234 ) ( 970 ) ( 401 ) ( 1,605 )
−Removed: Balance, March 31, 2024 $ 6,398 $ ( 184,537 ) $ 5,635 $ ( 172,504 )
+Added: Balance, June 30, 2024 $ 6,164 $ ( 185,507 ) $ 5,234 $ ( 174,109 )
Attributable to noncontrolling interest:
−Removed: Balance, December 31, 2023 $ — $ 288 $ — $ 288
+Added: Balance, June 30, 2024 $ — $ 288 $ — $ 288
OCI before reclassification — —
Net current-period OCI — — — —
−Removed: Balance, March 31, 2024 $ — $ 288
+Added: Balance, June 30, 2024 $ — $ 288
(a) Amounts were included in net periodic benefit cost for pension and other postretirement benefit plans.
3 unchanged sentences
Accumulated Other Comprehensive Income (continued)
−Removed: The changes in AOCI by component, net of tax, for the six-month periods ended March 31, 2025 and 2024 were as follows:
+Added: The changes in AOCI by component, net of tax, for the nine-month periods ended June 30, 2025 and 2024 were as follows:
Post-retirement benefit plans Currency translation adjustment Cash Flow Hedges Total
6 unchanged sentences
92,542 ( 1,150 ) 91,014
−Removed: Balance, March 31, 2025 $ 4,533 $ ( 180,882 ) $ 1,175 $ ( 175,174 )
+Added: Balance, June 30, 2025 $ 4,577 $ ( 82,081 ) $ ( 224 ) $ ( 77,728 )
Attributable to noncontrolling interest:
2 unchanged sentences
Net current-period OCI — — — —
−Removed: Balance, March 31, 2025 $ — $ 289 $ — $ 289
+Added: Balance, June 30, 2025 $ — $ 289 $ — $ 289
Post-retirement benefit plans Currency translation adjustment Cash Flow Hedges Total
5 unchanged sentences
Net current-period OCI ( 596 ) 4,689 ( 3,798 ) 295
−Removed: Balance, March 31, 2024 $ 6,398 $ ( 184,537 ) $ 5,635 $ ( 172,504 )
+Added: Balance, June 30, 2024 $ 6,164 $ ( 185,507 ) $ 5,234 $ ( 174,109 )
Attributable to noncontrolling interest:
2 unchanged sentences
Net current-period OCI — 22 — 22
−Removed: Balance, March 31, 2024 $ — $ 288
+Added: Balance, June 30, 2024 $ — $ 288
(a) Amounts were included in net periodic benefit cost for pension and other postretirement benefit plans.
3 unchanged sentences
Accumulated Other Comprehensive Income (continued)
−Removed: Reclassifications out of AOCI for the three and six-month periods ended March 31, 2025 and 2024 were as follows:
+Added: Reclassifications out of AOCI for the three and nine-month periods ended June 30, 2025 and 2024 were as follows:
Amount reclassified from AOCI
−Removed: Details about AOCI Components Three Months Ended March 31, 2025 Six Months Ended March 31, 2025 Affected line item in the
+Added: Details about AOCI Components Three Months Ended June 30, 2025 Nine Months Ended June 30, 2025 Affected line item in the
Financial Statements
11 unchanged sentences
$ 348 $ 1,382 Net income
−Removed: Divestitures $ — $ ( 6,844 ) Other current liabilities (c)
+Added: Sale of SGK Business $ ( 92,681 ) $ ( 92,681 ) Gain on sale of SGK Business
+Added: Other divestitures — ( 6,844 ) Other current liabilities (c)
Details about AOCI Components Three Months Ended
−Removed: March 31, 2024 Six Months Ended
−Removed: March 31, 2024 Affected line item in the Statement of income
+Added: June 30, 2024 Nine Months Ended
+Added: June 30, 2024 Affected line item in the Statement of income
Postretirement benefit plans
17 unchanged sentences
Income tax provisions for the Company's interim periods are based on the effective income tax rate expected to be applicable for the full year.
−Removed: The Company's consolidated income taxes for the first six months of fiscal 2025 represented a benefit of $ 5,086 , compared to a benefit of $ 1,848 for the first six months of fiscal 2024.
−Removed: The difference between the Company’s consolidated income taxes for the first six months of fiscal 2025 compared to the same period for fiscal 2024 resulted from a consolidated pre-tax loss in fiscal 2025 compared to consolidated pre-tax income in fiscal 2024.
−Removed: The Company’s fiscal 2025 six month effective tax rate varied from the U.S.
−Removed: statutory tax rate of 21.0% primarily due to state taxes, tax credits, non-tax benefited foreign losses, and other net discrete tax benefits.
−Removed: The Company’s fiscal 2024 six month effective tax rate varied from the U.S.
−Removed: statutory tax rate of 21.0% primarily due to state taxes, foreign statutory rate differentials, tax credits, non-tax benefited foreign losses, and a net discrete tax benefit.
−Removed: The Company had unrecognized tax benefits (excluding penalties and interest) of $ 1,977 and $ 4,506 on March 31, 2025 and September 30, 2024, respectively, which would impact the annual effective rate at March 31, 2025 and September 30, 2024, respectively.
+Added: The Company's consolidated income taxes for the first nine months of fiscal 2025 represented an expense of $ 38,391 , compared to a benefit of $ 10,677 for the first nine months of fiscal 2024.
+Added: The difference between the Company’s consolidated income taxes for the first nine months of fiscal 2025 compared to the same period for fiscal 2024 resulted from consolidated pre-tax income in fiscal 2025 compared to a consolidated pre-tax loss in fiscal 2024, net discrete tax expense related to the divestiture of the Company's interest in the SGK Business, net discrete tax benefits related to adjustments in tax reserves resulting from the progression of tax audits, and recognition of certain previously unrecognized deferred tax assets.
+Added: The Company’s fiscal 2025 nine month effective tax rate varied from the U.S.
+Added: statutory tax rate of 21.0% primarily due to state taxes, tax credits, non-tax benefited foreign losses, discrete tax related to the sale of the Company's interest in the SGK Business, and other net discrete tax benefits.
+Added: The Company’s fiscal 2024 nine month effective tax rate varied from the U.S.
+Added: statutory tax rate of 21.0% primarily due to tax credits, jurisdictional tax rate netting, recognition of certain previously unrecognized deferred tax assets and other net discrete tax benefits.
+Added: The Company had unrecognized tax benefits (excluding penalties and interest) of $ 2,051 and $ 4,506 on June 30, 2025 and September 30, 2024, respectively, which would impact the annual effective rate at June 30, 2025 and September 30, 2024, respectively.
It is reasonably possible that the amount of unrecognized tax benefits could decrease by approximately $ 366 in the next 12 months primarily due to the completion of audits and the expiration of the statute of limitations.
The Company classifies interest and penalties on tax uncertainties as a component of the provision for income taxes.
−Removed: Total penalties and interest accrued were $ 230 and $ 588 at March 31, 2025 and September 30, 2024, respectively.
+Added: Total penalties and interest accrued were $ 248 and $ 588 at June 30, 2025 and September 30, 2024, respectively.
These accruals may potentially be applicable in the event of an unfavorable outcome of uncertain tax positions.
+Added: On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the U.S.
+Added: The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions.
+Added: The legislation has multiple effective dates, with certain provisions effective in 2025 and others implemented through 2027.
+Added: The Company is currently assessing the impact on its consolidated financial statements.
The Company is currently under examination in several tax jurisdictions and remains subject to examination until the statute of limitations expires for those tax jurisdictions.
−Removed: As of March 31, 2025, the tax years that remain subject to examination by major jurisdictions generally are:
+Added: As of June 30, 2025, the tax years that remain subject to examination by major jurisdictions generally are:
United States – Federal 2019, 2020, 2022 and forward
5 unchanged sentences
Australia 2021 and forward
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
Segment Information
The Company manages its businesses under three segments:
−Removed: Memorialization, Industrial Technologies and SGK Brand Solutions.
+Added: Memorialization, Industrial Technologies and Brand Solutions.
The Memorialization segment consists primarily of bronze and granite memorials and other memorialization products, caskets, cremation-related products, and cremation and incineration equipment primarily for the cemetery and funeral home industries.
2 unchanged sentences
and coating and converting lines for the packaging, pharma, foil, décor and tissue industries.
−Removed: The SGK Brand Solutions segment consists of brand management, pre-media services, printing plates and cylinders, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries.
−Removed: See Note 15, "Acquisitions and Divestitures" for a description of certain anticipated transactions with respect to the SGK Brand Solutions business.
+Added: The Brand Solutions segment consists of brand management, pre-media services, printing plates and cylinders, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries.
+Added: On May 1, 2025, the Company contributed its SGK Business to a newly-formed entity, Propelis, in exchange for a 40 % ownership interest in Propelis and other consideration.
+Added: Propelis is expected to be a leading global provider of brand solutions.
+Added: Following the completion of this transaction, the Company's Brand Solutions segment consists of its printing plates and cylinders business, and its 40 % ownership interest in Propelis.
+Added: Activity prior to May 1, 2025 for the SGK Business is included within the consolidated financial statements of the Company.
+Added: As of May 1, 2025 the SGK Business has been deconsolidated from the financial statements and is now accounted for as part of the Company's equity-method investment in Propelis.
+Added: See Notes 6, "Investments" and 15, "Acquisitions and Divestitures" for further information with respect to the Company's sale of its interest in the SGK Business.
The Company's primary measure of segment profitability is adjusted earnings before interest, income taxes, depreciation and amortization ("adjusted EBITDA").
Adjusted EBITDA is defined by the Company as earnings before interest, income taxes, depreciation, amortization and certain non-cash and/or non-recurring items that do not contribute directly to management’s evaluation of its operating results.
−Removed: These items include stock-based compensation, the non-service portion of pension and postretirement expense, acquisition and divestiture costs, enterprise resource planning ("ERP") system integration costs, and strategic initiatives and other charges.
+Added: These items include stock-based compensation, the non-service portion of pension and postretirement expense, acquisition and divestiture costs, gains and losses on divestitures, enterprise resource planning ("ERP") system integration costs, and strategic initiatives and other charges.
This presentation is consistent with how the Company's chief operating decision maker (the “CODM”) evaluates the results of operations and makes strategic decisions about the business.
For these reasons, the Company believes that adjusted EBITDA represents the most relevant measure of segment profit and loss.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
−Removed: (Dollar amounts in thousands, except per share data)
−Removed: Segment Information (continued)
In addition, the CODM manages and evaluates the operating performance of the segments, as described above, on a pre-corporate cost allocation basis.
3 unchanged sentences
Management does not allocate non-operating items such as investment income, other income (deductions), net and noncontrolling interest to the segments.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
+Added: Segment Information (continued)
The following table sets forth information about the Company's segments, including a reconciliation of adjusted EBITDA to net income.
Three Months Ended
−Removed: March 31, Six Months Ended
+Added: June 30, Nine Months Ended
2025 2024 2025 2024
1 unchanged sentence
Industrial Technologies 87,901 91,731 249,269 319,241
−Removed: SGK Brand Solutions 141,174 132,931 271,997 263,472
+Added: Brand Solutions 57,748 133,438 329,745 396,910
Consolidated Sales $ 349,377 $ 427,833 $ 1,178,848 $ 1,349,042
2 unchanged sentences
Industrial Technologies 9,047 4,196 16,921 23,846
−Removed: SGK Brand Solutions 15,596 15,370 27,888 28,263
+Added: Brand Solutions 5,004 16,054 32,892 44,317
Corporate and Non-Operating ( 12,302 ) ( 14,241 ) ( 38,277 ) ( 43,186 )
4 unchanged sentences
( 10,315 ) ( 6,246 ) ( 16,303 ) ( 17,128 )
+Added: Gain on sale of SGK Business 57,103 — 57,103 —
Highly inflationary accounting losses (primarily non-cash) (3)
7 unchanged sentences
( 16,804 ) ( 14,005 ) ( 50,668 ) ( 40,539 )
−Removed: (Loss) income before income taxes ( 11,644 ) 7,905 ( 17,474 ) 4,876
−Removed: Income tax benefit 2,728 1,122 5,086 1,848
−Removed: Net (loss) income $ ( 8,916 ) $ 9,027 $ ( 12,388 ) $ 6,724
+Added: Income (loss) before income taxes 58,864 ( 7,052 ) 41,390 ( 2,176 )
+Added: Income tax (provision) benefit ( 43,477 ) 8,829 ( 38,391 ) 10,677
+Added: Net income $ 15,387 $ 1,777 $ 2,999 $ 8,501
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
1 unchanged sentence
Segment Information (continued)
−Removed: (1) Includes certain non-recurring items associated with recent acquisition and divestiture activities and also includes a loss of $ 2,072 for the three and six months ended March 31, 2025 related to the divestiture of a business in the Industrial Technologies segment (See Note 15, "Acquisitions and Divestitures").
−Removed: Fiscal 2025 also includes costs related to the pending sale of the Company's interest in the SGK Brand Solutions business which totaled $ 10,586 for the three months ended March 31, 2025 and $ 11,485 for the six months ended March 31, 2025.
+Added: (1) Includes certain non-recurring items associated with recent acquisition and divestiture activities and also includes a loss of $ 2,072 for the nine months ended June 30, 2025 related to the divestiture of a business in the Industrial Technologies segment (See Note 15, "Acquisitions and Divestitures").
+Added: The fiscal 2025 third quarter amount reflects a reclassification of transaction costs totaling $ 9,738 , which have been presented as a component of gain on sale of SGK Business.
(2) Includes certain non-recurring costs associated with commercial, operational and cost-reduction initiatives, and costs associated with global ERP system integration efforts.
Also includes legal costs related to an ongoing dispute with Tesla, Inc.
−Removed: ("Tesla"), which totaled $ 1,757 and $ 2,602 for the three months ended March 31, 2025 and 2024, respectively, and $ 8,624 and $ 4,972 for the six months ended March 31, 2025 and 2024, respectively (see Note 17, "Legal Matter").
−Removed: Fiscal 2025 includes costs related to the Company's 2025 contested proxy which totaled $ 4,538 for the three months ended March 31, 2025 and $ 4,902 for the six months ended March 31, 2025.
−Removed: Fiscal 2025 includes net gains on the sales of certain significant property and other assets of $ 8,655 for the six months ended March 31, 2025.
−Removed: Fiscal 2025 also includes loss recoveries totaling $ 1,170 for the six months ended March 31, 2025 which were related to a previously disclosed theft of funds by a former employee initially identified in fiscal 2015.
+Added: ("Tesla"), which totaled $ 5,795 and $ 3,166 for the three months ended June 30, 2025 and 2024, respectively, and $ 14,419 and $ 8,138 for the nine months ended June 30, 2025 and 2024, respectively (see Note 17, "Legal Matter").
+Added: Fiscal 2025 includes costs related to the Company's 2025 contested proxy which totaled $ 207 for the three months ended June 30, 2025 and $ 5,109 for the nine months ended June 30, 2025.
+Added: Fiscal 2025 includes net gains on the sales of certain significant property and other assets of $ 8,655 for the nine months ended June 30, 2025.
+Added: Fiscal 2025 also includes loss recoveries totaling $ 538 for the three months ended June 30, 2025 and $ 1,708 for the nine months ended June 30, 2025 which were related to a previously disclosed theft of funds by a former employee initially identified in fiscal 2015.
(3) Represents exchange losses associated with highly inflationary accounting related to the Company's Turkish subsidiaries (see Note 2, "Basis of Presentation").
4 unchanged sentences
Please note that GAAP pension and postretirement expense or the adjustment above are not necessarily indicative of the current or future cash flow requirements related to these employee benefit plans.
−Removed: (5) Includes fees for receivables sold under the RPA and factoring arrangements totaling $ 1,145 and $ 1,238 for the three months ended March 31, 2025 and 2024, respectively, and $ 2,317 and $ 2,413 for the six months ended March 31, 2025 and 2024, respectively.
−Removed: * Depreciation and amortization was $ 7,170 and $ 6,914 for the Memorialization segment, $ 5,644 and $ 5,571 for the Industrial Technologies segment, $ 4,718 and $ 9,669 for the SGK Brand Solutions segment, and $ 699 and $ 1,107 for Corporate and Non-Operating, for the three months ended March 31, 2025 and 2024, respectively.
−Removed: Depreciation and amortization was $ 14,372 and $ 13,327 for the Memorialization segment, $ 11,318 and $ 11,948 for the Industrial Technologies segment, $ 13,578 and $ 19,241 for the SGK Brand Solutions segment, and $ 1,467 and $ 2,268 for Corporate and Non-Operating, for the six months ended March 31, 2025 and 2024, respectively.
−Removed: ** Acquisition and divestiture costs, ERP system integration costs, and strategic initiatives and other charges were $ 2,410 and $ 1,037 for the Memorialization segment, $ 2,264 and $ 4,431 for the Industrial Technologies segment, $ 416 and $ 358 for the SGK Brand Solutions segment, and $ 16,056 and $ 1,198 for Corporate and Non-Operating, for the three months ended March 31, 2025 and 2024, respectively.
−Removed: Acquisition costs, ERP system integration costs, and strategic initiatives and other charges were $ 3,713 and $ 1,097 for the Memorialization segment, $ 6,383 and $ 9,799 for the Industrial Technologies segment, $ 1,130 and $ 1,221 for the SGK Brand Solutions segment, and $ 11,112 and $ 2,064 for Corporate and Non-Operating, for the six months ended March 31, 2025 and 2024, respectively.
−Removed: † Strategic initiatives and other items includes charges for exit and disposal activities (including severance and other employee termination benefits) totaling $ 2,471 of income and $ 822 of expenses for the three months ended March 31, 2025 and 2024, respectively, and $ 1,305 of income and $ 2,783 of expenses for the six months ended March 31, 2025 and 2024, respectively.
+Added: (5) Includes fees for receivables sold under the RPA and factoring arrangements totaling $ 974 and $ 1,225 for the three months ended June 30, 2025 and 2024, respectively, and $ 3,291 and $ 3,638 for the nine months ended June 30, 2025 and 2024, respectively.
+Added: * Depreciation and amortization was $ 7,394 and $ 7,073 for the Memorialization segment, $ 5,489 and $ 5,796 for the Industrial Technologies segment, $ 2,357 and $ 9,702 for the Brand Solutions segment, and $ 596 and $ 1,086 for Corporate and Non-Operating, for the three months ended June 30, 2025 and 2024, respectively.
+Added: Depreciation and amortization was $ 21,766 and $ 20,400 for the Memorialization segment, $ 16,807 and $ 17,744 for the Industrial Technologies segment, $ 15,935 and $ 28,943 for the Brand Solutions segment, and $ 2,063 and $ 3,354 for Corporate and Non-Operating, for the nine months ended June 30, 2025 and 2024, respectively.
+Added: ** Acquisition and divestiture costs, ERP system integration costs, and strategic initiatives and other charges were $ 552 and $ 1,108 for the Memorialization segment, $ 9,079 and $ 4,490 for the Industrial Technologies segment, $ 1,692 and $ 1,473 for the Brand Solutions segment, and income of $ 10,481 and costs of $ 1,441 for Corporate and Non-Operating, for the three months ended June 30, 2025 and 2024, respectively.
+Added: Acquisition costs, ERP system integration costs, and strategic initiatives and other charges were $ 4,265 and $ 2,204 for the Memorialization segment, $ 15,462 and $ 14,288 for the Industrial Technologies segment, $ 2,822 and $ 2,694 for the Brand Solutions segment, and $ 631 and $ 3,507 for Corporate and Non-Operating, for the nine months ended June 30, 2025 and 2024, respectively.
+Added: † Strategic initiatives and other items includes charges for exit and disposal activities (including severance and other employee termination benefits) totaling expenses of $ 2,438 and $ 1,079 for the three months ended June 30, 2025 and 2024, respectively, and expenses of $ 1,133 and $ 3,862 for the nine months ended June 30, 2025 and 2024, respectively.
Refer to Note 9, "Restructuring" for further details.
Acquisitions and Divestitures
−Removed: In March 2025, the Company completed a small divestiture within the Industrial Technologies segment.
−Removed: Net proceeds from the divestiture totaled $ 2,049 , and the transaction resulted in a pre-tax loss of $ 2,072 , which was recorded as a component of administrative expense for the period ended March 31, 2025.
−Removed: On January 7, 2025, the Company entered into a definitive contribution agreement (the "Contribution Agreement") under which it will sell its interest in the SGK Brand Solutions business to a newly formed entity created by affiliates of Southern Graphics, Inc.
−Removed: (the “New Entity”), which will combine the SGK Brand Solutions business with the Southern Graphics, Inc.
−Removed: Under the terms of the Contribution Agreement, at the closing of the proposed transactions, the Company will receive $ 250,000 in cash and $ 50,000 of preferred equity in the New Entity.
−Removed: In addition, at the closing of the proposed transactions, the Company will receive a 40 % interest in the common equity of the New Entity.
−Removed: Trade receivables under the Company's RPA will not be contributed to the New Entity.
−Removed: The Company will also retain its European cylinders (packaging) business and other related investments following the closing of the proposed transactions.
−Removed: The proposed transactions are expected to be completed in the third quarter of fiscal 2025, subject to the satisfaction of customary closing conditions.
−Removed: The foregoing summary of the Contribution Agreement and the transactions contemplated thereby is incomplete and is qualified in its entirety to the complete text of the Contribution Agreement, which was filed as Exhibit 2.1 to that Current Report on Form 8-K with the SEC on January 8, 2025.
+Added: In May 2025, the Company acquired The Dodge Company ("Dodge") within the Memorialization segment for a purchase price of $ 55,624 (net of cash acquired).
+Added: Dodge is a leading supplier of embalming chemicals and supplies in North America and sells a variety of other related products to Funeral Homes.
+Added: Annual sales for this business were approximately $ 43,000 prior to the acquisition.
+Added: The preliminary purchase price allocation was not finalized as of June 30, 2025 and remains subject to change as the Company obtains additional information related to working capital and other intangibles assets.
+Added: On May 1, 2025, the Company contributed its SGK Business to a newly-formed entity, Propelis, in exchange for 40 % of the common equity of Propelis, a $ 50,000 preferred equity investment in Propelis, and cash proceeds of $ 228,004 (net of $ 22,996 of divested cash).
+Added: The Company retained its European cylinders (packaging) business and other related investments following the completion of this transaction.
+Added: The Company recognized a gain on sale of the SGK Business totaling $ 57,103 ($ 14,155 after-tax) during the third quarter of fiscal 2025.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
1 unchanged sentence
Acquisitions and Divestitures (continued)
−Removed: During the second quarter of fiscal 2025, the Company determined that the SGK Brand Solutions business met the criteria under U.S.
−Removed: GAAP to be classified as held-for-sale.
−Removed: Accordingly, the assets and liabilities for this business have been presented separately as current and non-current assets held-for-sale and current and non-current liabilities held-for-sale on the Consolidated Balance Sheet as of March 31, 2025.
−Removed: The following table summarizes the carrying values of the SGK Brand Solutions business assets and liabilities classified as held-for-sale on the Consolidated Balance Sheet as of March 31, 2025.
−Removed: March 31, 2025
+Added: The following table summarizes the carrying values of the SGK Business assets and liabilities divested on May 1, 2025.
Cash and cash equivalents $ 22,996
5 unchanged sentences
Other intangible assets, net 23,672
−Removed: Other current and non-current assets held-for-sale 15,327
−Removed: Total assets held-for-sale 428,010
+Added: Other current and non-current assets 17,159
+Added: Total assets 449,687
Current portion of operating lease liabilities 7,478
1 unchanged sentence
Accrued compensation 12,258
+Added: Long-term debt 5,817
Operating lease liabilities 11,619
Deferred income taxes 16,837
−Removed: Other current and non-current liabilities held-for-sale 34,645
−Removed: Total liabilities held-for-sale 102,364
−Removed: Net assets held-for-sale $ 325,646
−Removed: Income before income taxes for the SGK Brand Solutions business classified as held-for-sale totaled $ 3,351 and $ 8,170 for the three and six months ended March 31, 2025, respectively, and $ 5,875 and $ 8,791 for the three and six months ended March 31, 2024, respectively.
−Removed: In January 2025, the Company entered into an agreement for the acquisition of a Memorialization business for a purchase price of $ 57,000 in cash.
−Removed: The purchase price is subject to customary post-closing adjustments.
−Removed: The acquisition, which is subject to certain closing conditions, is expected to be completed mid-2025.
+Added: Other current and non-current liabilities 27,731
+Added: Total liabilities 96,545
+Added: Net assets $ 353,142
+Added: Income before income taxes for the divested SGK Business totaled $ 4,477 and $ 12,647 for the three and nine months ended June 30, 2025, respectively, and $ 5,435 and $ 14,226 for the three and nine months ended June 30, 2024, respectively.
+Added: In March 2025, the Company completed a small divestiture within the Industrial Technologies segment.
+Added: Net proceeds from the divestiture totaled $ 2,049 , and the transaction resulted in a pre-tax loss of $ 2,072 , which was recorded as a component of administrative expense for the period ended June 30, 2025.
In October 2024, the Company completed a small acquisition within the Memorialization segment for a purchase price of $ 2,218 .
−Removed: The preliminary purchase price allocation was not finalized as of March 31, 2025 and remains subject to change as the Company obtains additional information related to working capital.
+Added: The preliminary purchase price allocation was not finalized as of June 30, 2025 and remains subject to change as the Company obtains additional information related to working capital.
During the first quarter of fiscal 2025, the Company completed a small divestiture within the Memorialization segment.
The net assets for this business were fully written-down in fiscal 2024 in anticipation of the disposal transaction.
−Removed: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
−Removed: (Dollar amounts in thousands, except per share data)
−Removed: Acquisitions and Divestitures (continued)
In January 2024, the Company completed a small acquisition within the Memorialization segment for a purchase price of $ 5,825 (net of holdbacks and other adjustments, including working capital).
The Company finalized the allocation of the purchase price in the fourth quarter of fiscal 2024, resulting in no significant adjustments.
+Added: NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
+Added: (Dollar amounts in thousands, except per share data)
Goodwill and Other Intangible Assets
A summary of the carrying amount of goodwill attributable to each segment as well as the changes in such amounts are as follows:
−Removed: Memorialization Industrial Technologies SGK Brand
+Added: Memorialization Industrial Technologies Brand
Solutions Consolidated
3 unchanged sentences
Translation and other adjustments 82 457 ( 6,385 ) ( 5,846 )
−Removed: Reclassified to non-current assets held-for-sale — — ( 218,049 ) ( 218,049 )
−Removed: Net goodwill at March 31, 2025
+Added: Sale of SGK Business — — ( 218,049 ) ( 218,049 )
+Added: Net goodwill at June 30, 2025
$ 416,048 $ 100,002 $ — $ 516,050
−Removed: The net goodwill balances at March 31, 2025 and September 30, 2024 included $ 45,673 and $ 277,913 of accumulated impairment losses, respectively.
−Removed: Accumulated impairment losses at March 31, 2025 were $ 5,000 and $ 40,673 for the Memorialization and Industrial Technologies segments, respectively.
−Removed: Accumulated impairment losses at September 30, 2024 were $ 5,000 , $ 40,673 and $ 232,240 for the Memorialization, Industrial Technologies and SGK Brand Solutions segments, respectively.
+Added: The net goodwill balances at June 30, 2025 and September 30, 2024 included $ 45,673 and $ 277,913 of accumulated impairment losses, respectively.
+Added: Accumulated impairment losses at June 30, 2025 were $ 5,000 and $ 40,673 for the Memorialization and Industrial Technologies segments, respectively.
+Added: Accumulated impairment losses at September 30, 2024 were $ 5,000 , $ 40,673 and $ 232,240 for the Memorialization, Industrial Technologies and Brand Solutions segments, respectively.
The Company performed its annual impairment review of goodwill and indefinite-lived intangible assets in the second quarter of fiscal 2025 (January 1, 2025) and determined that the estimated fair values for all goodwill reporting units exceeded their carrying values, and, therefore, no impairment charges were necessary at such time.
−Removed: The following tables summarize the carrying amounts and related accumulated amortization for intangible assets as of March 31, 2025 and September 30, 2024, respectively.
+Added: The following tables summarize the carrying amounts and related accumulated amortization for intangible assets as of June 30, 2025 and September 30, 2024, respectively.
Amount Accumulated
Amortization Net
−Removed: March 31, 2025
+Added: June 30, 2025
Indefinite-lived trade names $ 30,540 $ — $ 30,540
9 unchanged sentences
$ 581,691 $ ( 455,665 ) $ 126,026
−Removed: The net change in intangible assets during the six months ended March 31, 2025 primarily included the impact of foreign currency fluctuations during the period and additional amortization.
+Added: The net change in intangible assets during the nine months ended June 30, 2025 primarily reflected the sale of the Company's interest in the SGK Business, the impact of foreign currency fluctuations during the period and additional amortization.
+Added: Amortization expense on intangible assets was $ 3,474 and $ 9,037 for the three-month periods ended June 30, 2025 and 2024, respectively.
+Added: Amortization expense on intangible assets was $ 16,362 and $ 27,791 for the nine-month periods ended June 30, 2025 and 2024, respectively.
+Added: The fiscal 2025 decrease in intangible amortization reflected certain intangible assets reaching the end of their amortizable lives, and lower amortization following the Company's divestiture of its interest in the SGK Business.
+Added: Amortization expense is estimated to be $ 2,977 for the remainder of fiscal 2025, $ 9,497 in 2026, $ 8,597 in 2027, $ 6,702 in 2028 and $ 5,782 in 2029.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited), Continued
(Dollar amounts in thousands, except per share data)
−Removed: Goodwill and Other Intangible Assets (continued)
−Removed: Amortization expense on intangible assets was $ 4,280 and $ 8,959 for the three-month periods ended March 31, 2025 and 2024, respectively.
−Removed: Amortization expense on intangible assets was $ 12,888 and $ 18,754 for the six-month periods ended March 31, 2025 and 2024, respectively.
−Removed: The fiscal 2025 decrease in intangible amortization primarily resulted from certain intangible assets within the SGK Brand Solutions segment reaching the end of their amortizable lives.
−Removed: Amortization expense is estimated to be $ 14,049 for the remainder of fiscal 2025, $ 10,453 in 2026, $ 9,509 in 2027, $ 7,505 in 2028 and $ 6,531 in 2029.
On October 7, 2024, the United States District Court for the Northern District of California granted the Company’s motion to compel arbitration in response to a complaint filed by Tesla on June 14, 2024 against the Company in the Northern District of California, Civil Action No.
2 unchanged sentences
Given the Court’s favorable ruling, the matter filed by Tesla has been effectively stayed pending arbitration, which Tesla has initiated.
−Removed: The Company maintains the claims vaguely stated in the complaint are without merit and intends to vigorously defend itself against the allegations in the arbitration.
+Added: The Company maintains the claims vaguely stated in the complaint are without merit and continues to vigorously defend itself against the allegations in the arbitration.
In addition, on February 13, 2025, Tesla filed another additional complaint against the Company in the United States District Court for the Northern District of California alleging, in part, claims related to correction of inventorship, breach of contract, promissory estoppel and quasi-contract/restitution arising from and/or related to various U.S.
patents and provisional patents, including but not limited to U.S.
−Removed: Similar to the prior matter, the Company maintains the claims vaguely stated in the complaint filed on February 13, 2025 are also without merit and intends to vigorously defend itself against the allegations.
+Added: Similar to the prior matter, the Company has already filed a motion to compel arbitration and maintains the claims vaguely stated in the complaint filed on February 13, 2025 are also without merit.
+Added: The Company intends to vigorously defend itself against the allegations.
An estimate of the possible loss or range of loss related to both matters cannot be made at this time given the continued lack of specificity in the applicable pleadings and/or proceedings.
In light of the substantial harm caused to the Company by Tesla's actions, the Company is now pursuing counterclaims against Tesla.
+Added: Related Party Transactions
+Added: In connection with the sale of the Company's interest in the SGK Business, the Company has agreed to provide certain administrative services for Propelis under a Transitional Services Agreement (the “TSA”).
+Added: The services provided under the TSA include ERP system access and related information technology support;
+Added: tax, treasury and accounting support;
+Added: transactional processing such as, invoicing, collections, cash application, purchasing, payroll and payment processing;
+Added: and certain other services.
+Added: The Company receives an administrative support fee from Propelis for providing these ongoing services.
+Added: Such administrative support fees are intended to approximate the underlying cost of providing such services for Propelis.
+Added: During the third quarter of fiscal 2025, the Company recognized $ 1,612 of administrative support fees under the TSA, which were included as a component of administrative expense.
+Added: Sales to and purchase from Propelis were immaterial for the three months ended June 30, 2025.
+Added: As of June 30, 2025, amounts due to Matthews from Propelis totaled $ 5,887 , which reflected outstanding administrative fees, and net transactional amounts pending settlement under the TSA.
+Added: Such amounts were included as a component of accounts receivable.
Management's Discussion and Analysis of Financial Condition and Results of Operations
2 unchanged sentences
Any forward-looking statements contained herein are included pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995.
−Removed: These forward-looking statements include, but are not limited to, statements regarding the expectations, hopes, beliefs, intentions or strategies of the Company regarding the future, including statements regarding the anticipated timing and benefits of the proposed joint venture transaction, and may be identified by the use of words such as “expects,” “believes,” “intends,” “projects,” “anticipates,” “estimates,” “plans,” “seeks,” “forecasts,” “predicts,” “objective,” “targets,” “potential,” “outlook,” “may,” “will,” “could” or the negative of these terms, other comparable terminology and variations thereof.
+Added: These forward-looking statements include, but are not limited to, statements regarding the expectations, hopes, beliefs, intentions or strategies of the Company regarding the future, including statements regarding the anticipated timing and benefits of the joint venture transaction with Propelis Group ("Propelis"), and may be identified by the use of words such as “expects,” “believes,” “intends,” “projects,” “anticipates,” “estimates,” “plans,” “seeks,” “forecasts,” “predicts,” “objective,” “targets,” “potential,” “outlook,” “may,” “will,” “could” or the negative of these terms, other comparable terminology and variations thereof.
Such forward-looking statements involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to be materially different from management's expectations, and no assurance can be given that such expectations will prove correct.
−Removed: Factors that could cause the Company's results to differ materially from the results discussed in such forward-looking statements principally include our ability to satisfy the conditions precedent to the consummation of the proposed joint venture transaction on the expected timeline or at all, our ability to achieve the anticipated benefits of the proposed joint venture transaction, changes in domestic or international economic conditions, changes in foreign currency exchange rates, changes in interest rates, changes in the cost of materials used in the manufacture of the Company's products, including changes in costs due to adjustments to tariffs or trade wars, any impairment of goodwill or intangible assets, environmental liability and limitations on the Company’s operations due to environmental laws and regulations, disruptions to certain services, such as telecommunications, network server maintenance, cloud computing or transaction processing services, provided to the Company by third-parties, changes in mortality and cremation rates, changes in product demand or pricing as a result of consolidation in the industries in which the Company operates, or other factors such as supply chain disruptions, labor shortages or labor cost increases, changes in product demand or pricing as a result of domestic or international competitive pressures, ability to achieve cost-reduction objectives, unknown risks in connection with the Company's acquisitions, divestitures, and business combinations, cybersecurity concerns and costs arising with management of cybersecurity threats, effectiveness of the Company's internal controls, compliance with domestic and foreign laws and regulations, technological factors beyond the Company's control, impact of pandemics or similar outbreaks, or other disruptions to our industries, customers, or supply chains, the impact of global conflicts, such as the current war between Russia and Ukraine, the Company's plans and expectations with respect to its exploration, and contemplated execution, of various strategies with respect to its portfolio of businesses, the Company's plans and expectations with respect to its Board, and other factors described in Item 1A - "Risk Factors" in this Form 10-Q and Item 1A - "Risk Factors" in the Company's Form 10-K for the fiscal year ended September 30, 2024.
+Added: Factors that could cause the Company's results to differ materially from the results discussed in such forward-looking statements principally include our ability to achieve the anticipated benefits of the joint venture transaction with Propelis that recently closed, changes in domestic or international economic conditions, changes in foreign currency exchange rates, changes in interest rates, changes in the cost of materials used in the manufacture of the Company's products, including changes in costs due to adjustments to tariffs, any impairment of goodwill or intangible assets, environmental liability and limitations on the Company’s operations due to environmental laws and regulations, disruptions to certain services, such as telecommunications, network server maintenance, cloud computing or transaction processing services, provided to the Company by third-parties, changes in mortality and cremation rates, changes in product demand or pricing as a result of consolidation in the industries in which the Company operates, or other factors such as supply chain disruptions, labor shortages or labor cost increases, changes in product demand or pricing as a result of domestic or international competitive pressures, ability to achieve cost-reduction objectives, unknown risks in connection with the Company's acquisitions, divestitures, and business combinations, cybersecurity concerns and costs arising with management of cybersecurity threats, effectiveness of the Company's internal controls, compliance with domestic and foreign laws and regulations, technological factors beyond the Company's control, impact of pandemics or similar outbreaks, or other disruptions to our industries, customers, or supply chains, the impact of global conflicts, such as the current war between Russia and Ukraine, the Company's plans and expectations with respect to its exploration, and contemplated execution, of various strategies with respect to its portfolio of businesses, the Company's plans and expectations with respect to its Board, and other factors described in Item 1A - "Risk Factors" in this Form 10-Q and Item 1A - "Risk Factors" in the Company's Form 10-K for the fiscal year ended September 30, 2024.
In addition, although the Company does not currently have any customers that would be considered individually significant to consolidated sales, changes in the distribution of the Company's products or the potential loss of one or more of the Company's larger customers are also considered risk factors.
8 unchanged sentences
The Company manages its businesses under three segments:
−Removed: Memorialization, Industrial Technologies and SGK Brand Solutions.
+Added: Memorialization, Industrial Technologies and Brand Solutions.
The Memorialization segment consists primarily of bronze and granite memorials and other memorialization products, caskets, cremation-related products, and cremation and incineration equipment primarily for the cemetery and funeral home industries.
2 unchanged sentences
and coating and converting lines for the packaging, pharma, foil, décor and tissue industries.
−Removed: The SGK Brand Solutions segment consists of brand management, pre-media services, printing plates and cylinders, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries.
−Removed: See Note 15, "Acquisitions and Divestitures" in Item 1 - "Financial Statements" for a description of certain anticipated transactions with respect to the SGK Brand Solutions business.
+Added: The Brand Solutions segment consists of brand management, pre-media services, printing plates and cylinders, imaging services, digital asset management, merchandising display systems, and marketing and design services primarily for the consumer goods and retail industries.
+Added: On May 1, 2025, the Company contributed the vast majority of its Brand Solutions segment (the "SGK Business") to a newly-formed entity, Propelis, in exchange for a 40% ownership interest in Propelis and other consideration.
+Added: Propelis is expected to be a leading global provider of brand solutions.
+Added: Following the completion of this transaction, the Company's Brand Solutions segment consists of its printing plates and cylinders business, and its 40% ownership interest in Propelis.
+Added: The Company recognizes its portion of the earnings or losses for its equity-method investment in Propelis on a three-month lag to ensure consistency and timely filing of the Company’s financial statements.
+Added: As a result, the Company has not recorded earnings or losses for its investment in Propelis during the quarter ended June 30, 2025.
+Added: See Notes 6, "Investments" and 15, "Acquisitions and Divestitures" in Item 1 - "Financial Statements" for further information with respect to the Company's sale of its interest in the SGK Business.
The Company's primary measure of segment profitability is adjusted earnings before interest, income taxes, depreciation and amortization ("adjusted EBITDA").
Adjusted EBITDA is defined by the Company as earnings before interest, income taxes, depreciation, amortization and certain non-cash and/or non-recurring items that do not contribute directly to management’s evaluation of its operating results.
−Removed: These items include stock-based compensation, the non-service portion of pension and postretirement expense, acquisition and divestiture costs, enterprise resource planning ("ERP") system integration costs, and strategic initiatives and other charges.
+Added: These items include stock-based compensation, the non-service portion of pension and postretirement expense, acquisition and divestiture costs, gains and losses on divestitures, enterprise resource planning ("ERP") system integration costs, and strategic initiatives and other charges.
This presentation is consistent with how the Company's chief operating decision maker (the “CODM”) evaluates the results of operations and makes strategic decisions about the business.
5 unchanged sentences
Management does not allocate non-operating items such as investment income, other income (deductions), net and noncontrolling interest to the segments.
−Removed: The following table sets forth the sales and adjusted EBITDA for the Company's three reporting segments for the three and six-month periods ended March 31, 2025 and 2024.
+Added: The following table sets forth the sales and adjusted EBITDA for the Company's three reporting segments for the three and nine-month periods ended June 30, 2025 and 2024.
Refer to Note 14, "Segment Information" in Item 1 - "Financial Statements" for the Company's financial information by segment.
−Removed: Net (loss) income was a loss of $8.9 million and income of $9.0 million for the three months ended March 31, 2025 and 2024, respectively, and a loss of $12.4 million and income of $6.7 million for the six months ended March 31, 2025 and 2024, respectively.
−Removed: Refer to "Non-GAAP Financial Measures" below for a reconciliation of net (loss) income to adjusted EBITDA.
+Added: Net income was $15.4 million and $1.8 million for the three months ended June 30, 2025 and 2024, respectively, and $3.0 million and $8.5 million for the nine months ended June 30, 2025 and 2024, respectively.
+Added: Refer to "Non-GAAP Financial Measures" below for a reconciliation of net income to adjusted EBITDA.
+Added: Management's Discussion and Analysis of Financial Condition and Results of Operations, Continued
Three Months Ended
−Removed: March 31, Six Months Ended
+Added: June 30, Nine Months Ended
2025 2024 2025 2024
2 unchanged sentences
Industrial Technologies 87,901 91,731 249,269 319,241
−Removed: SGK Brand Solutions 141,174 132,931 271,997 263,472
+Added: Brand Solutions 57,748 133,438 329,745 396,910
Consolidated Sales $ 349,377 $ 427,833 $ 1,178,848 $ 1,349,042
2 unchanged sentences
Industrial Technologies 9,047 4,196 16,921 23,846
−Removed: SGK Brand Solutions 15,596 15,370 27,888 28,263
+Added: Brand Solutions 5,004 16,054 32,892 44,317
Corporate and Non-Operating (12,302) (14,241) (38,277) (43,186)
3 unchanged sentences
See the "Non-GAAP Financial Measures" section below.
+Added: Sales for the nine months ended June 30, 2025 were $1.18 billion, compared to $1.35 billion for the nine months ended June 30, 2024.
+Added: The decrease in fiscal 2025 sales reflected a sales reduction of $80.2 million resulting from the divestiture of the Company's interest in the SGK Business on May 1, 2025 (see Acquisitions and Divestitures below).
+Added: The fiscal 2025 sales decline also reflected lower sales in the Industrial Technologies and Memorialization segments.
+Added: On a consolidated basis, changes in foreign currency exchange rates were estimated to have an unfavorable impact of $1.1 million on fiscal 2025 sales compared to the prior year.
+Added: Memorialization segment sales for the first nine months of fiscal 2025 were $599.8 million, compared to $632.9 million for the first nine months of fiscal 2024.
+Added: The sales decrease principally reflected lower unit sales of caskets, bronze and granite memorial products, and cremation equipment, primarily reflecting a decline in U.S.
+Added: These declines were partially offset by improved price realization and the favorable net impact of recently completed acquisitions and divestitures (see Acquisitions and Divestitures below).
+Added: Industrial Technologies segment sales were $249.3 million for the first nine months of fiscal 2025, compared to $319.2 million for the first nine months of fiscal 2024.
+Added: The decrease in sales reflected lower sales of purpose-built engineered products (primarily energy storage solutions for the electric vehicle market and coating and converting equipment).
+Added: The decrease also reflected lower sales of R+S automotive engineering solutions, as the Company has discontinued these product offerings.
+Added: Fiscal 2025 sales for the Industrial Technologies segment were impacted by customer delays impacting the timing of projects within the energy storage business.
+Added: Changes in foreign currency exchange rates had a favorable impact of $1.0 million on the segment's sales compared to the prior year.
+Added: In the Brand Solutions segment, sales for the first nine months of fiscal 2025 were $329.7 million, compared to $396.9 million for the first nine months of fiscal 2024.
+Added: The decrease in sales primarily reflected the divestiture of the Company's interest in the SGK Business on May 1, 2025.
+Added: Sales for the SGK Business prior to the divestiture (versus the comparable period of the prior year) reflected higher brand sales in the U.S.
+Added: and Asia-Pacific regions, improved retail-based sales, increased private-label brand sales, and improved price realization to mitigate inflationary cost increases.
+Added: These increases were partially offset by lower brand sales in Europe and the impact of unfavorable changes in foreign exchange rates.
+Added: Brand Solutions segment sales also reflected lower sales for the European cylinders (packaging) business, which was not part of the sale of the SGK Business and remains part of the Company.
+Added: Changes in foreign currency exchange rates had an unfavorable impact of $1.8 million on the segment's sales compared to the prior year.
+Added: Gross profit for the nine months ended June 30, 2025 was $391.8 million, compared to $412.4 million for the same period a year ago.
+Added: Consolidated gross profit as a percent of sales was 33.2% and 30.6% for the first nine months of fiscal 2025 and fiscal 2024, respectively.
+Added: The decrease in gross profit reflected a reduction of $19.3 million resulting from the divestiture of the Company's interest in the SGK Business.
+Added: The gross profit decline also reflected the impact of lower sales, and higher material and labor costs.
+Added: These decreases were partially offset by the impact of improved price realization, benefits from the realization of productivity improvements and other cost-reduction initiatives, and the favorable net impact of recently completed acquisitions and divestitures within the Memorialization segment.
+Added: Gross profit also included acquisition integration costs and other charges primarily in connection with cost-reduction initiatives totaling $3.9 million and $9.2 million for the nine months ended June 30, 2025 and 2024, respectively.
+Added: Selling and administrative expenses for the nine months ended June 30, 2025 were $345.7 million, compared to $347.1 million for the first nine months of fiscal 2024.
+Added: Consolidated selling and administrative expenses, as a percent of sales, were 29.3% for
+Added: Management's Discussion and Analysis of Financial Condition and Results of Operations, Continued
+Added: the nine months ended June 30, 2025, compared to 25.7% for the same period last year.
+Added: Selling and administrative expenses in fiscal 2025 reflected benefits from ongoing cost-reduction initiatives, and a $12.1 million reduction in selling and administrative expenses from the divestiture of the Company's interest in the SGK Business, partially offset by higher compensation costs.
+Added: Fiscal 2025 selling and administrative expenses included $5.1 million of costs related to the Company's 2025 contested proxy, $8.7 million of net gains on the sales of certain significant property and other assets, $3.5 million of accelerated stock-based compensation costs related to the Company's divestiture of its interest in the SGK Business, and a $2.1 million loss on a small divestiture in the Industrial Technologies segment.
+Added: Selling and administrative expenses included legal costs related to an ongoing dispute in the Company's energy storage business totaling $14.4 million in fiscal 2025 and $8.1 million in fiscal 2024 (see Legal Matter below).
+Added: Selling and administrative expenses included fees for receivables sold under a receivables purchase agreement and factoring arrangement totaling $3.3 million in fiscal 2025 and $3.6 million in fiscal 2024.
+Added: Selling and administrative expenses also included acquisition integration and related systems-integration costs, and other charges primarily in connection with certain commercial, operational and cost-reduction initiatives totaling $8.0 million in fiscal 2025, compared to $5.5 million in fiscal 2024.
+Added: Intangible amortization for the nine months ended June 30, 2025 was $16.4 million, compared to $27.8 million for the nine months ended June 30, 2024.
+Added: The fiscal 2025 decrease in intangible amortization reflected certain intangible assets reaching the end of their amortizable lives, and lower amortization following the Company's divestiture of its interest in the SGK Business.
+Added: During the third quarter of fiscal 2025, the Company recognized a $57.1 million pre-tax gain on the sale of its interest in the SGK Business (See Acquisitions and Divestitures below).
+Added: Adjusted EBITDA was $136.0 million for the nine months ended June 30, 2025 and $147.0 million for the nine months ended June 30, 2024.
+Added: Memorialization segment adjusted EBITDA was $124.5 million for the first nine months of fiscal 2025 compared to $122.1 million for the first nine months of fiscal 2024.
+Added: The increase in segment adjusted EBITDA reflected the impact of improved price realization, benefits from productivity initiatives, and the favorable net impact of recent acquisitions and divestitures.
+Added: These increases were partially offset by the impact of lower unit sales, and higher material and labor costs.
+Added: Adjusted EBITDA for the Industrial Technologies segment was $16.9 million for the nine months ended June 30, 2025 compared to $23.8 million for the nine months ended June 30, 2024.
+Added: The decrease in segment adjusted EBITDA primarily reflected the impact of lower sales of engineered products, partially offset by benefits from cost-reduction initiatives.
+Added: Adjusted EBITDA for the Brand Solutions segment was $32.9 million for the first nine months of fiscal 2025 compared to $44.3 million for the same period a year ago.
+Added: The decrease in segment adjusted EBITDA primarily reflected a reduction of $11.0 million resulting from the divestiture of the Company's interest in the SGK Business.
+Added: Adjusted EBITDA for the SGK Business prior to the divestiture (versus the comparable period of the prior year) reflected the impact of higher labor costs, partially offset by the impact of improved price realization and benefits from cost-reduction initiatives.
+Added: Brand Solutions segment adjusted EBITDA also reflected declines for the European cylinders (packaging) business, which was not part of the sale of the SGK Business and remains part of the Company.
+Added: Interest expense for the first nine months of fiscal 2025 was $47.4 million, compared to $36.9 million for the same period last year.
+Added: The increase in interest expense reflected higher average interest rates, partially offset by a decrease in average borrowing levels in the current fiscal year.
+Added: Other income (deductions), net, for the nine months ended June 30, 2025 represented an increase in pre-tax income of $2.0 million, compared to a decrease in pre-tax income of $2.7 million for the same period last year.
+Added: Other income (deductions), net includes investment income, banking-related fees and the impact of currency gains and losses on certain intercompany debt and foreign denominated cash balances.
+Added: Income tax provisions for the Company's interim periods are based on the effective income tax rate expected to be applicable for the full year.
+Added: The Company's consolidated income taxes for the first nine months of fiscal 2025 represented a provision of $38.4 million, compared to a benefit of $10.7 million for the first nine months of fiscal 2024.
+Added: The difference between the Company’s consolidated income taxes for the first nine months of fiscal 2025 compared to the same period for fiscal 2024 resulted from consolidated pre-tax income in fiscal 2025 compared to a consolidated pre-tax loss in fiscal 2024, net discrete tax expense related to the divestiture of the Company's interest in the SGK Business, net discrete tax benefits related to adjustments in tax reserves resulting from the progression of tax audits, and recognition of certain previously unrecognized deferred tax assets.
+Added: The Company’s fiscal 2025 nine month effective tax rate varied from the U.S.
+Added: statutory tax rate of 21.0% primarily due to state taxes, tax credits, non-tax benefited foreign losses, discrete tax related to the sale of the Company's interest in the SGK Business, and other net discrete tax benefits.
+Added: The Company’s fiscal 2024 nine month effective tax rate varied from the U.S.
+Added: statutory tax rate of 21.0% primarily due to tax credits, jurisdictional tax rate netting, recognition of certain previously unrecognized deferred tax assets and other net discrete tax benefits.
+Added: Refer to Note 17, "Legal Matter" in Item 1 - "Financial Statements" for details related to an ongoing dispute with Tesla.
+Added: Management's Discussion and Analysis of Financial Condition and Results of Operations, Continued
+Added: Related Party Transactions
+Added: Refer to Note 18, "Related Party Transactions" in Item 1 - "Financial Statements" for information regarding transactions with Propelis.
+Added: NON-GAAP FINANCIAL MEASURES:
+Added: Included in this report are measures of financial performance that are not defined by GAAP.
+Added: The Company uses non-GAAP financial measures to assist in comparing its performance on a consistent basis for purposes of business decision-making by removing the impact of certain items that management believes do not directly reflect the Company’s core operations including acquisition and divestiture costs, gains and losses on divestitures, ERP system integration costs, strategic initiatives and other charges (which includes non-recurring charges related to certain commercial and operational initiatives and exit activities), stock-based compensation and the non-service portion of pension and postretirement expense.
+Added: Management believes that presenting non-GAAP financial measures is useful to investors because it (i) provides investors with meaningful supplemental information regarding financial performance by excluding certain items that management believes do not directly reflect the Company's core operations, (ii) permits investors to view performance using the same tools that management uses to budget, forecast, make operating and strategic decisions, and evaluate historical performance, and (iii) otherwise provides supplemental information that may be useful to investors in evaluating the Company’s results.
+Added: The Company believes that the presentation of these non-GAAP financial measures, when considered together with the corresponding GAAP financial measures and the reconciliations to those measures, provided herein, provides investors with an additional understanding of the factors and trends affecting the Company’s business that could not be obtained absent these disclosures.
+Added: The Company believes that adjusted EBITDA provides relevant and useful information, which is used by the Company’s management in assessing the performance of its business.
+Added: Adjusted EBITDA is defined by the Company as earnings before interest, income taxes, depreciation, amortization and certain non-cash and/or non-recurring items that do not contribute directly to management’s evaluation of its operating results.
+Added: These items include stock-based compensation, the non-service portion of pension and postretirement expense, acquisition and divestiture costs, gains and losses on divestitures, ERP system integration costs, and strategic initiatives and other charges.
+Added: Adjusted EBITDA provides the Company with an understanding of earnings before the impact of investing and financing charges and income taxes, and the effects of certain acquisition and divestiture and ERP system integration costs, and items that do not reflect the ordinary earnings of the Company’s operations.
+Added: This measure may be useful to an investor in evaluating operating performance.
+Added: It is also useful as a financial measure for lenders and is used by the Company’s management to measure business performance.
+Added: Adjusted EBITDA is not a measure of the Company's financial performance under GAAP and should not be considered as an alternative to net income or other performance measures derived in accordance with GAAP, or as an alternative to cash flow from operating activities as a measure of the Company's liquidity.
+Added: The Company's definition of adjusted EBITDA may not be comparable to similarly titled measures used by other companies.
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.