Rogers elastomers unit posts first-quarter reversals

Chandler, Arizona – Rogers Corp. has reported a reversal in the first quarter performance of its elastomeric material solutions (EMS) business.

Sales declined 7.3% to $102 million (€92 million) during the period, due mainly to lower net sales in the electric vehicle, portable electronics and general industrial markets.

Net sales were also negatively impacted by foreign currency fluctuations – $2.9 million, or 2.6% – as the euro, the Chinese yuan and UK pound fell against the US dollar.

Operating income fell 81% year-on-year to $3.2 million during the three months to end of March, down from $17 million the year before.

Rogers attributed the decline in operating income to “unfavourable year-over-year changes in restructuring charges and shared service operating expense allocations.”

The higher costs were partially offset by a decrease in costs related to the terminated DuPont merger, the company pointed out.

In February, the EMS unit disclosed a series of actions to improve its cost structure, streamline operations and improve profitability.

For 2022, Rogers' EMS unit reported an adjusted operating profit of $71 million on full-year sales of $420 million.