MATR just reported Q3 results. Your overall opinion please and your prognosis going forward for this company. Thank you...your help is invaluable to us little retail investors.
In Q3, MATR reported adjusted EPS of $1.13, beating analysts’ forecasts of $0.62. Revenue came in below forecast of $229.6M at $225.41M. Net income was $72M and adjusted EBITDA was $128M with a margin of 25%. MATR forecasts a seasonal slowdown in Q4 of 2023 due to normal seasonal effects and sequentially lower demand. Cash availability continues to be good at $98M despite a large reduction year-over-year. MATR announced a definitive agreement to divest a substantial part of their Pipeline Performance Group (PPG) for approximately $230M which is expected to close in Q1 2024. MATR’s management views mid and long-term market trends as favourable, despite macroeconomic pressures. MATR put together a decent Q3 and the valuation of 11.7x forward earnings remains favourable. The stock fell on some comments that mgmt. saw some 'modest slowing'.