Mativ appoints Shruti Singhal as new CEO

ALPHARETTA, Ga. - Mativ Holdings, Inc. (NYSE: MATV) today announced a significant leadership change with the appointment of Shruti Singhal as President and Chief Executive Officer, effective immediately. Singhal, who has been serving on Mativ’s Board of Directors, succeeds Julie Schertell, who has stepped down from her roles as President, CEO, and director. The leadership change comes as the $376 million market cap company faces challenges, with InvestingPro data showing negative earnings over the last twelve months, though analysts project a return to profitability in 2025.

Singhal brings a wealth of experience from his tenure as CEO of Galata Chemicals and Chroma Color, as well as leadership roles in global companies such as DSM and The Dow Chemical Company. His expertise in leading business transformations and driving operational excellence is seen as a strategic fit for Mativ’s goals of enhancing profitability and growth. According to InvestingPro analysis, which offers 13 additional valuable insights about the company, Mativ’s stock has shown significant momentum with a 16.45% return over the past week, despite facing longer-term challenges.

Dr. Kimberly E. Ritrievi, Chair of the Board of Directors, expressed confidence in Singhal’s ability to lead Mativ, emphasizing his experience in corporate turnarounds and operational performance. She also acknowledged Schertell’s contributions to the company, including her leadership during Mativ’s formative years and the implementation of cost reductions.

In his remarks, Singhal expressed his enthusiasm for leading Mativ and emphasized the company’s focus on executing its strategy and driving operational excellence. He also underscored the importance of accelerating turnaround efforts and positioning Mativ for improved results and sustainable value creation.

Mativ has recently implemented measures to reduce its non-operating costs by over $20 million in 2024 and has initiated a comprehensive review of its cost structure for further profitability enhancements.

The company, headquartered in Alpharetta, Georgia, is known for its innovative specialty materials products and operates in over 90 countries. Mativ’s two segments, Filtration & Advanced Materials and Sustainable & Adhesive Solutions, cater to premium applications across diversified categories.

This leadership transition, based on a press release statement, marks a pivotal moment for Mativ as it seeks to navigate the current operating environment and achieve its strategic objectives.

In other recent news, Mativ Holdings Inc. reported its fourth-quarter 2024 earnings, revealing a mixed financial performance. The company exceeded earnings per share (EPS) expectations with an actual EPS of $0.05, surpassing the forecast of $0.02. However, Mativ fell short on revenue, reporting $458.6 million against a projected $470.55 million. The company’s organic sales growth was 4.3%, but adjusted EBITDA experienced a 10% decline year-over-year. Mativ’s strategic focus includes reducing overhead costs by $20 million and cutting its plant footprint by over 25% by the end of 2026. Analysts noted the company’s focus on debt reduction, with net debt standing at $995 million and available liquidity of $451 million. Mativ has also announced plans to maintain capital expenditures at approximately $50 million, targeting a normalized tax rate of 24% for 2025. The company faces challenges from potential raw material cost increases and competition in its Advanced Films segment.

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