Neenah, Inc. (NP) Q1 2022 Earnings Conference Call May 5, 2022 11:00 AM ET

Company Participants

Kyle Anderson – Vice President and Corporate Strategy and Investor Relations

Julie Schertell – Chief Executive Officer

Paul DeSantis – Chief Financial Officer

Conference Call Participants

Jonathan Tanwanteng – CJS Securities

Chris McGinnis – Sidoti & Company

Operator

Good morning. My name is Chris, and I'll be the conference operator today. At this time, I'd like to welcome everyone to the Neenah Q1 2022 Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer session. [Operator Instructions] Thank you.

Kyle Anderson, Vice President and Corporate Strategy and Investor Relations, you may begin.

Kyle Anderson

Good morning and thank you for joining us on Neenah's Q1 2022 Earnings Call. With me today are Julie Schertell, Chief Executive Officer; and Paul DeSantis, Chief Financial Officer. Julie and Paul will discuss recent results as well as share thoughts on our full-year outlook, how we are executing our strategy, and our plan merger with SWM. We issued a press release covering Q1 financial results yesterday afternoon and posted supplemental materials to an investor website to assist in better understanding our quarterly results. Following our prepared remarks, we will open the call for questions. As a reminder, our comments include forward-looking statements. Actual results could differ from these statements due to risk outlined both on our website and in our SEC Filings.

As we get started a few opening highlights, in the first quarter, we continued our top-line growth momentum and set yet another quarterly record with net sales up 25% over last year. Adjusted earnings were $0.63 per share, excluding $0.29 of unusual cost and adjusted EBITDA was $30.3 million. In Q1 2021, adjusted earnings were $1.04 per share and excluded $0.55 of unusual cost with adjusted EBITDA of $35.7 million. Details of these adjusting items, along with the reconciliation to GAAP amounts can be found in our earnings release.

With that, I'd like to turn the call over to Julie.

Julie Schertell

Thanks, Kyle, and good morning, everyone. I'll start with an overview of our first-quarter performance. We were pleased with our results in the first quarter, compared to Q1 of 2021 total volume was up 17%, with fine paper and packaging up 7%, and technical products up 23%. We delivered sales of almost $285 million, up 25% from last year. This was our third consecutive quarterly top-line record, a clear indication that our growth strategy is gaining traction.