Luxfer Holdings PLC (NYSE:LXFR) Q2 2024 Earnings Conference Call July 31, 2024 8:30 AM ET

Company Participants

Kevin Grant - Vice President of Investor Relations & Business Development
Andy Butcher - Chief Executive Officer
Steve Webster - Chief Financial Officer

Conference Call Participants

Steve Ferazani - Sidoti

Operator

Good morning. My name is Todd and I will be your conference operator today. Welcome to Luxfer's Second Quarter 2024 Earnings Conference Call. All lines have been placed on mute. After the speaker’s prepared remarks, we’ll hold a question-and-answer session.

Now, I will turn the call over to Kevin Grant, Vice President of Investor Relations and Business Development at Luxfer. Kevin, please go ahead.

Kevin Grant

Thank you, Todd, and good morning, everyone. Welcome to Luxfer's second quarter 2024 earnings conference call. This morning, we'll be reviewing Luxfer's financial results for the second quarter ended June 30, 2024. I'm pleased to be joined today by Andy Butcher, our Chief Executive Officer; and Steve Webster, our Chief Financial Officer.

Today's webcast is accompanied by a presentation that can be accessed at luxfer.com. Please note any references to non-GAAP financials are reconciled in the appendix of the presentation.

Before we begin, a friendly reminder that any forward-looking statements made about the company's expected financial results, are subject to future risks and uncertainties. We undertake no obligation to update any forward-looking statements whether as a result of new information future events or otherwise. Please refer to the safe harbor statement on slide 2 of today's presentation for further details.

During today's call, we'll be providing adjusted second quarter 2024 financial results that exclude Graphic Arts based on our strategic review decision to divest that business.

Now, let me introduce Luxfer's CEO, Andy Butcher. Please turn to slide 3. Andy, please go ahead.

Andy Butcher

Thank you, Kevin, and good morning, everyone. Thank you for joining us. The Luxfer team made steady progress and continue to deliver good results in the second quarter. While we face challenges in certain markets, we achieved sequential improvement in sales two consecutive quarters of sequential profitability and we delivered solid cash flow throughout the first half of 2024, reflecting our success in enhancing our financial performance.

Sales for the quarter came in at $91.8 million, a 10.5% increase from Q1 2024, but is still down 9.6% year-over-year, as we continue to see variable demand across markets. The sequential recovery in defense applications and the strength in SCBA markets is encouraging. While the overall market remains soft, we are making headway.