TRS

Image source: The Motley Fool. Thursday, July 30, 2026 at 10:00 a.m. ET Vice President of Investor Relations and Communications - Sherry Lauderback President and Chief Executive Officer - Thomas J. Snyder Chief Financial Officer - Paul A. Swart Operator: Greetings, and welcome to the TriMas Corporation Second Quarter 2026 Earnings Conference Call. At this time, all participants are in listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should require operator assistance, please press zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce Sherry Lauderback, Vice President of Investor Relations and Communications. Sherry, please go ahead. Sherry Lauderback: Thank you, and welcome to TriMas Corporation’s Second Quarter 2026 Earnings Call. Joining me today are Thomas J. Snyder, President and CEO, and Paul A. Swart, our Chief Financial Officer. We will begin with our prepared remarks discussing our second-quarter results, followed by our outlook for the remainder of 2026, after which we will open the call for questions from our analysts. To help you follow along with today’s discussion, both the press release and our presentation are available on our website at trimas.com under the Investors section. A replay of this call will also be available later today by dialing (877) 660-6853 and using meeting ID 13761489. Before we begin, I would like to remind everyone that today’s comments may include forward-looking statements, which are inherently subject to various risks and uncertainties. Please refer to our most recent Forms 10-K and 10-Q for a discussion of the factors that could cause our results to differ from those anticipated in any forward-looking statements. We undertake no obligation to publicly update or revise such statements except as required by law. We also encourage you to visit our website for more information. In addition, please refer to the appendix of our press release or presentation for reconciliations of GAAP to non-GAAP financial measures. Throughout today’s call, our discussion of financial results will be on an adjusted basis, excluding the impact of special items. And unless otherwise noted, the financial results discussed today will reflect continuing operations. At this point, I will turn the call over to Tom. Tom? Thomas J. Snyder: Thank you, Sherry, and good morning, everyone. We appreciate you joining us today. Before discussing our second-quarter results, I would like to highlight the continued progress we are making against the strategic priorities we outlined at the start of the year. Following the successful divestiture of TriMas Aerospace, our focus has been on building a more streamlined, customer-focused company while improving profitability, operational performance, and shareholder returns. While there is still more work ahead, we are encouraged by the progress we have made and believe TriMas is well positioned for continued improvement. At TriMas, our strategy is grounded in three core pillars: customer success, our people, and operational excellence. These pillars guide how we allocate resources, set priorities, and execute across the organization. And they are the foundation for long-term value creation. Beginning with operational excellence, we remain focused on driving greater efficiency, consistency, and performance across the company. Our previously announced cost-reduction actions totaling $10.5 million in 2026 and $16 million annually remain on track and are contributing to improved profitability. At the same time, we continue to drive safety, quality, and on-time delivery, with a focus on productivity improvements across our operations while maintaining a strong commitment to serving our customers. Our teams are also continuing to work closely with customers and suppliers to navigate tariffs, supply-chain pressures, and broader macroeconomic and geopolitical challenges. Executing against these priorities requires the right talent and leadership to accelerate our transformation. During the second quarter, we strengthened the TriMas Packaging leadership team with two key additions. We welcomed Gil Arrow as Senior Vice President of Sales and Marketing. With more than 20 years of global packaging industry experience, Gil is leading our commercial strategy across sales and marketing and elevating the customer experience, with a focus on strengthening relationships, driving profitable growth, and expanding market opportunities through customer-focused, innovative solutions. This customer-focused approach and global perspective will enhance our commercial execution and support focused innovation across the Packaging group. We also welcomed Angel Fernandez Carbonell as Vice President of Global Operations. With more than 25 years of operations and supply-chain leadership experience across the packaging and manufacturing industries, Angel is leading our global operations with a commitment to safety and a focus on manufacturing excellence, operational performance, and delivery on our customer-service commitments. His experience will help strengthen our operational capabilities and accelerate performance improvements across the Packaging platform. Together, these additions strengthen our leadership team and reinforce our focus on customer success and operational excellence. Just as importantly, both leaders bring a collaborative approach to talent development and team building that will further support our commitment to our people. In addition to strengthening our team, we continue to improve alignment across the organization through the implementation of a strategic planning framework, initially across TriMas Packaging and soon to be deployed within Norris Cylinder. This process helps translate our long-term strategy into actionable operating plans by aligning teams around a common set of priorities with clear ownership, measurable objectives, and specific timelines. This framework is again built around our three strategic pillars, helping to align resources and priorities around the objectives that will have the greatest impact on our performance. This is now an important component of our operating system, helping translate strategy into actions that drive measurable results. Beyond improving execution and accountability, we are also focused on strengthening alignment across the organization and enhancing the customer experience. During the quarter, we implemented our One TriMas initiative, including the integration of our legacy packaging brands under a unified TriMas Packaging identity. This effort is strengthening commercial alignment, simplifying the customer experience, and enabling us to bring the full breadth of our packaging solutions to customers through a single global organization. As we continue executing these strategic and operational initiatives, our approach to capital allocation remains consistent and disciplined. We continue to invest in organic growth initiatives and pursue disciplined, high-quality acquisitions that can elevate and expand our packaging and life sciences platforms. At the same time, we remain committed to returning capital to shareholders when appropriate while preserving the flexibility to invest in future growth opportunities. Since announcing the Aerospace transaction in November, we have repurchased more than 5 million shares, reducing our share count to approximately 35.9 million shares outstanding at quarter-end. We believe these repurchases represent a meaningful return of capital to shareholders while enhancing the long-term earnings power of our business. While we do not have a significant update regarding the planned use of the remaining Aerospace proceeds, our Strategic Investment Committee and management team remain actively engaged, evaluating opportunities to deploy that capital in a manner that maximizes long-term shareholder value. We are carefully assessing opportunities through a disciplined strategic and financial lens, and we remain committed to being patient and selective as we evaluate our opportunity pipeline. In the meantime, our strong balance sheet provides significant flexibility, and the proceeds continue to generate meaningful interest income while we evaluate opportunities. This preserves our financial strength and positions us to act when the right opportunities arise. Let’s now turn to our second-quarter and year-to-date results on Slide 4. Overall, we delivered another quarter of solid execution, highlighted by continued profitability improvement and strong earnings growth. Second-quarter net sales increased 1.6% year over year to $174.6 million, benefiting from favorable foreign currency translation. Organic sales were essentially flat compared to the prior-year period, as growth in certain end markets was offset by softer sales in others amid continued macroeconomic uncertainty and consumer spending pressures. Despite modest sales growth, we delivered meaningful improvement in profitability and earnings through focused execution of our cost-reduction initiatives. Second-quarter adjusted operating profit increased 29% to $14.9 million, while adjusted operating margin expanded 180 basis points to 8.5%, reflecting progress in simplifying our cost structure and improving operating efficiency across the organization. Adjusted earnings per share increased to $0.52 compared to $0.20 in the prior-year period, driven by stronger operating performance, higher interest income from invested proceeds, and the benefits of share-repurchase activity, which more than offset a higher tax rate. The first six months of the year tell a similar story, reflecting stronger organic growth and the increasing benefit of our operational and cost-reduction initiatives. Net sales increased 5.8% to $342.9 million, including organic growth of 3.4%, while adjusted operating profit increased more than 30% and adjusted earnings per share more than doubled to $0.75. Overall, we are encouraged by our first-half performance and the progress we are making across the business. With a stronger balance sheet, a more streamlined portfolio, and increasing benefits from our improvement initiatives, we believe TriMas is well positioned to continue building momentum through the balance of 2026 and beyond. And with that, I will now turn the call over to Paul to review the financial results in more detail. Paul? Paul A. Swart: Thank you, Tom, and good morning, everyone. I will begin on Slide 5 with an overview of our balance sheet and capitalization. Following the Aerospace divestiture, we continue to maintain a strong financial position, ending the second quarter with more than $1.2 billion in cash and a net cash position of $846 million. This balance-sheet strength provides significant flexibility as we continue to evaluate opportunities to invest in organic growth, pursue targeted, high-quality acquisitions, and return capital to shareholders. Since announcing the Aerospace transaction in November through the end of the second quarter, we have spent $175 million on share repurchases, reflecting our commitment to enhancing shareholder value. In addition, we began funding the estimated $200 million in income taxes owed related to the transaction gain, with payments of $30 million in the second quarter. We expect to pay half of the remaining taxes on the transaction in the third quarter, with the rest of the payment split between the fourth quarter and the first quarter of 2027. As discussed previously, the majority of our cash remains invested in interest-bearing accounts and continues to generate attractive interest income as we thoughtfully evaluate capital deployment opportunities. During the quarter, these investments earned an average yield of 3.7%. In addition, our $400 million of 4.25% senior notes due in 2029 continue to provide stable, low-cost financing with no near-term maturities. Second-quarter free cash flow was a use of approximately $12.9 million compared to a source of $7.7 million in the prior-year period. The use of cash was driven primarily by the timing of sales and collections during the quarter, with a higher concentration of sales in June as activity increased from levels earlier in the quarter, when there was greater uncertainty about the impact of events in the Middle East. Consistent with historical seasonal patterns, we generally expect stronger cash generation in the second half of the year, and we anticipate improved free cash flow performance as collections convert and operational improvements continue to take hold. Overall, our balance sheet remains in a position of strength and provides substantial flexibility as we continue to evaluate opportunities to create long-term shareholder value. Turning now to Slide 6 and our Packaging segment. Packaging continued to demonstrate improving operating performance during the second quarter as our cost-reduction actions and operational excellence programs gained further traction. These efforts contributed to higher adjusted operating profit and margin expansion despite a mixed top-line environment. Second-quarter net sales were essentially flat year over year at $143 million, as demand continues to vary by end market, customer, and region. Growth in industrial and life sciences end markets, along with favorable foreign currency translation, largely offset lower sales of beauty and personal care applications and food and beverage products. Note that food and beverage sales were impacted, as expected, by the timing of the Atkins facility consolidation, where capacity was taken down for a period of time during the move before ramping back up late in June and into July. Despite relatively flat sales, adjusted operating profit increased 3.7% to $21.2 million, while adjusted operating profit margin expanded 50 basis points year over year to 14.8%. These results reflect further traction from our cost-reduction and operational-improvement actions, which more than offset inflationary pressures and the temporary lag in recovering rising raw-material costs. In addition, the Packaging team completed the closure and consolidation of our Atkins, Arkansas, facility, positioning us to realize additional cost savings and margin benefits in the second half of 2026. On the topic of price-cost, resin costs escalated beginning in the mid-to-late first quarter and through much of the second quarter. As many of our customer contracts have quarterly adjustment provisions, we under-recovered the higher material costs in Q2, generally as expected, pressuring margins by around 100 basis points. As resin costs have recently stabilized or, in some cases, even declined, we expect to generally recover the cost on a cumulative basis between the third and fourth quarters, which would be typical for our business to recover costs over time, subject to any future market volatility. Regarding tariffs, we continue to view their impact as generally neutral over time. During the second quarter, we did not experience any significant effects from court rulings or changes in tariff levels. We will continue to monitor the situation and evaluate the impact of any replacement tariffs or policy changes on our business, including the potential for cost recovery and future tariff exposure. Looking ahead, we continue to expect Packaging to deliver full-year sales growth of 3% to 6%, with operating profit margins in the 14% to 15% range. And while sales are generally lower in the third quarter than the second quarter due to seasonality factors, we continue to anticipate sequential margin expansion in the third quarter as previously implemented cost actions and price-cost recovery may flip into a net positive position, as well as our continued execution of operational excellence initiatives. Turning now to Slide 7 and our Specialty Products segment. Second-quarter net sales increased 10.2% year over year to nearly $32 million, driven by stronger demand and continued market-share gains at Norris Cylinder. Operating profit was $0.7 million compared to $1.3 million in the prior-year period, and operating margin declined to 2.2% from 4.4% last year. Although demand remains healthy, profitability during the quarter was impacted by challenges in ramping up staffing and throughput to meet customer demand. As a result, we incurred significantly higher temporary labor, overtime, and overhead costs, as well as manufacturing inefficiencies, all in an effort to ensure customer commitments were met. We have begun implementing changes to rightsize the labor force, overhead spending, and production scheduling to match the available machine capacity to attain improved efficiency and throughput. We are also evaluating further automation and process improvements to drive operational efficiencies. Despite these near-term challenges, we remain encouraged by the underlying demand environment and order activity at Norris Cylinder. Looking forward, we now expect Specialty Products to deliver full-year sales growth of 6% to 9%, higher than the previous 3% to 6% guidance, given continued strength in order activity as well as support from the Made in USA designation. Operating margins are expected to be in the 6% to 8% range, which reflects the higher costs incurred in the second quarter. In summary, Packaging continues to demonstrate solid operating performance and margin expansion, while Specialty Products continues to benefit from healthy demand despite temporary operational challenges. Together, both segments remain aligned with our full-year expectations and, when combined with achieving our committed corporate cost-reduction targets, support our outlook for continued improvement in profitability. With that, I will turn the call back to Tom to discuss our outlook and priorities for the remainder of the year. Thomas J. Snyder: Thank you, Paul. Turning now to our outlook on Slide 8. Overall, our total company outlook remains largely consistent with the expectations we outlined earlier this year. We continue to expect full-year sales growth of 3% to 6% and operating profit margin improvement of more than 300 basis points compared to 2025. While demand remains mixed across certain end markets, business performance is tracking in line with our expectations overall, and we continue to realize the increasing benefits of our operational improvements, price-over-cost recovery, and cost-reduction initiatives throughout the year. Given our first-half performance, as well as increased confidence in the balance of the year, we are raising the lower end of our full-year adjusted earnings per share guidance range by $0.10 to $1.60 to $1.70 per share, compared to our previous range of $1.50 to $1.70. This increase reflects continued progress on our cost-reduction initiatives, along with stronger-than-expected interest income. As a reminder, we have not assumed any significant redeployment of the remaining Aerospace divestiture proceeds during the balance of the year in our outlook. We continue to expect improvement in sales, earnings, and adjusted earnings per share in each quarter of 2026 compared to the prior year and remain confident in our ability to deliver a meaningful step-change in performance this year. Overall, we believe our outlook appropriately balances the positive momentum we are seeing across the business with the continued uncertainty present in portions of the broader macroeconomic environment. Before we conclude, I will briefly revisit Slide 9, which is unchanged from last quarter and outlines the key levers we believe will drive long-term value creation. While the framework remains the same, our conviction continues to grow as we make progress across each of these areas. We are advancing our operational excellence initiatives, realizing the benefits of our cost-reduction actions, strengthening our leadership team, investing in customer-focused innovation, and maintaining a disciplined approach to capital allocation. We also continue to believe we are well positioned to enhance our portfolio over time through a combination of organic growth initiatives and targeted acquisitions that elevate and expand our packaging and life sciences platforms. In short, our strategy has not changed. We remain focused on executing these priorities, converting strategy into results, and creating long-term shareholder value. Overall, we believe we are off to a solid start in 2026, with encouraging progress across our strategic priorities and improving financial performance. With a strong financial position, a more focused portfolio, and multiple opportunities ahead of us, we remain confident in our ability to continue building a stronger TriMas. Thanks. And with that, I will now turn the call back to Sherry. Sherry Lauderback: Thanks, Tom. At this point, we would like to open the call to questions from our analysts. Operator: Thanks. Ladies and gentlemen, if you would like to ask a question, please press star, then one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star, then two if you would like to remove your question from the queue. It may be necessary to pick up your handset before pressing the star keys. One moment, please, while we poll for questions. And our first question comes from the line of Kenneth Newman with KeyBanc Capital Markets. Please proceed. Zach Sherman: Hey. Good morning, guys. This is Zach Sherman on for Kenneth. Thomas J. Snyder: Morning. Paul A. Swart: Morning. Zach Sherman: First, is there an expectation for beauty and personal care or food and beverage to ramp back up in the second half? Do you guys have any visibility on project timing, or did TriMas lose out on any projects this quarter? Just any additional color on what drove the soft manufacturing? Thomas J. Snyder: Yeah. Thanks. I will start with food and beverage. First of all, the demand that we see there is pretty good. The issues that we had in the quarter were largely around the relocation of assets, consolidation of the Atkins facility into a couple of other facilities, and we were not able to materialize the kind of sales that were in front of us for the quarter. I expect that we will have that behind us for sure. We have those assets all relocated. The Atkins facility is now done. The door is locked. And we are proceeding with working all the bugs out and continuing to move forward on the demand that we have across that business. So I feel pretty good about where we are at. And we had a kind of one-time pause in our revenue as a result of that. On the beauty and personal care side, we feel good about the back half of the year as well. That business has been a little lumpier. We were up in Q1. We were, you know, a little softer in Q2. We anticipate the back half of the year is going to return to more of a normal kind of pattern. We have some visibility around that we feel good about. So I think we are in pretty good shape as we look across those two categories. Zach Sherman: Okay. Yeah. Thanks. That is very helpful. And then I know you guys have mentioned life sciences a couple of times for potential M&A deals. Could you help us understand, like, other characteristics that you guys would be looking for? You know, maybe the size of the deal, margin profile, and how quickly you can move on a deal. Thomas J. Snyder: Sure. Paul, do you want to answer that one? Paul A. Swart: Sure. I think all options are available at the moment based on our current balance-sheet positioning. So obviously, now, as you will be able to tell in terms of our disclosures in the press release, we are actively spending money with third parties evaluating potential deals, again, particularly in the packaging and life sciences end markets. Looking for higher-quality companies that would elevate our products, our geography, our positioning, and give us something we do not have. Anything that, at the end of the day, is strengthening the company, strengthening customer relationships, and strengthening IP, to really be stickier at the end of the day from a revenue and growth perspective, as opposed to just from a margin perspective. So those are the kinds of companies we are looking at. We are actively evaluating a number of different companies that would fit those. The pipeline has companies in it. There are lots of companies that we understand may be coming to market going forward that are not available at the moment. So really preparing for what we think may be actionable in the near future and actively assessing. So unfortunately, I cannot give you more at the moment relative to exact timing or that kind of thing, but it is extremely active, what the Strategic Investment Committee and management are looking at. Thomas J. Snyder: And we have, as I said in my remarks, a disciplined lens that we are, you know, evaluating things through. We have a pipeline of opportunities, and, you know, we are not going to rush to get through that. And so we know what we are looking for, and we are going to make sure we check as many of those boxes as we possibly can. Zach Sherman: Okay. Yeah. Thanks. That is helpful. Just a quick follow-up, and then I will turn it back. In the absence of a deal, is there a potential opportunity to accelerate share repurchases? Or how do you guys think about, like, the tier of importance across share repurchases, investing more in organic growth initiatives, et cetera? Paul A. Swart: Well, I think the most immediate and highest return typically would be organic growth investments, which we are actively looking at. I think after that, as we have said all along since announcing the Aerospace transaction, it is going to be a balanced, disciplined approach where, ultimately, right, we have nothing to announce from an M&A perspective. We have been doing and spent $175 million on repurchases, and still have $76 million remaining under the current authorization that we are able to potentially spend going forward. I think it is going to continue to be a balanced approach, depending on what the pipeline looks like, what actionability looks like, what timing looks like, and balancing that with stock performance, ultimately, to give the best return for shareholders. Zach Sherman: Awesome. Thanks. Operator: The next question comes from the line of Hamed Khorsand with BWS Financial. Please proceed. Hamed Khorsand: Hi. Good morning. So first off, could you just talk about your expectations on the Packaging side? You are guiding for growth for the full year, but that would imply sales growth in quarters that seasonally do not see that kind of sequential growth that you are forecasting. So I am just trying to put the numbers together as to how you are seeing that develop for you. Paul A. Swart: So we are not guiding, obviously, on a sequential basis, more on a year-over-year basis. The first half of 2025 was, frankly, a stronger half than the back half of 2025. So the comps are slightly easier from that perspective. If you just think about where we are year to date, we are kind of in the middle of our guidance range. And that is predicated on a lot of currency exchange that benefited us in the front half of the year. We expect in our guidance that is getting replaced with organic growth in our end markets. And as Tom just mentioned earlier on the prior question, beauty and personal care and food and beverage were down in Q2. That is not the expectation in the back half of the year. The expectation is we are going to get growth in the end markets that we have been flattish to down in Q2. So it is really predicated on organic growth year over year, partially because last year was a little bit depressed relative to the front half of the year and partially because we think we are winning in the market and it is growing in the areas that we participate in. Hamed Khorsand: Okay. And then I think you just touched on it at the very end, but given the commentary about the growth, is this just coming from your customers ordering more? Or are you actually benefiting from the strategies you have implemented about making the customer’s experience better with you? Thomas J. Snyder: Yeah. So the second part of your question is a little bit of a longer approach. You know, the first thing was to go out and measure exactly, when I came on board, what our customers thought of us. You know, we did a voice-of-the-customer survey. We gathered a lot of data. We have been putting those items into place and into actions that we can continue to drive and improve that side of our business. And so that is in place. Part of it was, I touched in my remarks earlier, getting the right leadership in place as well. And we have made some great progress in that area. I feel really confident about how we are going to continue to elevate the customer experience. It is only going to help things long term. Not that it is bad today, but it is only going to help us grow further. But we do have, on the product side itself, some customers who are doing very well, some markets that are doing very well, and we expect to continue to see winning results from those areas. And again, you know, when we look at food and beverage as an example, that is really a self-inflicted kind of revenue issue in Q2 that is going to come back. We have some pent-up demand in that particular space that will recover. And so again, I feel good about our approach to our customers, the engagement that we are going to continue to enhance as we move forward with the strategy. I feel good about the markets that we compete in, the products that we provide, and I am encouraged about the future, not only in the back half of this year, but even the visibility that we have beyond that. Hamed Khorsand: Okay. Thanks. Operator: The next question will come again from the line of Kenneth Newman with KeyBanc Capital Markets. Please proceed. Zach Sherman: Hey, guys. Just one last quick follow-up. Paul, I know at our conference, you mentioned identifying, like, a number of additional internal improvement opportunities beyond what is already underway. Could you just give us a sense of how you guys are going to sequence those, when we could expect any sort of benefits and the cadence of those, and how you guys are thinking about those moving forward? Paul A. Swart: Sure. So no doubt that there continue to be a number of items on the list. Part of it is just, honestly, the ability and the personnel and the timing to go ahead and execute some of those things versus just continuing with the operational performance that we are already getting. So there is, like M&A, a decent pipeline and list of other things we are considering. The one major one was the Atkins facility in the second quarter. There are other items that are on that list that I think will be actioned in the back half of the year that we will add to the $10.5 million that we have talked about for the current year and run rate. Nothing to announce at the moment, but I do think as we go through the third quarter and fourth quarter, there will be other items. They will be more in the magnitude of what we announced for Atkins as opposed to the initial number we announced back early in Q1. But yes, those items will continue as we move through the rest of the year. They are just not maybe quite as low-hanging fruit and as easy action items as the ones that we had done earlier in the year. Thomas J. Snyder: I would just add to that and say the whole program that we have around operational excellence and standardizing kind of the systems, integrating all these disparate companies that we used to have. You know, we are driving best practices. We are implementing procedures. We are putting metrics in place and dashboards that measure everybody against the same kind of expectations. And so I feel good about, when I go to the facilities, the progress that we are making there. And I see plenty of opportunities as well. We touched on this earlier about organic investment opportunities. There is, I would say, a good pipeline of opportunities for us to continue to enhance our cost base and to modernize things through automation on both sides of the business, both on the Norris side and in the Packaging side. So good things are ahead of us on the cost-structure side. Zach Sherman: Got it. Thank you very much. Operator: Thanks. This concludes the question-and-answer session. And I would like to turn the call back over to management for closing remarks. Thanks. Thomas J. Snyder: Once again, thank you for joining us today and for your continued interest in TriMas. We appreciate your ongoing support, and we look forward to updating you on our progress next quarter. Thanks. Paul A. Swart: Thanks. Thomas J. Snyder: Thanks. Operator: This concludes today’s conference. You may disconnect your lines at this time, and we thank you for your participation. Before you buy stock in TriMas, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TriMas wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. TriMas (TRS) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Image source: The Motley Fool. Thursday, July 30, 2026 at 10:00 a.m. ET Vice President of Investor Relations and Communications - Sherry Lauderback President and Chief Executive Officer - Thomas J. Snyder Chief Financial Officer - Paul A. Swart Operator: Greetings, and welcome to the TriMas Corporation Second Quarter 2026 Earnings Conference Call. At this time, all participants are in listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should require operator assistance, please press zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce Sherry Lauderback, Vice President of Investor Relations and Communications. Sherry, please go ahead. Sherry Lauderback: Thank you, and welcome to TriMas Corporation’s Second Quarter 2026 Earnings Call. Joining me today are Thomas J. Snyder, President and CEO, and Paul A. Swart, our Chief Financial Officer. We will begin with our prepared remarks discussing our second-quarter results, followed by our outlook for the remainder of 2026, after which we will open the call for questions from our analysts. To help you follow along with today’s discussion, both the press release and our presentation are available on our website at trimas.com under the Investors section. A replay of this call will also be available later today by dialing (877) 660-6853 and using meeting ID 13761489. Before we begin, I would like to remind everyone that today’s comments may include forward-looking statements, which are inherently subject to various risks and uncertainties. Please refer to our most recent Forms 10-K and 10-Q for a discussion of the factors that could cause our results to differ from those anticipated in any forward-looking statements. We undertake no obligation to publicly update or revise such statements except as required by law. We also encourage you to visit our website for more information. In addition, please refer to the appendix of our press release or presentation for reconciliations of GAAP to non-GAAP financial measures. Throughout today’s call, our discussion of financial results will be on an adjusted basis, excluding the impact of special items. And unless otherwise noted, the financial results discussed today will reflect continuing operations. At this point, I will turn the call over to Tom. Tom? Thomas J. Snyder: Thank you, Sherry, and good morning, everyone. We appreciate you joining us today. Before discussing our second-quarter results, I would like to highlight the continued progress we are making against the strategic priorities we outlined at the start of the year. Following the successful divestiture of TriMas Aerospace, our focus has been on building a more streamlined, customer-focused company while improving profitability, operational performance, and shareholder returns. While there is still more work ahead, we are encouraged by the progress we have made and believe TriMas is well positioned for continued improvement. At TriMas, our strategy is grounded in three core pillars: customer success, our people, and operational excellence. These pillars guide how we allocate resources, set priorities, and execute across the organization. And they are the foundation for long-term value creation. Beginning with operational excellence, we remain focused on driving greater efficiency, consistency, and performance across the company. Our previously announced cost-reduction actions totaling $10.5 million in 2026 and $16 million annually remain on track and are contributing to improved profitability. At the same time, we continue to drive safety, quality, and on-time delivery, with a focus on productivity improvements across our operations while maintaining a strong commitment to serving our customers. Our teams are also continuing to work closely with customers and suppliers to navigate tariffs, supply-chain pressures, and broader macroeconomic and geopolitical challenges. Executing against these priorities requires the right talent and leadership to accelerate our transformation. During the second quarter, we strengthened the TriMas Packaging leadership team with two key additions. We welcomed Gil Arrow as Senior Vice President of Sales and Marketing. With more than 20 years of global packaging industry experience, Gil is leading our commercial strategy across sales and marketing and elevating the customer experience, with a focus on strengthening relationships, driving profitable growth, and expanding market opportunities through customer-focused, innovative solutions. This customer-focused approach and global perspective will enhance our commercial execution and support focused innovation across the Packaging group. We also welcomed Angel Fernandez Carbonell as Vice President of Global Operations. With more than 25 years of operations and supply-chain leadership experience across the packaging and manufacturing industries, Angel is leading our global operations with a commitment to safety and a focus on manufacturing excellence, operational performance, and delivery on our customer-service commitments. His experience will help strengthen our operational capabilities and accelerate performance improvements across the Packaging platform. Together, these additions strengthen our leadership team and reinforce our focus on customer success and operational excellence. Just as importantly, both leaders bring a collaborative approach to talent development and team building that will further support our commitment to our people. In addition to strengthening our team, we continue to improve alignment across the organization through the implementation of a strategic planning framework, initially across TriMas Packaging and soon to be deployed within Norris Cylinder. This process helps translate our long-term strategy into actionable operating plans by aligning teams around a common set of priorities with clear ownership, measurable objectives, and specific timelines. This framework is again built around our three strategic pillars, helping to align resources and priorities around the objectives that will have the greatest impact on our performance. This is now an important component of our operating system, helping translate strategy into actions that drive measurable results. Beyond improving execution and accountability, we are also focused on strengthening alignment across the organization and enhancing the customer experience. During the quarter, we implemented our One TriMas initiative, including the integration of our legacy packaging brands under a unified TriMas Packaging identity. This effort is strengthening commercial alignment, simplifying the customer experience, and enabling us to bring the full breadth of our packaging solutions to customers through a single global organization. As we continue executing these strategic and operational initiatives, our approach to capital allocation remains consistent and disciplined. We continue to invest in organic growth initiatives and pursue disciplined, high-quality acquisitions that can elevate and expand our packaging and life sciences platforms. At the same time, we remain committed to returning capital to shareholders when appropriate while preserving the flexibility to invest in future growth opportunities. Since announcing the Aerospace transaction in November, we have repurchased more than 5 million shares, reducing our share count to approximately 35.9 million shares outstanding at quarter-end. We believe these repurchases represent a meaningful return of capital to shareholders while enhancing the long-term earnings power of our business. While we do not have a significant update regarding the planned use of the remaining Aerospace proceeds, our Strategic Investment Committee and management team remain actively engaged, evaluating opportunities to deploy that capital in a manner that maximizes long-term shareholder value. We are carefully assessing opportunities through a disciplined strategic and financial lens, and we remain committed to being patient and selective as we evaluate our opportunity pipeline. In the meantime, our strong balance sheet provides significant flexibility, and the proceeds continue to generate meaningful interest income while we evaluate opportunities. This preserves our financial strength and positions us to act when the right opportunities arise. Let’s now turn to our second-quarter and year-to-date results on Slide 4. Overall, we delivered another quarter of solid execution, highlighted by continued profitability improvement and strong earnings growth. Second-quarter net sales increased 1.6% year over year to $174.6 million, benefiting from favorable foreign currency translation. Organic sales were essentially flat compared to the prior-year period, as growth in certain end markets was offset by softer sales in others amid continued macroeconomic uncertainty and consumer spending pressures. Despite modest sales growth, we delivered meaningful improvement in profitability and earnings through focused execution of our cost-reduction initiatives. Second-quarter adjusted operating profit increased 29% to $14.9 million, while adjusted operating margin expanded 180 basis points to 8.5%, reflecting progress in simplifying our cost structure and improving operating efficiency across the organization. Adjusted earnings per share increased to $0.52 compared to $0.20 in the prior-year period, driven by stronger operating performance, higher interest income from invested proceeds, and the benefits of share-repurchase activity, which more than offset a higher tax rate. The first six months of the year tell a similar story, reflecting stronger organic growth and the increasing benefit of our operational and cost-reduction initiatives. Net sales increased 5.8% to $342.9 million, including organic growth of 3.4%, while adjusted operating profit increased more than 30% and adjusted earnings per share more than doubled to $0.75. Overall, we are encouraged by our first-half performance and the progress we are making across the business. With a stronger balance sheet, a more streamlined portfolio, and increasing benefits from our improvement initiatives, we believe TriMas is well positioned to continue building momentum through the balance of 2026 and beyond. And with that, I will now turn the call over to Paul to review the financial results in more detail. Paul? Paul A. Swart: Thank you, Tom, and good morning, everyone. I will begin on Slide 5 with an overview of our balance sheet and capitalization. Following the Aerospace divestiture, we continue to maintain a strong financial position, ending the second quarter with more than $1.2 billion in cash and a net cash position of $846 million. This balance-sheet strength provides significant flexibility as we continue to evaluate opportunities to invest in organic growth, pursue targeted, high-quality acquisitions, and return capital to shareholders. Since announcing the Aerospace transaction in November through the end of the second quarter, we have spent $175 million on share repurchases, reflecting our commitment to enhancing shareholder value. In addition, we began funding the estimated $200 million in income taxes owed related to the transaction gain, with payments of $30 million in the second quarter. We expect to pay half of the remaining taxes on the transaction in the third quarter, with the rest of the payment split between the fourth quarter and the first quarter of 2027. As discussed previously, the majority of our cash remains invested in interest-bearing accounts and continues to generate attractive interest income as we thoughtfully evaluate capital deployment opportunities. During the quarter, these investments earned an average yield of 3.7%. In addition, our $400 million of 4.25% senior notes due in 2029 continue to provide stable, low-cost financing with no near-term maturities. Second-quarter free cash flow was a use of approximately $12.9 million compared to a source of $7.7 million in the prior-year period. The use of cash was driven primarily by the timing of sales and collections during the quarter, with a higher concentration of sales in June as activity increased from levels earlier in the quarter, when there was greater uncertainty about the impact of events in the Middle East. Consistent with historical seasonal patterns, we generally expect stronger cash generation in the second half of the year, and we anticipate improved free cash flow performance as collections convert and operational improvements continue to take hold. Overall, our balance sheet remains in a position of strength and provides substantial flexibility as we continue to evaluate opportunities to create long-term shareholder value. Turning now to Slide 6 and our Packaging segment. Packaging continued to demonstrate improving operating performance during the second quarter as our cost-reduction actions and operational excellence programs gained further traction. These efforts contributed to higher adjusted operating profit and margin expansion despite a mixed top-line environment. Second-quarter net sales were essentially flat year over year at $143 million, as demand continues to vary by end market, customer, and region. Growth in industrial and life sciences end markets, along with favorable foreign currency translation, largely offset lower sales of beauty and personal care applications and food and beverage products. Note that food and beverage sales were impacted, as expected, by the timing of the Atkins facility consolidation, where capacity was taken down for a period of time during the move before ramping back up late in June and into July. Despite relatively flat sales, adjusted operating profit increased 3.7% to $21.2 million, while adjusted operating profit margin expanded 50 basis points year over year to 14.8%. These results reflect further traction from our cost-reduction and operational-improvement actions, which more than offset inflationary pressures and the temporary lag in recovering rising raw-material costs. In addition, the Packaging team completed the closure and consolidation of our Atkins, Arkansas, facility, positioning us to realize additional cost savings and margin benefits in the second half of 2026. On the topic of price-cost, resin costs escalated beginning in the mid-to-late first quarter and through much of the second quarter. As many of our customer contracts have quarterly adjustment provisions, we under-recovered the higher material costs in Q2, generally as expected, pressuring margins by around 100 basis points. As resin costs have recently stabilized or, in some cases, even declined, we expect to generally recover the cost on a cumulative basis between the third and fourth quarters, which would be typical for our business to recover costs over time, subject to any future market volatility. Regarding tariffs, we continue to view their impact as generally neutral over time. During the second quarter, we did not experience any significant effects from court rulings or changes in tariff levels. We will continue to monitor the situation and evaluate the impact of any replacement tariffs or policy changes on our business, including the potential for cost recovery and future tariff exposure. Looking ahead, we continue to expect Packaging to deliver full-year sales growth of 3% to 6%, with operating profit margins in the 14% to 15% range. And while sales are generally lower in the third quarter than the second quarter due to seasonality factors, we continue to anticipate sequential margin expansion in the third quarter as previously implemented cost actions and price-cost recovery may flip into a net positive position, as well as our continued execution of operational excellence initiatives. Turning now to Slide 7 and our Specialty Products segment. Second-quarter net sales increased 10.2% year over year to nearly $32 million, driven by stronger demand and continued market-share gains at Norris Cylinder. Operating profit was $0.7 million compared to $1.3 million in the prior-year period, and operating margin declined to 2.2% from 4.4% last year. Although demand remains healthy, profitability during the quarter was impacted by challenges in ramping up staffing and throughput to meet customer demand. As a result, we incurred significantly higher temporary labor, overtime, and overhead costs, as well as manufacturing inefficiencies, all in an effort to ensure customer commitments were met. We have begun implementing changes to rightsize the labor force, overhead spending, and production scheduling to match the available machine capacity to attain improved efficiency and throughput. We are also evaluating further automation and process improvements to drive operational efficiencies. Despite these near-term challenges, we remain encouraged by the underlying demand environment and order activity at Norris Cylinder. Looking forward, we now expect Specialty Products to deliver full-year sales growth of 6% to 9%, higher than the previous 3% to 6% guidance, given continued strength in order activity as well as support from the Made in USA designation. Operating margins are expected to be in the 6% to 8% range, which reflects the higher costs incurred in the second quarter. In summary, Packaging continues to demonstrate solid operating performance and margin expansion, while Specialty Products continues to benefit from healthy demand despite temporary operational challenges. Together, both segments remain aligned with our full-year expectations and, when combined with achieving our committed corporate cost-reduction targets, support our outlook for continued improvement in profitability. With that, I will turn the call back to Tom to discuss our outlook and priorities for the remainder of the year. Thomas J. Snyder: Thank you, Paul. Turning now to our outlook on Slide 8. Overall, our total company outlook remains largely consistent with the expectations we outlined earlier this year. We continue to expect full-year sales growth of 3% to 6% and operating profit margin improvement of more than 300 basis points compared to 2025. While demand remains mixed across certain end markets, business performance is tracking in line with our expectations overall, and we continue to realize the increasing benefits of our operational improvements, price-over-cost recovery, and cost-reduction initiatives throughout the year. Given our first-half performance, as well as increased confidence in the balance of the year, we are raising the lower end of our full-year adjusted earnings per share guidance range by $0.10 to $1.60 to $1.70 per share, compared to our previous range of $1.50 to $1.70. This increase reflects continued progress on our cost-reduction initiatives, along with stronger-than-expected interest income. As a reminder, we have not assumed any significant redeployment of the remaining Aerospace divestiture proceeds during the balance of the year in our outlook. We continue to expect improvement in sales, earnings, and adjusted earnings per share in each quarter of 2026 compared to the prior year and remain confident in our ability to deliver a meaningful step-change in performance this year. Overall, we believe our outlook appropriately balances the positive momentum we are seeing across the business with the continued uncertainty present in portions of the broader macroeconomic environment. Before we conclude, I will briefly revisit Slide 9, which is unchanged from last quarter and outlines the key levers we believe will drive long-term value creation. While the framework remains the same, our conviction continues to grow as we make progress across each of these areas. We are advancing our operational excellence initiatives, realizing the benefits of our cost-reduction actions, strengthening our leadership team, investing in customer-focused innovation, and maintaining a disciplined approach to capital allocation. We also continue to believe we are well positioned to enhance our portfolio over time through a combination of organic growth initiatives and targeted acquisitions that elevate and expand our packaging and life sciences platforms. In short, our strategy has not changed. We remain focused on executing these priorities, converting strategy into results, and creating long-term shareholder value. Overall, we believe we are off to a solid start in 2026, with encouraging progress across our strategic priorities and improving financial performance. With a strong financial position, a more focused portfolio, and multiple opportunities ahead of us, we remain confident in our ability to continue building a stronger TriMas. Thanks. And with that, I will now turn the call back to Sherry. Sherry Lauderback: Thanks, Tom. At this point, we would like to open the call to questions from our analysts. Operator: Thanks. Ladies and gentlemen, if you would like to ask a question, please press star, then one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star, then two if you would like to remove your question from the queue. It may be necessary to pick up your handset before pressing the star keys. One moment, please, while we poll for questions. And our first question comes from the line of Kenneth Newman with KeyBanc Capital Markets. Please proceed. Zach Sherman: Hey. Good morning, guys. This is Zach Sherman on for Kenneth. Thomas J. Snyder: Morning. Paul A. Swart: Morning. Zach Sherman: First, is there an expectation for beauty and personal care or food and beverage to ramp back up in the second half? Do you guys have any visibility on project timing, or did TriMas lose out on any projects this quarter? Just any additional color on what drove the soft manufacturing? Thomas J. Snyder: Yeah. Thanks. I will start with food and beverage. First of all, the demand that we see there is pretty good. The issues that we had in the quarter were largely around the relocation of assets, consolidation of the Atkins facility into a couple of other facilities, and we were not able to materialize the kind of sales that were in front of us for the quarter. I expect that we will have that behind us for sure. We have those assets all relocated. The Atkins facility is now done. The door is locked. And we are proceeding with working all the bugs out and continuing to move forward on the demand that we have across that business. So I feel pretty good about where we are at. And we had a kind of one-time pause in our revenue as a result of that. On the beauty and personal care side, we feel good about the back half of the year as well. That business has been a little lumpier. We were up in Q1. We were, you know, a little softer in Q2. We anticipate the back half of the year is going to return to more of a normal kind of pattern. We have some visibility around that we feel good about. So I think we are in pretty good shape as we look across those two categories. Zach Sherman: Okay. Yeah. Thanks. That is very helpful. And then I know you guys have mentioned life sciences a couple of times for potential M&A deals. Could you help us understand, like, other characteristics that you guys would be looking for? You know, maybe the size of the deal, margin profile, and how quickly you can move on a deal. Thomas J. Snyder: Sure. Paul, do you want to answer that one? Paul A. Swart: Sure. I think all options are available at the moment based on our current balance-sheet positioning. So obviously, now, as you will be able to tell in terms of our disclosures in the press release, we are actively spending money with third parties evaluating potential deals, again, particularly in the packaging and life sciences end markets. Looking for higher-quality companies that would elevate our products, our geography, our positioning, and give us something we do not have. Anything that, at the end of the day, is strengthening the company, strengthening customer relationships, and strengthening IP, to really be stickier at the end of the day from a revenue and growth perspective, as opposed to just from a margin perspective. So those are the kinds of companies we are looking at. We are actively evaluating a number of different companies that would fit those. The pipeline has companies in it. There are lots of companies that we understand may be coming to market going forward that are not available at the moment. So really preparing for what we think may be actionable in the near future and actively assessing. So unfortunately, I cannot give you more at the moment relative to exact timing or that kind of thing, but it is extremely active, what the Strategic Investment Committee and management are looking at. Thomas J. Snyder: And we have, as I said in my remarks, a disciplined lens that we are, you know, evaluating things through. We have a pipeline of opportunities, and, you know, we are not going to rush to get through that. And so we know what we are looking for, and we are going to make sure we check as many of those boxes as we possibly can. Zach Sherman: Okay. Yeah. Thanks. That is helpful. Just a quick follow-up, and then I will turn it back. In the absence of a deal, is there a potential opportunity to accelerate share repurchases? Or how do you guys think about, like, the tier of importance across share repurchases, investing more in organic growth initiatives, et cetera? Paul A. Swart: Well, I think the most immediate and highest return typically would be organic growth investments, which we are actively looking at. I think after that, as we have said all along since announcing the Aerospace transaction, it is going to be a balanced, disciplined approach where, ultimately, right, we have nothing to announce from an M&A perspective. We have been doing and spent $175 million on repurchases, and still have $76 million remaining under the current authorization that we are able to potentially spend going forward. I think it is going to continue to be a balanced approach, depending on what the pipeline looks like, what actionability looks like, what timing looks like, and balancing that with stock performance, ultimately, to give the best return for shareholders. Zach Sherman: Awesome. Thanks. Operator: The next question comes from the line of Hamed Khorsand with BWS Financial. Please proceed. Hamed Khorsand: Hi. Good morning. So first off, could you just talk about your expectations on the Packaging side? You are guiding for growth for the full year, but that would imply sales growth in quarters that seasonally do not see that kind of sequential growth that you are forecasting. So I am just trying to put the numbers together as to how you are seeing that develop for you. Paul A. Swart: So we are not guiding, obviously, on a sequential basis, more on a year-over-year basis. The first half of 2025 was, frankly, a stronger half than the back half of 2025. So the comps are slightly easier from that perspective. If you just think about where we are year to date, we are kind of in the middle of our guidance range. And that is predicated on a lot of currency exchange that benefited us in the front half of the year. We expect in our guidance that is getting replaced with organic growth in our end markets. And as Tom just mentioned earlier on the prior question, beauty and personal care and food and beverage were down in Q2. That is not the expectation in the back half of the year. The expectation is we are going to get growth in the end markets that we have been flattish to down in Q2. So it is really predicated on organic growth year over year, partially because last year was a little bit depressed relative to the front half of the year and partially because we think we are winning in the market and it is growing in the areas that we participate in. Hamed Khorsand: Okay. And then I think you just touched on it at the very end, but given the commentary about the growth, is this just coming from your customers ordering more? Or are you actually benefiting from the strategies you have implemented about making the customer’s experience better with you? Thomas J. Snyder: Yeah. So the second part of your question is a little bit of a longer approach. You know, the first thing was to go out and measure exactly, when I came on board, what our customers thought of us. You know, we did a voice-of-the-customer survey. We gathered a lot of data. We have been putting those items into place and into actions that we can continue to drive and improve that side of our business. And so that is in place. Part of it was, I touched in my remarks earlier, getting the right leadership in place as well. And we have made some great progress in that area. I feel really confident about how we are going to continue to elevate the customer experience. It is only going to help things long term. Not that it is bad today, but it is only going to help us grow further. But we do have, on the product side itself, some customers who are doing very well, some markets that are doing very well, and we expect to continue to see winning results from those areas. And again, you know, when we look at food and beverage as an example, that is really a self-inflicted kind of revenue issue in Q2 that is going to come back. We have some pent-up demand in that particular space that will recover. And so again, I feel good about our approach to our customers, the engagement that we are going to continue to enhance as we move forward with the strategy. I feel good about the markets that we compete in, the products that we provide, and I am encouraged about the future, not only in the back half of this year, but even the visibility that we have beyond that. Hamed Khorsand: Okay. Thanks. Operator: The next question will come again from the line of Kenneth Newman with KeyBanc Capital Markets. Please proceed. Zach Sherman: Hey, guys. Just one last quick follow-up. Paul, I know at our conference, you mentioned identifying, like, a number of additional internal improvement opportunities beyond what is already underway. Could you just give us a sense of how you guys are going to sequence those, when we could expect any sort of benefits and the cadence of those, and how you guys are thinking about those moving forward? Paul A. Swart: Sure. So no doubt that there continue to be a number of items on the list. Part of it is just, honestly, the ability and the personnel and the timing to go ahead and execute some of those things versus just continuing with the operational performance that we are already getting. So there is, like M&A, a decent pipeline and list of other things we are considering. The one major one was the Atkins facility in the second quarter. There are other items that are on that list that I think will be actioned in the back half of the year that we will add to the $10.5 million that we have talked about for the current year and run rate. Nothing to announce at the moment, but I do think as we go through the third quarter and fourth quarter, there will be other items. They will be more in the magnitude of what we announced for Atkins as opposed to the initial number we announced back early in Q1. But yes, those items will continue as we move through the rest of the year. They are just not maybe quite as low-hanging fruit and as easy action items as the ones that we had done earlier in the year. Thomas J. Snyder: I would just add to that and say the whole program that we have around operational excellence and standardizing kind of the systems, integrating all these disparate companies that we used to have. You know, we are driving best practices. We are implementing procedures. We are putting metrics in place and dashboards that measure everybody against the same kind of expectations. And so I feel good about, when I go to the facilities, the progress that we are making there. And I see plenty of opportunities as well. We touched on this earlier about organic investment opportunities. There is, I would say, a good pipeline of opportunities for us to continue to enhance our cost base and to modernize things through automation on both sides of the business, both on the Norris side and in the Packaging side. So good things are ahead of us on the cost-structure side. Zach Sherman: Got it. Thank you very much. Operator: Thanks. This concludes the question-and-answer session. And I would like to turn the call back over to management for closing remarks. Thanks. Thomas J. Snyder: Once again, thank you for joining us today and for your continued interest in TriMas. We appreciate your ongoing support, and we look forward to updating you on our progress next quarter. Thanks. Paul A. Swart: Thanks. Thomas J. Snyder: Thanks. Operator: This concludes today’s conference. You may disconnect your lines at this time, and we thank you for your participation. Before you buy stock in TriMas, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and TriMas wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. TriMas (TRS) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in TriMas Corporation? Here are five stocks we like better. Second-quarter results improved significantly: Sales rose 1.6% to $174.6 million, while operating profit increased 29% and adjusted EPS climbed to $0.52 from $0.20. Cost reductions, operational improvements, interest income and share repurchases offset flat organic sales and macroeconomic pressures. TriMas raised its full-year adjusted EPS outlook to $1.60–$1.70 from $1.50–$1.70, while maintaining companywide sales-growth guidance of 3%–6%. The company’s $10.5 million in 2026 cost actions remain on track. Segment performance was mixed: Packaging margins improved despite resin-cost pressures and facility-consolidation disruption, while Specialty Products sales grew 10.2% but margins fell due to staffing and manufacturing inefficiencies. TriMas ended the quarter with $846 million in net cash and has repurchased $175 million of shares since announcing its aerospace divestiture. TriMas (NASDAQ:TRS) reported higher second-quarter earnings and expanded operating margins as cost-reduction actions and operational initiatives offset a largely flat organic sales environment. The company also raised the lower end of its full-year adjusted earnings-per-share outlook, citing first-half performance, cost savings and stronger-than-expected interest income. Second-quarter net sales increased 1.6% year over year to $174.6 million, aided by favorable foreign-currency translation. Organic sales were essentially unchanged from the prior-year period, as growth in some markets was offset by softer demand in others amid macroeconomic uncertainty and consumer spending pressure. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now Operating profit rose 29% to $14.9 million, while operating margin expanded 180 basis points to 8.5%. Adjusted earnings per share increased to $0.52 from $0.20 a year earlier. President and CEO Thomas Snyder said the gain reflected improved operating performance, interest income on proceeds from the company’s aerospace divestiture, and the effect of share repurchases, which more than offset a higher tax rate. For the first six months of 2026, TriMas reported sales of $342.9 million, up 5.8% from a year earlier, including 3.4% organic growth. Operating profit increased more than 30%, while adjusted EPS more than doubled to $0.75. → 3 Value ETFs to Consider as Growth Stocks Lag Behind Packaging segment sales were essentially flat at $143 million in the second quarter. Growth in industrial and life sciences markets, along with favorable currency translation, largely offset lower sales in beauty and personal care and food and beverage applications. Packaging operating profit increased 3.7% to $21.2 million, and segment operating margin improved 50 basis points to 14.8%. Chief Financial Officer Paul Swart said cost-reduction actions and operational improvements more than offset inflation and a temporary lag in recovering higher raw-material costs. → 5 AI Stocks Are Pulling Back—Which Growth Catalysts Still Look Strongest? Resin prices rose from the middle to late first quarter through much of the second quarter. Because many customer contracts contain quarterly adjustment mechanisms, TriMas under-recovered the higher costs during the period, pressuring Packaging margins by roughly 100 basis points. Swart said resin costs had recently stabilized or declined in some cases, and the company expects to generally recover the costs cumulatively between the third and fourth quarters, subject to future market volatility. TriMas completed the closure and consolidation of its Atkins, Arkansas, facility during the quarter. Management said the transition temporarily reduced food and beverage sales because capacity was taken down during the move, but production assets have been relocated and ramped back up late in June and into July. Snyder said demand in food and beverage remains solid and that the company expects the disruption to be behind it. Management also expects beauty and personal care demand to return to a more normal pattern in the second half after a softer second quarter. TriMas maintained its full-year Packaging outlook for sales growth of 3% to 6% and operating margins of 14% to 15%. Specialty Products second-quarter sales increased 10.2% to nearly $32 million, supported by demand and market-share gains at Norris Cylinder. However, operating profit declined to $0.7 million from $1.3 million a year earlier, and operating margin fell to 2.2% from 4.4%. Swart said the segment faced challenges ramping staffing and throughput to meet customer demand. The company incurred higher temporary labor, overtime and overhead costs, along with manufacturing inefficiencies, as it worked to fulfill customer commitments. TriMas has begun implementing changes to align labor, overhead spending and production scheduling with available machine capacity. It is also evaluating automation and process improvements. Despite the near-term profitability pressure, the company raised its full-year Specialty Products sales growth outlook to 6% to 9%, from a previous range of 3% to 6%, citing continued order strength and support from its Made in the USA designation. The company expects segment operating margins of 6% to 8% for the year. TriMas maintained its full-year outlook for companywide sales growth of 3% to 6% and operating-margin improvement of more than 300 basis points compared with 2025. It raised its adjusted EPS outlook to $1.60 to $1.70, from its prior range of $1.50 to $1.70. The company said its outlook does not assume significant redeployment of remaining proceeds from the aerospace divestiture during 2026. Snyder said TriMas expects sales, earnings and adjusted EPS to improve in every quarter of 2026 compared with the corresponding prior-year periods. TriMas said previously announced cost actions totaling $10.5 million in 2026 and $16 million on an annualized basis remain on track. Management expects additional operational improvement actions in the second half, though Swart said they are likely to be more complex than earlier initiatives. Following the aerospace divestiture, TriMas ended the quarter with more than $1.2 billion in cash and a net cash position of $846 million. Its cash investments generated an average yield of 3.7% during the quarter. The company also has $400 million of 4.125% senior notes due in 2029. Since announcing the aerospace transaction in November, TriMas has repurchased more than 5 million shares and spent $175 million on buybacks through the end of the second quarter. The company had approximately 35.9 million shares outstanding at quarter-end and $76 million remaining under its current repurchase authorization. TriMas began funding the estimated $200 million of income taxes related to the gain on the aerospace sale, making $30 million of payments in the second quarter. Swart said the company expects to pay half of the remaining taxes in the third quarter, with the balance split between the fourth quarter and first quarter of 2027. Management said it continues to evaluate organic investments, acquisitions and further shareholder returns. Swart said the company is actively reviewing potential acquisitions, particularly in Packaging and life sciences, seeking businesses that can strengthen products, geographic reach, customer relationships and intellectual property. Snyder said TriMas intends to remain patient and disciplined in evaluating opportunities. TriMas Corporation is a diversified industrial company headquartered in Bloomfield Hills, Michigan. Established in 1980, TriMas has built a global reputation for designing and manufacturing specialized products that serve a wide array of end markets. The company operates through multiple segments, each focused on high-demand niches where engineered solutions and rigorous quality standards are essential. The Packaging segment supplies closures, dispensing systems and related components for the personal care, household chemicals, food and beverage, and pharmaceutical markets. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "TriMas Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

This article first appeared on GuruFocus. Release Date: July 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. TriMas Corp (NASDAQ:TRS) delivered a 29% increase in operating profit and 180 basis points of margin expansion in Q2 2026, driven by cost reduction initiatives. The company raised the lower end of its full-year adjusted EPS guidance to $1.60-$1.70, reflecting stronger cost savings and higher interest income. Packaging segment margins expanded 50 basis points to 14.8% despite flat sales, with the closure of the Atkins facility expected to drive further savings. Specialty Products segment saw 10.2% sales growth, driven by strong demand and market share gains at Norris Cylinder, with full-year growth guidance raised to 6-9%. TriMas Corp (NASDAQ:TRS) maintains a strong balance sheet with over $1.2 billion in cash and a net cash position of $846 million, providing flexibility for M&A and share repurchases. Organic sales were essentially flat in Q2 2026, with weakness in beauty and personal care and food and beverage end markets. Specialty Products segment profitability declined, with operating margins falling to 2.2% due to higher temporary labor, overtime, and manufacturing inefficiencies. Free cash flow was negative $12.9 million in Q2, driven by timing of sales and collections, with a higher concentration of sales in June. Resin cost increases pressured packaging margins by approximately 100 basis points in Q2, with recovery expected only in the second half of the year. Macroeconomic uncertainty and consumer spending pressures continue to weigh on demand in certain end markets, creating a mixed top-line environment. Warning! GuruFocus has detected 6 Warning Signs with TRS. Is TRS fairly valued? Test your thesis with our free DCF calculator. Q: Is there an expectation for beauty and personal care or food and beverage to ramp back up in the second half? What drove the soft manufacturing?A: Thomas Snyder, President and CEO: For food and beverage, the demand is good. The issues in Q2 were largely around the relocation and consolidation of the Atkins facility, which is now complete. We expect that one-time revenue pause to be behind us. For beauty and personal care, we feel good about the back half of the year. That business was lumpy, being up in Q1 and softer in Q2, but we anticipate it returning to a more normal pattern. Q: Could you help us understand the characteristics you are looking for in potential M&A deals, like size, margin profile, and how quickly you can move?A: Paul Swart, Chief Financial Officer: All options are available based on our balance sheet. We are actively evaluating potential deals, particularly in packaging and life sciences end markets. We are looking for high-quality companies that would elevate our products, geography, and positioning, strengthening customer relationships and IP to make revenue stickier. We have a pipeline of opportunities and are being patient and disciplined, not rushing to check boxes. Q: In the absence of a deal, is there a potential opportunity to accelerate share repurchases? How do you think about the tier of importance across share repurchases and organic growth investments?A: Paul Swart, CFO: The most immediate and highest return is typically organic growth investments, which we are actively looking at. After that, it will be a balanced, disciplined approach. We have spent $175 million on repurchases and have $76 million remaining under the current authorization. The approach will continue to be balanced based on the M&A pipeline, timing, and stock performance to get the best return for shareholders. Q: On the packaging side, you are guiding for full-year growth, but that would imply sales growth in quarters that seasonally don't see that kind of sequential growth. How do you see that developing?A: Paul Swart, CFO: We are guiding on a year-over-year basis, not sequential. The first half of 2025 was stronger than the back half, making comps slightly easier. Year-to-date, we are in the middle of our guidance range. We expect the currency benefit from the front half to be replaced with organic growth in our end markets, as beauty and personal care and food and beverage, which were down in Q2, are expected to grow in the back half. Q: Is the growth coming from customers ordering more, or are you benefiting from strategies to improve the customer experience?A: Thomas Snyder, President and CEO: The customer experience strategy is a longer-term approach. We conducted a voice of the customer survey and are implementing actions from that data. We have also brought in the right leadership. On the product side, we have customers doing very well in strong markets. The food and beverage revenue issue in Q2 was self-inflicted due to the facility consolidation, and that pent-up demand will recover. Q: You mentioned identifying additional internal improvement opportunities beyond what's already underway. How will you sequence those, and when can we expect benefits?A: Paul Swart, CFO: There are a number of items on the list. The major one in Q2 was the Atkins facility. There are other items that will be actioned in the back half of the year that will add to the $10.5 million and $16 million run rate we have discussed. These will be more in the magnitude of the Atkins announcement, but they are not as low-hanging fruit as the earlier actions. Q: Can you provide more color on the operational challenges at Norris Cylinder and the outlook for the Specialty Products segment?A: Paul Swart, CFO: Demand remains healthy, but profitability was impacted by challenges in ramping up staffing and throughput to meet customer demand, leading to higher temporary labor, overtime, and inefficiencies. We are implementing changes to right-size the labor force and production scheduling. We now expect full-year sales growth of 6 to 9% (up from 3 to 6%) due to strong order activity and the "Made in USA" designation, with operating margins expected in the 6 to 8% range. Q: What is the outlook for the Packaging segment's margins given the resin cost dynamics?A: Paul Swart, CFO: Resin costs escalated in Q2, pressuring margins by around 100 basis points as we under-recovered costs due to quarterly adjustment provisions. As resin costs have stabilized or declined, we expect to recover these costs on a cumulative basis between Q3 and Q4. We continue to expect packaging to deliver full-year sales growth of 3 to 6% with operating profit margins in the 14 to 15% range, with sequential margin expansion expected in Q3. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Raises Low End and Midpoint of Full Year 2026 EPS Outlook Second quarter operating profit increased to $10.9 million, while adjusted operating profit increased 29.1% to $14.9 million Second quarter diluted EPS increased to $1.86, with adjusted diluted EPS of $0.52 Repurchased more than 5 million shares of common stock since November 2025 Ended the quarter with $1.24 billion of cash and cash equivalents BLOOMFIELD HILLS, Mich., July 30, 2026--(BUSINESS WIRE)--TriMas (NASDAQ: TRS) today announced financial results for the second quarter ended June 30, 2026. TriMas reported second quarter 2026 net sales of $174.6 million, a 1.6% increase compared to $171.8 million in second quarter 2025, driven by organic growth within Specialty Products and the benefit of favorable foreign currency exchange. Operating profit increased to $10.9 million in second quarter 2026, compared to $7.4 million in second quarter 2025. Adjusting for Special Items(1), second quarter 2026 adjusted operating profit was $14.9 million, a 29.1% increase compared to $11.5 million in the prior year period, reflecting the successful execution of cost-reduction and streamlining initiatives. The Company reported second quarter 2026 income from continuing operations of $67.3 million, or $1.86 per diluted share, compared with $2.4 million, or $0.06 per diluted share, in second quarter 2025. Adjusting for Special Items(1), second quarter 2026 adjusted income(2) from continuing operations was $19.0 million, more than double the prior year period of $8.1 million. Second quarter 2026 adjusted diluted earnings per share(2) from continuing operations was $0.52, an increase of 160.0% compared to $0.20 in second quarter 2025, primarily reflecting interest income earned on the Company’s cash and cash equivalents, cost reductions, improved operating performance and the benefit of a lower share count resulting from the Company's share repurchase activity. "Our second quarter results reflect continued progress against the priorities we established at the beginning of 2026," said Thomas Snyder, TriMas President and Chief Executive Officer. "We delivered improved profitability and operating margin despite a dynamic market environment, driven by the successful execution of our cost-reduction actions and certain operational improvement initiatives. During the quarter, we also strengthened our leadership team, and enhanced organizational alignment and accountability through our strategic planning process, while advancing customer engagement and operational excellence initiatives." "As we move through the second half of the year, we expect the run-rate benefits of our cost reduction and operational excellence initiatives to continue building, supporting further performance improvement. At the same time, we remain focused on disciplined capital deployment, having repurchased more than five million shares since announcing the Aerospace divestiture, while preserving the flexibility to invest in organic growth initiatives and strategically aligned, high-quality acquisition opportunities that elevate our Packaging and Life Sciences platforms. We believe the actions we have taken to simplify and strengthen TriMas have positioned us well to continue delivering improved results and long-term shareholder value." Financial Position During the second quarter of 2026, the Company returned capital to shareholders through the repurchase of 509,264 shares of its outstanding common stock for $18.9 million. Year to date through June 30, 2026, the Company repurchased 1,996,321 shares for $73.5 million, contributing to a 4.7% net reduction in outstanding shares compared to December 31, 2025. Since announcing the decision to divest TriMas Aerospace in November 2025, the Company has repurchased more than five million shares. As of June 30, 2026, approximately 35.9 million shares were outstanding and $76.5 million remained available under the Company's share repurchase authorization. TriMas also declared and paid a quarterly cash dividend of $0.04 per share. The Company reported net cash used in operating activities of continuing operations of $38.5 million for second quarter 2026, compared to net cash provided by operating activities of $16.5 million in second quarter 2025. As a result, the Company reported a Free Cash Flow(3) use of $12.9 million for second quarter 2026, compared to Free Cash Flow(3) of $7.7 million in second quarter 2025, primarily due to the timing of sales and collections in the quarter. Please see Appendix I for further details. TriMas ended second quarter 2026 with $1,242.5 million of cash on hand, $1,446.1 million of cash and available borrowing capacity under its revolving credit facility, and a net leverage ratio of 1.8x as defined in the Company's credit agreement. As of June 30, 2026, the Company reported total debt of $396.9 million and Net Debt(4) of $(845.6) million, reflecting cash on hand that significantly exceeded the Company's debt position following the divestiture of TriMas Aerospace, which generated approximately $1.2 billion in net after‑tax proceeds. The remaining proceeds are currently invested in interest‑bearing investments pending further redeployment. Second Quarter Segment Results The TriMas Packaging group reported second quarter net sales of $142.9 million, essentially flat compared to the second quarter of 2025. Sales growth in the industrial and life sciences end markets, along with the benefit of favorable foreign currency translation, was largely offset by lower sales in beauty and personal care applications, and food and beverage products. While second quarter operating profit declined, adjusted operating profit and margin both improved year-over-year and sequentially from the first quarter of 2026, reflecting the benefits of cost‑reduction actions, operational improvement initiatives and a more favorable product sales mix. TriMas' Specialty Products group reported second quarter net sales of $31.7 million, an increase of 10.2% compared to second quarter 2025. Second quarter operating profit and margin declined year-over-year, as the benefits of higher sales volumes were more than offset by a lag in recovering increased raw material costs and temporary manufacturing inefficiencies related to machine downtime and labor ramp-up. Discontinued Operations The divestiture of TriMas Aerospace was completed on March 16, 2026, for approximately $1.5 billion in cash, generating net after-tax proceeds of approximately $1.2 billion. To date, proceeds have been used to repay borrowings under the Company's revolving credit facility, fund additional share repurchases and satisfy a portion of transaction-related tax obligations, while the remaining balance has been invested in liquid, interest-bearing accounts. The Company intends to deploy the remaining proceeds in support of capital allocation priorities, which may include organic growth investments, strategic acquisitions and additional share repurchases. The results of TriMas Aerospace, along with transaction-related costs, have been classified as discontinued operations for all periods presented. Realignment and Cost-Out Initiatives TriMas has completed the closure and consolidation of its Atkins, Arkansas, packaging facility. The Company remains on track to deliver approximately $10.5 million of savings in 2026 and $16.0 million of annualized savings related to the previously communicated cost-out actions. 2026 Outlook The Company has raised the low end and midpoint of its previously issued full-year 2026 adjusted diluted earnings per share(2) (EPS) outlook and now expects adjusted diluted EPS in the range of $1.60 to $1.70, compared to the prior outlook of $1.50 to $1.70, provided on February 26, 2026. This outlook assumes between $9 million and $10 million of interest income per each remaining quarter of 2026, and assumes no significant change in interest rates or the redeployment of the cash proceeds for the remainder of the year. The Company continues to expect sales growth of 3% to 6% year-over-year across its combined Packaging and Specialty Products businesses, along with more than 300 basis points of adjusted operating profit margin improvement, driven by cost reductions and organizational realignment initiatives. The above outlook includes the impact of all announced acquisitions and divestitures as of July 30, 2026. The outlook provided assumes no significant impact related to input costs or end market demand associated with global conflicts or geopolitical actions. All of the above amounts considered as 2026 guidance are after adjusting for any current or future amounts that may be considered Special Items. The inability to predict the amount and timing of the impacts of these Special Items makes a detailed reconciliation of these forward-looking non-GAAP financial measures impracticable.(1) Conference Call Information TriMas will host its second quarter 2026 earnings conference call today, Thursday, July 30, 2026, at 10 a.m. ET. To participate via phone, please dial (877) 407-0890 (U.S. and Canada) or +1 (201) 389-0918 (outside the U.S. and Canada), and ask to be connected to the TriMas second quarter 2026 earnings conference call. The conference call will also be simultaneously webcast via the TriMas website at www.trimas.com, under the "Investors" section, with an accompanying slide presentation. A replay of the conference call will be available on the TriMas website or by dialing (877) 660-6853 (U.S. and Canada) or +1 (201) 612-7415 (outside the U.S. and Canada) with a meeting ID of 13761489, beginning July 30, 2026, at 3:00 p.m. ET through August 13, 2026, at 3:00 p.m. ET. Notice Regarding Forward-Looking Statements Any "forward-looking" statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, contained herein, including those relating to TriMas’ business, financial condition or future results, involve risks and uncertainties with respect to, including, but not limited to: general economic and currency conditions; competitive factors; market demand; our ability to realize our business strategies; government and regulatory actions, including, without limitation, the impact of current and future tariffs and reciprocal tariffs, quotas and surcharges, as well as climate change legislation and other environmental regulations; our ability to identify attractive acquisition candidates, successfully integrate acquired operations or realize the intended benefits of such acquisitions; our ability to recognize the benefits of and effectively deploy the net proceeds from the sale of TriMas Aerospace; pressures on our supply chain, including availability of raw materials and inflationary pressures on raw material and energy costs, and customers; the performance of our subcontractors and suppliers; risks and uncertainties associated with intangible assets, including goodwill or other intangible asset impairment charges; risks associated with a concentrated customer base; information technology and other cyber-related risks; risks related to our international operations; changes to fiscal and tax policies; intellectual property factors; uncertainties associated with our ability to meet customers’ and suppliers’ sustainability and environmental, social and governance ("ESG") goals and achieve our sustainability and ESG goals in alignment with our own announced targets; litigation; contingent liabilities relating to acquisition and disposition activities; interest rate volatility; our leverage; liabilities imposed by our debt instruments; labor disputes and shortages; the disruption of operations from catastrophic or extraordinary events, including, but not limited to, natural disasters, geopolitical conflicts and public health crises; the amount and timing of future dividends and/or share repurchases, which remain subject to Board approval and depend on market and other conditions; our future prospects; and other risks that are detailed in the Annual Report on Form 10-K for the year ended December 31, 2025. The risks described are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deemed to be immaterial also may materially adversely affect our business, financial position and results of operations or cash flows. These risks and uncertainties may cause actual results to differ materially from those indicated by the forward-looking statements. All forward-looking statements made herein are based on information currently available, and the Company assumes no obligation to update any forward-looking statements, except as required by law. Non-GAAP Financial Measures In this release, certain non-GAAP financial measures are used. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measure may be found in Appendix I at the end of this release. Management believes that presenting these non-GAAP financial measures provides useful information to investors by helping them identify underlying trends in the Company’s businesses and facilitating comparisons of performance with prior and future periods and to the Company’s peers. These non-GAAP financial measures should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP measure, and may not be comparable to similarly titled measures reported by other companies. Reconciliations of forward-looking non-GAAP financial measures to the most directly comparable GAAP financial measures are provided only for the expected impact of amortization of acquisition-related intangible assets for completed acquisitions, as the Company is unable to provide estimates of future Special Items(1) or amortization from future acquisitions without unreasonable effort, due to the uncertainty and inherent difficulty of predicting the occurrence and the financial impact of such items impacting comparability and the periods in which such items may be recognized. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could be material to future results. Additional information is available at www.trimas.com under the "Investors" section. About TriMas TriMas designs, manufactures and supplies a broad range of innovative and high‑quality products for the consumer packaging, life sciences and industrial markets through its TriMas Packaging and Specialty Products groups. With approximately 2,500 employees in 12 countries, TriMas is committed to empowering customer success through deep partnerships, strong technical expertise, focused innovation, and exceptional quality and service. Guided by a culture of continuous improvement and operational excellence, TriMas invests in its people and capabilities to deliver long‑term value for all stakeholders. Headquartered in Bloomfield Hills, Michigan, TriMas is publicly traded on NASDAQ under the ticker symbol "TRS." For more information, please visit www.trimas.com. TriMas CorporationCondensed Consolidated Balance Sheet(Dollars in thousands) TriMas CorporationConsolidated Statement of Income(Unaudited - dollars in thousands, except per share amounts) TriMas CorporationConsolidated Statement of Cash Flow(Unaudited - dollars in thousands) Appendix I TriMas CorporationAdditional Information Regarding Special Items ImpactingReported GAAP Financial MeasuresContinuing Operations(Unaudited - dollars in thousands) Appendix I TriMas CorporationAdditional Information Regarding Special Items ImpactingReported GAAP Financial MeasuresContinuing Operations(Unaudited - dollars in thousands, except per share amounts) Appendix I TriMas CorporationAdditional Information Regarding Special Items ImpactingReported GAAP Financial MeasuresContinuing Operations(Unaudited - dollars in thousands) Appendix I TriMas CorporationReconciliation of GAAP to Non-GAAP Financial MeasuresForecasted Diluted Earnings Per Share GuidanceContinuing Operations(Unaudited - dollars per share) View source version on businesswire.com: https://www.businesswire.com/news/home/20260730351724/en/ Contacts Sherry LauderbackVP, Investor Relations, Communications & Sustainability(248) [email protected]

TriMas (TRS) came out with quarterly earnings of $0.52 per share, beating the Zacks Consensus Estimate of $0.49 per share. This compares to earnings of $0.61 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +6.12%. A quarter ago, it was expected that this maker of packaging materials, aerospace components and other engineered parts would post earnings of $0.18 per share when it actually produced earnings of $0.24, delivering a surprise of +33.33%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. TriMas, which belongs to the Zacks Metal Products - Procurement and Fabrication industry, posted revenues of $174.58 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 1.89%. This compares to year-ago revenues of $274.76 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. TriMas shares have added about 10.9% since the beginning of the year versus the S&P 500's gain of 6.9%. While TriMas has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for TriMas was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.52 on $173.91 million in revenues for the coming quarter and $1.67 on $678.63 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Metal Products - Procurement and Fabrication is currently in the top 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, NN Inc. (NNBR), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 5. This industrial parts maker is expected to post quarterly earnings of $0.04 per share in its upcoming report, which represents a year-over-year change of +100%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. NN Inc.'s revenues are expected to be $116 million, up 7.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TriMas Corporation (TRS) : Free Stock Analysis Report NN, Inc. (NNBR) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management is transitioning TriMas into a streamlined, customer-focused organization following the divestiture of its Aerospace segment. Organic sales remained flat as growth in industrial and life sciences markets was offset by consumer spending pressures and macroeconomic uncertainty. Profitability gains were primarily driven by the execution of a $10.5 million cost-reduction program and operational excellence initiatives. The 'One TriMas' initiative integrated legacy packaging brands into a unified identity to simplify the customer experience and improve commercial alignment. Leadership was strengthened with new executive appointments in global operations and sales to accelerate manufacturing excellence and innovation. The company is utilizing a new strategic planning framework to align operating plans with measurable objectives across the Packaging and Norris Cylinder segments. Full-year 2026 guidance assumes sales growth of 3% to 6% and operating profit margin expansion of over 300 basis points. Management raised the lower end of adjusted EPS guidance to $1.60-$1.70, citing confidence in cost-reduction progress and higher interest income. The company expects to recover higher resin costs on a cumulative basis during the second half of 2026 as quarterly contract adjustments take effect. Capital allocation remains focused on organic growth and disciplined M&A in packaging and life sciences, with no immediate timeline for deploying remaining Aerospace proceeds. Free cash flow is expected to strengthen in the second half of the year following a Q2 use of cash driven by a high concentration of June sales. The Atkins, Arkansas facility was successfully closed and consolidated, which temporarily impacted food and beverage sales due to capacity downtime. Specialty Products margins were pressured by temporary labor and overtime costs required to meet high demand at Norris Cylinder. The company began funding an estimated $200 million tax liability related to the Aerospace transaction, with $30 million paid in Q2. Management noted that while resin costs pressured Q2 margins by approximately 100 basis points, the impact is expected to be neutral over time. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management attributed the food and beverage softness to a 'self-inflicted' revenue pause during the Atkins facility relocation, which is now complete. Beauty and personal care demand is expected to return to normal patterns in the second half of the year following a 'lumpy' second quarter. TriMas is actively evaluating high-quality companies that offer unique geography, products, or intellectual property to increase revenue 'stickiness'. The company is maintaining a disciplined lens and will not rush deployments, despite having significant cash flexibility from the Aerospace divestiture. Organic growth investments remain the highest priority due to typically higher returns, followed by a balanced approach to M&A and repurchases. The company has $76 million remaining under its current share repurchase authorization to use as market conditions and the M&A pipeline dictate.

BLOOMFIELD HILLS, Mich., July 23, 2026--(BUSINESS WIRE)--TriMas (NASDAQ: TRS) announced today that its Board of Directors declared a quarterly cash dividend of $0.04 per share of TriMas Corporation stock. The quarterly dividend is payable on August 13, 2026, to shareholders of record as of the close of business on August 6, 2026. About TriMas TriMas designs, manufactures and supplies a broad range of innovative and high-quality products for the consumer packaging, life sciences and industrial markets through its TriMas Packaging and Specialty Products groups. With approximately 2,500 employees in 12 countries, TriMas is committed to empowering customer success through deep partnerships, strong technical expertise, focused innovation, and exceptional quality and service. Guided by a culture of continuous improvement and operational excellence, TriMas invests in its people and capabilities to deliver long-term value for all stakeholders. TriMas is publicly traded on NASDAQ under the ticker "TRS" and is headquartered in Bloomfield Hills, Michigan. For more information, please visit www.trimas.com. Notice Regarding Forward-Looking Statements Any "forward-looking" statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, contained herein, including those relating to TriMas’ business, financial condition or future results, involve risks and uncertainties with respect to, including, but not limited to: general economic and currency conditions; competitive factors; market demand; our ability to realize our business strategies; government and regulatory actions, including, without limitation, the impact of current and future tariffs and reciprocal tariffs, quotas and surcharges, as well as climate change legislation and other environmental regulations; our ability to identify attractive acquisition candidates, successfully integrate acquired operations or realize the intended benefits of such acquisitions; our ability to recognize the benefits of and effectively deploy the net proceeds from the sale of TriMas Aerospace; pressures on our supply chain, including availability of raw materials and inflationary pressures on raw material and energy costs, and customers; the performance of our subcontractors and suppliers; risks and uncertainties associated with intangible assets, including goodwill or other intangible asset impairment charges; risks associated with a concentrated customer base; information technology and other cyber-related risks; risks related to our international operations; changes to fiscal and tax policies; intellectual property factors; uncertainties associated with our ability to meet customers’ and suppliers’ sustainability and environmental, social and governance ("ESG") goals and achieve our sustainability and ESG goals in alignment with our own announced targets; litigation; contingent liabilities relating to acquisition and disposition activities; interest rate volatility; our leverage; liabilities imposed by our debt instruments; labor disputes and shortages; the disruption of operations from catastrophic or extraordinary events, including, but not limited to, natural disasters, geopolitical conflicts and public health crises; the amount and timing of future dividends and/or share repurchases, which remain subject to Board approval and depend on market and other conditions; our future prospects; and other risks that are detailed in the Annual Report on Form 10-K for the year ended December 31, 2025. The risks described are not the only risks facing our Company. Additional risks and uncertainties not currently known to us or that we currently deemed to be immaterial also may materially adversely affect our business, financial position and results of operations or cash flows. These risks and uncertainties may cause actual results to differ materially from those indicated by the forward-looking statements. All forward-looking statements made herein are based on information currently available, and the Company assumes no obligation to update any forward-looking statements, except as required by law. View source version on businesswire.com: https://www.businesswire.com/news/home/20260723101881/en/ Contacts Sherry LauderbackVP, Investor Relations, Communications & Sustainability(248) [email protected]