Company: ATMU
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001921963-25-000075
Chunk: 32

Company: Atmus Filtration Technologies Inc.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 1
Chunk 32
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 and administrative expenses were $45.9 million for the three months ended March 31, 2025, an increase of $2.6 million compared to $43.3 million for the three months ended March 31, 2024. The increase was primarily driven by increased people-related and consulting expenses of $2.6 million. Selling, general and administrative expenses as a percentage of Net sales were 11.0% for the three months ended March 31, 2025, an increase of 0.8 percentage points compared to 10.2% for the three months ended March 31, 2024. The increase in Selling, general and administrative expenses as a percentage of Net sales was primarily driven by the items noted above.

Research, Development and Engineering Expenses

Research, development and engineering expenses were $9.1 million for the three months ended March 31, 2025, a decrease of $1.0 million compared to $10.1 million for the three months ended March 31, 2024. The decrease was primarily due to lower people-related expenses. Research, development and engineering expenses as a percentage of Net sales were 2.2% for the three months ended March 31, 2025, a decrease of 0.2 percentage points compared to 2.4% for the three months ended March 31, 2024. The decrease in Research, development and engineering expenses as a percentage of Net sales was mainly due to the item noted above.

Equity, Royalty and Interest Income From Investees

Equity, royalty and interest income from investees were $9.2 million for the three months ended March 31, 2025, a decrease of $1.2 million compared to $10.4 million for the three months ended March 31, 2024. The 

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decrease was due to lower earnings of $1.2 million from our joint ventures, primarily driven by market conditions in India.

Interest Expense

Interest expense was $8.4 million for the three months ended March 31, 2025, a decrease of $2.1 million compared to $10.5 million for the three months ended March 31, 2024. The decrease was primarily driven by lower outstanding borrowings on our Credit Agreement as principal payments are made.

Income Tax Expense

Our effective tax rate for the three months ended March 31, 2025 was 21.3%, a decrease of 0.7