Company: ATMU
Filing Date: 2025-05-02
Form Type: 10-Q
Source: 0001921963-25-000075
Chunk: 31

Company: Atmus Filtration Technologies Inc.
Filing Date: 2025-05-02
Form: 10-Q
Item: Item 1
Chunk 31
---
12.1 12.8 0.7 5.5 %NET INCOME$44.7 $45.5 $(0.8)(1.8)%PER SHARE DATA:Basic earnings per share$0.54 $0.55 $(0.01)(1.2)%Diluted earnings per share$0.54 $0.54 $(0.01)(1.3)%

20

For the Three Months EndedMarch 31,Favorable(Unfavorable)Percent of Net sales20252024Percentage PointsGross margin26.5%26.2%0.3Selling, general and administrative expenses11.0%10.2%(0.8)Research, development and engineering expenses2.2%2.4%0.2

Net Sales

Net sales were $416.5 million for the three months ended March 31, 2025, a decrease of $10.1 million compared to $426.6 million for the three months ended March 31, 2024. The decrease in Net sales was mainly due to unfavorable impacts of currency of $11.4 million and lower volumes of approximately $3.5 million, partially offset by $4.8 million of favorable pricing impacts. 

Gross Margin

Gross margin was $110.5 million for the three months ended March 31, 2025, a decrease of $1.3 million compared to $111.8 million for the three months ended March 31, 2024. The decrease in Gross margin was mainly due to $4.8 million in unfavorable currency impacts, a $3.5 million increase in one-time separation costs, $2.2 million of unfavorable logistic costs and lower volumes of approximately $1.2 million, partially offset by $4.8 million of favorable pricing impacts as described above, a $3.9 million decrease in manufacturing and other costs and a $1.7 million decrease in warranty costs. Gross margin as a percentage of Net sales was 26.5% for the three months ended March 31, 2025, an increase of 0.3 percentage points compared to 26.2% for the three months ended March 31, 2024. The increase in Gross margin as a percentage of Net sales was primarily driven by the items noted above decreasing at a higher rate in relation to the change in Net sales.

Selling, General and Administrative Expenses

Selling, general