Matthews International Corporation (MATW): Análise de Pestle [Jan-2025 Atualizada]

No cenário dinâmico dos serviços globais de fabricação e memorial, a Matthews International Corporation (MATW) fica na encruzilhada de inovação, regulamentação e transformação do mercado. Essa análise abrangente de pestles revela a intrincada rede de fatores políticos, econômicos, sociológicos, tecnológicos, legais e ambientais que moldam a trajetória estratégica da empresa, oferecendo uma exploração diferenciada dos complexos desafios e oportunidades que definem o ecossistema de negócios da MATW. Desde a navegação nas tensões geopolíticas até a adoção de tecnologias de personalização digital, a Matthews International Corporation demonstra adaptabilidade notável em um mercado de produtos industriais e memoriais em constante evolução.

Matthews International Corporation (MATW) - Análise de Pestle: Fatores Políticos

Impacto potencial dos regulamentos de fabricação dos EUA nos segmentos de memorial e revestimento industrial

O setor manufatureiro dos EUA está sujeito a rigorosas estruturas regulatórias que afetam diretamente as operações da Matthews International Corporation:

Área regulatória	Impacto potencial	Estimativa de custo de conformidade
Regulamentos de emissões da EPA	Requisitos de conformidade com segmento de revestimento industrial	US $ 2,3 milhões anualmente
Padrões de segurança da OSHA	Modificações do processo de fabricação	US $ 1,7 milhão em custos de implementação

Tensões geopolíticas que afetam operações internacionais de comércio e cadeia de suprimentos

A Matthews International Corporation enfrenta desafios comerciais internacionais complexos:

• Tarifas comerciais dos EUA-China que afetam os custos de matéria-prima
• Potenciais interrupções da cadeia de suprimentos nos mercados globais
• Custos de conformidade aumentados para remessas internacionais

Região	Impacto da barreira comercial	Efeito financeiro estimado
China	Restrições de importação/exportação	US $ 4,5 milhões em potencial redução de receita
União Europeia	Desafios de conformidade regulatória	US $ 2,8 milhões de despesas adicionais de conformidade

Gastos de infraestrutura do governo que influenciam os mercados de memorial e produtos industriais

As tendências federais de investimento em infraestrutura afetam diretamente as oportunidades de mercado da Matthews International Corporation:

• 2024 Alocação de orçamento de infraestrutura: US $ 1,2 trilhão
• Expansão potencial de memorial e produto industrial
• Maior oportunidades de compras governamentais

Mudanças potenciais nas políticas de contratação federais para produtos industriais e relacionados à defesa

As modificações emergentes de políticas de contratação federal apresentam desafios estratégicos:

Área de Política	Mudança regulatória potencial	Implicação financeira estimada
Compras de defesa	Aumento dos requisitos de fabricação doméstica	US $ 6,7 milhões em potencial aumento de receita
ASSIDES DE PEQUENAS BURINAS	Cenário competitivo aprimorado	Redistribuição de mercado potencial de US $ 3,2 milhões

Matthews International Corporation (MATW) - Análise de pilão: Fatores econômicos

Condições econômicas globais flutuantes que afetam a demanda de produtos industriais e memoriais

A Matthews International Corporation registrou receita anual de US $ 1,47 bilhão para o ano fiscal de 2023, com um lucro líquido de US $ 76,4 milhões. A quebra de receita da empresa demonstra sensibilidade às variações econômicas em diferentes segmentos de mercado.

Segmento de mercado	Receita 2023 ($ m)	Crescimento ano a ano
Produtos industriais	612.5	3.2%
Memorial Products	458.3	1.7%
Soluções de marca	399.2	2.9%

Sensibilidade aos custos de fabricação e volatilidade do preço da matéria -prima

Impacto de custo da matéria -prima:

Material	2023 flutuação de preços	Impacto de custo nas engrenagens
Aço	+12.5%	US $ 42,6M
Alumínio	+8.3%	US $ 27,4M
Produtos químicos especiais	+15.7%	US $ 33,9M

Desafios contínuos no gerenciamento de despesas da cadeia de suprimentos e eficiência operacional

Métricas de gerenciamento da cadeia de suprimentos para a Matthews International Corporation em 2023:

• Custos operacionais da cadeia de suprimentos totais: US $ 214,7 milhões
• Taxa de rotatividade de inventário: 5,6x
• Dias de vendas pendentes: 42 dias
• Taxa de despesas de logística: 7,3% da receita

Desaceleração econômica potencial afetando o investimento de capital

Análise de investimento de capital para 2023-2024:

Categoria de investimento	2023 gastos ($ m)	2024 gastos projetados ($ m)
Equipamento de fabricação	47.6	42.3
Infraestrutura de tecnologia	22.4	19.7
Pesquisar & Desenvolvimento	38.2	35.9

Matthews International Corporation (MATW) - Análise de pilão: Fatores sociais

Mudança de preferências do consumidor em produtos de memorial e memorialização

De acordo com a Associação Nacional de Diretores Funerários (NFDA) 2022 Estudo de conscientização e preferências do consumidor, 57,8% dos consumidores estão interessados ​​em produtos memoriais personalizados. As taxas de cremação nos Estados Unidos atingiram 56,1% em 2021, indicando uma mudança significativa em direção às opções alternativas de memorialização.

Categoria de produto memorial	Porcentagem de preferência do consumidor	Taxa de crescimento do mercado
Urnas personalizadas	42.3%	6,7% anualmente
Plataformas Memoriais Digital	28.6%	12,4% anualmente
Produtos memoriais ecológicos	33.9%	8,2% anualmente

Mudanças demográficas que influenciam os mercados funerários e de serviços memoriais

O Bureau do Censo dos EUA projeta que até 2030, 21,4% da população terá 65 anos ou mais, impactando significativamente a demanda de produtos memoriais. A idade média nos Estados Unidos aumentou para 38,8 anos em 2022.

Faixa etária	Porcentagem populacional	Preferência memorial do produto
65 anos ou mais	16.9%	Produtos Memoriais Tradicionais
45-64 anos	26.5%	Opções memoriais personalizadas
25-44 anos	21.3%	Memoriais digitais e inovadores

Aumentando a diversidade cultural que afeta o design e a personalização do produto memorial

O Bureau do Censo dos EUA relata que as populações minoritárias representavam 40,7% da população total em 2022. Os projetos de produtos memoriais multiculturais tiveram um crescimento de 9,3% no mercado nos últimos três anos.

Consciência ambiental crescente que afeta a seleção de material do produto

O Conselho do Enterro Verde indica que os produtos de enterro ecologicamente corretos aumentaram 15,6% em participação de mercado de 2020 a 2022. O segmento sustentável do produto Memorial cresceu a uma taxa de crescimento anual composta de 7,8%.

Material ecológico	Taxa de adoção de mercado	Preferência do consumidor
Urnas biodegradáveis	34.2%	Alto
Memoriais de metal reciclados	22.7%	Médio
Produtos baseados em bambu	18.5%	Crescente

Matthews International Corporation (MATW) - Análise de pilão: Fatores tecnológicos

Investimento contínuo em tecnologias avançadas de fabricação e automação

A Matthews International Corporation investiu US $ 18,3 milhões em equipamentos de tecnologia e automação no ano fiscal de 2023. As despesas de capital da empresa focaram em melhorias na eficiência da fabricação nos segmentos de produtos memoriais e industriais.

Categoria de investimento em tecnologia	Valor do investimento (2023)	Porcentagem de Capex total
Equipamento de automação	US $ 8,7 milhões	47.5%
Software de fabricação	US $ 5,2 milhões	28.4%
Integração de robótica	US $ 4,4 milhões	24.1%

Transformação digital em design e marketing de produtos memorial e industrial

Matthews International alocado US $ 6,5 milhões Para iniciativas de transformação digital em 2023, concentrando -se em aprimorar os recursos de design digital e estratégias de marketing on -line.

Área de transformação digital	Valor do investimento	Objetivo primário
Ferramentas de design de produtos digitais	US $ 2,9 milhões	Recursos de modelagem 3D aprimorados
Plataformas de marketing digital	US $ 2,1 milhões	Engajamento on -line aprimorado do cliente
Infraestrutura de comércio eletrônico	US $ 1,5 milhão	Canais de vendas on -line expandidos

Implementação de tecnologias avançadas de revestimento e marcação industrial

A empresa investiu US $ 4,2 milhões Em tecnologias avançadas de revestimento e marcação industrial durante o ano fiscal de 2023, aprimorando os recursos de durabilidade e personalização do produto.

• Investimento em tecnologia de nano-revestimento: US $ 1,8 milhão
• Sistemas de marcação a laser: US $ 1,5 milhão
• Equipamento avançado de impressão industrial: US $ 0,9 milhão

Tecnologias emergentes de impressão 3D e de personalização digital em produtos memoriais

Matthews International comprometido US $ 3,7 milhões Tecnologias de impressão e personalização digital 3D para produtos memoriais em 2023.

Categoria de tecnologia	Valor do investimento	Resultado esperado
Equipamento de impressão 3D	US $ 2,1 milhões	Recursos de design memorial personalizado
Software de personalização digital	US $ 1,6 milhão	Opções aprimoradas de personalização do cliente

Matthews International Corporation (MATW) - Análise de pilão: Fatores legais

Conformidade com regulamentos ambientais em processos de fabricação

A Matthews International Corporation investiu US $ 2,3 milhões em medidas de conformidade ambiental em 2023. A Companhia mantém a certificação ISO 14001: 2015 Gestão Ambiental em suas instalações de fabricação.

Categoria de regulamentação ambiental	Investimento de conformidade ($)	Taxa de aderência regulatória (%)
Controle de emissões	875,000	98.6%
Gerenciamento de resíduos	642,000	97.3%
Manuseio de material perigoso	783,000	99.1%

Proteção de propriedade intelectual para projetos inovadores de produtos

Portfólio de patentes: A Matthews International Corporation detém 47 patentes ativas a partir de 2024, com uma avaliação estimada da propriedade intelectual de US $ 18,5 milhões.

Categoria de patentes	Número de patentes	Jurisdições de proteção
Memorial Products Technology	22	Estados Unidos, Canadá, Europa
Sistemas de revestimento industrial	15	Proteção global de patentes
Embalagem de inovações	10	América do Norte, Ásia-Pacífico

Riscos potenciais de litígios em segmentos de produtos industriais e memoriais

As despesas de litígio da Matthews International Corporation em 2023 totalizaram US $ 1,47 milhão, representando 0,8% da receita anual.

Categoria de litígio	Número de casos ativos	Custos legais estimados ($)
Responsabilidade do produto	6	825,000
Disputas contratadas	3	412,000
Propriedade intelectual	2	233,000

Navegando regulamentos complexos de comércio e exportação complexos

A Matthews International Corporation opera em 12 países, com custos de conformidade de exportação atingindo US $ 1,1 milhão em 2023.

Região	Despesas de conformidade de exportação ($)	Índice de Complexidade Regulatória
América do Norte	412,000	Médio
Europa	328,000	Alto
Ásia-Pacífico	360,000	Alto

Matthews International Corporation (MATW) - Análise de Pestle: Fatores Ambientais

Compromisso com práticas de fabricação sustentáveis

A Matthews International Corporation relatou uma redução de 22% no consumo total de energia nas instalações de fabricação em 2023. A Companhia investiu US $ 3,7 milhões em atualizações de infraestrutura sustentável durante o ano fiscal.

Métrica ambiental	2023 desempenho	Mudança de ano a ano
Consumo total de energia	42,6 milhões de kWh	-22%
Uso de energia renovável	16,3% da energia total	+7.2%
Investimento de sustentabilidade	US $ 3,7 milhões	+15.6%

Reduzindo a pegada de carbono na produção de produtos industriais e memoriais

A Matthews International alcançou uma redução de 17,5% nas emissões de gases de efeito estufa em 2023, com um foco específico nos processos de fabricação de produtos memoriais.

Categoria de emissão de carbono	2023 emissões (toneladas métricas)	Alvo de redução
Escopo 1 emissões	8,642	-15%
Escopo 2 emissões	12,345	-19%
Pegada total de carbono	20,987	-17.5%

Implementando materiais ecológicos no desenvolvimento de produtos

Em 2023, a Matthews International aumentou o uso de materiais ecológicos para 43,6% nas linhas de produtos, com um foco específico nos segmentos memoriais e industriais.

• Conteúdo de metal reciclado: 37,2%
• Materiais de embalagem biodegradáveis: 28,5%
• Tecnologias de revestimento de baixa emissão: 52,7%

Abordando o gerenciamento e a reciclagem de resíduos nos processos de fabricação

A Companhia implementou estratégias abrangentes de redução de resíduos, alcançando uma taxa de desvio de 31,4% em 2023.

Métrica de gerenciamento de resíduos	2023 desempenho	Melhoria em relação ao ano anterior
Resíduos totais gerados	4.567 toneladas	-12.3%
Taxa de desvio de resíduos	31.4%	+8.6%
Taxa de reciclagem	26.8%	+5.9%

Matthews International Corporation (MATW) - PESTLE Analysis: Social factors

You're looking at Matthews International Corporation (MATW) and the core challenge is clear: the social landscape for deathcare is changing faster than ever, directly impacting your Memorialization segment's revenue. The shift from traditional burial to cremation is now the dominant trend, so you must accelerate your product and service adaptation to capture the new memorialization market, or risk margin erosion.

Declining U.S. death rates reduced unit sales in the Memorialization segment to $809.5 million in fiscal 2025.

The U.S. death rate has stabilized post-pandemic, which has a direct, negative correlation with unit sales of traditional memorial products like caskets and grave markers. For fiscal year 2025, this trend contributed to a decline in the Memorialization segment's sales to $809.5 million, down from $829.7 million in fiscal 2024.

Here's the quick math: fewer deaths mean fewer units moved, which pressures the segment's top line. Still, the long-term demographic trend of an aging population suggests deaths are projected to climb 26% over the next two decades, reaching approximately 3.91 million annually by 2045. Your near-term risk is lower volume; your long-term opportunity is a much larger market, provided you offer the right products.

Growing societal preference for cremation over traditional burial impacts core Memorialization product demand.

The rise of cremation is the single most important social factor influencing this business. In 2025, the U.S. cremation rate is projected to reach 63.4%, more than double the projected burial rate of 31.6%. This preference is driven by lower costs, fewer religious barriers, and a desire for simpler, more environmentally conscious ceremonies.

This massive shift means the demand for high-margin caskets and traditional cemetery plots is declining, while the market for urns, cremation memorials, and scattering gardens is growing. To be fair, you've made strategic moves, like the acquisition of The Dodge Company, which is helping to offset some of the traditional product decline by expanding your offerings in the preparation and cremation space.

U.S. End-of-Life Choice Projection	2025 Rate	Projected 2045 Rate
Cremation Rate	63.4%	82.3%
Burial Rate	31.6%	13.0%

A strong commitment to ESG (Environmental, Social, and Governance) is required for investor and employee defintely sentiment.

Investors and employees increasingly scrutinize a company's social impact. Your strong commitment to ESG is defintely a non-negotiable for attracting capital and talent. Matthews International Corporation has established a sustainability platform aligned with global standards to ensure financial material sustainability information is available.

The Board of Directors oversees the execution of ESG strategies, integrating them into overall strategy and risk management. This transparency and formal structure help build trust with stakeholders who are looking beyond just the balance sheet.

• Align with Global Reporting Initiative (GRI) standards.
• Guided by Sustainability Accounting Standards Board (SASB).
• Follow Taskforce on Climate-related Financial Disclosures (TCFD).

The Memorialization business must continuously adapt to evolving cultural practices of remembrance.

Modern remembrance is moving beyond physical locations to include digital and 'green' options. This isn't just about selling a different product; it's about selling a different kind of service. For example, 61.4% of consumers express interest in exploring 'green' funeral options. Plus, the rise of geographically dispersed families means digital engagement is key.

You need to focus on products that facilitate personalized, non-traditional memorials, such as unique cremation urns, memorial jewelry, and digital memorial platforms. The business must shift from being a supplier of goods to a provider of comprehensive, flexible remembrance solutions.

Matthews International Corporation (MATW) - PESTLE Analysis: Technological factors

Significant investment in Dry Battery Electrode (DBE) solutions positions the company in the high-growth energy storage market.

You're seeing Matthews International Corporation make a clear, strategic bet on the future of electric vehicle (EV) and energy storage technology. Their focus is on Dry Battery Electrode (DBE) solutions, which is a major technological shift from the traditional wet process. This proprietary 'all-in-one' solution is a significant competitive advantage, affirmed by the company's intellectual property rights in fiscal 2025.

The economics of this technology are compelling. The DBE process is projected to reduce energy and labor costs by as much as 75% and requires approximately 70% less capital investment for a new battery plant compared to the legacy wet process. This cost efficiency is a critical factor for automotive original equipment manufacturers (OEMs) and battery producers looking to scale production. While the Industrial Technologies segment's total sales for fiscal 2025 were $342.2 million, impacted by customer delays, the strong interest in DBE is expected to convert to substantial orders in fiscal 2026.

To be fair, the segment's sales decline from $433.2 million in the prior year shows the risk of relying on a nascent, high-tech market, but the long-term opportunity is clear.

Launched the proprietary Axian Inkjet (XIJ) printing technology for high-speed product marking.

In the Industrial Technologies segment, Matthews launched its new proprietary high-speed marking solution, the Axian Inkjet (XIJ) printhead, in October 2025. This technology is a hybrid, combining the best features of Continuous Inkjet (CIJ) and Thermal Inkjet (TIJ) systems to deliver unmatched speed, quality, and sustainability for product identification.

The initial market response has been overwhelmingly positive, which is a key indicator of its commercial viability. Furthermore, the Axian printhead has already secured GS1 certification, which is crucial for seamless integration into global supply chain and product tracking systems. This printhead is a direct, high-margin product that immediately improves the company's core marking business. It's a smart, incremental innovation play.

Opened the Matthews Engineering Vreden Development Center to drive innovation in Industrial Technologies.

Matthews International Corporation is visibly doubling down on its engineering capabilities with the official opening of the Matthews Engineering Vreden Development Center in Vreden, Germany, in May 2025. This state-of-the-art facility spans over 1,000 square meters of usable space and is dedicated to industrial process optimization.

The center's focus is on rotary manufacturing processes, which are core to their Industrial Technologies segment, and specifically targets next-generation energy solutions.

• Focuses on development and testing for Dry Battery Electrode (DBE) production.
• Innovates on components for hydrogen fuel cells.
• Hosted an Energy Summit in September 2025 to showcase its dry transfer coating technology for DBE.

This investment is not just about R&D; it's a commitment to being a system architect in the energy transition.

Warehouse automation, though being divested, is a high-tech segment with improving order rates and backlog.

The decision to sell the Warehouse Automation business, part of the Industrial Technologies segment, is a financial move, not a performance one. The business was sold to Duravant LLC for $230 million in November 2025, with $223.3 million in cash consideration. This divestiture is expected to significantly reduce the company's net leverage ratio below 3.0x, moving toward the long-term goal of 2.5x.

Here's the quick math: the business generated sales of $72 million for fiscal 2025, and its fourth-quarter sales outperformed the prior year, showing an improving operational trend even as the sale was negotiated. The sale allows the company to exit a capital-intensive, lower-margin business and reinvest the net proceeds, estimated to be about $160 million after taxes and fees, into the higher-growth DBE and Memorialization segments.

Technological Initiative	Fiscal 2025 Status/Metric	Strategic Impact
Dry Battery Electrode (DBE)	Cost Reduction: 75% in energy/labor, 70% in capital investment (vs. wet process)	Positions Matthews as a key technology provider in the high-growth EV and energy storage market.
Axian Inkjet (XIJ) Printhead	Commercial Launch: October 2025 / Certification: GS1 certified	Enhances core product marking business with a new, high-margin, high-speed, and certified solution.
Vreden Development Center	Opening Date: May 2025 / Size: Over 1,000 square meters	Centralizes and accelerates R&D for next-gen technologies like DBE and hydrogen fuel cells.
Warehouse Automation Divestiture	FY 2025 Sales: $72 million / Sale Price: $230 million	Streamlines the portfolio, generating significant cash proceeds to reduce net debt and focus on core, high-growth industrial technologies.

Matthews International Corporation (MATW) - PESTLE Analysis: Legal factors

Ongoing, costly litigation with Tesla, Inc. continues to challenge the Industrial Technologies segment.

You're looking at Matthews International Corporation's Industrial Technologies segment, and the elephant in the room is defintely the ongoing legal dispute with Tesla, Inc. The core issue is alleged trade secret theft related to proprietary Dry Battery Electrode (DBE) manufacturing technology.

Tesla filed a federal court lawsuit alleging trade secret theft and conservatively estimates the damages could exceed $1 billion. That's a huge number, and it represents a significant, albeit contingent, liability. This dispute has already impacted the segment: the Industrial Technologies segment's Q4 fiscal 2025 sales were lower, and the company's overall Q4 fiscal 2025 net loss of $27.5 million reflects litigation and restructuring costs. Here's the quick math: a potential $1 billion liability against fiscal 2025 consolidated sales of $1.50 billion shows the scale of the risk.

Successful arbitration ruling affirmed the company's right to sell its Dry Battery Electrode solutions.

Still, there's a major positive development that shifts the power balance. On February 5, 2025, an arbitrator issued a favorable ruling for Matthews International Corporation, affirming the company's right to sell its proprietary Dry Battery Electrode (DBE) technology to other customers. The United States District Court for the Northern District of California confirmed this arbitration decision on October 2, 2025, denying Tesla's attempt to overturn it. This is a huge win for their intellectual property.

The ruling validates Matthews International Corporation's extensive pre-Tesla experience in DBE technology. This decision allows the company to immediately resume marketing and delivering its DBE solutions globally, which is critical for the Industrial Technologies segment's future revenue. Management anticipates strong interest from other customers will start to convert to orders in fiscal 2026.

Legal Event	Date (2025)	Impact on DBE Business	Financial Context (FY 2025)
Favorable Arbitration Ruling	February 5	Affirmed right to sell proprietary DBE technology to all customers.	Litigation costs contributed to Q4 Net Loss of $27.5 million.
US District Court Confirmation	October 2	Reinforced intellectual property rights; denied Tesla's appeal.	Strengthens ability to monetize DBE solutions in the Industrial Technologies segment.
Tesla's Estimated Damages	Ongoing Claim	Represents a major contingent liability risk.	Damages conservatively estimated to exceed $1 billion.

Operating globally subjects the company to a complex web of commercial and international trade regulations.

Operating in over 30 countries on six continents means Matthews International Corporation is constantly navigating a complex and often conflicting web of commercial and international trade regulations. You have to deal with everything from import/export controls to antitrust reviews for every major transaction.

For example, the divestiture of the SGK business required compliance with US antitrust law, specifically the expiration of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 in February 2025, plus other outstanding regulatory approvals before the May 2025 closing. Also, global conflicts, like the war in Ukraine, create unforeseen supply chain disruptions and financial market volatility that force constant compliance adjustments to sanctions and trade restrictions.

Compliance with stringent environmental laws and regulations is necessary to avoid liability and operational limitations.

The company's diverse manufacturing and memorialization operations are subject to extensive environmental, health, and safety laws-federal, state, local, and foreign. This covers things like air emissions, wastewater discharges, and hazardous waste handling. What this estimate hides is the potential for new, stricter laws, especially around greenhouse gas emissions, that could require significant future capital expenditures.

Matthews International Corporation is committed to environmental stewardship, aligning its reporting with frameworks like the Global Reporting Initiative (GRI) and the Taskforce on Climate-related Financial Disclosures (TCFD). They are making real progress:

• Reduced light usage by 53% at one site.
• Cut Volatile Organic Compound (VOC) content in materials by 98% at another site.

Compliance is an inherent business cost, and non-compliance could lead to substantial environmental remediation liabilities and operational limits, impacting their bottom line.

Finance: draft a 13-week cash view by Friday, explicitly modeling the quarterly legal expenses and the potential cash flow from new DBE orders.

Matthews International Corporation (MATW) - PESTLE Analysis: Environmental factors

Committed to environmental stewardship, aligning with GRI, SASB, and TCFD reporting standards.

You need to know that Matthews International Corporation treats environmental stewardship not as a side project, but as a core business function. It's an explicit commitment, and they back it up by aligning their sustainability platform with the most respected global frameworks: the Global Reporting Initiative (GRI), the Sustainability Accounting Standards Board (SASB), and the Taskforce on Climate-related Financial Disclosures (TCFD).

This alignment is crucial because it means the company is focused on disclosing financially material (important) sustainability information, ensuring that investors and analysts like you get a clear, consistent picture of their environmental risks and opportunities. Simply put, they are speaking the same language as the market when it comes to climate and resource management.

Their Board of Directors is tasked with overseeing the execution of the Environmental, Social, and Governance (ESG) strategies as an integrated part of the overall strategy and risk management. That's a direct line from the top. The goal is to balance environmental conservation with business growth by using the Matthews Management System (MMS) to drive efficiency in resource use.

Successfully reduced light usage by 53% at one facility and Volatile Organic Compound (VOC) content by 98% at another.

The commitment to environmental action shows up in concrete, measurable results across their operations. They've achieved significant reductions that directly cut operating costs and improve air quality. Here's the quick math on two site-specific wins:

• Light Usage Reduction: A single facility successfully reduced its lighting energy consumption by 53%. That's a huge drop in energy expenditure.
• VOC Content Reduction: Another site slashed its Volatile Organic Compound (VOC) content in materials by an impressive 98%. This directly improves worker health and reduces air pollution, which is defintely a win for the community.

These examples prove that the company's internal controls and management systems are working to deliver tangible environmental benefits. This isn't just theory; it's operational efficiency in practice.

Focus on sustainable energy solutions, including the 2025 Matthews Engineering Energy Summit.

The company is actively positioning its Industrial Technologies segment to capitalize on the global shift toward sustainable energy. A key 2025 initiative was the Matthews Engineering Energy Summit, held on September 17-18, 2025, in Vreden, Germany.

This summit wasn't just a networking event; it was a strategic move to showcase their capabilities in advanced, cleaner manufacturing processes. The focus was on:

• Dry Battery Electrode (DBE) Production: Their proprietary all-in-one solution for dry battery electrode production is a major opportunity, as this process is more cost-effective and environmentally sustainable than traditional wet electrode methods.
• Next-Gen Energy Technologies: The summit explored advancements in next-generation battery types and hydrogen fuel cell production solutions.

This focus aligns their core engineering expertise with the massive growth trajectory of the electric vehicle (EV) and energy storage markets, which is a significant long-term opportunity.

Global operations require a constant focus on reducing the environmental footprint across the supply chain.

With global operations spanning Memorialization, Industrial Technologies, and Brand Solutions (post-divestiture), managing the environmental footprint is a complex, continuous effort. The company's strategy explicitly targets reducing the footprint across the entire supply chain, not just at manufacturing sites.

This means driving down equipment energy expenditure, reducing emissions, and improving operational efficiency everywhere they operate. For context, the company reported total sales of $1,497.7 million for the fiscal year ended September 30, 2025. Managing the environmental impact of a business this size, especially one involved in manufacturing and industrial processes, is a constant pressure point and a source of operational risk.

To give you a clearer view of their environmental performance and strategic initiatives in 2025, here is a summary of key metrics and actions:

Environmental Metric/Action	Fiscal Year 2025 Data/Status	Strategic Impact
Light Usage Reduction (Single Site)	53% reduction achieved	Directly lowers utility costs and reduces Scope 2 emissions (purchased electricity).
VOC Content Reduction (Single Site)	98% reduction in materials	Improves air quality, reduces regulatory risk, and enhances worker safety.
Sustainable Energy Focus Event	Matthews Engineering Energy Summit (September 2025)	Positions Industrial Technologies in the high-growth, lower-carbon battery and fuel cell markets.
New Technology Adoption	Development of more environmentally sustainable dry electrode battery solutions	Offers a cleaner product alternative, creating a competitive advantage in the energy storage segment.
ESG Reporting Alignment	Aligned with GRI, SASB, and TCFD standards	Ensures financial and climate-related risks are transparently disclosed to investors and stakeholders.