Average technical full-time equivalent employees decreased 2% to 958 from the prior year.
Billable hours decreased 6% year-over-year to approximately 359,000 hours.
Capital expenditures were $2.3 million.
Compensation expense increased 2% after adjusting for deferred compensation gains, which were significantly higher this quarter.
EBITDA decreased 7% to $37 million, with a margin of 27.8% compared to 30.2% in Q2 2024, primarily due to decreased utilization, increased operating expenses, and loss of tenant income.
G&A expenses increased 2% to $6.1 million.
Interest income increased to $2.3 million due to higher cash balances.
Net income decreased to $26.6 million or $0.52 per diluted share from $29.2 million or $0.57 per diluted share in the prior year period.
Other operating expenses increased 8% to $12.1 million, driven by Phoenix lease renewal and loss of rental income at Menlo Park.
Realized rate increase was approximately 5%, reflecting premium market positioning and differentiated expertise.
Shareholder distributions included $15.2 million in dividends and $27.7 million in stock repurchases at an average price of $75.66.
Total revenues for Q2 2025 increased 1% to $142 million, with net revenues approximately flat at $132.9 million compared to Q2 2024.
Utilization declined to 72.1% from 75.1%, partly due to the July 4 holiday occurring in Q2 2025 versus Q3 2024.
Strategic Initiatives to Strengthen Market Position Amid Industry Uncertainty
GrafTech outlined a series of strategic initiatives focused on increasing sales volume, regaining market share, improving pricing, reducing costs, and strengthening liquidity.
The company is actively shifting sales towards higher-priced regions, notably increasing U.S. sales volume by 38% year-over-year in Q2.
Despite flat demand, the company is outperforming broader market trends through disciplined execution and strategic geographic focus.
Dafinchi