Rogers Corporation (NYSE: ROG), a leading provider of advanced materials and components, saw its shares plummet 7.65% in pre-market trading on Thursday after reporting disappointing fourth-quarter results and issuing a lackluster outlook for the first quarter of 2025.

For the fourth quarter ended December 31, 2024, Rogers reported net sales of $192.2 million, a decrease of 6.1% year-over-year and slightly above analyst estimates of $191.8 million. However, the company's adjusted earnings per share (EPS) of $0.46 fell short of both the prior-year quarter's $0.60 and the consensus estimate of $0.44.

The company's performance was impacted by lower sales in its Advanced Electronics Solutions (AES) and Elastomeric Material Solutions (EMS) segments, driven by lower demand from portable electronics, wireless infrastructure, and industrial markets. Rogers' gross margin also contracted to 32.1% from 35.2% in the previous quarter, primarily due to lower volumes and an unfavorable product mix.

Looking ahead, Rogers provided a disappointing guidance for the first quarter of 2025. The company expects adjusted EPS in the range of $0.10 to $0.40, falling significantly short of analysts' expectations of $0.72. Additionally, Rogers forecasts revenue between $180 million and $195 million, with the midpoint of $187.5 million missing the consensus estimate of $200.2 million.

In the earnings release, Rogers' President and CEO, Colin Gouveia, acknowledged the challenges faced by the company, stating, "Many of our customers remain cautious about the timing of a recovery in the EV/HEV and industrial markets." He further emphasized the company's focus on securing new design wins, improving its cost structure, and maintaining a strong balance sheet in 2025.