Rogers Corporation (NYSE: ROG), a leading provider of advanced materials for various industries, saw its shares plummet by over 6% in after-hours trading on Wednesday after reporting disappointing fourth-quarter results and issuing a lackluster outlook for the first quarter of 2025.

For the quarter ended December 31, 2024, Rogers reported net sales of $192.2 million, down 6.1% year-over-year and in line with analysts' expectations. However, the company's adjusted earnings per share (EPS) of $0.46 fell short of the prior-year quarter's $0.60, although it beat the consensus estimate of $0.44.

The company's performance was weighed down by lower sales in its Advanced Electronics Solutions (AES) and Elastomeric Material Solutions (EMS) business units, as well as unfavorable product mix and volume declines. Rogers' gross margin contracted to 32.1% from 35.2% in the previous quarter, reflecting these headwinds.

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

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