SCI Engineered Materials, Inc.

SCI Engineered Materials, Inc. is an Ohio-based manufacturer and supplier of advanced materials used in physical vapor deposition (PVD) thin-film applications. The company serves photonics-related end markets such as aerospace, automotive, defense, glass, optical coatings, and solar, and operates as a single global business focused on customized materials solutions.

11,6 %

25,7 %

8,9 %

−14,3 %

5.52

4.93

— SCI Engineered Materials, Inc.
%
PVD thin-film materials55% Advanced materials used in physical vapor deposition coating processes.
Sputtering targets25% Metal and ceramic targets used to deposit thin films in coating systems.
Specialty optical and conductive materials10% Products such as Indium Tin Oxide for optical and conductive applications.
Defense and armor materials10% Boron carbide-based products used in defense and aerospace applications.

SCI sells primarily to multinational customers that use its materials in industrial and photonics-related manufacturing...

  • Multinational industrial customersprimary

    Buy advanced PVD materials for global manufacturing operations and recurring production needs.

  • OEMs and end usersprimary

    Purchase customized engineered materials developed for specific coating applications.

  • Defense and aerospacesecondary

    Buy Boron Carbide Armor and related products for performance and domestic sourcing.

  • Optical coatings and glasssecondary

    Use thin-film materials for optical performance, durability, and surface properties.

  • Automotive and solarsecondary

    Buy coating materials for industrial applications where thin-film performance matters.

SCI describes itself as a global supplier, but substantially all revenue comes from customers with multinational...

  • •Headquartered in Ohio, United States
  • •Operates as one segment and one location
  • •Substantially all revenue comes from multinational customers
  • •Limited marketing and sales capability outside North America
  • •International reach depends on customer relationships and trade shows

SCI's strategy centers on developing new advanced materials, expanding into niche markets, and commercializing products...

01
New product development and commercializationmedium-term

Keeps the company relevant in rapidly changing thin-film materials markets.

02
Broaden market presence beyond North Americamedium-term

Reduces dependence on a narrow customer base and expands addressable demand.

03
Defend and grow domestic defense/aerospace offeringsshort-term

Domestic sourcing can be a differentiator for sensitive end markets.

SCI faces high customer concentration, technology obsolescence, and competition from larger materials companies with...

critical

Customer concentration

A small number of customers represent most sales, so order changes can sharply affect revenue.

Scope
Top two customers accounted for about 84.5% of 2025 net sales
Materiality
high
high

Technology obsolescence

PVD materials evolve quickly and products can be displaced by new materials or processes.

Scope
Sputtering targets and thin-film applications
Materiality
high
high

Competitive pressure

Larger competitors may have more capital, broader product lines, and faster innovation.

Scope
PVD materials market
Materiality
high
high

Single-site operational concentration

A disaster or disruption at the manufacturing facility could interrupt production and shipments.

Scope
One operating location
Materiality
medium
medium

Input cost and supply chain volatility

Raw materials, freight, labor, and tariffs can move quickly and are difficult to fully pass through.

Scope
Global sourcing and manufacturing
Materiality
medium
Allowance for expected credit losses
Affects accounts receivable and bad debt expense
Inventory valuation and reserves
Affects gross profit and inventory carrying value
Revenue recognition
Affects reported revenue and period-to-period comparability
Long-lived asset impairment
Affects property, plant and equipment and operating results
Useful lives and depreciation
Affects operating expense and asset carrying values

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: 29/04/2026