[April 25, 2017]

Ferro Reports Robust First Quarter 2017 Performance and Updates Full-Year Guidance

Ferro Corporation (NYSE: FOE) today reported results for the first quarter ended March 31, 2017.

Peter Thomas, Ferro's Chairman, President and CEO, said, "Ferro delivered another quarter of strong financial performance, as volume and sales growth continued the momentum from the second half of 2016. Over the past three consecutive quarters, we have delivered year-over-year improvements in organic volume and revenue growth, gross margin, and adjusted EBITDA margin.

"As we look toward the remainder of 2017, we expect organic sales growth to remain in line with our prior expectations and raw material headwinds to put pressure on margins consistent with our original guidance. We anticipate the strength we saw in the first quarter will be additive to our original full-year estimates however, and, therefore, are updating our adjusted EPS guidance for the full year to a range of $1.17 to $1.22 per diluted share.

"Along with organic growth, we also continued to extend our market leadership positions in functional coatings and color solutions by acquiring, in the second quarter, Italy based Smalti per Ceramiche, an attractive and complementary addition to our portfolio of high-end tile coating products.

"With intense focus on our strategic priorities, a solid financial position, and ongoing commitment to operational efficiencies, we are driving growth across our portfolio of businesses and have every confidence that we can create significant long-term value for our shareholders.''

2017 Consolidated First Quarter Results from Continuing Operations

First quarter net sales grew 15.5% to $320.6 million from $277.5 million in the prior-year quarter. On a constant currency basis, first quarter net sales increased 18.8% compared to the prior-year quarter. Gross profit increased 17.3% to $98.8 million from $84.2 million. Adjusted gross profit increased 20.4% to $101.4 million from $84.2 million, while adjusted gross profit margin expanded by 120 basis points to 31.6%. Ferro reported income from continuing operations in the first quarter of $22.1 million, or $0.26 per diluted share, compared with income from continuing operations of $19.8 million, or $0.23 per diluted share, for the prior-year quarter. On an adjusted basis, earnings per diluted share from continuing operations were $0.31, an increase of 40.9% from $0.22 per diluted share for the prior-year quarter.

In the first quarter of 2017, organic net sales (which exclude acquisitions owned less than 12 months) increased 6.7% on a constant currency basis.

Net cash provided by operating activities was $1.6 million, compared to a net use of $10.2 million in the prior-year quarter. Ferro's adjusted free cash flow from continuing operations was a use of $2.2 million, compared to a use of $2.8 million in the prior-year quarter. Adjusted free cash flow from continuing operations is defined as adjusted EBITDA from continuing operations less cash items used to operate the businesses, including cash taxes and interest, changes in working capital, capital expenditures and other cash items.

First Quarter Segment Results

In the first quarter, Ferro delivered improved financial performance in all three of its reporting segments.

• Color Solutions (CS) (formerly Pigments, Powders and Oxides) increased sales by 47.9%, to $90.5 million, and grew gross profit to $28.2 million and generated a gross profit margin to 31.1%
• Performance Color & Glass (PCG) increased sales by 17.4%, to $103.5 million, and grew gross profit to $37.4 million and gross profit margin to 36.1%
• Performance Coatings (PC) generated relatively flat sales at $126.6 million, while growing gross profit to $33.5 million and gross profit margin to 26.5%. Reformulation efforts - which drive gross margin expansion with higher volume but lower sales - adversely affected sales by approximately 3 to 4%.

Acquisition

On April 24, 2017, Ferro completed the acquisition of 100% of the equity interests of S.P.C. Group s.r.l. and Smalti per Ceramiche, s.r.l., ("SPC"), a high-end tile coatings manufacturer based in Italy that focuses on fast-growing specialty products, for approximately €19.8 million on a cash and debt free basis. SPC products, strong technology, design capabilities, and customer-centric business model are complementary to Ferro's Tile Coatings operations, and position Ferro for continued growth in the high-end tile markets.

The transaction multiple was 6.0x without full synergies. Ferro expects the transaction to be accretive to earnings in year one.

Outlook

Management is providing adjusted diluted EPS, adjusted EBITDA and adjusted free cash flow from operations guidance on a continuing operations basis. While it is likely that Ferro could incur charges, or have cash flows for items excluded from adjusted diluted EPS, adjusted EBITDA and adjusted free cash flow from continuing operations such as mark-to-market adjustments of pension and other postretirement benefit obligations, restructuring and impairment charges, and legal and professional expenses related to certain business development activities, it is not possible, without unreasonable effort, to identify the amount or significance of these items or the potential for other transactions that may impact future GAAP net income and cash flow from operating activities. Management does not believe these items to be representative of underlying business performance. Management is unable to reconcile, without unreasonable effort, the Company's forecasted range of adjusted EPS, adjusted EBITDA and adjusted free cash from continuing operations to a comparable GAAP measures.

Commenting on the outlook, Mr. Thomas said, "The actions we have taken over the past four years are driving strong financial results and positioning Ferro for sustainable growth. Given the momentum generated over the last four quarters, we remain confident that we can execute on our growth initiatives. As we noted last quarter, however we expect to see some fluctuations in gross profit margin in the remainder of 2017, due to the time lag between raw material price increases and our pricing actions in response. And foreign currency exchange rates may also impact results in 2017, as rates remain volatile. Our updated outlook reflects these considerations."

Based on the Company's performance and the full-year outlook, and recognizing potential raw material impacts and currency rates for the remainder of the year equal to rates on 12/31/2016, consistent with prior guidance, Ferro updated its 2017 guidance as follows:

• Adjusted EPS of $1.17 - $1.22 per diluted share, up from $1.12 - $1.17 per dilute share
• Adjusted EBITDA of $214 million - $219 million, up from $207 million - $212 million
• Adjusted Free Cash Flow from Continuing Operations of $85 million - $95 million, up from $80 million - $90 million
• Consolidated sales growth of 8.5% - 9.5%, up from 7% - 8%

The new guidance does not include the recent acquisition of SPC or any additional acquisitions or divestitures in 2017.

Financing Transaction

As announced on February 14, 2017, the Company has completed a successful refinancing of its debt structure, which increased liquidity, extended debt maturities, and provided improved operating flexibility. The refinancing positions Ferro to continue its value creation strategy with flexible financing options to support both organic and inorganic growth opportunities.

Constant Currency

Constant currency results reflect the re-measurement of 2016 reported and adjusted local currency results using 2017 exchange rates, resulting in constant currency comparative figures to 2017 reported and adjusted results. These non-GAAP financial measures presented should not be considered as a substitute for the measures of financial performance prepared in accordance with GAAP.

Conference Call

Ferro will conduct an investor teleconference at 10:00 a.m. EDT April 26, 2017. Investors can access this conference via the following:

• Webcast can be accessed by clicking on the Investor Information link at the top of Ferro's website at ferro.com.
• Live telephone: Call 888-222-3913 within the U.S. or +1 303-223-4369 outside the U.S. Please join the call at least 10 minutes before the start time.
• Webcast replay: Available on Ferro's Investor website at ferro.com beginning at approximately 12:00 noon Eastern Time on April 26, 2017
• Telephone replay: Call 800-633-8284 within the U.S. or +1 402-977-9140 outside the U.S. (for both U.S. and outside the U.S. access code is 21849794).
• Presentation material & podcast: Earnings presentation material and podcasts can be accessed through the Investor Information portion of the Company's Web site at ferro.com.

About Ferro Corporation

Ferro Corporation (www.ferro.com) is a leading global supplier of technology-based functional coatings and color solutions. Ferro supplies functional coatings for glass, metal, ceramic and other substrates and color solutions in the form of specialty pigments and colorants for a broad range of industries and applications. Ferro products are sold into the building and construction, automotive, electronics, industrial products, household furnishings and appliance markets. The Company's reportable segments include: Performance Coatings (metal and ceramic coatings), Performance Colors and Glass (glass coatings), and Color solutions. Headquartered in Mayfield Heights, Ohio, the Company has approximately 5,155 associates globally and reported 2016 sales of $1.15 billion.

Cautionary Note on Forward-Looking Statements

Certain statements in this press release may constitute "forward-looking statements" within the meaning of federal securities laws. These statements are subject to a variety of uncertainties, unknown risks, and other factors concerning the Company's operations and business environment. Important factors that could cause actual results to differ materially from those suggested by these forward-looking statements and that could adversely affect the Company's future financial performance include the following:

• demand in the industries into which Ferro sells its products may be unpredictable, cyclical, or heavily influenced by consumer spending;
• Ferro's ability to successfully implement and/or administer its optimization initiatives, including its restructuring programs, and to produce the desired results;
• currency conversion rates and economic, social, political, and regulatory conditions in the U.S. and around the world;
• Ferro's ability to identify suitable acquisition candidates, complete acquisitions, effectively integrate the businesses and achieve the expected synergies (including, but not limited to, the Smalti per Cermaiche, Cappelle Pigments, Electro-Science Laboratories, Delta Performance Products, Pinturas Benicarló, Ferer, Al Salomi, Nubiola and Vetriceramici transactions), as well as the acquisitions being accretive and Ferro achieving the expected returns on invested capital;
• the effectiveness of the Company's efforts to improve operating margins through sales growth, price increases, productivity gains, and improved purchasing techniques;
• Ferro's ability to successfully introduce new products or enter into new growth markets;
• the impact of interruption, damage to, failure, or compromise of the Company's information systems;
• restrictive covenants in the Company's credit facilities could affect its strategic initiatives and liquidity;
• Ferro's ability to access capital markets, borrowings, or financial transactions;
• the availability of reliable sources of energy and raw materials at a reasonable cost;
• increasingly aggressive domestic and foreign governmental regulations on hazardous materials and regulations affecting health, safety and the environment;
• competitive factors, including intense price competition;
• Ferro's ability to protect its intellectual property, including trade secrets, or to successfully resolve claims of infringement brought against it;
• sale of products and materials into highly regulated industries;
• the impact of operating hazards and investments made in order to meet stringent environmental, health and safety regulations;
• limited or no redundancy for certain of the Company's manufacturing facilities and possible interruption of operations at those facilities;
• management of Ferro's general and administrative expenses;
• Ferro's multi-jurisdictional tax structure and its ability to reduce its effective tax rate, including the impact of the Company's performance on its ability to utilize significant deferred tax assets;
• the effectiveness of strategies to increase Ferro's return on invested capital, and the short-term impact that acquisitions may have on return on invested capital;
• stringent labor and employment laws and relationships with the Company's employees;
• the impact of requirements to fund employee benefit costs, especially post-retirement costs;
• implementation of new business processes and information systems, including the outsourcing of functions to third parties;
• risks associated with the manufacture and sale of material into industries making products for sensitive applications;
• exposure to lawsuits in the normal course of business;
• risks and uncertainties associated with intangible assets;
• Ferro's borrowing costs could be affected adversely by interest rate increases;
• liens on the Company's assets by its lenders affect its ability to dispose of property and businesses;
• Ferro may not pay dividends on its common stock in the foreseeable future;
• amount and timing of any repurchase of Ferro's common stock; and
• other factors affecting the Company's business that are beyond its control, including disasters, accidents and governmental actions.

The risks and uncertainties identified above are not the only risks the Company faces. Additional risks and uncertainties not presently known to the Company or that it currently believes to be immaterial also may adversely affect the Company. Should any known or unknown risks and uncertainties develop into actual events, these developments could have material adverse effects on our business, financial condition and results of operations.

This release contains time-sensitive information that reflects management's best analysis only as of the date of this release. The Company does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information, or circumstances that arise after the date of this release. Additional information regarding these risks can be found in our Annual Report on Form 10-K for the year ended December 31, 2016.

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