Cabot Corporation · NYSE:CBT
Cabot — Investor Day (December 2024)
90 slides from Cabot's investor day presentation, Dec 4, 2024
Slide 1: Investor Day
INVESTOR DAY December 4, 2024
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements based on management’s current expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company’s strategy for growth, the future growth
Slide 3: Today's Agenda
Today’s Agenda 9:30AM Welcome and Opening Remarks 10:45AM Performance Chemicals Steve Delahunt Jeff Zhu VP, Treasurer and Investor Relations EVP and President, Carbon & Silica Technologies, Battery Materials and Asia Pacific Proven Performance, Creating for Tomorrow Region Sean Keohane President and
Slide 4: Our Purpose
Our Purpose Creating materials that improve daily life and enable a more sustainable future. Investor Day 2024 | 4
Slide 5: Proven Performance, Creating for Tomorrow
Proven Performance, Creating for Tomorrow Sean Keohane President and Chief Executive Officer
Slide 6: Key Messages
Key Messages 1 2 3 4 5 Market Leader Strong Track Proven Ability to Well-Positioned to Clear Strategy to with Size and Scale Record of Execution Deliver Customer Win the Sustainability Achieve Targets Value Transition Broad global footprint, Demonstrated Deep industry expertise Unique offering Focus
Slide 7: Cabot Corporation At-a-Glance
Cabot Corporation At-a-Glance Global specialty chemicals and performance materials company Key Statistics End Market Sectors3 FY24 Financial Revenue (%) Highlights 1882 Founded 13% 4% $4.0B Boston, MA Revenue Headquarters 43% $777M 13% ~$6.1B Adjusted EBITDA2 Market Cap1 19% ~4,300 Adj. EBITDA Margi
Slide 8: Segment Overview
Segment Overview Broad range of products used in a wide variety of applications REINFORCEMENT MATERIALS PERFORMANCE CHEMICALS Global leader with durable, growing Portfolio of leading high-growth, high-margin product earnings, and robust cash generation lines, aligned with favorable macrotrends Reinf
Slide 9: Driving Growth Through Purpose, Strategy, and Values
Driving Growth Through Purpose, Strategy, and Values Creating materials that improve daily life OUR PURPOSE and enable a more sustainable future. Creating for Tomorrow OUR STRATEGY We will leverage our strengths to lead in performance and sustainability — today and into the future. Integrity Excelle
Slide 10: Experienced Management Team
Experienced Management Team Track record of success Year Joined 2002 2002 2005 2012 2008 Sean Keohane Erica McLaughlin Bart Kalkstein Jeff Zhu Karen Kalita President & Chief EVP, Chief Financial Officer EVP & President, Reinforcement EVP & President, Carbon & Silica SVP & General Counsel Executive O
Slide 11: Experienced Board to Support Company Strategy
Experienced Board to Support Company Strategy Diverse Set of Expertise Accounting/ Finance Michael Morrow Dr. Cynthia Douglas Del Juan Enriquez Chemical Industry Chairman Arnold Grosso CEO, Biotechonomy Former Partner, PwC Former CTO, Former President Ventures; Managing Corporate Governance Va
Slide 12: Strong Earnings Growth with High ROIC
Strong Earnings Growth with High ROIC Adjusted EPS1 Adjusted EBIT1 Adjusted ROIC1 ($ millions) ($ millions) 19% 18% $633 $7.06 +9% +9%CAGR CAGR 15% +12% CAGR $492 $5.02 $419 $4.03 8% $286 $2.49 FY2015 FY2018 FY2021 FY2024 FY2015 FY2018 FY2021 FY2024 FY2015 FY2018 FY2021 FY2024 Creating for Tomorrow
Slide 13: Successful Execution of Our 2021 Investor Day Goals
Successful Execution of Our 2021 Investor Day Goals Adj. EPS1 Growth Cumulative DFCF1 Generation (3 Yr. CAGR) $1.2B Capital Priorities FY22-FY24 $7.06 Capital expenditures focused on 12% >$1.0B maintaining world class assets and Achieved high confidence, high return growth projects Paid $265 mil
Slide 14: Delivered Outsized Shareholder Return Since Last Investor Day
Delivered Outsized Shareholder Return Since Last Investor Day Key Elements Driving Cabot’s Performance Total Shareholder Return 160 Executed with operational and commercial 140 excellence discipline at the core 120 100 Agile and resilient team navigated significant 80 (%) levels of destocking 60 40
Slide 15: Our Competitive Advantages
Our Competitive Advantages Exceptional talent: global perspective with local leaders Unparalleled Leading assets: flexibility through global manufacturing network Global Footprint Ability to support customers with local supply Strong innovation heritage Innovative Technology Deep applicati
Slide 16: Competitive Global Network of Assets
Competitive Global Network of Assets 38 plants and 8 R&D facilities globally Significant economies of scale; superior cost competitiveness Regional asset base supports both in region and global demand Geographically Aligned with Customers; Allows for Greater In-Region Supply and Demand Investo
Slide 17: Creating Value from Technology
Creating Value from Technology Applications Particle Design Process Technology Tires with improved tread wear Structure Proprietary reactor designs for better fuel economy Conductivity Differentiated treatment Batteries with enhanced Reinforcement technologies energy storage and extended
Slide 18: Product Portfolio Aligned to Key Macro-trends
Product Portfolio Aligned to Key Macro-trends Changing Global The Sustainability Mobility Landscape Infrastructure Buildout Transition Li-ion batteries for EVs Alternative energy growth Customers are innovating to Light-weighting of vehicles Expanded and improved power deliver more sustainab
Slide 19: A Leader in Performance and Sustainability
A Leader in Performance and Sustainability Innovative Solutions Responsible Operations Industry Recognition PROPEL® Battery Materials E Series ENERMAX® CNS Carbon Blacks E2C® EVOLVE® Solutions Sustainable Solutions Investor Day 2024 | 19
Slide 20: Our Strategy | Creating for Tomorrow
Our Strategy | Creating for Tomorrow Leverage our strengths to lead in performance and sustainability — today and into the future. GROW INNOVATE OPTIMIZE Investing for Developing innovative Driving continuous advantaged growth products and processes improvement in that enable a better everything we
Slide 21: Grow: Investments Create Foundation for Earnings Growth
Grow: Investments Create Foundation for Earnings Growth Conductive Additives Specialty Compounds Dispersion Capacity Specialty Carbons Capacity Addition Addition Capacity Addition Completed Projects Cilegon, Indonesia Zhuhai, China Xuzhou, China In-Process Projects Cilegon, Indonesia Port Dickson, M
Slide 22: Grow: Growth Vector Update
Grow: Growth Vector Update Investments expected to drive long-term earnings growth Battery Materials Inkjet E2C® Solutions Leading manufacturer with broad suite of Transition from analog to digital Lifecycle assessment shows that E2C can conductive additives, fumed metal oxides and printing un
Slide 23: Innovate: Differentiated Product Performance
Innovate: Differentiated Product Performance Optimizing Tire Performance Enhancing EV Efficiency and Tire Durability for Greater Fuel Efficiency PROPEL® E8 engineered reinforcing carbon E2C® DX9660 solution for reduced rolling promotes better efficiency and increased resistance and improved tread li
Slide 24: Optimize: Commercial and Operational Excellence
Optimize: Commercial and Operational Excellence Data Asset Analytics Reliability World Quality Voice of Class and Capital Customer Commercial CRM Operational Service Efficiency Excellence Excellence Strategic Key Account Energy Process and Yield Pricing Management Recovery Optimization Disciplined E
Slide 25: Our Path Forward 2025-2027
Our Path Forward 2025-2027 Strong Growth underpinned by macro-trends in Changing Mobility Landscape, Global Growth Infrastructure Buildout, and the Sustainability Transition Maintain attractive RONA Trajectory Continued Disciplined approach to working capital execution to support robust cash f
Slide 26: 2025-2027 Corporate Targets
2025-2027 Corporate Targets Positioned to deliver continued strong financial performance Expect Adjusted EPS1 CAGR of 7-10% $0.9-$1 billion of Adjusted EBITDA1 expected by FY2027 1. Non-GAAP measure – See Appendix Investor Day 2024 | 26
Slide 27: Key Takeaways
Key Takeaways 1 2 3 4 5 Market Leader Strong Track Proven Ability Well-Positioned Clear Strategy to with Size and Record of to Deliver to Win the Achieve Targets Scale Execution Customer Value Sustainability Transition Investor Day 2024 | 27
Slide 28: Reinforcement Materials
Reinforcement Materials Bart Kalkstein EVP & President, Reinforcement Materials & Americas Region
Slide 29: Reinforcement Materials | Key Messages
Reinforcement Materials | Key Messages 1 2 3 4 Global Leader with Robust Strong Operator with Track Targeted Capacity Growth in Sustainable Solutions for the Cash Generation Record of Execution Advantaged Geographies Mobility Evolution Global footprint serving leading Continuous improvement in Organ
Slide 30: Reinforcement Materials At-a-Glance
Reinforcement Materials At-a-Glance Key Products Industry Environment Cabot’s Industry Leadership Reinforcing carbons provide durability to Long-term reinforcing carbon Broad global footprint to best rubber goods demand CAGR of 2-3%1 serve global customers and E2C® solutions deliver higher l
Slide 31: Rubber Applications Using Reinforcing Carbons
Rubber Applications Using Reinforcing Carbons Reinforcing Carbons for Rubber Applications1 OEM OEM 24% 17% Auto Industrial Rubber 48% Products, 22% Light Vehicle 2024 Tires, 35% Industry 76% 83% Off the Road Replacement and Other Volumes Replacement 52% Tires, 18% Non-Auto Heavy Commercial Vehicle T
Slide 32: Tire Market Fundamentals
Tire Market Fundamentals Industry Structure Recent Developments Western Markets Global Tire Makers Structurally dependent on Asian tire production Focused on higher growth, higher value 18+ inch tires for ~35% of Western tire sales 1 Western markets, driven by their OEM customers Tire demand
Slide 33: Attractive Network of Global Assets
Attractive Network of Global Assets 40% 21% 1 1 Americas EMEA 39% 1 Asia 20 plants globally Geographically aligned with customers and reinforcing carbons growth Significant economies of scale; superior cost competitiveness The Right Assets in the Right Places 1. Percent of FY2024 revenue Inves
Slide 34: Strong Profitability and Cash Generation
Strong Profitability and Cash Generation Segment EBIT1 Recent Growth Highlights Segment EBITDA ($M) ($ millions) & EBITDA Margin1 Leveraging deep customer 23% $537 relationships with global leaders and $603 higher growth Asian players in tire market 22% +16% CAGR Upgrading of portfolio through p
Slide 35: Key Growth Levers for Reinforcement Materials
Key Growth Levers for Reinforcement Materials Continued Margin Improvement through Investing in Targeted Commercial and Capacity Additions Operational Excellence Capitalizing on the Changing Winning the Sustainability Mobility Landscape Transition for Future Volume Growth Levers Expected to Drive Ma
Slide 36: Strong Execution Driving Past and Future Performance
Strong Execution Driving Past and Future Commercial & Operational Performance Excellence Commercial Excellence Operational Excellence Leading supply position with key global tire accounts Added ~140,000 MT of available capacity through debottlenecking and OEE1 improvements since 2015 Comprehen
Slide 37: Indonesia Capacity Expansion
Indonesia Capacity Expansion Capacity Additions Expansion project to support growth of local reinforcing carbons market Cabot is the only reinforcing carbons producer in Indonesia Southeast Asia is the fastest growing region in the world Region is short of capacity, relies on imports Expansi
Slide 38: Engineered Elastomer Composites (E2C) Solutions On Track as Long-term Growth Platform
Engineered Elastomer Composites (E2C®) Sustainability Transition Solutions On Track as Long-term Growth Platform Investing in expansion project to double capacity Novel rubber composites with Successfully commercializing in New capacity will enable growth into the dramatically improved dispersion qu
Slide 39: EVOLVE Sustainable Solutions
EVOLVE® Sustainable Solutions Sustainability Transition EVOLVE Sustainable Solutions is a technology platform for delivering RENEWABLE more sustainable reinforcing carbons and other performance materials RECOVERED Products powered by EVOLVE Sustainable Solutions offer sustainable content with reliab
Slide 40: Electric Vehicle Growth Expected to Change Tire Markets
Electric Vehicle Growth Expected to Changing Mobility Landscape Change Tire Markets Over the Next Decade Plus Light Vehicle Production Light Vehicle PARC1 Faster wear rates: EV tires wear (M) (M) 15-30% faster than ICE vehicle tires due 120 ~43% LVEV Production ~16% Parc EV to the increased load a
Slide 41: EV Tires Wear Faster per Leading Tire Companies
EV Tires Wear Faster per Changing Mobility Landscape Leading Tire Companies The Unexpected Problem With Michelin Electric Vehicle FAQ EVs: They 'Tire' Quickly “The combination of more weight and the addition of regenerative braking results in more rapid tire wear. On average, EVs will wear out a tir
Slide 42: Reinforcement Materials | Key Takeaways
Reinforcement Materials | Key Takeaways 1 2 3 4 Global Leader with Strong Operator Targeted Capacity Sustainable Solutions Robust Cash with Track Record Growth in for the Mobility Generation of Execution Advantaged Evolution Geographies Investor Day 2024 | 42
Slide 43: Break
Break CABOT 2
Slide 44: Performance Chemicals
Performance Chemicals Jeff Zhu EVP & President, Carbon & Silica Technologies, Battery Materials & Asia Pacific Region
Slide 45: Performance Chemicals | Key Messages
Performance Chemicals | Key Messages 1 2 3 4 Diversified portfolio with Recently expanded capacity Disciplined execution to Significant growth industry leading scale to enhance earnings drive earnings growth opportunities Geographically dispersed asset base Expansions in Asia, plus Commercial and op
Slide 46: Performance Chemicals Key Markets: Infrastructure / Industrial
Performance Chemicals Key Markets End Market Exposure1 Infrastructure / Industrial Macro Growth Drivers Indicators Representative Products Construction Replacement of Government Specialty carbons for power distribution 13% Infrastructure aging infrastructure spending cables / Industrial 23%
Slide 47: Performance Chemicals Key Markets: Mobility
Performance Chemicals Key Markets End Market Exposure1 Mobility Macro Growth Drivers Indicators Representative Products Construction Electrification of EV sales growth Conductive additives for batteries 13% Infrastructure transportation IHS Markit new car Specialty carbons and silicas for
Slide 48: Performance Chemicals Key Markets: Consumer / Other
Performance Chemicals Key Markets End Market Exposure1 Consumer / Other Macro Growth Drivers Indicators Representative Products Construction Wage growth and Consumer Specialty carbons for consumer 13% Infrastructure unemployment spending electronics, conductive packaging / Industrial 23% Eme
Slide 49: Performance Chemicals Key Markets: Construction
Performance Chemicals Key Markets End Market Exposure1 Construction Macro Growth Drivers Indicators Representative Products Construction Housing demand Housing starts Fumed silicas for 13% Infrastructure improved mechanical performance of / Industrial Interest rates Existing home adhesives
Slide 50: Attractive Network of Global Assets
Attractive Network of Global Assets 29% 1 18 plants regionally 30% 1 EMEA dispersed matching with Americas 41% 1 end market demand Asia Integrated operations with raw material suppliers and steam customers enabling circularity in our supply chains Co-location synergies between product lines en
Slide 51: Diverse Portfolio of Product Lines Poised for Recovery and Long-Term Growth
Diverse Portfolio of Product Lines Poised for Recovery and Long-Term Growth Segment EBIT1 Recent Developments Segment EBITDA ($M) ($ millions) & EBITDA Margin1 Destocking largely ended and 25% $211 volumes recovering, leading to 24% 25% $284 $200 positive-growth trajectory 19% $178 $248 $242 $232
Slide 52: Key Growth Levers for Performance Chemicals
Key Growth Levers for Performance Chemicals Completed Growth Continued Commercial and Investments Adding Operational Excellence Earnings Capacity Favorable Macro-trends Growth Vectors Positioned in Legacy Product Lines to Win; Spotlight on Battery Materials Levers Expected to Drive Margin and Volume
Slide 53: Strong Execution Driving Performance
Strong Execution Driving Performance Commercial and Operational Excellence Commercial Excellence Operational Excellence Outcome Margin expansion Rigorous approach to all Unit Margin1 Improvement in Core Product Lines2 through focusing on high value spending categories within Feedstock Utilities
Slide 54: Investments Completed Since 2021
Investments Completed Since 2021 Investments Fueling earnings growth in key end-markets 10kmt expansion of dispersion capacity for 40kmt specialty carbons capacity added conductive additives Serving infrastructure, mobility, and Directly supports both Chinese and western consumer end-markets
Slide 55: Infrastructure: Favorable Drivers for Growth and Strong Product Differentiation
Infrastructure: Favorable Drivers for Favorable Macro-trends Growth and Strong Product Differentiation Replacement of the Global Grid Growth in Wind Energy Global Cable Demand (GWH) Wind Energy (GWH) Million Km of new grid installation - 2024 Projections 200 Global Annual Capacity Additions - 2024 P
Slide 56: Notable Progress in Battery Materials
Notable Progress in Battery Materials Growth Vectors Over the last three years…. Cabot volumes grew at a 30% CAGR Sales to 9 out of the top 10 global battery producers Added footprint and significant customer wins Awarded supply contract for new gigafactory in Europe in 2024 Awarded DOE grant to
Slide 57: Promising Outlook in Battery Materials
Promising Outlook in Battery Materials Growth Vectors Global Lithium-Ion Battery Demand1 Global Battery Production2 (GWh) 4,000 21% CAGR 2024-2030 3,000 20% 2,000 50% 50% 1,000 80% 0 2021 2022 2023 2024e 2025e 2026e 2027e 2028e 2029e 2030e China 2024 Non-China 2030 Lithium-ion battery demand is pr
Slide 58: We Have a Right to Win in Conductive Materials for Lithium-ion Batteries
We Have a “Right to Win” in Conductive Growth Vectors Materials for Lithium-ion Batteries Unique Product Portfolio Technology Leader Global Capacity Additions Leading technology provider in Conductive additives supply in Full range of conductive carbons, every region CNTs and nanostructures, i
Slide 59: Performance Chemicals | Key Takeaways
Performance Chemicals | Key Takeaways 1 22 3 4 Diversified portfolio Recently expanded Disciplined execution Significant growth with industry capacity to enhance to drive earnings opportunities leading scale earnings growth Investor Day 2024 | 59
Slide 60: Financial Framework
Financial Framework Erica McLaughlin EVP, Chief Financial Officer and Head of Corporate Strategy
Slide 61: Financial Framework | Key Messages
Financial Framework| Key Messages 1 2 3 4 Strong Execution Robust Cash Capital Allocation Priorities Confidence in Go Forward Track Record Generation Remain Balanced Growth Plan Met corporate financial Discretionary Free Cash Flow Focused on a balanced approach Enabled by strategy execution and comm
Slide 62: Robust Financial Performance
Robust Financial Performance Adjusted EPS1 Adjusted EBIT1 Adjusted ROIC1 ($ millions) ($ millions) 19% 18% $7.06 $633 +9% CAGR 15% +12% CAGR $492 $5.02 $419 $4.03 $286 8% $2.49 FY2015 FY2018 FY2021 FY2024 FY2015 FY2018 FY2021 FY2024 FY2015 FY2018 FY2021 FY2024 Creating for Tomorrow Strategy Driving
Slide 63: Discretionary Free Cash Flow (DFCF)
Discretionary Free Cash Flow (DFCF)1 Discretionary Free Cash Flow1 ($ in Millions) Exceeded 2021 Investor Day Goal of >$1B of Cumulative DFCF Generation from FY22-FY24 ≥$500 Strong Adjusted EBITDA drove step-up in DFCF1 starting in 2024 $396 Expect DFCF1 to grow to $500M+ in FY27 as we continu
Slide 64: Strong and Flexible Balance Sheet
Strong and Flexible Balance Sheet Key Financial Metrics2 Liquidity/Credit Ratings2 Adjusted EBITDA1 $777M Significant liquidity ($1.4B); $1.2B untapped on Cash Balance $223M credit facilities Staggered bond maturities Gross Debt $1,140M Committed to maintaining investment-grade credit DFCF1 $4
Slide 65: Capital Allocation Framework
Capital Allocation Framework High Confidence, Accretive Grow Share Maintain Financial High Return Growth M&A Dividend Repurchases Flexibility Investments Prioritize investments Disciplined approach Continued support of Expect to be active in Committed to in high-growth areas to M&A opportunities a g
Slide 66: Capital Investments Underpin Growth Outlook
Capital Investments Underpin Growth Outlook Total Expected Start Capital Expenditures KEY GROWTH PROJECTS Capital up Date Outlook and Focus Areas Reinforcement Materials Total capex spend expected to be Reinforcing Carbons Capacity Expansion – Indonesia $250-$350M per year for the next ~$20M of
Slide 67: M&A Priorities
M&A Priorities STRATEGIC FOCUS AREAS Accretive acquisitions to support strategy Strengthen and drive incremental growth above targets Business Competitive Capability and capacity in high growth segments Position - Battery Materials Growth Accretive to - Inkjet Packaging and/or Margin Earnings En
Slide 68: Industry Competitive and Growing Dividend
Industry Competitive and Growing Dividend Dividend Per Share Uninterrupted divided payment +8% CAGR $1.69 for over 50 years $1.42 $1.31 Grew the dividend per share $0.88 payment every year since CY2015 Key priority of capital allocation framework CY2015 CY2018 CY2021 CY2024 Remain Committed to an In
Slide 69: Repurchased Nearly $900 Million Since 2015
Repurchased Nearly $900 Million Since 2015 Reduced share count by 13% ($M) (Outstanding Shares M) $1,000 Cumulative Share Repurchases 64.0 $900 62.0 $800 $700 60.0 $600 58.0 $500 56.0 $400 $300 54.0 $200 52.0 $100 $- 50.0 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Cumulati
Slide 70: 3-Year Consolidated Financial Targets
3-Year Consolidated Financial Targets KEY MACRO DRIVERS AND CAGR ASSUMPTIONS Adjusted EPS6 Global GDP1 3% 7%-10% CAGR Tire Production2 2% Auto Builds3 3% Polymer Demand (Plastics)4 3% Global Lithium-Ion Battery Demand5 23% Adjusted $0.9-$1 Billion Oil Prices Forward curve EBITDA6 Foreign Currency Ex
Slide 71: Driving Growth Across the Portfolio
Driving Growth Across the Portfolio Reinforcement Materials Growth Drivers Total Segment EBIT1 ($M) Low single digit volume CAGR expected, aligned with market growth and supported by capacity investment in Indonesia $80 - $100 ~$860 - $900 Continuous commercial and operational improvements to $8
Slide 72: Compelling Path to Shareholder Value Creation
Compelling Path to Shareholder Value Creation Adjusted EBITDA1 Target of ~$0.9-$1 Billion Adjusted EPS1 Target CAGR of 7%-10% Driven by Competitive Dividend Yield Creating for Tomorrow Strategy Share Repurchase Authorization of >$1 Billion2 Top-Tier Total Shareholder Return Strong Execution Track Re
Slide 73: Financial Framework | Key Takeaways
Financial Framework| Key Takeaways 1 2 3 4 Strong Execution Robust Cash Capital Allocation Confidence in Go Track Record Generation Priorities Remain Forward Growth Plan Balanced Investor Day 2024 | 73 73
Slide 74: Closing Remarks
Closing Remarks Sean Keohane President and Chief Executive Officer
Slide 75: Cabot: A Compelling Investment Thesis
Cabot: A Compelling Investment Thesis Right Strategy "Creating Technology Aligned with Growth Objectives Capital Allocation for Tomorrow" Key Macro-trends Grow Changing Mobility Targeting 3-year Adj. Strong cash flow Landscape EPS1 CAGR of 7-10% generation Innovate Global Infrastructure
Slide 76: Q&A
Q&A
Slide 77: Appendix
Appendix
Slide 78: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures This presentation includes references to adjusted earnings per share (EPS), adjusted EBITDA, adjusted EBIT, adjusted EBITDA margin, total segment EBITDA, total segment EBIT, segment EBIT margins, adjusted return on invested capital (ROIC), discretionary free cash f
Slide 79: Non-GAAP Reconciliations: Adjusted EPS
Non-GAAP Reconciliations Adjusted EPS Per Share/Fiscal Year FY 20151 FY 20182 FY 2021 FY 2024 Net income (loss) per share attributable to Cabot Corporation $ (5.49) $ (1.85) $ 4.34 $ 6.72 Less: Net Income (loss) per share from discontinued operations 0.02 - - - Net income (loss) per share from conti
Slide 80: Non-GAAP Reconciliations: Adjusted EBIT and EBITDA
Non-GAAP Reconciliations Adjusted EBIT, Adjusted EBITDA, and Adjusted EBITDA Margin Dollars in Millions/Fiscal Year FY 20151 FY 2018 FY2021 FY 2024 Income (loss) from continuing operations before income taxes and $ (399) $ 117 $ 406 $ 529 equity in earnings of affiliated companies Interest expense 5
Slide 81: Non-GAAP Reconciliations: Segment EBITDA
Non-GAAP Reconciliations Segment EBITDA and Segment EBITDA Margin Dollars in Millions/Fiscal Year FY 2015 FY 2018 FY2021 FY 2024 Reinforcement Materials EBIT $ 143 $ 279 $ 329 $ 537 Plus: Depreciation and amortization 83 70 70 66 Reinforcement Materials EBITDA 226 349 399 603 Reinforcement Materials
Slide 82: Non-GAAP Reconciliations: Segment EBIT
Non-GAAP Reconciliations Segment EBIT Dollars in Millions/Fiscal Year FY2021 FY 2024 $ 406 $ 529 Income (loss) from continuing operations before income taxes and equity in earnings of affiliated companies Interest expense 49 81 Certain items 34 59 Unallocated corporate costs 58 68 General unallocate
Slide 83: Non-GAAP Reconciliations: Adjusted ROIC
Non-GAAP Reconciliations Adjusted Return on Invested Capital (ROIC) Dollars in Millions/Fiscal Year FY 20151 FY 2018 FY2021 FY 2024 Numerator - Adjusted net income (loss): Net Income (loss) attributable to Cabot Corporation $ (334) $ (113) $ 250 $ 380 Less: Certain Items, net of tax benefit (provisi
Slide 84: Non-GAAP Reconciliations: Net Debt to Adjusted EBITDA
Non-GAAP Reconciliations Net Debt to Adjusted EBITDA Dollars in Millions/Fiscal Year FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 Current portion of long-term debt & Short-term borrowings $ 23 $ 8 $ 263 $ 284 $ 40 $ 21 $ 445 $ 354 $ 182 $ 53 Long-Term Debt 970 918
Slide 85: Non-GAAP Reconciliations: Discretionary Free Cash Flow
Non-GAAP Reconciliations Discretionary Free Cash Flow (DFCF) Dollars in Millions/Fiscal Year FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Cash flow from operating activities $ 386 $ 340 $ 298 $ 363 $ 377 $ 257 $ 100 $ 595 $ 692 Less: Changes in net working capital 43 (23) (110) 25
Slide 86: Non-GAAP Reconciliations: Adjusted Payout Ratio
Non-GAAP Reconciliations Adjusted Payout Ratio Dollars in Millions/Fiscal Year FY 2022 FY 2023 FY 2024 FY 2022-2024 Numerator – Cumulative Share Repurchases and Dividends Share Repurchases 53 98 172 323 Dividends 84 88 93 265 Cumulative Dividend and Share Repurchases $ 137 $ 186 $ 265 $ 588 Denomina
Slide 87: Non-GAAP Reconciliations: Adjusted EBITDA Conversion
Non-GAAP Reconciliations Adjusted EBITDA Conversion Dollars in Millions/Fiscal Year FY 2022 FY 2023 FY 2024 FY 2022-2024 Numerator – Operating Cash Flow Operating Cash Flow $ 100 $ 595 $ 692 $ 1,387 Denominator – Adjusted EBITDA Income (loss) before income taxes and equity in earnings of affiliated
Slide 88: Leadership Bios
Leadership Bios CABOT 2
Slide 89: Leadership Bios
Leadership Bios Sean Keohane President and Chief Executive Officer Sean Keohane is president and chief executive officer of Cabot Corporation and a member of the Board of Directors. Since joining Cabot in 2002, Sean has held numerous key management positions including president of the Reinforcement
Slide 90: Leadership Bios
Leadership Bios Bart Kalkstein EVP and President, Reinforcement Materials and Americas Region Bart Kalkstein joined Cabot in 2005. Since joining the company, Bart has held several key management positions within the company, most recently as vice president of corporate strategy and development. He w