Eastman Chemical Company · NYSE:EMN
Eastman Chemical — Q3 2019 Earnings Presentation
11 slides from Eastman Chemical's earnings presentation, Oct 25, 2019
Slide 1: Third-Quarter 2019 Financial Results
Third-Quarter 2019 Financial Results Mark Costa, Board Chair & CEO Curt Espeland, EVP & CFO October 25, 2019
Slide 2: Forward-looking statements; GAAP and Non-GAAP financial measures
Forward-looking statements During this presentation, we make certain forward-looking statements concerning plans and expectations for Eastman Chemical Company. We caution you that actual events or results may differ materially from our plans and expectations. See these slides and the remarks in the
Slide 3: Third-quarter 2019 business and strategic highlights
Third-quarter 2019 business and strategic highlights Growing portfolio of specialty products Continued progress on new business revenue from innovation, particularly in Advanced Materials Continued progress on aggressive cost management Returned $583 million to stockholders in first 9M 2019 and cont
Slide 4: 3Q 2019 financial results: Corporate
3Q 2019 financial results Corporate year over year sequential $2,547 $2,325 $2,363 $2,325 3Q18 3Q19 2Q19 3Q19 $451 ($ in millions, except EPS) ($ in millions, except EPS) $369 $389 $369 (9)% change $2.34 (2)% (3)% volume/mix effect (5)% price effect $1.94 change $1.99 $1.94 (1)% FX effect (2)% price
Slide 5: 3Q 2019 financial results: Advanced Materials
3Q 2019 financial results Advanced Materials year over year sequential $709 $697 $696 $697 3Q18 3Q19 2Q19 3Q19 ($ in millions) ($ in millions) $159 $159 $147 $145 (2)% 0% change change (1)% price effect 1% volume/mix effect (1)% FX effect (1)% price effect Sales revenue EBIT Sales revenue EBIT 5
Slide 6: 3Q 2019 financial results: Additives & Functional Products
3Q 2019 financial results Additives & Functional Products year over year sequential $915 $832 3Q18 3Q19 $823 $832 2Q19 3Q19 $182 ($ in millions) ($ in millions) $144 $147 $144 (9)% 1% change change (3)% volume/mix effect 4% volume/mix effect (5)% price effect (3)% price effect (1)% FX effect Sales r
Slide 7: 3Q 2019 financial results: Chemical Intermediates
3Q 2019 financial results Chemical Intermediates year over year sequential $703 3Q18 3Q19 2Q19 3Q19 ($ in millions) $631 ($ in millions) $579 $579 (18)% change (8)% (7)% volume/mix effect $79 change (11)% price effect (6)% volume/mix effect (2)% price effect $63 $34 $34 Sales revenue EBIT Sales reve
Slide 8: 3Q 2019 financial results: Fibers
3Q 2019 financial results Fibers year over year sequential $220 $217 $213 $217 3Q18 3Q19 2Q19 3Q19 ($ in millions) ($ in millions) $57 $51 $51 $51 2% (1)% change change 1% volume/mix effect (1)% volume/mix effect 1% price effect Sales revenue EBIT Sales revenue EBIT 8
Slide 9: 9M 2019 cash flow and other financial highlights
9M 2019 cash flow and other financial highlights Expect FY19 Returned Remain Forecasted FY19 free cash flow $583 committed effective tax rate of ~16% approaching million to $1.1 billion to stockholders investment $325 grade million credit share rating repurchases $258 million dividend 9
Slide 10: Full-year 2019 outlook
Full-year 2019 outlook Previous underlying assumptions Current underlying assumptions Innovation driving above-market growth No change Innovation driving above-market growth Flow through of lower-cost raw materials in No change Flow through of lower-cost raw materials in 2H19 2H19 Pension headwind ~
Slide 11: Innovation-driven growth model even more important in an uncertain economy
Innovation-driven growth model even more important in an uncertain economy World-Class Differentiated Relentlessly Technology Application Engage Platforms Development the Market Significant integration and scale enable innovation, reliability and cost advantage Advantaged growth and execution capabi
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