Ecovyst Inc. · NYSE:ECVT
Ecovyst — Investor Presentation (August 2022)
20 slides from Ecovyst's investor presentation, Aug 22, 2022
Slide 1: Investor Presentation August 2022
Investor Presentation August 2022 YOUR CATALYST FOR POSITIVE CHANGE ™
Slide 2: Legal Discussion
Legal Discussion Continuing Operations Financial results for fiscal 2019A-2020A are on a continuing operations basis, which excludes the Performance Materials and Performance Chemicals business segments from all quarterly and yearly results presented, unless otherwise indications, as presented in th
Slide 3: Ecovyst Business Profile & Value Proposition
Ecovyst Business Profile & Value Proposition An Industry-leading Provider of Specialty Catalysts and Services into Key End Uses • Favorable organic growth trends driven by end use demand and growing need for sustainable products and services • Significant revenue visibility arising from customer col
Slide 4: Ecovyst At a Glance
Ecovyst At a Glance Ecovyst Ecovyst is a leading, integrated provider of specialty catalysts and by the numbers services. Through our Ecoservices and Catalyst Technologies businesses, we deliver chemistry-based technologies and solutions that help our customers meet the increasing demand for $876.5
Slide 5: Ecovyst Reporting Segments
Ecovyst Reporting Segments Catalyst Ecoservices Technologies June 2022 TTM $627 Million $250 Million2 Sales June 2022 TTM Segment Adj. $214 Million $87 Million EBITDA1 Regeneration Treatment Catalyst Silica Catalysts Zeolyst International Virgin Sulfuric Acid Services Services Activation (100% Owner
Slide 6: An Attractive Growth Platform
An Attractive Growth Platform Expected to Drive Customer Solutions in High-growth, Higher Margin Industry Segments Increase Share in Attractive Growth Industries • Anticipated growth above underlying industry growth in polyethylene • Advantaged virgin acid asset footprint positioned to capture growt
Slide 7: Demand Fundamentals Remain Favorable
Demand Fundamentals Remain Favorable 2021 Industry End Key Total Growth 2022 Anticipated Demand Drivers Use Products Sales Rate Regeneration CLEAN FUELS Rebounding gasoline demand and exports For Alkylation ~32% ~4% Increasing U.S. refinery utilization to >90% INDUSTRIAL Ecoservices Virgin Sulfuric
Slide 8: Innovation Portfolio Focused on Sustainable Solutions and Services
Innovation Portfolio Focused on Sustainable Solutions and Services % of R&D Spend On • Greater than 71%1 of end use sales address customer and Green Technologies consumer demand for more sustainable products and services ~80% ~90% More than 80%1 of innovation investment focused on products ~60% Sust
Slide 9: Financial Performance – Q2 2022
Financial Performance – Q2 2022 Second Quarter Financial Results Second Second Quarter Quarter $ % ($ in millions) 2022 2021 Change Change Ecovyst Sales 225.2 147.0 78.2 53.2 Zeolyst JV Sales 35.9 33.2 2.7 8.2 Adjusted EBITDA1 72.9 52.7 20.2 38.3 Adjusted EBITDA Margin1,2 (%) 27.9 29.3 (140 bps) $ %
Slide 10: Ecoservices - Q2 2022 Financial Performance
Ecoservices - Q2 2022 Financial Performance Second Second Quarter Quarter $ % ($ in millions) 2022 2021 Change Change Ecoservices Sales 193.0 120.8 72.2 59.8 Adjusted EBITDA1 60.0 40.5 19.5 48.1 Adjusted EBITDA Margin1 (%) 31.1 33.5 (240 bps) Ecoservices Highlights • Strong demand for virgin sulfuri
Slide 11: Catalyst Technologies – Q2 2022 Financial Performance
Catalyst Technologies – Q2 2022 Financial Performance Second Second Quarter Quarter $ % ($ in millions) 2022 2021 Change Change Silica Catalysts Sales 32.2 26.2 6.0 22.9 Zeolyst JV Sales 35.9 33.2 2.7 8.2 Adjusted EBITDA1 21.4 20.7 0.7 3.4 Adjusted EBITDA Margin1,2 (%) 31.4 34.9 (350 bps) Catalyst T
Slide 12: Cash, Leverage & Liquidity
Cash, Leverage & Liquidity Strong Cash Conversion Provides for Capital Allocation Flexibility and Improving Leverage Profile Cash Conversion1 Leverage Ratio2 Liquidity3 3.8x ($ millions) $236 80% 3.3x 3.1x $203 $207 74% 2.8x $165 71% 72% 2019 2020 2021 TTM Q3-2021 Q4-2021 Q1-2022 Q2-2022 Q3-2021 Q4-
Slide 13: Appendix
APPENDIX
Slide 14: Ecovyst: Robust Metrics at an Attractive Valuation
Ecovyst: Robust Metrics at an Attractive Valuation 28.9 x Enterprise Value / LTM Adjusted EBITDA 24.6 x 22.5 x 22.5 x 20.6 x 15.4 x 14.8 x 14.5 x 14.4 x 12.8 x 12.1 x 11.5 x 10.7 x 10.5 x 9.9 x 8.0 x 8.2 x ALB SHW ENTG HXL ECL CTVA APD PPG KWR FMC ESI AXTA FUL ASH DD EMN ECVT²,³ Adjusted EBITDA Marg
Slide 15: Ecoservices: A North American Leader in Sulfuric Acid Recycling
Ecoservices: A North American Leader in Sulfuric Acid Recycling and Related Services with Key Competitive Position in Gulf Coast and California NEAR-TERM GROWTH FACTORS • Existing customer re-contracting, and favorable alkylate fundamentals expected to drive mid-to-high single digit volume growth fo
Slide 16: Catalyst Technologies: A Global Leader in Tailored Catalyst Solutions
Catalyst Technologies: A Global Leader in Tailored Catalyst Solutions NEAR-TERM GROWTH FACTORS • Preferred technology and potential increase in product offerings for strengthening & light weighting of materials projected to drive growth in polyethylene catalysts • Anticipated growing demand for rene
Slide 17: Quarterly Sales, Adjusted EBITDA and Margins
Quarterly Sales, Adjusted EBITDA and Margins Six Months Six Months TTM Three Months Ended Ended Three Months Ended Ended Year Ended Ended March 31, June 30, June 30, March 31, June 30, September December June 30, December June 30, ($ in millions, except %) 2022 2022 2022 2021 2021 30, 2021 31, 2021
Slide 18: Reconciliation of Net (Loss) Income to Adjusted EBITDA
Reconciliation of Net (Loss) Income to Adjusted EBITDA Six Six Three Months Months Months Year TTM Ended Ended Three Months Ended Ended Ended Ended March June 30, June 30, March June 30, September December June 30, December June 30, ($ in millions) 31, 2022 2022 2022 31, 2021 2021 30, 2021 31, 2021
Slide 19: Descriptions for Reconciliation of Non-GAAP Financial Measures
Descriptions for Reconciliation of Non-GAAP Financial Measures a) We use Adjusted EBITDA as a performance measure to evaluate our financial results. Because the Catalyst Technologies segment includes our 50% interest in the Zeolyst Joint Venture, we include an adjustment for our 50% proportionate sh
Slide 20: Your Catalyst for Positive Change
YOUR CATALYST FOR POSITIVE CHANGE ™