Graftech International Ltd. · NYSE:EAF
Graftech International — Q4 2024 Earnings Presentation
20 slides from Graftech International's earnings presentation, Feb 7, 2025
Slide 1: Q4 2024 Results
NYSE: EAF www.graftech.com Q4 2024 Results February 7, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This presentation and related discussions may contain forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements
Slide 3: Today's Presenters
Today’s Presenters Tim Flanagan Jeremy Halford Rory O’Donnell Chief Executive Officer Executive Vice President, Chief Financial Officer and President Chief Operating Officer and Senior Vice President 3
Slide 4: Successfully Delivered On Stated Objectives In 2024
Successfully Delivered On Stated Objectives In 2024 Stated Objective Result Invest in customer engagement and customer value Grew sales volume by 13% in a muted demand proposition to accelerate path to market share environment recovery Successfully launched 800-millimeter electrode Execute c
Slide 5: Expanding Initiatives to Manage Persistent Near-term Industry Softness
Expanding Initiatives to Manage Persistent Near-term Industry Softness 1 Capitalizing on commercial momentum to continue growing market share 2 Building on prior initiatives to improve our cost structure 3 Further reducing our working capital levels 4 Implementing commercial actions to accelerate re
Slide 6: Prioritizing Safety
Prioritizing Safety Total Recordable Incident Rate (“TRIR”)(1) 0.95 0.94 0.61 0.59 0.51 0.49 2019 2020 2021 2022 2023 2024 (1) TRIR measured per 200,000 hours worked. 6
Slide 7: Steel Industry Trends
Steel Industry Trends Steel industry production remains constrained by global economic uncertainty (1) Q4 2024 global steel production, excluding China, of 207 million tons versus 209 million tons in Q4 2023 (1) Full year 2024 global steel production, excluding China, flat versus 2023 Steel Ca
Slide 8: Production and Sales
Production and Sales Q4 2024 production volume up 3% and sales volume up 13% compared to Q4 2023 Q4 2024 net sales down 2% compared to Q4 2023 as higher sales volume was offset by lower weighted-average (1) (1) realized prices and a shift in mix from LTA volume to non-LTA volume Production Volum
Slide 9: Earnings and Cash Flow
Earnings and Cash Flow (1) (2) Q4 2024 net loss of $49 million, or $0.19 per share , and adjusted EBITDA of negative $7 million (2) Q4 2024 net cash used in operating activities of $26 million and adjusted free cash flow of negative $21 million (2) Significant cost improvement, as Q4 2024 cash
Slide 10: Liquidity and Debt Maturity Profile
Liquidity and Debt Maturity Profile Liquidity increased to $464 million as of December 31, 2024 reflecting the Q4 2024 completion of our capital transactions Substantially all debt maturities extended to December 2029 reflecting over 99% participation in exchange offer Liquidity Debt Maturity Pr
Slide 11: Our Optimism about the Long-term Prospects for GrafTech Remains Intact
Our Optimism about the Long-term Prospects for GrafTech Remains Intact Long-term Tailwinds: Shift to electric arc furnace (“EAF”) steelmaking expected to continue driven by decarbonization efforts Graphite electrode demand growth anticipated driven by this ongoing transition Needle coke demand
Slide 12: Why GrafTech?
Why GrafTech? An Industry Leader in the Production of High-Quality Graphite Electrodes Graphite electrodes are essential to the operation of an EAF Reflecting environmental benefits, growth in EAF steelmaking expected to continue outpacing integrated steelmaking Sustainable Competitive Advantage
Slide 13: Appendix
Appendix GRAF] 2c!) 13
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures In addition to providing results that are determined in accordance with GAAP, we have provided certain financial measures that are not in accordance with GAAP. EBITDA, adjusted EBITDA, adjusted net loss, adjusted loss per share, free cash flow, adjusted free cash flow and
Slide 15: Reconciliation to Adjusted Net Loss
Reconciliation to Adjusted Net Loss Three Months Ended Dec 31, Sept 30, June 30, Mar 31, Dec 31, ($ in thousands) 2024 2024 2024 2024 2023 Net loss $ (49,476) $ (36,068) $ (14,752) $ (30,869) $ (217,409) Adjustments, pre-tax: Pension and OPEB expenses(1) 967 479 477 347 3,578 Rationalization expense
Slide 16: Reconciliation to Adjusted Loss Per Share
Reconciliation to Adjusted Loss Per Share Three Months Ended Dec 31, Sept 30, June 30, Mar 31, Dec 31, 2024 2024 2024 2024 2023 Loss per share $ (0.19) $ (0.14) $ (0.06) $ (0.12) $ (0.85) Adjustments per share, pre-tax: Pension and OPEB expenses(1) - - - - 0.01 Rationalization expenses(2) - - - 0.01
Slide 17: Reconciliation to Adjusted EBITDA
Reconciliation to Adjusted EBITDA Three Months Ended Dec 31, Sept 30, June 30, Mar 31, Dec 31, ($ in thousands) 2024 2024 2024 2024 2023 Net loss $ (49,476) $ (36,068) $ (14,752) $ (30,869) $ (217,409) Add: Depreciation and amortization 16,110 17,933 14,319 13,883 13,836 Interest expense 37,575 16,5
Slide 18: Reconciliation to Adjusted Free Cash Flow
Reconciliation to Adjusted Free Cash Flow Three Months Ended Dec 31, Sept 30, June 30, Mar 31, Dec 31, ($ in thousands) 2024 2024 2024 2024 2023 Net cash (used in) provided by operating activities $ (26,417) $ 23,709 $ (36,855) $ (530) $ 9,292 Capital expenditures (12,792) (4,027) (6,979) (10,511) (
Slide 19: Reconciliation to Cash Cost of Goods Sold per MT
Reconciliation to Cash Cost of Goods Sold per MT Three Months Ended Year Ended Dec 31, Sept 30, June 30, Mar 31, Dec 31, Dec 31, Dec 31, ($ in thousands, except per MT amounts) 2024 2024 2024 2024 2023 2024 2023 Cost of goods sold $ 131,698 $ 134,885 $ 131,970 $ 135,204 $ 144,393 $ 533,757 $ 571,857
Slide 20: GrafTech International Ltd. Contact
Ticker: EAF (NYSE) GrafTech International Ltd. Website: www.graftech.com 982 Keynote Circle Contact: Michael Dillon Brooklyn Heights, Ohio 44131 Email: investor.relations@graftech.com Phone: 1.216.676.2000
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