Celanese Corporation · NYSE:CE
Celanese — Q4 2018 Earnings Presentation
14 slides from Celanese's earnings presentation, Jan 28, 2019
Slide 1: Celanese Q4 & FY 2018 Earnings Conference Call / Webcast
Exhibit 99.1(b) Celanese Q4 & FY 2018 Earnings Conference Call / Webcast Tuesday, January 29, 2019 10:00 a.m. Eastern Time .................................................................................................................................................................................
Slide 2: Important Information: Forward-Looking Statements
Important Information Forward-Looking Statements This presentation contains "forward-looking statements," which include information concerning the Company's plans, objectives, goals, strategies, future revenues, synergies, performance, capital expenditures, financing needs and other information that
Slide 3: Q4 2018 Recent Highlights
Q4 2018 Recent Highlights • Announced global reconfiguration of acetic acid footprint by expanding Clear Lake, Texas acetic acid capacity to 2.0 million tons with equivalent capacity rationalization in Asia. • Signed an agreement to acquire Next Polymers, one of India's largest domestic engineering
Slide 4: Opportunity Pipeline Examples
Opportunity Pipeline Examples Personal Care Razors Automotive Engine Covers • Growing consumer demand for enhanced haptics • Under-the-hood engine covers require durable and and aesthetics via grip handle shavers light-weight materials with an aesthetic finish • Celanese thermoplastic elastomers off
Slide 5: Celanese Corporation 2018 Highlights
Celanese Corporation 2018 Highlights 2018 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 20% $8,000 $7,155 40% 15% $6,140 10% $6,000 30% 5% $4,000 0% 25.9% 22.1% 20% -5% $2,000 Volume Price Currency Other Total $0 10% FY YoY 1 FY 2017 FY 2018 • Re
Slide 6: Engineered Materials 2018 results
Engineered Materials 2018 results 2018 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 20% $2,593 40% $2,500 $2,213 15% $2,000 30% 10% $1,500 27.1% 26.8% 20% $1,000 5% 10% $500 0% $0 0% Volume Price Currency Other Total FY 2017 FY 2018 FY YoY FY Yo
Slide 7: Acetyl Chain 2018 results
Acetyl Chain 2018 results 2018 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 25% $4,042 28% 20% $4,000 $3,371 25.3% 24% 15% $3,000 10% 20% $2,000 5% $1,000 17.1% 16% 0% $0 12% -5% FY 2017 FY 2018 Volume Price Currency Other Total FY YoY FY YoY Se
Slide 8: Acetate Tow 2018 results
Acetate Tow 2018 results 2018 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 2% $800 60% $668 $649 $600 0% 45.1% 40% 42.1% $400 -2% 20% $200 $0 0% -4% FY 2017 FY 2018 Volume Price Currency Other Total FY YoY FY YoY Segment income highlights • Net
Slide 9: Celanese Corporation Q4 Highlights
Celanese Corporation Q4 Highlights Q4 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 15% $1,771 $1,689 $1,800 $1,593 30% 10% 27.9% 5% $1,200 22.1% 23.3% 20% 0% -5% $600 10% -10% Volume Price CurrencyOther Total $0 0% 1 2 Q4 2017 Q3 2018 Q4 2018 Qo
Slide 10: Engineered Materials Q4 results
Engineered Materials Q4 results Q4 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 12% $750 50% $642 $622 8% $580 $600 40% 4% $450 30% 29.1% 0% $300 24.5% 24.1% 20% -4% $150 10% -8% $0 0% Volume Price Currency Other Total Q4 2017 Q3 2018 Q4 2018 Qo
Slide 11: Acetyl Chain Q4 results
Acetyl Chain Q4 results Q4 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 15% $1,006 $936 $1,000 $888 28% 10% 27.5% 24% $800 23.0% 20% 5% $600 20.0% 16% 0% $400 12% 8% -5% $200 4% -10% $0 0% Volume Price Currency Other Total Q4 2017 Q3 2018 Q4 201
Slide 12: Acetate Tow Q4 results
Acetate Tow Q4 results Q4 Performance Factors Affecting Net Sales Changes Net sales (in millions) Total segment income margin 8% 43.3% $300 41.1% 6% 40% 32.9% 4% $200 $157 $158 $161 30% 2% 20% 0% $100 -2% 10% -4% $0 0% Volume Price Currency Other Total Q4 2017 Q3 2018 Q4 2018 QoQ Quarter YoY QoQ Seg
Slide 13: Strong Cash Flow Generation
Strong Cash Flow Generation Free Cash Flow Full Year 2018 (in millions) • Operating cash flow of $1.6 billion in 2018 $1,558 $1,500 • Free cash flow of $1.2 billion in 2018 $1,198 • Net capital expenditures of $337 million in 2018, $1,000 $893 $923 $803 $825 including nearly $200 million of growth i
Slide 14: Returning Cash to Shareholders
Returning Cash to Shareholders Dividend Payout and Share Repurchases (in millions) $1,097 $1,100 Full Year 2018 $1,000 Share Repurchases $900 • Deployed $817 million to repurchase $800 $741 $701 $700 ~7.9 million shares; reduced share count by $594 $600 approximately 6% $500 • ~$700 million remainin