Celanese Corporation · NYSE:CE
Celanese — Q4 2006 Earnings Presentation
19 slides from Celanese's earnings presentation, Feb 6, 2007
Slide 1: Celanese 4Q 2006 Earnings Conference Call / Webcast
Dave Weidman, President and CEO John J. Gallagher III, Executive Vice President and CFO Celanese 4Q 2006 Earnings Conference Call / Webcast Tuesday, February 6, 2007 10:00 a.m. CT
Slide 2: Forward Looking Statements, Reconciliation and Use of Non-GAAP Measures to U.S. GAAP
Forward Looking Statements, Reconciliation and Use of Non-GAAP Measures to U.S. GAAP
Slide 3: Dave Weidman, President and Chief Executive Officer
Dave Weidman President and Chief Executive Officer
Slide 4: Celanese Corporation Q4 and Full Year 2006 Highlights
Celanese Corporation Q4 and Full Year 2006 Highlights 2006 Net sales increase 10% from prior year Operating profit up 30% to $747 million Adjusted EPS up 34% to $3.00 Operating EBITDA increases 18% to $1,244 million Strong volume growth in Ticona and Affiliates Improved pricing in Chemical Products
Slide 5: John J. Gallagher III, Executive Vice President and Chief Financial Officer
John J. Gallagher III Executive Vice President and Chief Financial Officer
Slide 6: Celanese Corporation Financial Highlights
Celanese Corporation Financial Highlights in $ millions (except EPS) 4th Qtr 2006 4th Qtr 2005 FY 2006 FY 2005 Net Sales 1,656 1,540 6,656 6,033 Operating Profit 185 167 747 573 Net Earnings 77 175 406 277 Special Items Other Charges/Adjustments (1) (51) 40 152 Adjusted EPS $0.77 $0.60 $3.00 $2.24 E
Slide 7: Chemical Products Fourth Quarter 2006
Fourth Quarter 2006: Strong earnings driven by continued robust global demand for most of our product lines Industry-wide high utilization rates continue Significant operating profit growth due to improved pricing and easing energy costs offsetting increased raw material costs Lower dividends from S
Slide 8: Ticona Technical Polymers Fourth Quarter 2006
Fourth Quarter 2006: Volume growth driven primarily by strong European demand Continued penetration in key customer segments Operating margins expanded as increased volume and lower natural gas costs more than offset higher methanol costs Strong results from equity affiliates Continued growth throug
Slide 9: Acetate Products and Performance Products results
Revitalization continued to deliver improved Operating EBITDA Improved pricing and volume in China Performance Products Continued stable earnings Lower volumes driven by seasonality impacts Price reductions in line with company expectations Attractive, stable cash generating businesses Acetate Produ
Slide 10: Strong performance continues for Equity and Cost Investments
Q4 2005 Q4 2006 FY 2005 FY 2006 Q4 2005 Q4 2006 FY 2005 FY 2006 4Q and FY 2006: Cash flow higher than earnings impact due to an increased dividend from PolyPlastics FY 2007 Income Guidance1: Income impact similar to 2006 (~$150MM) FY 2007 Cash Flow Guidance1: Cash flow impact similar to 2006 (~$140M
Slide 11: Capitalization and Net Debt / EBITDA
Cash Senior Credit Term Loan Senior Credit Revolver Floating Rate Term Loan Total Senior Debt Senior Sub Notes ($) Senior Sub Notes (&128;*) Other Debt Total Cash Pay Debt Discount Notes Series A Discount Notes Series B Total Debt Shareholders' Equity Total Capitalization Net Debt(Total Debt Less Ca
Slide 12: 2007 Business Outlook
Chemical Products Continued strong global demand Favorable pricing continues into 1Q Nanjing Acetic Acid facility begins commercial production Ticona Increasing penetration in auto despite flat total builds Continued growth in non-transportation applications Acetate Products Improved earnings contin
Slide 13: Impact from the Oxo Products and Derivatives Divestiture
Impact from the Oxo Products and Derivatives Divestiture Including Oxo results EPS: $2.90 - $3.20 Operating EBITDA: $1,230 - $1,300MM Excluding Oxo results EPS: $2.70 - $3.00 Operating EBITDA: $1,155 - $1,225MM 2007 Guidance 2006 Results Including Oxo results EPS: $3.00 Operating EBITDA: $1,244MM Ex
Slide 14: Appendix
9 Celanese Appendix
Slide 15: Updated 2007 Guidance
Updated 2007 Guidance Adjusted EPS $2.70 to $3.00 Operating EBITDA $1,155 to $1,225 million Capital Expenditure / Depreciation and Amortization Approximately $280 million Net cash interest expense $170-$190 million Estimated Tax Rate for Adjusted EPS of 28%
Slide 16: Reg G: Reconciliation of Diluted Adjusted EPS
Reg G: Reconciliation of Diluted Adjusted EPS
Slide 17: Reg G: Reconciliation of Net Debt
Reg G: Reconciliation of Net Debt
Slide 18: Reg G: Reconciliation of Other Charges and Other Adjustments
Reg G: Reconciliation of Other Charges and Other Adjustments
Slide 19: Reg G: Reconciliation of Operating EBITDA
Reg G: Reconciliation of Operating EBITDA