Eastman Chemical Company · NYSE:EMN
Eastman Chemical — Q2 2019 Earnings Presentation
11 slides from Eastman Chemical's earnings presentation, Jul 26, 2019
Slide 1: Second-Quarter 2019 Financial Results
Second-Quarter 2019 Financial Results Mark Costa, Board Chair & CEO Curt Espeland, EVP & CFO July 26, 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: Second-quarter 2019 business and strategic highlights
Second-quarter 2019 business and strategic highlights Sequential increase in adjusted earnings from first quarter 2019 Continued progress on new business revenue from innovation Strong sequential increase in Advanced Materials earnings Disciplined cost management and productivity improvement Bolt-on
Slide 4: 2Q 2019 financial results: Corporate
2Q 2019 financial results Corporate year over year sequential $2,621 $2,363 $2,380 $2,363 2Q18 2Q19 1Q19 2Q19 $447 ($ in millions, except EPS) ($ in millions, except EPS) $389 $389 (10)% (1)% $352 change change (5)% volume/mix effect $2.22 1% volume/mix effect $1.99 $1.99 (3)% price effect (2)% pric
Slide 5: 2Q 2019 financial results: Advanced Materials
2Q 2019 financial results Advanced Materials year over year sequential $729 $696 $696 2Q18 2Q19 $657 1Q19 2Q19 ($ in millions) ($ in millions) $144 $145 $145 (5)% 6% $102 change change (3)% volume/mix effect 7% volume/mix effect (2)% FX effect (1)% price effect Sales revenue EBIT Sales revenue EBIT
Slide 6: 2Q 2019 financial results: Additives & Functional Products
2Q 2019 financial results Additives & Functional Products year over year sequential $942 2Q18 2Q19 $855 1Q19 2Q19 $823 $823 $188 ($ in millions) ($ in millions) $147 $150 $147 (13)% (4)% change change (8)% volume/mix effect (2)% volume/mix effect (3)% price effect (2)% price effect (2)% FX effect Sa
Slide 7: 2Q 2019 financial results: Chemical Intermediates
2Q 2019 financial results Chemical Intermediates year over year sequential $709 1Q19 2Q19 2Q18 2Q19 $631 ($ in millions) $655 $631 ($ in millions) $73 (11)% $64 $63 $63 change (3)% (2)% volume/mix effect change (8)% price effect 1% volume/mix effect (1)% FX effect (4)% price effect Sales revenue EBI
Slide 8: 2Q 2019 financial results: Fibers
2Q 2019 financial results Fibers year over year sequential $241 2Q18 2Q19 1Q19 2Q19 ($ in millions) ($ in millions) $213 $213 $213 $58 $51 0% $51 (12)% change change $42 (11)% volume/mix effect 0% volume/mix effect (1)% price effect 0% price effect Sales revenue EBIT Sales revenue EBIT 8
Slide 9: 6M 2019 cash flow and other financial highlights
6M 2019 cash flow and other financial highlights Free cash Returned Remain Forecasted FY19 flow $423 committed effective tax rate of 16% to 17% approaching million to $1.1 billion in to stockholders investment 2019 $250 grade million credit share rating repurchases $173 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 delivering resilient earnings in an uncertain economy
Innovation-driven growth model delivering resilient earnings 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 execut
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