Cabot Corporation · NYSE:CBT
Cabot — Investor Day (December 2024)
90 slides from Cabot's investor day presentation, Dec 4, 2024
Slide 1: Cabot Investor Day December 4, 2024
CABOT INVESTOR DAY December 4, 2024
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements based on management’s current expectations, estimates and projections. All statements that address expectations or projections about the future, including statements about the Company’s strategy for growth, the future growth
Slide 3: Today's Agenda
Today’s Agenda 9:30AM Welcome and Opening Remarks Steve Delahunt VP, Treasurer and Investor Relations Proven Performance, Creating for Tomorrow Sean Keohane President and Chief Executive Officer Reinforcement Materials Bart Kalkstein EVP and President, Reinforcement Materials and Americas Region 10:
Slide 4: Our Purpose
Our Purpose Creating materials that improve daily life and enable a more sustainable future. Investor Day 2024 | 4
Slide 5: Proven Performance, Creating for Tomorrow
Proven Performance, Creating for Tomorrow Sean Keohane President and Chief Executive Officer
Slide 6: Key Messages
Key Messages Market Leader with Size and Scale Strong Track Record of Execution Broad global footprint, diverse product portfolio and strong customer relationships serving attractive markets Demonstrated consistent delivery of above market financial results through challenging global markets Proven
Slide 7: Cabot Corporation At-a-Glance
Cabot Corporation At-a-Glance Global specialty chemicals and performance materials company Key Statistics End Market Sectors3 Revenue (%) FY24 Financial Highlights 1882 Founded Boston, MA Headquarters ~$6.1B Market Cap1 ~4,300 Employees 38 Plant Locations 50+ Years Dividend History $4.0B Revenue $77
Slide 8: Segment Overview
Segment Overview Broad range of products used in a wide variety of applications REINFORCEMENT MATERIALS Global leader with durable, growing earnings, and robust cash generation PERFORMANCE CHEMICALS Portfolio of leading high-growth, high-margin product lines, aligned with favorable macrotrends Reinf
Slide 9: Driving Growth Through Purpose, Strategy, and Values
Driving Growth Through Purpose, Strategy, and Values OUR PURPOSE Creating materials that improve daily life and enable a more sustainable future. OUR STRATEGY Creating for Tomorrow We will leverage our strengths to lead in performance and sustainability — today and into the future. OUR VALUES Integr
Slide 10: Experienced Management Team
Experienced Management Team Track record of success Year Joined Sean Keohane President & Chief Executive Officer Erica McLaughlin EVP, Chief Financial Officer & Head of Corporate Strategy Bart Kalkstein EVP & President, Reinforcement Materials, & Americas Region Jeff Zhu EVP & President, Carbon & Si
Slide 11: Experienced Board to Support Company Strategy
Experienced Board to Support Company Strategy Diverse Set of Expertise Accounting/ Finance Chemical Industry Corporate Governance Cybersecurity/ Information Systems International Markets/ Business Manufacturing P&L Responsibility Public Co CEO R&D/ Technology Related Value Chain Risk Management Stra
Slide 12: Strong Earnings Growth with High ROIC
Strong Earnings Growth with High ROIC Adjusted EPS1 ($ millions) Adjusted EBIT1 ($ millions) Adjusted ROIC1 +12% CAGR +9% CAGR FY2015 FY2018 FY2021 FY2024 $2.49 $4.03 $5.02 $7.06 $286 $419 $492 $633 8% 15% 18% 19% Creating for Tomorrow Strategy Driving Strong Financial Results Investor Day 2024 | 12
Slide 13: Successful Execution of Our 2021 Investor Day Goals
Successful Execution of Our 2021 Investor Day Goals Adj. EPS1 Growth (3 Yr. CAGR)$7.06 $5.02 12% Achieved FY2021 FY2024 Cumulative DFCF1 Generation $1.2B >$1.0B 2021 Investor Day Target Actual Capital Priorities FY22-FY24 Capital expenditures focused on maintaining world class assets and high confid
Slide 14: Delivered Outsized Shareholder Return Since Last Investor Day
Delivered Outsized Shareholder Return Since Last Investor Day Key Elements Driving Cabot’s Performance Total Shareholder Return Executed with operational and commercial excellence discipline at the core Agile and resilient team navigated significant levels of destocking Returned elevated levels of c
Slide 15: Our Competitive Advantages
Our Competitive Advantages Unparalleled Global Footprint Exceptional talent: global perspective with local leaders Leading assets: flexibility through global manufacturing network Ability to support customers with local supply Innovative Technology Leadership Strong innovation heritage Deep applicat
Slide 16: Competitive Global Network of Assets
Competitive GlobalNetwork of Assets North America 11 manufacturing sites 2 R&d favilities including global technology center boston, ma,usa global headquarters south America manufacturing sites Emea 10 manufacturing sites 2 R&d facilities including battery technology center asia pacific 13 manufactu
Slide 17: Creating Value from Technology
Creating Value from Technology Applications Particle DesignProcess Technology Tires with improved treadwear for better fuel economy Batteries with enhanced energy storageand extended cycle life Vibrant inkjetpigments enable adoption of aqueous inkjet Power cable performance and life Structure Conduc
Slide 18: Product Portfolio Aligned to Key Macro-trends
Product Portfolio Alignedto Key Macro-trends Changing Mobility Landscape Li-ion batteries for EVsLight-weighting of vehiclesExtended tire life to reduce wasteLow rolling resistance for fuel efficiency and EV range Growth of car parc in emerging markets Global Infrastructure BuildoutAlternative energ
Slide 19: A Leader in Performance and Sustainability
A Leader in Performance and Sustainability Innovative Solutions Responsible Operations Industry Recognition Battery Materials ENERMAX® CNS PROPEL® E Series Carbon Blacks E2C® Solutions EVOLVE® Sustainable Solutions Better Plants U.s Department of energy American chemistry council ic ba responsible c
Slide 20: Our Strategy | Creating for Tomorrow
Our Strategy | Creating for Tomorrow Leverage our strengths to lead in performance and sustainability — today and into the future. GROW Investing for advantaged growth INNOVATE Developing innovative products and processes that enable a better future OPTIMIZE Driving continuous improvement in everyth
Slide 21: Grow: Investments Create Foundation for Earnings Growth
Grow: Investments Create Foundation for Earnings Growth Specialty Compounds Capacity Addition Conductive Additives Dispersion Capacity Addition Specialty Carbons Capacity Addition Completed Projects Cilegon, Indonesia Zhuhai, China Xuzhou, China In-Process Projects Cilegon, Indonesia Port Dickson, M
Slide 22: Grow: Growth Vector Update
Grow: Growth Vector Update Investments expected to drive long-term earnings growth Battery Materials Leading manufacturer with broad suite of conductive additives, fumed metal oxides and aerogel for lithium-ion batteries Selected for award negotiation on a $50M grant from the U.S. Department of Ener
Slide 23: Innovate: Differentiated Product Performance
Innovate: Differentiated ProductPerformance Optimizing TirePerformance for Greater Fuel Efficiency E2C® DX9660 solution for reduced rolling resistance and improved tread life Enhancing EV Efficiency and Tire Durability PROPEL® E8 engineered reinforcing carbon promotes better efficiency and increased
Slide 24: Optimize: Commercial and Operational Excellence
Optimize: Commercial and Operational Excellence Data Analytics Voice of Customer Commercial Excellence World Class CRM Strategic Pricing Key Account Management Asset Reliability CapitalEfficiency Operational Excellence Process and Yield Optimization Energy Recovery Disciplined Execution Driving Supe
Slide 25: Our Path Forward 2025-2027
Our PathForward 2025-2027 Strong Growth Trajectory Growth underpinned by macro-trends in Changing Mobility Landscape, Global Infrastructure Buildout, and the Sustainability Transition Maintain attractive RONA Continued Strong Cash Generation Disciplined approach to working capital execution to suppo
Slide 26: 2025-2027 Corporate Targets
2025-2027 Corporate Targets Positioned to deliver continued strong financial performance Expect Adjusted EPS1 CAGR of 7-10% $0.9-$1 billion of Adjusted EBITDA1 expected by FY2027 Non-GAAP measure– See Appendix Investor Day 2024 | 25 Logo
Slide 27: Key Takeaways
Key Takeaways Market Leader with Size and Scale Strong Track Record of Execution Proven Ability to Deliver Customer Value Well-Positioned to Win the Sustainability Transition Clear Strategy to Achieve Targets Investor Day 2024 | 27 Logo
Slide 28: Reinforcement Materials
Reinforcement Materials Bart Kalkstein EVP & President, Reinforcement Materials & Americas Region Logo
Slide 29: Reinforcement Materials | Key Messages
Reinforcement Materials | Key Messages Global Leader with Robust Cash Generation Strong Operator with Track Record of Execution Targeted Capacity Growth in Advantaged Geographies Sustainable Solutions for the Mobility Evolution Global footprint serving leading tire and industrial rubber products cus
Slide 30: Reinforcement Materials At-a-Glance
Reinforcement Materials At-a-Glance Key Products Reinforcing carbons provide durability to rubber goods E2C® solutions deliver higher levels of rubber performance Key Applications Industry Environment Long-term reinforcing carbon demand CAGR of 2-3%1 globally, with strongest growth rates in Southeas
Slide 31: Rubber Applications Using Reinforcing Carbons
Rubber Applications Using Reinforcing Carbons Industrial Rubber Products, 22% Light Vehicle Tires, 35% Off the Road and Other Tires, 18% 2024 Industry Volumes Heavy Commercial Vehicle Tires, 24% Reinforcing Carbons for Rubber Applications 1 OEM 24% 76% Replacement OEM 17% 83% Replacement Auto 48% 52
Slide 32: Tire Market Fundamentals
Tire Market Fundamentals Industry Structure Western Markets Structurally dependent on Asian tire production ~35%1 of Western tire sales Tire demand growing ~1-2%1 annually Asian Markets Tire demand growing faster, ~3-5%1 annually Exports account for ~40%1 of production Miles Driven Back to pre-COVID
Slide 33: Attractive Network of Global Assets
Attractive Network of Global Assets 20 plants globally Geographically aligned with customers and reinforcing carbons growth Significant economies of scale; superior cost competitiveness The Right Assets in the Right Places 40% 1 americas 21% 1 EMEA 39% ASIA CABOT 1. Percent of FY2024 revenue Investo
Slide 34: Strong Profitability and Cash Generation
Strong Profitability and Cash Generation Recent Growth Highlights Leveraging deep customer relationships with global leaders and higher growth Asian players in tire market Upgrading of portfolio through price and mix improvements Driving improved asset performance through continuous improvement Gene
Slide 35: Key Growth Levers for Reinforcement Materials
Key Growth Levers for Reinforcement Materials Continued Margin Improvement through Commercial and Operational Excellence Winning the Sustainability Transition Investing in Targeted Capacity Additions Capitalizing on the Changing Mobility Landscape for Future Volume Growth Levers Expected to Drive Ma
Slide 36: Strong Execution Driving Past and Future Performance
Strong Execution Driving Past and Future Performance Commercial Excellence Leading supply position with key global tire accounts Comprehensive pricing formulas to pass through market fluctuations in input costs (e.g., feedstock, CO2) Product mix emphasis on higher value tire and industrial rubber pr
Slide 37: Indonesia Capacity Expansion
Indonesia Capacity Expansion Capacity Additions Expansion project to support growth of local reinforcing carbons market Cabot is the only reinforcing carbons producer in Indonesia Southeast Asia is the fastest growing region in the world Region is short of capacity, relies on imports Expansion expec
Slide 38: Engineered Elastomer Composites (E2C)
Engineered Elastomer Composites (E2C®) Sustainability Transition Solutions On Track as Long-term Growth Platform Investing in expansion project to double capacity Novel rubber composites with dramatically improved dispersion quality Customer Benefits Delivers transformational tire performance Simpli
Slide 39: EVOLVE Sustainable Solutions
EVOLVE® Sustainable Solutions EVOLVE Sustainable Solutions is a technology platform for delivering more sustainable reinforcing carbons and other performance materials Products powered by EVOLVE Sustainable Solutions offer sustainable content with reliable performance at industrial scale Sustainabil
Slide 40: Electric Vehicle Growth Expected to Change Tire Markets
Electric Vehicle Growth Expected to Changing Mobility Landscape Change Tire Markets Over the Next Decade Plus Changing Mobility Landscape Light Vehicle Production (M) 120 100 80 60 40 20 ~43% LV Production EV in 2030 EV2 ICE3 2020 2021 2022 2023 2024E 2025E 2026E 2027E 2028E 2029E 2030E Light Vehicl
Slide 41: EV Tires Wear Faster per Leading Tire Companies
EV Tires Wear Faster per Leading Tire Companies The Unexpected Problem With EVs: They 'Tire' Quickly PC Magazine May 22, 2023 “EVs burn through tires 30% faster than combustible engine cars thanks to hefty weights and speedy acceleration, according to Bridgestone, which this week unveiled a new tire
Slide 42: Reinforcement Materials | Key Takeaways
Reinforcement Materials | Key Takeaways 1 Global Leader with Robust Cash Generation 2 Strong Operator with Track Record of Execution 3 Targeted Capacity Growth in Advantaged Geographies 4 Sustainable Solutions for the Mobility Evolution cabot Investor Day 2024 | 42
Slide 43: Break
Break CABOT 2
Slide 44: Performance Chemicals
Performance Chemicals Jeff Zhu EVP & President, Carbon & Silica Technologies, Battery Materials & Asia Pacific Region cabot
Slide 45: Performance Chemicals | Key Messages
Performance Chemicals | Key Messages 1 Diversified portfolio with industry leading scale Geographically dispersed asset base across several product lines Serving broad set of applications in attractive market segments 2 Recently expanded capacity to enhance earnings Expansions in Asia, plus developm
Slide 46: Performance Chemicals Key Markets: Infrastructure/Industrial
Performance Chemicals Key Markets End Market Exposure1 Construction 13% Consumer / Other 36% Infrastructure / Industrial 23% Mobility 28% Infrastructure / Industrial Macro Growth Drivers ◆ Replacement of aging infrastructure ◆ Growth of alternative energy sources ◆ Electricity grid renewal ◆ Expansi
Slide 47: Performance Chemicals Key Markets: Mobility
Performance Chemicals Key Markets End Market Exposure1 Construction 13% Infrastructure / Industrial 23% Consumer / Other 36% Mobility 28% Mobility Macro Growth Drivers Electrification of transportation ◆ Autonomous and connected vehicles ◆ Emerging market vehicle penetration Indicators ◆ EV sales gr
Slide 48: Performance Chemicals Key Markets: Consumer/Other
Performance Chemicals Key Markets End Market Exposure1 Construction 13% Infrastructure / Industrial 23% Consumer / Other Macro Growth Drivers ◆ Wage growth and unemployment ◆ Emerging market middle class growth ♦ Interest rates Indicators ◆ Consumer spending ◆ OECD consumer confidence Global GDP Con
Slide 49: Performance Chemicals Key Markets: Construction
Performance Chemicals Key Markets End Market Exposure1 Construction 13% Consumer / Other 36% Infrastructure / Industrial 23% Mobility 28% Construction Macro Growth Drivers Housing demand Interest rates ◆ Government infrastructure Indicators ◆ Housing starts Existing home sales ◆ Building permits ◆ H
Slide 50: Attractive Network of Global Assets
Attractive Network of Global Assets ◆ 18 plants regionally dispersed matching with end market demand ♦ Integrated operations with raw material suppliers and steam customers enabling circularity in our supply chains ◆ Co-location synergies between product lines enhance competitiveness CABOT 1. Percen
Slide 51: Diverse Portfolio of Product Lines Poised for Recovery
Diverse Portfolio of Product Lines Poised for Recovery and Long-Term Growth Segment EBIT1 ($ millions) Recent Developments Segment EBITDA ($M) & EBITDA Margin1 $178 $200 $211 • Destocking largely ended and volumes recovering, leading to positive-growth trajectory 25% 24% 25% $284 19% $248 $242 $232
Slide 52: Key Growth Levers for Performance Chemicals
Key Growth Levers for Performance Chemicals Continued Commercial and $ 剑 Operational Excellence Favorable Macro-trends in Legacy Product Lines X 000 Completed Growth Investments Adding Earnings Capacity Growth Vectors Positioned to Win; Spotlight on Battery Materials CABOT Levers Expected to Drive M
Slide 53: Strong Execution Driving Performance
Strong Execution Driving Performance Commercial and Operational Excellence Commercial Excellence Margin expansion through focusing on high value segments, optimizing product and customer portfolio Effective value price management and comprehensive formulas ◆ New product launches in high end applicat
Slide 54: Investments Completed Since 2021
Investments Completed Since 2021 Fueling earnings growth in key end-markets Zhuhai, China • 10kmt expansion of dispersion capacity for conductive additives • Directly supports both Chinese and western battery makers ♦ IATF 16949 certified, qualified material and commercial sales with nine out of the
Slide 55: Favorable Macro-trends: Infrastructure
Favorable Macro-trends Infrastructure: Favorable Drivers for Growth and Strong Product Differentiation Replacement of the Global Grid Global Cable Demand Million Km of new grid installation - 2024 Projections Growth in Wind Energy (GWH) 200 Wind Energy (GWH) Global Annual Capacity Additions - 2024 P
Slide 56: Notable Progress in Battery Materials
Notable Progress in Battery Materials Over the last three years.... Cabot volumes grew at a 30% CAGR CABOT Sales to 9 out of the top 10 global battery producers $ Added footprint and significant customer wins • Awarded supply contract for new gigafactory in Europe in 2024 Awarded DOE grant to build
Slide 57: Promising Outlook in Battery Materials
Promising Outlook in Battery Materials Global Lithium-Ion Battery Demand1 Global Battery Production2 (GWh) 4,000 3,000 2,000 1,000 0 21% CAGR 2024-2030 2021 2022 2023 2024e 2025e 2026e 2027e 2028e 2029e 2030e 20% 2024 80% China Non-China Growth Vectors 50% 50% 2030 Lithium-ion battery demand is proj
Slide 58: We Have a Right to Win in Conductive Materials
We Have a "Right to Win" in Conductive Materials for Lithium-ion Batteries Unique Product Portfolio ◆ Full range of conductive carbons, CNTs and nanostructures, including blends, offer versatile technology options for customers ◆ LITX® and ENERMAX® products becoming reference brands O Technology Lea
Slide 59: Performance Chemicals | Key Takeaways
Performance Chemicals | Key Takeaways 1 Diversified portfolio with industry leading scale 22 Recently expanded capacity to enhance earnings 3 Disciplined execution to drive earnings growth 4 Significant growth opportunities CABOT 1207 こ Investor Day 2024 | 59
Slide 60: Financial Framework
CABOT Financial Framework Erica McLaughlin EVP, Chief Financial Officer and Head of Corporate Strategy
Slide 61: Financial Framework | Key Messages
Financial Framework| Key Messages 1 2 3 4 Strong Execution Track Record Met corporate financial commitments for Creating for Tomorrow strategy, overcoming significant global headwinds Robust Cash Generation Discretionary Free Cash Flow expected to fund capital allocation priorities and enable shareh
Slide 62: Robust Financial Performance
Robust Financial Performance Adjusted EPS1 ($ millions) $7.06 +12% CAGR $5.02 $4.03 $2.49 FY2015 FY2018 FY2021 FY2024 FY2015 FY2018 FY2021 FY2024 FY2015 FY2018 FY2021 FY2024 Creating for Tomorrow Strategy Driving Strong Financial Results cabot 1. Non-GAAP measure – See Appendix Investor Day 2024 | 6
Slide 63: Discretionary Free Cash Flow (DFCF)
Discretionary Free Cash Flow (DFCF) 1 Discretionary Free Cash Flow 1 ($ in Millions)Exceeded 2021 Investor Day Goal of >$1B of Cumulative DFCFGeneration from FY22-FY24 Strong Adjusted EBITDA drovestep-up in DFCF 1 starting in 2024 Expect DFCF 1 to grow to $500M+ in FY27 as we continue executingon ou
Slide 64: Strong and Flexible Balance Sheet
Strong and Flexible Balance Sheet Key Financial Metrics2 Adjusted EBITDA1 $777M Cash Balance $223M Gross Debt $1,140M DFCF1 $479M Liquidity/Credit Ratings2 Significant liquidity ($1.4B); $1.2B untapped on credit facilities Staggered bond maturities Committed to maintaining investment-grade credit ra
Slide 65: Capital Allocation Framework
Capital Allocation Framework High Confidence, High Return Growth Investments Prioritize investments in high-growth areas Accretive M&A Disciplined approach to M&A opportunities Execute strategic acquisitions to improve scale, capabilities and participation across our key end markets Grow Dividend Co
Slide 66: Capital Investments Underpin Growth Outlook
Capital Investments Underpin Growth Outlook Capital Expenditures Outlook and Focus Areas Total capex spend expected to be $250-$350M per year for the next 3 years Anticipate ~$150-$190M per year of maintenance and compliance capital spending Maintain our world-class assets, in compliance with regula
Slide 67: M&A Priorities
M&A Priorities Strengthen Business Competitive Position Accretive to Earnings ROIC > Cost of Capital in 3-5 Years Growth and/or Margin Enhancing STRATEGIC FOCUS AREAS Accretive acquisitions to support strategy and drive incremental growth above targets Capability and capacity in high growth segments
Slide 68: Industry Competitive and Growing Dividend
Industry Competitive and Growing Dividend Dividend Per Share Uninterrupted divided payment for over 50 years Grew the dividend per share payment every year since CY2015 Key priority of capital allocation framework +8% CAGR $1.69 $1.42 $1.31 $0.88 CY2015 CY2018 CY2021 CY2024 Remain Committed to an In
Slide 69: Repurchased Nearly $900 Million Since 2015
Repurchased Nearly $900 Million Since 2015 Reduced share count by 13% Cumulative Share Repurchases ($M) $1,000 $900 $800 $700 $600 $500 $400 $300 $200 $100 $- FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 (Outstanding Shares M) 64.0 62.0 60.0 58.0 56.0 54.0 52.0 50.0 Cumulati
Slide 70: 3-Year Consolidated Financial Targets
3-Year Consolidated Financial Targets Adjusted EPS6 CAGR 7%-10% Adjusted EBITDA6 $0.9-$1 Billion by FY2027 KEY MACRO DRIVERS AND CAGR ASSUMPTIONS Global GDP1 3% Tire Production2 2% Auto Builds3 3% Polymer Demand (Plastics)4 3% Global Lithium-Ion Battery Demand5 23% Oil Prices Forward curve Foreign C
Slide 71: Driving Growth Across the Portfolio
Driving Growth Across the Portfolio Reinforcement Materials Growth Drivers Low single digit volume CAGR expected, aligned with market growth and supported by capacity investment in Indonesia Continuous commercial and operational improvements to increase margin, partially offset by expected cost infl
Slide 72: Compelling Path to Shareholder Value Creation
Compelling Path to Shareholder Value Creation Adjusted EBITDA1 Target of ~$0.9-$1 Billion Adjusted EPS1 Target CAGRof 7%-10% Competitive Dividend Yield Share Repurchase Authorization of >$1 Billion2 Driven by Creating for Tomorrow Strategy Top-Tier Total Shareholder Return Strong Execution Track Rec
Slide 73: Financial Framework | Key Takeaways
Financial Framework| Key Takeaways 1 2 3 4 Strong Execution Track Record Robust Cash Generation Capital Allocation Priorities Remain Balanced Confidence in Go Forward Growth Plan cabot Investor Day 2024 | 73
Slide 74: Closing Remarks
Image Closing Remarks Sean Keohane President and Chief Executive Officer cabot
Slide 75: Cabot: A Compelling Investment Thesis
Cabot: A Compelling Investment Thesis Right Strategy "Creating for Tomorrow" Grow Innovate Optimize Technology Aligned with Key Macro-trends Changing Mobility Landscape Global Infrastructure Build-out The Sustainability Transition Growth Objectives Targeting 3-year Adj. EPS1 CAGR of 7-10% Growth dri
Slide 76: Q&A
Q&A CABOT 2
Slide 77: Appendix
Appendix CABOT 2
Slide 78: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures This presentation includes references to adjusted earnings per share (EPS), adjusted EBITDA, adjusted EBIT, adjusted EBITDA margin, total segment EBITDA, total segment EBIT, segment EBIT margins, adjusted return on invested capital (ROIC), discretionary free cash f
Slide 79: Non-GAAP Reconciliations: Adjusted EPS
Non-GAAP Reconciliations Adjusted EPS Per Share/Fiscal Year FY 20151 FY 20182 FY 2021 FY 2024 Net income (loss) per share attributable to Cabot Corporation $ (5.49) $ (1.85) $ 4.34 $ 6.72 Less: Net Income (loss) per share from discontinued operations 0.02 - - - Net income (loss) per share from conti
Slide 80: Non-GAAP Reconciliations: Adjusted EBIT, EBITDA and Margin
Non-GAAP Reconciliations Adjusted EBIT, Adjusted EBITDA, and Adjusted EBITDA Margin Dollars in Millions/Fiscal Year FY 20151 FY 2018 FY2021 FY 2024 Income (loss) from continuing operations before income taxes and equity in earnings of affiliated companies $ (399) $ 117 $ 406 $ 529 Interest expense 5
Slide 81: Non-GAAP Reconciliations: Segment EBITDA and Margin
Non-GAAP Reconciliations Segment EBITDA and Segment EBITDA Margin Dollars in Millions/Fiscal Year FY 2015 FY 2018 FY2021 FY 2024 Reinforcement Materials EBIT $ 143 $ 279 $ 329 $ 537 Plus: Depreciation and amortization 83 70 70 66 Reinforcement Materials EBITDA 226 349 399 603 Reinforcement Materials
Slide 82: Non-GAAP Reconciliations: Segment EBIT
Non-GAAP Reconciliations Segment EBIT Dollars in Millions/Fiscal Year FY2021 FY 2024 Income (loss) from continuing operations before income taxes and equity in earnings of affiliated companies $ 406 $ 529 Interest expense 49 81 Certain items 34 59 Unallocated corporate costs 58 68 General unallocate
Slide 83: Non-GAAP Reconciliations: Adjusted ROIC
Non-GAAP Reconciliations Adjusted Return on Invested Capital (ROIC) Dollars in Millions/Fiscal Year FY 20151 FY 2018 FY2021 FY 2024 Numerator - Adjusted net income (loss): Net Income (loss) attributable to Cabot Corporation $ (334) $ (113) $ 250 $ 380 Less: Certain Items, net of tax benefit (provisi
Slide 84: Non-GAAP Reconciliations: Net Debt to Adjusted EBITDA
Non-GAAP Reconciliations Net Debt to Adjusted EBITDA Dollars in Millions/Fiscal Year FY 2015 FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY 2024 Current portion of long-term debt & Short-term borrowings $ 23 $ 8 $ 263 $ 284 $ 40 $ 21 $ 445 $ 354 $ 182 $ 53 Long-Term Debt 970 918
Slide 85: Non-GAAP Reconciliations: Discretionary Free Cash Flow
Non-GAAP Reconciliations Discretionary Free Cash Flow (DFCF) Dollars in Millions/Fiscal Year FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Cash flow from operating activities $ 386 $ 340 $ 298 $ 363 $ 377 $ 257 $ 100 $ 595 $ 692 Less: Changes in net working capital 43 (23) (110) 25
Slide 86: Non-GAAP Reconciliations: Adjusted Payout Ratio
Non-GAAP Reconciliations Adjusted Payout Ratio Dollars in Millions/Fiscal Year FY 2022 FY 2023 FY 2024 FY 2022-2024 Numerator – Cumulative Share Repurchases and Dividends Share Repurchases 53 98 172 323 Dividends 84 88 93 265 Cumulative Dividend and Share Repurchases $ 137 $ 186 $ 265 $ 588 Denomina
Slide 87: Non-GAAP Reconciliations: Adjusted EBITDA Conversion
Non-GAAP Reconciliations Adjusted EBITDA Conversion Dollars in Millions/Fiscal Year FY 2022 FY 2023 FY 2024 FY 2022-2024 Numerator – Operating Cash Flow Operating Cash Flow $ 100 $ 595 $ 692 $ 1,387 Denominator – Adjusted EBITDA Income (loss) before income taxes and equity in earnings of affiliated
Slide 88: Leadership Bios
Leadership Bios Leadership bios CABOT
Slide 89: Leadership Bios: Sean Keohane
Leadership Bios Sean Keohane President and Chief Executive Officer Sean Keohane is president and chief executive officer of Cabot Corporation and a member of the Board of Directors. Since joining Cabot in 2002, Sean has held numerous key management positions including president of the Reinforcement
Slide 90: Leadership Bios: Bart Kalkstein and Jeff Zhu
Leadership Bios Bart Kalkstein EVP and President, Reinforcement Materials and Americas Region Bart Kalkstein joined Cabot in 2005. Since joining the company, Bart has held several key management positions within the company, most recently as vice president of corporate strategy and development. He w