Slide 1: Fiscal 2022 Third-Quarter Business Update
FISCAL 2022 THIRD-QUARTER BUSINESS UPDATE Aug. 4, 2022
Slide 2: Forward-Looking Statements and Other Disclaimers
Forward-Looking Statements and Other Disclaimers This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, statements about the company’s lithium development project, including timing, potential
Slide 3: Fiscal 2022 Third-Quarter Highlights
Fiscal 2022 Third-Quarter Highlights • Achieved revenue of $215 million, an 8% year-over-year increase • Increased Plant Nutrition pricing by 36% year over year, and 12% sequentially to $827 per ton, reflecting continued strength in global fertilizer supply-demand conditions • Reduced Total Case Inc
Slide 4: Fiscal 2022 Third-Quarter Results
FISCAL 2022 THIRD-QUARTER RESULTS
Slide 5: Fiscal 2022 Third-Quarter Consolidated Results
Fiscal 2022 Third-Quarter Consolidated Results Consolidated Results 3Q22 Commentary Revenue year over year +8% • Consolidated revenue grew 8% year over year, primarily driven by higher Salt segment average price and sales volumes Adjusted EBITDA1 year over year (13)% • Adjusted EBITDA1 declined $4.4
Slide 6: Fiscal 2022 Third-Quarter Salt Segment Results
Fiscal 2022 Third-Quarter Salt Segment Results Salt Segment Results Sales Volumes 3Q22 3Q21 %Δ (in thousands of short tons) ($ in millions) Revenue $156.2 $142.6 +10% 1,232 1,212 EBITDA1 $27.7 $36.8 -25% EBITDA1 margin 18% 26% -8 pts Average price per ton $93/ton $86/ton 8% 451 445 Salt segment reve
Slide 7: Fiscal 2022 Third-Quarter Plant Nutrition Segment Results
Fiscal 2022 Third-Quarter Plant Nutrition Segment Results Plant Nutrition Segment Results 3Q22 3Q21 %Δ Sales Volumes ($ in millions) (in thousands of short tons) Revenue $55.6 $53.8 3% 88 EBITDA1 $19.4 $9.8 98% 67 EBITDA1 margin 35% 18% 17 pts Average price per ton $827/ton $610/ton 36% 3Q22 revenue
Slide 8: Lithium: Recent Accomplishments and Expected Milestones
Lithium: Recent Accomplishments and Expected Milestones People Future Milestones Building a lithium leadership team by both leveraging internal talent • Capital Intensity and Cost Competitiveness – disclosure of and bringing in outside expertise with proven experience in lithium- economic assessment
Slide 9: Fortress: Select Accomplishments and Expected Milestones
Fortress: Select Accomplishments and Expected Milestones Product Qualifications Future Milestones • Two conditionally qualified aerial LT retardants on U.S. Forest Operational Field Evaluations Service’s Qualified Products List (QPL): FR-200 & FR-100 (pending • Further approvals anticipated upon com
Slide 10: Financial Flexibility and Liquidity
Financial Flexibility and Liquidity • Considerable net debt reduction from Dec. 31, 2020 levels • Paid down debt with combined net proceeds from sale of Liquidity Net Debt (in millions) South America chemicals business and earnout payment $1,500 associated with the previously sold South America spec
Slide 11: Fiscal 2022 Second Half Outlook
Fiscal 2022 Second Half Outlook1 Salt Plant Nutrition 2H22 Revenue $320M $340M $98M $108M 2H22 EBITDA $55M $65M $37M $43M Salt • Anticipate continuation of the year-over-year impact of increased production and distribution costs to compress margins • Focused on restoring profitability during the cur
Slide 12: Fiscal 2022 Guidance
Fiscal 2022 Guidance1 Key Metrics for continuing operations (in millions of dollars unless otherwise noted) Segment Outlook Low High Salt segment sales volumes 12.3 12.6 (in millions of tons) Plant Nutrition segment sales volumes 270 280 (in thousands of tons) Consolidated and Corporate Outlook Low
Slide 13: Appendix
APPENDIX
Slide 14: Reconciliation of Non-GAAP Information
Reconciliation of Non-GAAP Information Reconciliation for Adjusted Net (Loss) Earnings (unaudited, in millions) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Net (loss) earnings from continuing operations $ (10.7) $ (16.4) $ (31.8) $ 40.2 Executive transition costs, net
Slide 15: Reconciliation of Non-GAAP Information
Reconciliation of Non-GAAP Information Reconciliation for Adjusted Operating (Loss) Earnings (unaudited, in millions) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Operating (loss) earnings $ (3.5) $ 0.9 $ 36.9 $ 105.0 Executive transition costs1 --- --- 3.8 --- Accrued
Slide 16: Reconciliation of Non-GAAP Information
Reconciliation of Non-GAAP Information Reconciliation for EBITDA and Adjusted EBITDA (unaudited, in millions) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Net (loss) earnings from continuing operations $ (10.7) $ (16.4) $ (31.8) $ 40.2 Interest expense 13.4 15.0 41.2 46
Slide 17: Salt Segment Performance
Salt Segment Performance Salt Segment Performance (in millions, except for sales volumes and prices per short ton) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Sales $ 156.2 $ 142.6 $ 821.4 $ 740.1 Operating earnings 12.4 19.2 101.1 155.3 Operating margin 7.9% 13.5% 12.
Slide 18: Reconciliation of Non-GAAP Information
Reconciliation of Non-GAAP Information Reconciliation for Salt Segment EBITDA (unaudited, in millions) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Reported GAAP segment operating earnings $ 12.4 $ 19.2 $ 101.1 $ 155.3 Depreciation, depletion and amortization 15.3 17.6
Slide 19: Plant Nutrition Segment Performance
Plant Nutrition Segment Performance Plant Nutrition Segment Performance (unaudited, dollars in millions, except for prices per short ton) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Sales $ 55.6 $ 53.8 $ 164.5 $ 185.7 Operating earnings 10.6 0.7 24.5 9.3 Operating marg
Slide 20: Reconciliation of Non-GAAP Information
Reconciliation of Non-GAAP Information Reconciliation for Plant Nutrition Segment EBITDA (unaudited, in millions) Three months ended Nine months ended June 30, June 30, 2022 2021 2022 2021 Reported GAAP segment operating earnings $ 10.6 $ 0.7 $ 24.5 $ 9.3 Depreciation, depletion and amortization 8.8
Slide 21: Reconciliation of Non-GAAP Information
Reconciliation of Non-GAAP Information Reconciliation for Historical EBITDA and Margins (TTM) (unaudited, in millions) 2022 2021 2020 2019 2018 Three months ended Three months ended Three months ended Three months ended Three months ended June 30 March 31 December 31 Sepetmber 30 June 30 March 31 De