Slide 1: Q3 2023 Results
Q3 2023 Results November 2, 2023
Slide 2: Safe Harbor
Safe Harbor This presentation contains certain statements that are not historical facts and are forward-looking statements for purposes of the safe harbor provisions under the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of w
Slide 3: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures This presentation references certain non-GAAP financial measures, including Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income, Adjusted Diluted EPS, Production Costs, and Free Cash Flow, which have not been prepared in accordance with generally accepted
Slide 4: Highlights
Highlights Stage I Upstream Stage II Midstream Stage III Downstream • Tenth consecutive quarter of • Commenced shipments of • Team moving into new over 10,000 metric tons of NdPr oxide magnetics headquarters REO production • Production ramp to continue • Installation of production • All initial line
Slide 5: Operations and Financial Overview
Operations and Financial Overview
Slide 6: Operating Metrics
Operating Metrics Continued strong Stage I Sales volumes driven by the Realized pricing impacted by Cost control in Stage I Initial NdPr production production charging of additional Stage decline in market prices for remains robust, with underway with first shipments II circuits which is now NdPr; e
Slide 7: Financial Metrics
Financial Metrics Change in revenue reflects market pricing Change in Adjusted EBITDA reflects Demonstrated margin resilience despite Comparisons impacted by flow-through for rare earth materials and lower market pricing as well as transition to difficult pricing compares. of earnings. concentrate s
Slide 8: Operations Update
Operations Update NdPr oxide – 1,000 kg slings
Slide 9: Closing Remarks
Closing Remarks Separated REO ready for shipping
Slide 10: Appendix
Appendix
Slide 11: P&L: Condensed Consolidated Statements of Operations
P&L MP Materials Corp. and Subsidiaries For the three months Condensed Consolidated Statements of Operations For the three months ended September 30, ended June 30, (in thousands, except share and per share data, unaudited) 2023 2022 2023 Revenue: Rare earth concentrate $ 52,472 $ 124,231 $ 64,001 O
Slide 12: Reconciliation: Net Income (Loss) to Adjusted EBITDA
Reconciliation: Net Income (Loss) to Adjusted EBITDA For the three months For the three months ended September 30, ended June 30, (in thousands, unaudited) 2023 2022 2023 Net income (loss) $ (4,276) $ 63,177 $ 7,395 Adjusted for: Depreciation, depletion and amortization 16,751 2,096 12,203 Interest
Slide 13: Reconciliation: Net Income (Loss) to Adjusted Net Income
Reconciliation: Net Income (Loss) to Adjusted Net Income For the three months For the three months ended September 30, ended June 30, (in thousands, unaudited) 2023 2022 2023 Net income (loss) $ (4,276) $ 63,177 $ 7,395 Adjusted for: Stock-based compensation expense(1) 6,298 7,806 5,730 (2) Start-up
Slide 14: Reconciliation: Diluted EPS to Adjusted Diluted EPS
Reconciliation: Diluted Earnings (Loss) per Share to Adjusted Diluted EPS For the three months For the three months ended September 30, ended June 30, (unaudited) 2023 2022 2023 Diluted earnings (loss) per share $ (0.02) $ 0.33 $ 0.04 Adjusted for: Stock-based compensation expense 0.03 0.04 0.03 Sta
Slide 15: Year-to-Date 2023 Cash Flow Bridge
(1) Year-to-Date 2023 Cash Flow Bridge 23.1 5.3 $101.2 22.5 $76.5 (1.8) (24.4) Net Cash Provided Working Capital(2) Cash Paid for Cash Received Start-Up Costs and Other Items(5) Adjusted EBITDA by Operating Taxes from Interest and Transaction- Activities Investment Related and Other Income(3) Non-Re
Slide 16: Reconciliation: Operating Cash Flow to Free Cash Flow
Reconciliation: Net Cash Provided by Operating Activities to Free Cash Flow For the nine months ended (in thousands, unaudited) September 30, 2023 Net cash provided by operating activities $ 76,480 (1) Additions to property, plant and equipment (187,877) Free Cash Flow $ (111,397) 16 1. Amount is ne
Slide 17: Reconciliation and Calculation: Production Cost KPI
Reconciliation and Calculation: Production Cost KPI For the three months For the three months ended September 30, ended June 30, (in thousands, unless otherwise stated, unaudited) 2023 2022 2023 Cost of sales (excluding depreciation, depletion and amortization) $ 22,217 $ 22,417 $ 22,704 Adjusted fo