Chemours Company (the) · NYSE:CC
Chemours Company (the) — Q4 2021 Earnings Presentation
25 slides from Chemours Company (the)'s earnings presentation, Feb 11, 2022
Slide 1: Fourth Quarter & Full Year 2021 Earnings Presentation
Fourth Quarter & Full Year 2021 Earnings Presentation February 11, 2022
Slide 2: Safe Harbor Statement and Other Matters
Safe Harbor Statement and Other Matters This presentation contains forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, which involve risks and uncertainties. Forward-looking statements provide current exp
Slide 3: Fourth Quarter & Full Year 2021 Highlights
Fourth Quarter & Full Year 2021 Highlights Delivered strong Q4 and FY2021 results, well above pre-COVID levels Drove meaningful progress on CRC goals & strengthened our GHG emissions goal Entered binding MOU with DuPont and Corteva with a continued focus on resolving legacy liabilities Successful Mi
Slide 4: Inspired People – Corporate Responsibility Commitment (CRC)
Inspired People – Corporate Responsibility Commitment (CRC) Chemours Future of Engineering Science Trades & Technology (ChemFEST) As part of our commitment to social responsibility, racial equity, and environmental justice, Chemours launched ChemFEST in 2021 with an initial investment of $4.3 millio
Slide 5: Full Year 2021 Financial Summary
Full Year 2021 Financial Summary ($ in millions unless otherwise noted) ∆ Year-Over-Year FY2021 FY2020 Yr/Yr Net Sales of $6.3 billion increased 28% vs. Net Sales $6,345 $4,969 $1,376 the prior-year, reflecting strong demand recovery from 2020 levels and increased Net Income1 $608 $219 $389 price
Slide 6: Fourth Quarter 2021 Financial Summary
Fourth Quarter 2021 Financial Summary ($ in millions unless otherwise noted) ∆ Year-Over-Year 4Q21 4Q20 Yr/Yr Net Sales of $1.6 billion increased by 18% Net Sales $1,575 $1,337 $238 or $238 million in 4Q21 vs. 4Q20 – a result of price gains across the portfolio and Net Income1 $233 $19 $214 volume
Slide 7: Adjusted EBITDA Bridge: 4Q21 versus 4Q20
Adjusted EBITDA Bridge: 4Q21 versus 4Q20 ($ in millions unless otherwise noted) Positive Impact Negative Impact • Higher volumes in some • Higher variable costs due to supply chain segments more than offset by issues, logistics and raw material inflation Auto OEM related headwinds • Higher operating
Slide 8: Liquidity Position
Liquidity Position ($ in millions unless otherwise noted) Negative Impact Gross debt $3.8B December 31, 2021 ending 600 Positive Impact cash balance of $1,451 million Net debt $2.3B TTM Net Leverage 1.8x Generated $214 million of 400 operating cash flow Distributed $134 million of cash 200 $(8
Slide 9: Disciplined and Balanced Capital Allocation
Disciplined and Balanced Capital Allocation Credit Profile Cash Returns to Investment Enhancement Shareholders Investments to support: • Safe & reliable operations • $3.5B gross debt target (vs. $3.8B presently) Committed to returning the majority of Free Cash • Attractive growth • Cost sharing arra
Slide 10: Titanium Technologies Business Summary
Titanium Technologies Business Summary Fourth Quarter and Full-Year Highlights Segment Titanium Technologies Outlook Outlook Strong FY results driven by improved demand and price across all Anticipate sustained demand across all segments and geographies regions and geographies Ore constraints
Slide 11: Thermal & Specialized Solutions Business Summary
Thermal & Specialized Solutions Business Summary Fourth Quarter and Full-Year Highlights Segment Titanium Technologies Outlook Outlook Strong FY results Y/Y driven by global demand recovery despite Continued adoption of Opteon™ in Mobile & stationary applications semiconductor related Auto-OEM d
Slide 12: Advanced Performance Materials Business Summary
Advanced Performance Materials Business Summary Fourth Quarter and Full-Year Highlights Segment Titanium Technologies Outlook Outlook Record FY Net Sales and Adjusted EBITDA driven by strong underlying Anticipate strong demand across most product lines - with headwinds demand across the breadth
Slide 13: Chemical Solutions Business Summary
Chemical Solutions Business Summary Fourth Quarter and Full-Year Highlights Segment Titanium Technologies Outlook Outlook Strong PC&I and Mining Solutions sales throughout the year driven by Anticipate solid growth in Glycolic Acid across technical and high-purity price and volume gains across m
Slide 14: 2022 Guidance
2022 Guidance Adjusted Cash to EBITDA $1.30- $1.425 Billion Shareholders The majority of our free cash Up ~8% from 2021 at the mid-point, after Expect to complete remaining repurchase considering the Mining Solutions Divestiture1 authorization by mid-2022 Adjusted Key Factors and Assumptions2 EPS ~$
Slide 15: Looking Ahead
Looking Ahead Agile Innovation and Sustainable Solutions Environmental Leadership Community Impact Making Chemours the Best Place to Work 15
Slide 16: Appendix
The Chemours Company Appendix € Chemours”
Slide 17: Segment Net Sales and Adjusted EBITDA (Unaudited)
Segment Net Sales and Adjusted EBITDA (Unaudited) ($ in millions) Three Months Ended Three Months Ended Twelve Months Ended December 31, September 30, December 31, 2021 2020 2021 2021 2020 SEGMENT NET SALES Titanium Technologies $ 865 $ 691 $ 908 $ 3,355 $ 2,402 Thermal & Specialized Solutions 295 2
Slide 18: GAAP Net Income to Adjusted Net Income, Adjusted EBITDA, and Adjusted EPS Reconciliations
GAAP Net Income Attributable to Chemours to Adjusted Net Income, Adjusted EBITDA, and Adjusted EPS Reconciliations (Unaudited) ($ in millions except per share amounts) Three Months Ended Three Months Ended Year Ended December 31, September 30, December 31, 2021 2020 2021 2021 2020 $ amounts $ per sh
Slide 19: Chemical Solutions Segment Adjusted EBITDA Reconciliation
Chemical Solutions Segment Adjusted EBITDA Reconciliation ($ in millions) Year Ended December 31, Mining Solutions Adjusted EBITDA contribution $ 52 Corporate allocation (13) Depreciation and amortization (6) Restructuring, asset-related, and other charges 7 Gain on sales of assets and businesses (1
Slide 20: Return on Invested Capital (ROIC) (Unaudited)
Return on Invested Capital (ROIC) (Unaudited) 20
Slide 21: Free Cash Flows Reconciliations (Unaudited)
Free Cash Flows Reconciliations (Unaudited) ($ in millions) Three Months Ended Year Ended December 31, September 30, December 31, 2021 2020 2021 2021 2020 Cash flows provided by operating activities $ 214 $ 353 $ 311 $ 820 $ 807 Less: Purchases of property, plant, and equipment (83) (53) (67) (277)
Slide 22: Net Leverage Ratio (Unaudited)
Net Leverage Ratio (Unaudited) ($ in millions) As of December 31, 2021 2020 Total debt principal $ 3,782 $ 4,061 Less: Cash and cash equivalents (1,451) (1,105) Total debt principal, net $ 2,331 $ 2,956 ($ in millions) Year Ended December 31, 2021 2020 Adjusted EBITDA (1) $ 1,313 $ 879 Net Leverage
Slide 23: Estimated GAAP Net Income to Adjusted Net Income, Adjusted EBITDA and Adjusted EPS Reconciliation
Estimated GAAP Net Income Attributable to Chemours to Adjusted Net Income, Adjusted EBITDA and Adjusted EPS Reconciliation (Unaudited) 23
Slide 24: Estimated GAAP Operating Cash Flows to Free Cash Flow Reconciliations
Estimated GAAP Cash Flows Provided by Operating Activities to Free Cash Flow Reconciliations (Unaudited) 24
Slide 25: ©2022 The Chemours Company trademarks notice
©2022 The Chemours Company. Chemours™ and the Chemours Logo are trademarks or registered trademarks of The Chemours Company
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