Ecovyst Inc. · NYSE:ECVT
Ecovyst — Q1 2021 Earnings Presentation
16 slides from Ecovyst's earnings presentation, May 6, 2021
Slide 1: First Quarter 2021 Investor Presentation
First Quarter 2021 May 6, 2021 – 11am EST Investor Presentation
Slide 2: Legal Discussion
Legal Discussion Continuing Operations Financial results are presented to exclude the Performance Materials business and the Performance Chemicals business, which is subject to a pending sale which the Company previously announced on March 1, 2021, from all quarterly and yearly results presented unl
Slide 3: Highlights: Executing Well on Multiple Fronts
Highlights: Executing Well on Multiple Fronts Focus Area Highlights Safety improved by ~ 28% and “Perfect Days” by ~16% over Q1 2020 OPERATIONAL Completed storm damage repairs in time to meet rising refinery demand Catalysts: Increasing sales into diesel renewable fuels COMMERCIAL Refining S
Slide 4: End Use Demand Recovery
Refining, Fuels and Emissions Control Expected to Recover to Pre-COVID Levels by Year End; PE Demand Remains Strong Amid Pandemic Recovery Fuels & Industrial Packaging Emission & Process & Engineered END USE DEMAND RECOVERY Controls Chemicals Plastics 2020 YoY Trend Mid-single digit or higher demand
Slide 5: First Quarter 2021 Financial Results
First Quarter 2021 Financial Results First Quarter First Quarter $ % ($ in millions) 2021 2020 Change Change Sales 126.6 125.6 1.0 0.8 Adjusted EBITDA1 42.3 48.6 (6.3) (13.0) Adjusted EBITDA Margin1,2 (%) 27.2 30.8 (360 bps) • Winter storm Uri impact: • Sales $6 million • Adjusted EBITDA $9 million
Slide 6: Refining Services
Refining Services First Quarter First Quarter $ % ($ in millions) 2021 2020 Change Change Sales 100.2 100.7 (0.5) (0.5) Adjusted EBITDA1 33.0 37.2 (4.2) (11.3) Adjusted EBITDA Margin1 (%) 32.9 36.9 (400 bps) • Sales in line with prior year as lower Gulf Coast volume was offset by Q1 Change Factors t
Slide 7: Catalysts
Catalysts First Quarter First Quarter $ % ($ in millions) 2021 2020 Change Change Sales Silica Catalysts 26.4 24.9 1.5 6.0 Zeolyst JV 29.0 32.3 (3.3) (10.3) Adjusted EBITDA1 18.5 22.7 (4.2) (18.5) Adjusted EBITDA Margin1,2 (%) 33.4 39.7 (630 bps) Silica Catalysts • Sales reflect continued strength i
Slide 8: Reaffirming 2021 Financial Outlook
Reaffirming 2021 Financial Outlook CONTINUING OPERATIONS1 ($ in millions, 2020 2021 except per share) Actual Outlook + 10 – 15% Sales2 $496 $555 – 565 in 2021 from 2020 Zeolyst JV Sales $129 $140 – 150 assuming midpoint Adjusted EBITDA $193 $215 – 225 of guidance Adjusted Free Cash Flow3,4 $153 $75
Slide 9: Off to a Strong Start
Off to a Strong Start TARGET : 2025 • > $ 1.0 B total Sales* with inorganic contribution • High 30’s Adjusted EBITDA margins • Cash Conversion > 80% • Growing share of transition driven products sales Our Past 2025 Goals SUSTAINABLE GROWTH / TRANSITION FOCUS • 80% of innovation tied to sustainabilit
Slide 10: Appendix
APPENDIX
Slide 11: Quarterly Segment Sales, Adjusted EBITDA and Margins
Quarterly Segment Sales, Adjusted EBITDA and Margins Three months ended Three months ended ($ in millions, except %) March 31, 2021 March 31, 2020 Sales: Refining Services 100.2 100.7 Silica Catalysts 26.4 24.9 Total sales 126.6 125.6 Zeolyst Joint Venture sales 29.0 32.3 Adjusted EBITDA: Refining S
Slide 12: Sales and Adjusted EBITDA Major Change Factors
Sales and Adjusted EBITDA Major Change Factors Sales Three months ended March 31, 2021 Sales PQ Group Refining Silica (in $ millions and %) Holdings Inc. Services Catalysts Sales: $ % $ % $ % Volume (6.0) (4.8) (6.3) (6.3) 0.3 1.2 Price/Mix 6.6 5.3 5.8 5.8 0.8 3.2 Currency 0.4 0.3 — — 0.4 1.6 Sales
Slide 13: Reconciliation of Net Loss to Segment Adjusted EBITDA
Reconciliation of Net Loss to Segment Adjusted EBITDA Three months ended Three months ended ($ in millions) March 31, 2021 March 31, 2020 Reconciliation of net loss from continuing operations to Segment Adjusted EBITDA Net loss from continuing operations (2.8) (3.3) Benefit for income taxes (5.2) (1
Slide 14: Descriptions for Reconciliation of Non-GAAP Financial Measures
Descriptions for Reconciliation of Non-GAAP Financial Measures a) We use Adjusted EBITDA as a performance measure to evaluate our financial results. Because our Catalysts segment includes our 50% interest in the Zeolyst Joint Venture, we include an adjustment for our 50% proportionate share of depre
Slide 15: Adjusted Free Cash Flow
Adjusted Free Cash Flow Full Year ($ in millions) 2020 Cash Flow from Operations before 349.0 interest and tax Less: Cash paid for taxes 35.0 Less: Cash paid for interest1 90.4 Cash Flow from Operations 223.6 Less: Purchases of property, plant 109.6 and equipment2 Free Cash Flow 114.0 Plus: Proceeds
Slide 16: Your Catalyst for Positive Change
YOUR CATALYST FOR POSITIVE CHANGE