Chemours Company (the) · NYSE:CC
Chemours Company (the) — Q2 2022 Earnings Presentation
22 slides from Chemours Company (the)'s earnings presentation, Jul 29, 2022
Slide 1: Chemours 2Q 2022 Earnings Presentation
Chemours 2Q 2022 Earnings Presentation July 28, 2022
Slide 2: Safe Harbor Statement and Other Matters
Safe Harbor Statement and Other Matters 2
Slide 3: Second Quarter 2022 Highlights
Second Quarter 2022 Highlights Delivered strong 2Q results with record Net Sales, and Adjusted EBITDA growth of 30% y-o-y Achieved TSS record Net Sales and Adjusted EBITDA, announced Opteon™ YF expansion Achieved APM record Net Sales and Adjusted EBITDA, and margin for a second straight quarter Deli
Slide 4: Advancing our Corporate Responsibility Commitment
Advancing our Corporate Responsibility Commitment Chemours 5th Corporate Responsibility Commitment Report Launches August 9 Sharing progress on advancing our sustainable portfolio, achieving emissions reductions, and driving investment in our communities Our 2Q Momentum • TT announces sustainability
Slide 5: Second Quarter 2022 Financial Summary
Second Quarter 2022 Financial Summary ($ in millions unless otherwise noted) Year-Over-Year ∆ Net Sales up 16% to a record $1.9 2Q22 2Q21 Yr/Yr billion reflecting demand strength across the portfolio Net Sales $1,915 $1,655 $260 GAAP EPS of $1.26 up $0.87 and Net Income1 $201 $66 $135 Adjusted E
Slide 6: Adjusted EBITDA Bridge: 2Q22 versus 2Q21
Adjusted EBITDA Bridge: 2Q22 versus 2Q21 ($ in millions unless otherwise noted) Strong price gains driven by market dynamics in TSS, demand for high value, differentiated applications in APM, and TT value ($1) ($27) stabilization strategy ($246) $383 FX was a (7)% headwind over the prior year qu
Slide 7: Liquidity Position
Liquidity Position ($ in millions unless otherwise noted) Gross debt $3.7B Q2’22 ending cash balance of $1,248 million, up $103 Net debt $2.5B million over prior-quarter TTM Net Leverage 1.6x 1600 Operating Cash Flow generation of $291 million 1400 ($62) $291 ($166) 2 Distributed $166 million
Slide 8: On-site and Off-site Remediation at Fayetteville
On-site and Off-site Remediation at Fayetteville ($ in millions unless otherwise noted) $174 million in total charges related to legacy environmental Illustrative Prospective Impact of Fayetteville remediation at Fayetteville were recorded in Q2 2022 of which $165 Remediation Liabilities on Free C
Slide 9: Titanium Technologies Business Summary
Titanium Technologies Business Summary Second Quarter Highlights Outlook Net Sales increased 13% to a record $968 million driven Early signs of softer demand in Europe and China in by a 23% contribution from price, partially offset by an certain grades and end-markets (8%) decrease in volume and
Slide 10: Thermal & Specialized Solutions Business Summary
Thermal & Specialized Solutions Business Summary Second Quarter Highlights Outlook Delivered 52% Net Sales growth driven by robust demand Expect more typical (pre-covid) seasonality in the second across the product portfolio and strong pricing despite half of the year currency headwinds Antici
Slide 11: Advanced Performance Materials Business Summary
Advanced Performance Materials Business Summary Second Quarter Highlights Outlook Net Sales increased by 11% driven by continued demand Maintain focus on driving growth in end-markets with long- strength in advanced electronics, semiconductors, and term secular trends in advanced electronics and
Slide 12: Revised 2022 Guidance
Revised 2022 Guidance Adjusted Cash to EBITDA $1.475-$1.575 Billion Shareholders The majority of our FCF Current mid-point up 16% vs. from 2021 results New $750 million share repurchase authorization thru 2025 Guiding towards high end of range New Returned $350 million to shareholders as of June 30,
Slide 13: Our Priorities for Creating Shareholder Value
Our Priorities for Creating Shareholder Value Improve TT earnings through the cycle while growing with strategic customers Drive secular growth in TSS and APM behind class leading products and innovative chemistry Continue to manage and resolve legacy liabilities consistent with Chemours/DD/CTVA MOU
Slide 14: Chemours trademarks notice
©2022 The Chemours Company. Chemours™ and the Chemours Logo are trademarks or registered trademarks of The Chemours Company
Slide 15: Segment Net Sales and Adjusted EBITDA (Unaudited)
Segment Net Sales and Adjusted EBITDA (Unaudited) ($ in millions) Three Months Ended Three Months Ended June 30, March 31, 2022 2021 2022 SEGMENT NET SALES Titanium Technologies $ 968 $ 859 $ 928 Thermal & Specialized Solutions 518 340 425 Advanced Performance Materials 401 362 385 Other Segment 28
Slide 16: 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 June 30, March 31, 2022 2021 2022 $ amounts $ per share* $ amounts $ per share* $ amounts $ pe
Slide 17: Free Cash Flow Reconciliations (Unaudited)
Free Cash Flow Reconciliations (Unaudited) ($ in millions) Three Months Ended Six Months Ended June 30, March 31, June 30, 2022 2021 2022 2022 2021 Cash flows provided by operating activities $ 291 $ 256 $ 2 $ 293 $ 295 Less: Purchases of property, plant, and equipment (62) (67) (106) (168) (127) Fr
Slide 18: Net Leverage Ratio (Unaudited)
Net Leverage Ratio (Unaudited) As of June 30, ($ in millions) 2022 2021 Total debt principal $ 3,710 $ 4,020 Less: Cash and cash equivalents (1,248) (1,139) Total debt principal, net $ 2,462 $ 2,881 Twelve Months Ended June 30, ($ in millions) 2022 2021 Adjusted EBITDA (1) $ 1,557 $ 1,090 Net Levera
Slide 19: Return on Invested Capital (ROIC) (Unaudited)
Return on Invested Capital (ROIC) (Unaudited) ($ in millions) Twelve Months Ended June 30, 2022 2021 Adjusted EBITDA (1) $ 1,557 $ 1,090 Less: Depreciation and amortization (300) (321) Adjusted EBIT $ 1,257 $ 769 ($ in millions) As of June 30, 2022 2021 Total debt, net (2) $ 3,680 $ 3,989 Total equi
Slide 20: 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) 20
Slide 21: Estimated GAAP Operating Cash Flows to Free Cash Flow Reconciliations
Estimated GAAP Cash Flows Provided by Operating Activities to Free Cash Flow Reconciliations (Unaudited) ($ in millions) (Estimated) Year Ended December 31, 2022 Cash provided by operating activities $ >1,000 Less: Purchases of property, plant, and equipment ~(400) Free Cash Flows $ >600 The Company
Slide 22: Chemours trademarks notice
©2022 The Chemours Company. Chemours™ and the Chemours Logo are trademarks or registered trademarks of The Chemours Company
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