Westlake Corporation · NYSE:WLK
Westlake — Westlake Chemical — Q4 2018 Earnings Presentation
10 slides from Westlake's earnings presentation, Feb 19, 2019
Slide 1: Fourth Quarter 2018 Earnings Presentation
Westlake Chemical Corporation Fourth Quarter 2018 Earnings Presentation
Slide 2: 2018 Business Highlights
Westlake Chemical Corporation 2018 Business Highlights . 2018 annual net income of $1.0 billion, or $7.62 per diluted share . Record annual performance . Record annual sales of $8.6 billion . Record annual income from operations of $1.4 billion . Record annual EBITDA of $2.1 billion . Achieved Axial
Slide 3: Fourth Quarter and Full Year 2018 Financial Highlights
Westlake Chemical Corporation Fourth Quarter and Full Year 2018 Financial Highlights Q4 2018 vs. Q4 2018 vs. ($ in millions) Q4 2018 Q4 2017 Q4 2017 Q3 2018 Q3 2018 2018 2017 2018 vs. 2017 Sales $1,995 $2,010 (1%) $2,255 (12%) $8,635 $8,041 7% Operating Income $207 $363 (43%) $396 (48%) $1,408 $1,22
Slide 4: Earnings Impact – Ethane Feedstock Costs
Westlake Chemical Corporation Earnings Impact – Ethane Feedstock Costs Ethane $ per Gallon $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 $- Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 . Higher ethane feedstock costs – the increases in ethane costs experienced in August and September 2018 impacted our earnings i
Slide 5: Vinyls Segment Performance
Vinyls Segment Performance Q4 2018 vs. Q4 2018 vs. ($ in millions) Q4 2018 Q4 2017 Q4 2017 Q3 2018 Q3 2018 2018 2017 2018 vs. 2017 Sales $1,502 $1,493 1% $1,714 (12%) $6,616 $5,990 10% Operating Income $125 $214 (42%) $251 (50%) $913 $639 43% EBITDA $257 $331 (22%) $391 (34%) $1,439 $1,095 31% Fourt
Slide 6: Olefins Segment Performance
Olefins Segment Performance Q4 2018 vs. Q4 2018 vs. ($ in millions) Q4 2018 Q4 2017 Q4 2017 Q3 2018 Q3 2018 2018 2017 2018 vs. 2017 Sales $493 $517 (5%) $541 (9%) $2,019 $2,051 (2%) Operating Income $90 $166 (46%) $162 (44%) $573 $655 (13%) EBITDA $126 $201 (37%) $198 (36%) $715 $803 (11%) Fourth Qu
Slide 7: Westlake
Westlake Chemical
Slide 8: Reconciliation of EBITDA to Net Income, Income from Operations and Net Cash Provided by Operating Activities
Reconciliation of EBITDA to Net Income, Income from Operations and Net Cash Provided by Operating Activities Three Months Ended Three Months Ended December 31, September 30, Twelve Months Ended December 31, (in $ millions) 2018 2017(1) 2018 2018 2017(1) Net cash provided by operating $ 254 $ 566 $ 6
Slide 9: Reconciliation of Vinyls, Olefins and Corporate EBITDA to Applicable Operating Income Loss
Reconciliation of Vinyls, Olefins and Corporate EBITDA to Applicable Operating Income Loss Three Months Ended Three Months Ended December 31, September 30, Twelve Months Ended December 31, (in $ millions) 2018 2017 2018 2018 2017 Vinyls EBITDA $ 257 $ 331 $ 391 $ 1,439 $ 1,095 Less: Depreciation and
Slide 10: Safe Harbor Language
Safe Harbor Language This presentation contains certain forward-looking statements. Actual results may differ materially depending on factors such as general economic and business conditions; the cyclical nature of the chemical industry; the availability, cost and volatility of raw materials and ene