Slide 1: First Quarter 2020 Results Presentation
First Quarter 2020 Results Presentation May 6, 2020
Slide 2: General Disclosure
General Disclosure This presentation includes “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. These forward-looking statements include statements concerning our pla
Slide 3: First Quarter 2020 Highlights
First Quarter 2020 Highlights Financial summary $ in millions, except per share amounts 1Q20 1Q19 4Q19 Revenues 532 562 464 Net income (loss) attributable to Venator(a) 7 (3) (174) Adjusted net income (loss) attributable to Venator(1)(a) 12 14 (10) Adjusted EBITDA(1)(a) 57 60 23 Diluted earnings (lo
Slide 4: COVID-19 Response
COVID-19 Response Robust response to mitigate challenges 1. Prioritizing the safety of our employees and plant operations – Responded swiftly and decisively to safeguard the wellness of our employees and integrity of our assets 2. Maintaining reliable supply of our products to our customers – Our ma
Slide 5: EBITDA Improvement Through Lower Costs
EBITDA Improvement Through Lower Costs >$20 million of COVID-19 initiatives; Existing programs on-track Delivering EBITDA Improvement Primarily Through Lower Costs $ in millions >$50 $40mm 2019 Business >$20 >$10 Improvement Program $7 >$10mm color pigments cost $13 improvements $20 COVID-19 initiat
Slide 6: Titanium Dioxide
Titanium Dioxide Stable sequential average TiO2 price and a seasonal improvement in demand Revenues Adjusted EBITDA $ in millions $ in millions $425 65 $61 $402 60 $354 55 14% 50 $46 45 40 35 11% $30 30 25 8% 20 15 10 5 0 1Q20 1Q19 4Q19 1Q20 1Q19 4Q19 Titanium Dioxide Adjusted EBITDA margin First Qu
Slide 7: Performance Additives
Performance Additives Seasonal improvement in demand and delivery of cost initiatives Revenues Adjusted EBITDA $ in millions $24 in millions $137 $22 $130 23 22 21 $110 20 19 18 17 $15 16 17% 15 14 13 12 11 11% 10 9 8 7 6 $4 5 4 3 2 4% 1 0 1Q20 1Q19 4Q19 1Q20 1Q19 4Q19 Performance Additives Adjusted
Slide 8: Adjusted EBITDA Bridges
Adjusted EBITDA Bridges First Quarter 2020 Year / Year Adjusted EBITDA Bridge $ in millions $60 $(20) $13 $57 $4 $(3) $3 1Q19 Adjusted Price/Mix Volume COGS 2019 Business SGA / FX / Other 1Q20 Adjusted EBITDA Improvement Program EBITDA Quarter / Quarter Adjusted EBITDA Bridge $ in millions $57 $6 $2
Slide 9: Capital Resources
Capital Resources $216mm of total liquidity(1) as of March 31, 2020 $ in millions Comments Cash Uses 1Q20 2020E Expected cash uses reduced by >$100mm compared to 2019 Adjusted EBITDA $57 – Reduced 2020 planned capex to $60mm Capital expenditures(2) (30) ~(60) Total liquidity(1) of $216mm – $25mm
Slide 10: Focused on Maximizing Shareholder Value
Focused on Maximizing Shareholder Value Maximize Shareholder Value Focus on Improve Customer- Enhance specialty & free cash Portfolio tailored competitive differentiated flow optimization approach position products generation Aligning Growth in higher Driving Reduce cash Potential sale of
Slide 11: Pro Forma Adj. EBITDA Reconciliation
Pro Forma Adj. EBITDA Reconciliation $ in millions 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 1Q19 1Q20 1Q20LTM Net (Loss) / Income $ (162) $ (352) $ (77) $ 144 $ (157) $ (170) $ (2) $ 8 $ (160) Net income attributable to noncontrolling interests (2) (7) (10) (10) (6) (5) (1) (1) (5) Net inco
Slide 12: Reconciliation of U.S. GAAP to Non-GAAP Measures
Reconciliation of U.S. GAAP to Non-GAAP Measures See Appendix for reconciliations and important explanatory notes 12
Slide 13: Reconciliation of U.S. GAAP to Non-GAAP Measures
Reconciliation of U.S. GAAP to Non-GAAP Measures See Appendix for reconciliations and important explanatory notes 13
Slide 14: Reconciliation of U.S. GAAP to Non-GAAP Measures
Reconciliation of U.S. GAAP to Non-GAAP Measures See Appendix for reconciliations and important explanatory notes 14
Slide 15: Explanatory Notes
Explanatory Notes (1) Our management uses adjusted EBITDA to assess financial performance. Adjusted EBITDA is defined as net income/loss before interest income/expense, net, income tax expense/benefit, depreciation and amortization, and net income attributable to noncontrolling interests, as well as