Slide 1: First Quarter 2024 Earnings Presentation
First Quarter 2024 Earnings Presentation April 26, 2024
Slide 2: Forward-Looking Statements
Forward-Looking Statements: This presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to analyses and other information that are based on management's beliefs, certain assumptions made by management, fore
Slide 3: Results & Outlook
Results & Outlook 1Q24 Highlights • Achieved sequential improvement across all three of our businesses • CAPV was successful in our Value Accelerator Initiative • Epoxy recovery underway • Winchester awarded contract for Next Generation Squad Weapon (NGSW) facility 2Q24 & FY24 Outlook • Expect seque
Slide 4: Priorities
Priorities 1 2 3 4 ASSURE SAFETY & CHAMPION PRIORITIZE WRITE THE NEXT OPERATING OLIN’S WINNING CAPITAL CHAPTER IN OLIN’S RELIABILITY MODEL ALLOCATION SUCCESS STORY
Slide 5: Chlor Alkali Products & Vinyls Performance
Chlor Alkali Products & Vinyls Performance Sales Adjusted EBITDA (in millions) (in millions) $183.4 Sequential: 1Q24 vs 4Q23 $906.1 $884.6 $171.3 – Higher chlorine and derivative pricing offset by lagging caustic soda price – Continued volume discipline and focus on value – Lower raw material and op
Slide 6: Epoxy Segment Performance
Epoxy Segment Performance Sales Adjusted EBITDA (in millions) (in millions) $341.3 Sequential: 1Q24 vs 4Q23 $313.1 – Epoxy volume recovery $1.7 – Lower operating costs driven by 4Q 2023 1Q 2024 2023 restructuring actions – Improved operating rates to meet demand with reduced asset 4Q 2023 1Q 2024 -$
Slide 7: Winchester Segment Performance
Winchester Segment Performance Sales Adjusted EBITDA (in millions) (in millions) $395.4 $409.4 $80.1 Sequential: 1Q24 vs 4Q23 $73.5 – Higher commercial volume and pricing – Increased raw material and operating costs – White Flyer tracking ahead of 4Q 2023 1Q 2024 4Q 2023 1Q 2024 expectations +4% +9%
Slide 8: Strong Financial Foundation
Strong Financial Foundation 2021 – 2023 2024 OUTLOOK • 2021 - $2.5 Billion • 2024 adjusted EBITDA similar to or ADJUSTED • 2022 - $2.4 Billion slightly higher than 2023 • 2023 - $1.3 Billion EBITDA ~$6.2 Billion • Debt reduction $1.2B • Disciplined capital allocation • Share repurchases $2.3B • Prio
Slide 9: Appendix
Appendix
Slide 10: ESG Quarterly Highlight
ESG Quarterly Highlight Olin Commits to Energy Star Industrial Partnership Collaborative partnership offering tools and resources at our disposal as we work toward a global energy management program Federal, State, and Local Committed Industrial Improved Efficiencies & Resources & Tools Partnership
Slide 11: Environmental ESG Scorecard
ESG SCORECARD 2023 % Change Climate: Olin Corporation, Global Operations 2023 2022 from baseline 1, 6 Target (year) Total Energy (Direct & Indirect) (MM GJ) 58.3 74.1 -39% % Electricity from Renewable Energy/Low Carbon Sources 2 6.2% 7.1% 5% Scope 1 CO2e Emissions (Million Mt CO2e) 1.4 1.9 -43% 25%
Slide 12: Chlorine: Delivering on our Value Strategy
Delivering on our Value Strategy 1Q24 ECU PCI Parlay Volume Tracker 30% % Parlay Tons / Total Quarterly Sales Volume1 25.0% 25% 294 287 261 262 257 255 19.0% 238 20% 17.7% Index 222 19.9% 211 16.1% 192 191 180 15% 12.2% 148 10.6% 9.7% 9.8% 10% 8.7% 8.1% 7.5% 100 93 100 106 Olin - ECU PCI 6.4% 4.6% 5
Slide 13: Outlook: Full Year 2024 Modeling Assumptions
Outlook: Full Year 2024 Modeling Assumptions ($ in millions) Line Item Forecast Key Elements Capital Spending $225 to $250 Expected to be similar to 2023 levels Depreciation & Amortization $500 to $525 Expected to be lower than 2023 levels Payments Under Long-term Participation in energy project ~$5
Slide 14: Non-GAAP Financial Measures – Adjusted EBITDA
Non-GAAP Financial Measures – Adjusted EBITDA (a) Olin's definition of Adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) is net income (loss) plus an add-back for depreciation and amortization, interest expense (income), income tax provision (benefit), other expense (
Slide 15: Non-GAAP Quarterly Financial Measures by Segment
Non-GAAP Quarterly Financial Measures by Segment (a) Three Months Ended Three Months Ended Three Months Ended March 31, 2024 December 31, 2023 March 31, 2023 Income (Loss) Reconciling Depr and Adjusted Income (Loss) Reconciling Depr and Adjusted Income (Loss) Reconciling Depr and Adjusted (In millio