Chemours Company (the) · NYSE:CC
Chemours Company (the) — The Chemours Company — Q1 2017 Earnings Presentation
16 slides from Chemours Company (the)'s earnings presentation, May 2, 2017
Slide 1: The Chemours Company First Quarter Earnings Presentation
The Chemours Company First Quarter Earnings Presentation May 2, 2017
Slide 2: Safe Harbor Statement and Other Matters
Safe Harbor Statement and Other Matters This presentation contains forward-looking statements, within the meaning of the federal securities laws, that involve risks and uncertainties. Forward-looking statements provide current expectations of future events based on certain assumptions and include an
Slide 3: Highlights
Highlights Improved results significantly across all key financial metrics on year-over-year basis Benefited from TiO2 price actions taken during quarter, Ti-Pure™ price up 12% year-over-year Increased Opteon™ demand, driven by European and North American adoption Achieved net leverage below 3 times
Slide 4: 1Q17 Overview: First Quarter Financial Summary
1Q17 Overview ($ in millions unless otherwise noted) First Quarter Financial Summary ∆ 1Q17 1Q16 Yr/Yr Year-Over-Year Net Sales $1,437 $1,297 $140 Strong results across all Net Income segments 150 51 99 (loss)1 Basis point Adjusted EBITDA Adj. Net Income 142 11 131 margin improvement doubled, pr
Slide 5: Adjusted EBITDA Bridge: 1Q17 versus 1Q16
Adjusted EBITDA Bridge: 1Q17 versus 1Q16 Positive Impact ($ in millions) Negative Impact ($8) • Ti-Pure™ price up 12% • Fluoropolymers prices down 3% $101 • Higher Corporate & Other expenses • Negative impact from portfolio - changes • Lower costs $67 • Opteon™ volume $285 growth strong - ($3) • Str
Slide 6: Liquidity Position
Liquidity Position ($ in millions) Negative Impact Positive Impact Free Cash Flow of ($28M) versus ($53M) in 1Q16, which benefitted from $190M DuPont prepayment $74 Cash restructuring payments of ($7) ($176) $150 $24M in the quarter $29 ($69) ($5) Total Liquidity of ~$1.6B, including Operating
Slide 7: Titanium Technologies Business Summary
Titanium Technologies Business Summary First Quarter Highlights Outlook Commentary Improved profitability year-over-year driven by Annual volume growth expected to be above increased selling price, sales volume and GDP production efficiencies Altamira on track and making progress on all Over
Slide 8: Fluoroproducts Business Summary
Fluoroproducts Business Summary First Quarter Highlights Outlook Commentary Strong Opteon™ demand in Europe and North Demand for Opteon™ expected to remain a America strong source of growth, driven by regulation and economic incentives Favorable anti-dumping ruling determined during the quarte
Slide 9: Chemical Solutions Business Summary
Chemical Solutions Business Summary First Quarter Highlights Outlook Commentary Decline in sales driven by divestitures Expected growth in Mining Solutions driven by incurred during 2016 and loss of revenue due North American gold production demand to site closure Performance Chemicals & Inter
Slide 10: 2017 Outlook Update
2017 Outlook Update 2017 Adjusted EBITDA Expected To Be Between $1.15 Billion And $1.25 Billion; With Positive Free Cash Flow* Key Factors Influencing Market Performance Market Factors Chemours Initiatives • TiO2 price • Cost reductions • Currency • Altamira expansion ramp-up • End-market demand • C
Slide 11: Appendix
Appendix
Slide 12: GAAP Net (Loss) Income to Adjusted EBITDA and Adjusted Net Income Reconciliations
GAAP Net (Loss) Income to Adjusted EBITDA and Adjusted Net Income Reconciliations GAAP Net Income (Loss) to Adjusted Net Income and Adjusted EBITDA Tabular Reconciliations (UNAUDITED) ($ in millions except per share and unless otherwise noted) Three months ended Three months ended March 31, December
Slide 13: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation GAAP Cash Flow to Free Cash Flow Tabular Reconciliations (UNAUDITED) ($ in millions unless otherwise noted) Three months ended March 31, December 31, 2017 2016 2016 1 Cash flows provided by (used for) operating activities $ 41 $ 36 $ 269 Cash flows used for purchases of
Slide 14: Segment Net Sales and Adjusted EBITDA (unaudited)
Segment Net Sales and Adjusted EBITDA (unaudited) SEGMENT NET SALES AND ADJUSTED EBITDA (UNAUDITED) ($ in millions unless otherwise noted) Three months ended Three months ended March 31, December 31, 2017 2016 2016 SEGMENT NET SALES Titanium Technologies $ 646 $ 521 $ 623 Fluoroproducts 652 531 569
Slide 15: Reconciliation of Outlook
Reconciliation of Outlook 2017 Estimated GAAP Net Income to Estimated Adjusted EBITDA Tabular Reconciliation (UNAUDITED) ($ in millions unless otherwise noted) Estimated Net Income 1 $540 - $630 Provision for income taxes 1 2 160 - 170 Interest expense, net ~200 Depreciation and amortization ~280 Ot
Slide 16: ©2017 The Chemours Company. Chemours™ and the Chemours Logo are trademarks or registered trademarks
©2017 The Chemours Company. Chemours™ and the Chemours Logo are trademarks or registered trademarks of The Chemours Company 15