Olin Announces First Quarter 2025 Results

About this update from Olin Corporation

Highlights CLAYTON, Mo. , May 1, 2025 /PRNewswire/ -- Olin Corporation (NYSE: OLN) announced financial results for the first quarter ended March 31, 2025 . First quarter 2025 reported net income was $1.4 million , or $0.01 per diluted share, which compares to first quarter 2024 reported net income of $48.6 million , or $0.40 per diluted share. First quarter 2025 adjusted EBITDA of $185.6 million excludes depreciation and amortization expense of $132.2 million and restructuring charges of $4.0 million . First quarter 2024 adjusted EBITDA was $242.1 million . Sales in the first quarter 2025 were $1,644.2 million , compared to $1,635.3 million in the first quarter 2024. Ken Lane , President, and Chief Executive Officer, said, "During the first quarter, our Chlor Alkali Products and Vinyls business realized higher chlorine demand than expected given spring maintenance and unplanned industry outages. As a result, we delayed our planned maintenance turnaround in favor of supporting under-supplied customers through a period of tight industry supply. We remain committed to our value-first commercial approach and view this as an encouraging proof point of our operating leverage, as demand recovers." Lane continued, "Despite the uncertain economic environment, we remain focused on the things within our control. We now expect to deliver year-over-year cost savings of $50 to $70 million , an increase over our previous outlook. We have also lowered our annual capital spending estimate by approximately $25 million . In addition, to further enhance our strong investment grade balance sheet and increase our financial resilience, we extended the maturities of our senior bank credit agreement from 2027 to 2030. We issued $600 million of 2033 bonds, the proceeds of which were used to repay our 2025 and 2027 bonds. "We expect the second quarter 2025 results from our Chemicals businesses to be similar to the first quarter 2025, despite the increased second quarter costs from the delayed first quarter planned maintenance turnaround. Our Chlor Alkali Products and Vinyls business expects performance to be supported by seasonal volume improvement and strengthening caustic soda values. Over the past six quarters, our chlor alkali business has delivered stable ECU values and volumes as we remain focused on disciplined execution through this extended trough environment. "Global epoxy demand remains weak, and our U.S. and European Epoxy business continues to be significantly challenged by subsidized Asian competition, given antidumping initiatives have provided limited benefits. Our Epoxy business is focused on maximizing the chlor alkali integration value, continuing to reduce costs and growing the formulated solutions business. "Winchester commercial sales remain pressured by strains on consumer disposable income and customers continuing to work down elevated inventories, with no indication of near-term relief. We expect second quarter 2025 Winchester results to improve sequentially as seasonal demand picks up and military sales and military project revenue improve. "We expect the direct impact from current tariffs on Olin to not be significant, as headwinds are largely offset by the opportunities realized. Second quarter 2025 adjusted EBITDA is expected to be in the range of $170 million to $210 million . While there is increasing economic uncertainty, Olin remains committed to our value-first commercial approach and our disciplined capital allocation strategy as the pathway to long-term shareholder value creation," Lane concluded. SEGMENT REPORTING Olin defines segment earnings as income (loss) before interest expense, interest income, other operating income (expense), non-operating pension income, other income, and income taxes. CHLOR ALKALI PRODUCTS AND VINYLS Chlor Alkali Products and Vinyls sales for the first quarter 2025 were $924.5 million , compared to $884.6 million in the first quarter 2024. The increase in sales was primarily due to higher volumes. First quarter 2025 segment earnings were $78.3 million , compared to $76.6 million in the first quarter 2024. The $1.7 million increase in segment earnings was primarily due to higher volumes, partially offset by lower pricing, primarily ethylene dichloride (EDC), and higher operating costs. Chlor Alkali Products and Vinyls first quarter 2025 results included depreciation and amortization expense of $107.2 million compared to $106.8 million in the first quarter 2024. EPOXY Epoxy sales for the first quarter 2025 were $331.7 million , compared to $341.3 million in the first quarter 2024. First quarter 2025 segment loss was ($28.4) million , compared to segment loss of ($11.8) million in the first quarter 2024. The $16.6 million decrease in segment results was primarily due to higher operating costs. Epoxy first quarter 2025 results included depreciation and amortization expense of $12.8 million compared to $13.5 million in the first quarter 2024. WINCHESTER Winchester sales for the first quarter 2025 were $388.0 million , compared to $409.4 million in the first quarter 2024. The decrease in sales was primarily due to lower commercial ammunition sales, partially offset by higher military sales and military project revenue. First quarter 2025 segment earnings were $22.8 million , compared to $72.2 million in the first quarter 2024. The $49.4 million decrease in segment earnings was primarily due to lower commercial ammunition shipments and pricing and higher raw material costs, including propellant and commodity metal costs, partially offset by higher military shipments and military project revenue. Winchester first quarter 2025 results included depreciation and amortization expense of $9.5 million compared to $7.9 million in the first quarter 2024. CORPORATE AND OTHER COSTS Other corporate and unallocated costs in the first quarter of 2025 decreased $5.8 million compared to the first quarter 2024 primarily due to lower incentive costs, including mark-to-market on stock-based compensation, and a favorable impact from foreign currency. LIQUIDITY AND SHARE REPURCHASES The cash balance on March 31, 2025 , was $174.0 million . Olin ended the first quarter 2025 with net debt of approximately $2.9 billion and a net debt to adjusted EBITDA ratio of 3.5 times. On March 31, 2025 , Olin had available liquidity of approximately $1.3 billion . During first quarter 2025, approximately 0.7 million shares of common stock were repurchased at a cost of $20.2 million . On March 31, 2025 , Olin had approximately $2.0 billion available under its share repurchase authorizations. CONFERENCE CALL INFORMATION Olin senior management will host a conference call to discuss first quarter 2025 financial results at 9:00 a.m. Eastern Time on Friday , May 2, 2025. Remarks will be followed by a question-and-answer session. Associated slides, which will be available the evening before the call, and the conference call webcast will be accessible via Olin's website, www.olin.com , under the first quarter conference call icon. An archived replay of the webcast will also be available in the Investor Relations section of Olin's website beginning at 12:00 p.m. Eastern Time . A final transcript of the call will be posted the next business day. COMPANY DESCRIPTION Olin Corporation is a leading vertically integrated global manufacturer and distributor of chemical products and a leading U.S. manufacturer of ammunition. The chemical products produced include chlorine and caustic soda, vinyls, epoxies, chlorinated organics, bleach, hydrogen, and hydrochloric acid. Winchester's principal manufacturing facilities produce and distribute sporting ammunition, law enforcement ammunition, reloading components, small caliber military ammunition and components, industrial cartridges, and clay targets. Visit www.olin.com for more information on Olin Corporation. FORWARD-LOOKING STATEMENTS This communication includes forward-looking statements. These statements relate to analyses and other information that are based on management's beliefs, certain assumptions made by management, forecasts of future results, and current expectations, estimates and projections about the markets and economy in which we and our various segments operate. The statements contained in this communication that are not statements of historical fact may include forward-looking statements that involve a number of risks and uncertainties. We have used the words "anticipate," "intend," "may," "expect," "believe," "should," "plan," "outlook," "project," "estimate," "forecast," "optimistic," "target," and variations of such words and similar expressions in this communication to identify such forward-looking statements. These forward-looking statements include, but are not limited to, statements regarding the Company's intent to repurchase, from time to time, the Company's common stock. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions, which are difficult to predict and many of which are beyond our control. Therefore, actual outcomes and results may differ materially from those matters expressed or implied in such forward-looking statements. We undertake no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise. The payment of cash dividends is subject to the discretion of our board of directors and will be determined in light of then-current conditions, including our earnings, our operations, our financial conditions, our capital requirements and other factors deemed relevant by our Board of Directors. In the future, our board of directors may change our dividend policy, including the frequency or amount of any dividend, in light of then-existing conditions. The risks, uncertainties and assumptions involved in our forward-looking statements, many of which are discussed in more detail in our filings with the SEC, including without limitation the "Risk Factors" section of our Annual Report on Form 10-K for the year ended December 31, 2024 , and our Quarterly Reports on Form 10-Q and other reports furnished or filed with the SEC, include, but are not limited to, the following: Business, Industry and Operational Risks Legal, Environmental and Regulatory Risks All of our forward-looking statements should be considered in light of these factors. In addition, other risks and uncertainties not presently known to us or that we consider immaterial could affect the accuracy of our forward-looking statements. 2025-11             View original content to download multimedia: https://www.prnewswire.com/news-releases/olin-announces-first-quarter-2025-results-302444480.html SOURCE Olin Corporation

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