https://www.avient.com/sites/default/files/2021-06/avient-ir-presentation-may-2021-w-non-gaap-recs.pdf
This innovation drives performance and is reflective of consistent, strategic investments in our portfolio…and people. 2020 Pro forma $991 $86 Sustainable Solutions 15 11% 6 Healthcare 28 22% 6 Composites 6 10% 3 Growth in Emerging Regions 44 30% 10 Other 53 10% 7 Sub-total $1,137 15% $118 FX Impact 25 - 2 Synergies - - 11 Incentives, Travel, Other Employee Costs - - (8) 2021 Actual $1,162 17% $123 Q1 2021 ORGANIC SALES AND OPERATING INCOME (TOTAL COMPANY) 18 (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition Sales Growth Rate Adjusted Operating Income$ millions (1) 19 Electrical & Electronics Building & Construction Wire & Cable Transportation Industrial Healthcare Packaging Consumer Q1 2020PF Q1 2021 (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition (2) Financial information is presented on a constant currency basis (1,2) (42% of total revenue) (58% of total revenue) Q1 END MARKET SALES PERFORMANCE +17% +14% +8% +10% +8% +22% +5% +24% Q 2 AN D FU LL Y EA R 2021 O U TLO O K $69 $112 2020PF 2021E $0.42 $0.80 2020PF 2021E ORGANIC GROWTH PROJECTIONS – Q2 (TOTAL COMPANY) 21 Sales Adjusted Operating Income $870 $1,100 2020PF 2021E + 26% Adjusted EPS + 62% + 90% (in millions) (in millions) (1) (1) (1) (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition FULL YEAR GUIDANCE INCREASED 22 Sales Adj.
https://www.avient.com/sites/default/files/2021-02/avient-ir-presentation-goldman-sachs-and-morgan-stanley.pdf
16 2021 O U TLO O K Synergies ($ millions) Initial Three-Year Estimate Revised Three-Year Estimate 2021 Expected Realization Administrative $ 18 $ 20 $ 15 Sourcing 24 30 15 Operational 18 25 5 Total Synergies $ 60 $ 75 $ 35 CLARIANT INTEGRATION & COST SYNERGIES UPDATE 18 • Integration going extremely well: synergy target increased from $60 million to $75 million • $5 million of synergies in 2020 and expect to realize $35 million in 2021 • Relentless focus on guiding principles of safety first, employee collaboration and exceeding customer expectations • Future revenue synergies are not part of these estimates and represent additional growth over the long term $86 $103 2020PF 2021E $0.53 $0.70 2020PF 2021E ORGANIC GROWTH PROJECTIONS – Q1 (TOTAL COMPANY) 19 Sales Adjusted Operating Income $991 $1,090 2020PF 2021E + 10% Adjusted EPS + 20% + 32% (in millions) (in millions) (1) (1) (1) (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition $308 $360 2020PF 2021E $1.93 $2.40 2020PF 2021E ORGANIC GROWTH PROJECTIONS – FULL YEAR (TOTAL COMPANY) 20 Sales Adjusted Operating Income $3,783 $4,100 2020PF 2021E + 8% Adjusted EPS + 17% + 24% (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition (1) (1) (in millions) (in millions) (1) 2020 Pro forma $3,783 $308 Sustainable Solutions 60 11% 24 Healthcare 60 11% 18 Composites 20 10% 10 Growth in Emerging Regions 50 7% 11 Other (GDP growth) 82 5% 11 Sub-total $4,055 7% $382 COVID Response Applications (25) - (11) Outdoor High Performance Applications (15) - (7) Asia Payroll Tax Subsidy (COVID) - - (4) FX Impact 85 - 7 Synergies - - 30 Incentives, Travel, Other Employee Costs - - (37) 2021 Estimated $4,100 8% $360 2021 ORGANIC SALES AND OPERATING INCOME (TOTAL COMPANY) 21 (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition (2) COVID Response Applications: facemasks, personal protective equipment Sales Growth Rate Adjusted Operating Income$ millions (1) (2) CASH FLOW AND LEVERAGE 22 • Asset light business generates significant free cash flow • Cash generation in 2021 partially offset by restructuring activities to capture synergies associated with the Clariant Masterbatch acquisition • Cash flow deployed to M&A, opportunistic share repurchases and balance sheet / leverage reduction 3.5x 2.7x 2.1x 2019PF 2020PF 2021E Net Debt / Adjusted EBITDA (1) (1) (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition ($ millions) 2020 2021E Adjusted EBITDA 382 510 Working Capital: Source / (Use) 116 (30) Cash Taxes (40) (53) Interest Paid (67) (76) CapEx (62) (75) CapEx for Synergy Capture (2) (20) Restructuring for Synergy Capture (11) (25) Other 22 19 Free Cash Flow 338 250 23 • 8% increase in sales drives 24% increase in adjusted EPS to $2.40 ($2.70 excluding step-up depreciation and amortization) as a result of continued growth in sustainable solutions and synergy capture • Clariant synergy capture ahead of schedule: $35M of savings planned from Clariant Masterbatch acquisition • Adjusted EBITDA of $510M – highest level in company history • Deleveraging ahead of schedule – 2.1x net debt to adjusted EBITDA by the end of 2021 2021 PROJECTIONS PEER COMPARISONS 24 As a specialty formulator, we don’t require significant capital investment, as compared to the base resin raw material suppliers we purchase from.
https://www.avient.com/industries/consumer/consumer-discretionary/home-household/office-supplies
OnColor™ FX™ Special Effect Colorants
OnColor™ FX Special Effect Colorants
https://www.avient.com/sites/default/files/2021-06/avient-ir-presentation-june-2021-w-non-gaap-recs_0.pdf
This innovation drives performance and is reflective of consistent, strategic investments in our portfolio…and people. 2020 Pro forma $991 $86 Sustainable Solutions 15 11% 6 Healthcare 28 22% 6 Composites 6 10% 3 Growth in Emerging Regions 44 30% 10 Other 53 10% 7 Sub-total $1,137 15% $118 FX Impact 25 - 2 Synergies - - 11 Incentives, Travel, Other Employee Costs - - (8) 2021 Actual $1,162 17% $123 Q1 2021 ORGANIC SALES AND OPERATING INCOME (TOTAL COMPANY) 18 (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition Sales Growth Rate Adjusted Operating Income$ millions (1) 19 Electrical & Electronics Building & Construction Wire & Cable Transportation Industrial Healthcare Packaging Consumer Q1 2020PF Q1 2021 (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition (2) Financial information is presented on a constant currency basis (1,2) (42% of total revenue) (58% of total revenue) Q1 END MARKET SALES PERFORMANCE +17% +14% +8% +10% +8% +22% +5% +24% Q 2 AN D FU LL Y EA R 2021 O U TLO O K A S O F A P R I L 3 0 , 2 0 2 1 W E B C A S T $69 $112 2020PF 2021E $0.42 $0.80 2020PF 2021E ORGANIC GROWTH PROJECTIONS – Q2 (TOTAL COMPANY) 21 Sales Adjusted Operating Income $870 $1,100 2020PF 2021E + 26% Adjusted EPS + 62% + 90% (in millions) (in millions) (1) (1) (1) (1) Financial information is pro forma to include a full year of Clariant Masterbatch business acquisition FULL YEAR GUIDANCE INCREASED 22 Sales Adj.
https://www.avient.com/sites/default/files/2021-09/avient2020sustainabilityreport-9-2-21.pdf
OnFlex™ LO Low VOC/ Fog Thermoplastic Elastomers OnColor™ FX Special Effect Colorants Human Health & Safety Solutions that directly protect and preserve human health (e.g., Hygiene & Personal Protective Equipment (PPE) and medical devices) Mevopur™ Polyolefin-based Formulations and Masterbatches Versaflex™ HC Thermoplastic Elastomers Recycle Solutions Contains Recycle Content: Incorporates post-consumer or post-industrial recycle content.
OnColor™ FX™ Special Effect Colorants achieve an appearance comparable to glossy or brushed metal while reducing VOC emissions by replacing paint.
Formulations are > 20% recycled content HOME | Contents | Message from the CEO | Who We Are | People | Products | Planet | Performance | Metrics | Index Sustainability Report | 2020 46 https://www.avient.com/products/thermoplastic-elastomers/versaflex-pf-tack-layer-surface-protective-films https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-fx-special-effect https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/edgetek-ld https://www.avient.com/sites/default/files/2020-12/complet-and-onforce-lft-processing-guide.pdf https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/nymax-pir-and-resound-r-nd-recycled-nylon-formulations https://www.fiber-line.com/en/products/distribution-program https://www.avient.com/products/polymer-additives/foaming-agents/hydrocerol-chemical-foaming-and-nucleating-agents Renewable Energy Renewable energy provides reliable power, reduces greenhouse gas emissions, and conserves natural resources.
https://www.avient.com/sites/default/files/2021-12/AVNT 2021 Investor Day_0.pdf
Fiber Technology Barrier Technologies Avient Corporation 107 We are breaking ground on a new innovation center adjacent to our manufacturing facility in Pune • Focused on investments in both R&D resource additions and capital investments • Platform development in new disruptive markets to support core business and strategy ISHA Avient Manufacturing Site, Pune, India India Innovation Center Innovative Sustainable Holistic Accelerator (ISHA) Avient Corporation 108 2021E 2022E 2023E 2024E 2025E $1.1B $1.6B Growth Through Innovation Avient Corporation 109 Total CAI and SEMWorld-Class Vitality Index % of revenue from products launched last five years 12% 35% 2006 2021E Revenue from new products Investor Day 2021 Summary Jamie Beggs Avient Corporation 110 $442 $457 $580 2019PF 2020PF 2021E $1.74 $1.93 $3.00 2019PF 2020PF 2021E Full Year 2019 – 2021 Organic Growth (TOTAL COMPANY) Sales Adjusted EBITDA $3,981 $3,783 $4,750 2019PF 2020PF 2021E + 19% Adjusted EPS (1) Financial information is pro forma to include a full year of Clariant Color acquisition (1) (1) (in millions) (in millions) (1)(1) + 31% + 72% (1) (1) Avient Corporation 111 2021 Sales Growth Summary Key Growth Drivers Segments (1) Financial information is pro forma to include a full year of Clariant Color business acquisition Sales Growth Rate 2020 Proforma 3,783$ Sustainable Solutions 140 18% Healthcare 150 31% Composites 44 33% Growth in Asia / LATAM 103 21% Other 530 28% 2021 Estimated 4,750$ 26% (1) (1) Sales Growth Rate 2020 Proforma 3,783$ Color, Additives & Inks 330 16% Specialty Engineered Materials 195 28% Distribution 495 45% Corporate & Eliminations (53) 2021 Estimated 4,750$ 26% Avient Corporation 112 Year–to–date EBITDA Bridge 2020 September YTD $ 339 Demand 132 Adjusted EBITDA($ millions) (1) Financial information is pro forma to include a full year of Clariant Color business acquisition (1) CAI: Price / Mix 96 Inflation (74) SEM: Price / Mix 61 Inflation (45) Distribution: Price / Mix 204 Inflation (195) Net Price Benefit 47 Supply Chain Disruptions (38) COVID Response Applications (11) Synergies 34 Incentives, Travel, FX, Other (48) 2021 September YTD $ 455 • Demand driven by growth in sustainable solutions, healthcare and consumer applications • Price increases have more than covered raw material and freight inflation impacts of $300M year- to-date compared to 2020 • Synergy capture on pace to achieve $52M in annual savings in 2021 Avient Corporation 113 2006 2021E $1,110 $3,000 Return on Invested Capital Avient Corporation 114 Invested Capital 2006 Current 11% 8% Cost of Capital 2006 2021E 5% 12% ROIC (after-tax) ($ millions) 0.1 0.1 0.2 0.5 0.6 0.7 0.8 0.9 0.9 1.0 1.0 11 12 13 14 15 16 17 18 19 20 21 44% 98% YTD 5 - YR 10 - YR 0.16 0.20 0.26 0.34 0.42 0.50 0.58 0.72 0.79 0.81 0.85 0.95 11 12 13 14 15 16 17 18 19 20 21 22 2.1x Q4 NET LEVERAGE ~$1Bn REPURCHASED OVER LAST 10 YEARS ~$450MM PAID OVER LAST 11 YEARS Creating Value for Shareholders Avient Corporation 115 Share Performance Dividends Share Repurchases Deleveraging 3.5x 2.1x 2019PF 2021E Growing Dividend Cumulative Buybacks Net Leverage $B n $ p e r sh ar e Total Shareholder Return ~$4.3Bn MARKET CAP INCREASE OVER LAST 10 YEARS (1) Share performance includes reinvested dividends and is as of December 2, 2021 (2) Financial information is pro forma to include a full year of Clariant Color acquisition (1) (2) 528% Shaping a Sustainable Future… Avient Corporation 116 What We Shared Today SUSTAINABLE SOLUTIONS $340 $930 2016 2021E Brand Owner Commitment 3 2021E 2025E 10 – 50 Percent of recycled plastic used Avient Historic Growth Future Growth Assumptions 13% organic CAGR Net Sales ($ millions) Avient Corporation 117 8-12% CAGR What We Shared Today HEALTHCARE $225 $685 2010 2021E Megatrend Growth Rate 17,645 29,445 2021E 2025E Avient Historic Growth Future Growth Assumptions 9% organic CAGR Source: BCC Research, Nov. 2020 11% CAGR Market for Medical Plastics (millions of LBs) Figures above include relevant Sustainable Solutions sales Avient Corporation 118 Net Sales ($ millions) 8-10% CAGR What We Shared Today COMPOSITES $74 $260 2017 2021E 11% organic CAGR Figures above include relevant Sustainable Solutions sales Avient Corporation 119 Avient Historic Growth Future Growth Assumptions Net Sales ($ millions) 5G Capacity and Demand Source: Mobile Experts: 5G Millimeter Wave 2019: Radio Architecture and Outlook, March 2019 0 1 2 3 4 5 6 7 2019 2020 2021 2022 2023 2024 2025 2026 2027 D e ns e U rb an C ap ac ity ( G B /m o. ) Capacity below 6GHz 5G mm-wave capacity Demand (GB/mo) B B B B B B B B 10% CAGR Megatrend Growth Rate What We Shared Today ASIA AND LATIN AMERICA $210 $1,150 2010 2021E Weighted Avg.
https://www.avient.com/sites/default/files/2022-07/Avient 2021 Sustainability Report 7-26-22.pdf
HOME | Contents | Message from the CEO | Who We Are | People | Products | Planet | Performance | Metrics | IndexHOME | Contents | Message from the CEO | Who We Are | People | Products | Planet | Performance | Metrics | Index Sustainability Report | 2021 45 https://www.avient.com/products/polymer-additives/oxygen-scavengers/colormatrix-capture-oxygen-scavenger-pet https://www.avient.com/products/polymer-additives/reheat-additives-pet/colormatrix-smartheat-rhc https://www.avient.com/products/polymer-additives/clarifier-and-toner-additives/colormatrix-optica-toners-pet https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-fx-special-effect https://www.avient.com/products/polymer-additives/processing-enhancement-additives/colormatrix-reprize-iv-builder-pet https://www.avient.com/products/polymer-colorants/liquid-color-concentrates/hiformer-liquid-masterbatches https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-ir-sortable-black-recyclable-packaging https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/rejoin-pcr-masterbatch-polyolefins Healthcare Plastics are a crucial tool in saving lives and improving health and safety in our communities.
OnColor™ FX™ Special Effect Colorants achieve an appearance comparable to glossy or brushed metal while reducing VOC emissions by replacing paint.
HOME | Contents | Message from the CEO | Who We Are | People | Products | Planet | Performance | Metrics | IndexHOME | Contents | Message from the CEO | Who We Are | People | Products | Planet | Performance | Metrics | Index Sustainability Report | 2021 47 https://www.avient.com/products/thermoplastic-elastomers/versaflex-pf-tack-layer-surface-protective-films https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-fx-special-effect https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/edgetek-ld https://www.avient.com/products/engineered-polymer-formulations/eco-conscious-formulations/nymax-pir-and-resound-r-nd-recycled-nylon-formulations https://www.avient.com/sites/default/files/2020-12/complet-and-onforce-lft-processing-guide.pdf https://www.avient.com/sites/default/files/2020-12/complet-and-onforce-lft-processing-guide.pdf https://www.fiber-line.com/en/products/distribution-program https://www.avient.com/products/polymer-additives/foaming-agents/hydrocerol-chemical-foaming-and-nucleating-agents Renewable Energy Renewable energy provides reliable power, reduces greenhouse gas emissions, and conserves natural resources.
https://www.avient.com/sites/default/files/2023-07/Avient-2022-Sustainability-Report.pdf
LEARN MORE Visit Our Sustainability Site for More Information LEARN MORE HOME | Contents | Message from the CEO | About Us | People | Products | Planet | Performance | Metrics | Index Sustainability Report | 2022 47 https://www.avient.com/industries/transportation https://www.avient.com/sites/default/files/2022-06/Complet%20REC%20Technical%20Bulletin.pdf https://www.avient.com/sites/default/files/2022-11/Polystrand%20R%20Recycled%20Polyester%20Composite%20Tape%20and%20Laminates%20Product%20Bulletin.pdf https://www.avient.com/products/engineered-polymer-formulations/general-engineered-formulations/edgetek-pke-polyketone-formulations https://www.avient.com/products/engineered-polymer-formulations/general-engineered-formulations/artisan-pre-colored-thermoplastics-premium-finishes https://www.avient.com/products/polymer-colorants/color-additive-combination-masterbatches/smartbatch-fx-paint-replacement-0 https://www.avient.com/products/polymer-additives/foaming-agents/hydrocerol-chemical-foaming-agents https://www.avient.com/sites/default/files/2023-04/Hydrocerol%20Chemical%20Foaming%20Agents%20-%20PP%20Door%20Panel%20-%20Application%20Snapshots.pdf https://www.avient.com/company/sustainability/sustainability-report/products/markets Renewable Energy Market Needs: Structural Components, Regulatory Compliance, Halogen Free Renewable energy provides reliable power while reducing greenhouse gas emissions and conserving natural resources.