https://www.avient.com/sites/default/files/2022-02/AVNT Q4 2021 Earnings Presentation_0.pdf
Unless otherwise stated, Adjusted Operating Income, Adjusted EBITDA and Adjusted EPS figures included in this presentation exclude the impact of special items as defined in our quarterly earnings releases. 2021 PE RF O RM AN CE $80 $85 2020 2021 $0.52 $0.58 2020 2021 Q4 2021 PERFORMANCE (TOTAL COMPANY) 4 Sales Adjusted Operating Income $997 $1,202 2020 2021 + 21% Adjusted EPS + 6% + 12% (in millions) (in millions) $308 $429 2020PF 2021 $1.93 $3.05 2020PF 2021 FULL YEAR 2021 PERFORMANCE (TOTAL COMPANY) 5 Sales Adjusted Operating Income $3,783 $4,819 2020PF 2021 + 27% Adjusted EPS + 39% + 58% (in millions) (in millions) (1) Financial information is pro forma to include a full year of Clariant Color business (1) (1) (1) FULL YEAR 2021 SEGMENT PERFORMANCE 6 CAI $2,043 $2,402 Sales ($ in millions) SEM Distribution $226 $303 Operating Income + 18% + 34% $1,110 $1,631 Sales $70 $93 Operating Income + 47% + 33% (1) $709 $919 Sales $94 $132 Operating Income + 30% + 40% (1) Financial information is pro forma to include a full year of Clariant Color business (1) Full Year 2020 (Pro forma) $3,783 $308 Sustainable Solutions 147 19% 60 Healthcare 143 28% 30 Composites 58 43% 29 Growth in Asia / LATAM 107 21% 26 Other 543 30% 58 Sub-total $4,781 26% $511 Wage Inflation and Overtime (39) Other Supply Chain Costs (15) COVID Response Applications (22) (12) Synergies 44 FX, Incentives, Other Employee Costs 60 (60) Full Year 2021 $4,819 27% $429 FULL YEAR 2021 SALES AND OPERATING INCOME (TOTAL COMPANY) 7 Sales Growth Rate Adjusted Operating Income$ millions (1) Financial information is pro forma to include a full year of Clariant Color business (1) Adjusted EBITDA 8 Full Year 2020 (Pro forma) $ 457 Demand 135 $ millions CAI: Price / Mix 158 Inflation (120) SEM: Price / Mix 84 Inflation (65) Distribution: Price / Mix 318 Inflation (304) Net Price Benefit 71 Wage Inflation and Overtime (39) Other Supply Chain Costs (15) COVID Response Applications (12) Synergies 44 Incentives, FX, Other Employee Costs (60) Full Year 2021 $ 581 (1) Financial information is pro forma to include a full year of Clariant Color business (1) • Demand impact driven by growth in key focus areas: sustainable solutions, healthcare, composites and growth in Asia / LATAM • Price increases more than offset raw material and supply chain impacts FULL YEAR 2021 EBITDA BRIDGE SPECIALTY EBITDA MARGIN EXPANSION 9 CAI (1) 2018-2020 financial information is pro forma to include a full year of Clariant Color business 15.3% 15.2% 16.2% 17.0% 2018 2019 2020 2021 14.8% 15.2% 17.6% 17.8% 2018 2019 2020 2021 (1) SEM • Record margins in 2021 despite unprecedented supply chain challenges • Continued portfolio transformation to high-growth end markets and sustainable solutions • Clariant Color synergy realization • Investments in composites and outdoor high performance applications drove growth and mix improvements • Acquisition of Clariant Color business significantly expanded presence in healthcare, packaging and consumer end markets • Strength of portfolio – double-digit annual EBITDA growth since acquisition • $54 million of synergies realized in 2021 • Acquisition completed on July 1, 2020 for $1.45 billion.
FX) 2022 GROWTH PROJECTIONS (TOTAL COMPANY) 19 $3.05 $3.50 2021 2022E Full Year – Adjusted EPS + 15% (+ 17% excluding FX) $0.89 $0.95 2021 2022E Q1 – Adjusted EPS + 7% (+ 10% excluding FX) ($ millions) Q1 Full Year Q1 Full Year 2021 - Actual 1,162$ 4,819$ 123$ 429$ Sustainable Solutions 27 110 12 44 Healthcare 15 66 4 13 Composites (excl.Outdoor High Performance) 11 29 5 13 Outdoor High Performance Applications (7) (20) (4) (10) Growth in Asia / LATAM 10 51 3 11 Other 57 115 9 12 Sub-total 1,275$ 5,170$ 152$ 512$ Wage Inflation and Overtime (12) (18) Other Supply Chain Costs (4) (7) FX Impact (25) (70) (4) (8) Synergies 4 15 Travel, Other Employee Costs (1) (4) 2022 - Estimated 1,250$ 5,100$ 135$ 490$ Sales Adjusted Operating Income 2022 SALES AND OI – Q1 AND FULL YEAR (TOTAL COMPANY) 20 ($ millions) 2021 2022E Cash Flow from Operating Activities 234$ 385$ Less: Run-Rate CapEx (86) (90) CapEx for Clariant Integration (15) (20) CapEx for IT System Upgrade - (25) Total CapEx (101) (135) Free Cash Flow 133$ 250$ Adjusted EBITDA 581$ 635$ Net Debt / Adjusted EBITDA 2.2x 1.8x 21 CASH FLOW / LEVERAGE 22 • Record results – highest level of sales ($4.8B) and earnings ($3.05 adjusted EPS) in company history • Successful Clariant Color integration – net debt to adjusted EBITDA reduced to 2.2x, one-year ahead of schedule • Recognized as one of America’s Most Responsible Companies by Newsweek • Earned 3rd consecutive Great Place to Work certification 2021 HIGHLIGHTS 23 • 15% adjusted EPS growth to $3.50, led by growth in sustainable solutions and increased synergy realization • Continued strong synergy capture from the Clariant Color integration: $75M anticipated run-rate synergies by the end of 2022 • Adjusted EBITDA of $635M represents 9% growth above 2021 – 11% excluding the impact of foreign currencies • Deleveraged to 1.8x net debt to adjusted EBITDA by the end of 2022 2022 SUMMARY PEER COMPARISONS 25 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/sites/default/files/resources/Credit%2520Suisse%2520June%252026%25202013.pdf
Use of Non GAAP Measures Page 3 -150.00% -100.00% -50.00% 0.00% 50.00% 100.00% 150.00% 200.00% 250.00% 300.00% 350.00% PolyOne S&P 500 Strategy and Execution Drive Results – Since 2006: Page 4 All time closing high of $26.63 May 28, 2013 • 14 consecutive quarters of double digit EPS growth • 380 basis point increase in return on sales • 300% share price expansion • 300% increase in total shareholder return • 42% CAGR EPS expansion • $1.8 billion increase in market cap • Track record of successful acquisitions The World’s Premier Provider of Specialized Polymer Materials, Services & Solutions Four Pillar Strategy Page 5 2013 Portfolio Transformation Highlights • Substantial organic mix improvement drives 29% increase in first quarter EPS – 14th consecutive quarter of double-digit EPS growth • Completed acquisition of Spartech • Announced the creation of a new Specialty segment – Designed Structures and Solutions • Completed the sale of our non-core resin assets • Realigned our Specialty Coatings business into our GCAI segment Page 6 PP&S 15% Specialty 60% Distribution 25% 0.12 0.27 0.21 0.13 0.68 0.82 1.00 2.50 $0.00 $0.25 $0.50 $0.75 $1.00 $1.25 $1.50 $1.75 $2.00 $2.25 $2.50 2006 2007 2008 2009 2010* 2011* 2012* 2015 Target Ad ju st ed E ar ni ng s P er S ha re Appliance 6% Building & Construction 13% Wire & Cable 9% Electrical & Electronics 4% Consumer 9% Packaging 18% Industrial 10% Misc. 5% HealthCare 9% Transportation 16% Textiles 1% United States 70% Europe 14% Canada 8% Asia 5% Latin America 3% 2012 Revenues: $4.0 Billion* End Markets* 2012 Revenues: $4.0 Billion* EPS Page 7 * Pro Forma includes FY2012 results for Spartech (11/03/12 YE) and Glasforms & excludes discontinued operations PolyOne At A Glance * Restated to exclude discontinued operations Old PolyOne Transformation *Operating Income excludes corporate charges and special items **Pro Forma results include Spartech and Glasforms acquisitions, Specialty Coatings reclass and excludes resin assets 2% 34% 43% 45% 60% 65 – 75% 0% 20% 40% 60% 80% 100% 2005 2008 2010 2012 2012PF** 2015 % o f O pe ra tin g In co m e* JV's PP&S Distribution Specialty Specialty OI $5M $46M $87M $114M $150M Target Mix Shift Highlights Specialty Transformation 2015 Target Page 8 2007 Q1 2013 2015 Target 1) Operating Income % Specialty: Global Color, Additives & Inks 4.6% 11.7% 12 – 16% Global Specialty Engineered Materials 1.3% 10.1% 12 – 16% Designed Structures & Solutions -- 4.6% 8 – 10% Performance Products & Solutions 6.1% 8.1% 9 – 12% Distribution 3.0% 6.0% 6 – 7.5% 2) Specialty Platform % of Operating Income 20% 60% 65 – 75% 3) ROIC* (after-tax) 7% 9.2% 15% 4) Adjusted EPS Growth N/A 29% Double Digit Expansion Proof of Performance & 2015 Goals *ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period Page 9 *Percentage of Specialty Platform revenue from products introduced in last five years 19.5% 50.0% 2006 Q1 2013 $20.3 $41.9 2006 2012 14.3% 27.8% 2006 Q1 2013 Research & Development Spending Specialty Platform Vitality Index Progression* Innovation Drives Earnings Growth ($ millions) Specialty Platform Gross Margin % Page 10 We are Experts in Polymer Science and Formulation Polymer Science Formulation Chemistry Processing Inputs Base Resins Additives Modifiers Colorants Specialized Polymer Materials, Services, and Solutions Expertise Satisfied Consumers PolyOne Customer Innovative Products & Services Marketplace Demands Performance Requirements Value Drivers Page 11 Positioned for Strong Growth 2015 Target Rev: $5B Adj.
https://www.avient.com/sites/default/files/AVNT Q1 2023 Earnings Press Release.pdf
A recording of the webcast and the slide presentation will be available at avient.com/investors/events-presentations immediately following the conference call and will be accessible for one year.
https://www.avient.com/sites/default/files/2022-11/AVNT Q3 2022 Earnings Presentation - Website Final.pdf
Additionally, Adjusted EPS excludes the impact of special items and amortization expense associated with intangible assets.2 T RAN S FO R MAT IO NAL OVE RV IE W Avient Protective Materials Dyneema ® RECENT TRANSACTIONS Acquired Divested $1.45 B $0.95 B 4 Distribution UPDATED CAPITAL STRUCTURE & LIQUIDITY • Proceeds from completed sale of Distribution used to pay near-term maturing debt to strengthen balance sheet • Fixed/floating debt ratio of ~55/45 • Proven track record of deleveraging following major acquisitions through strong free cash flow generation • 2022 pro forma net debt/adjusted EBITDA expected to be 3.1x $725 $725 $575 $500 $600 $525 $650 $650 $600 Capital Structure Cash $544 Undrawn Revolver $250 Liquidity $3.15B $2.40B 2030 Notes 2029 Term Loan 2026 Term Loan 2025 Notes 2023 Notes After Dyneema Acquisition After Distribution Divestiture $794M (1) (1) $250M reflects estimated undrawn revolver following the divestiture of Distribution 5 PREVIOUS TRANSACTIONS Performance Solutions Products & $0.8 B COLOR $1.4 B Acquired (2020)Divested (2019) 6 • Acquisition of Clariant Color business significantly expanded presence in healthcare, packaging and consumer end markets • Strength of portfolio – double-digit annual EBITDA growth since acquisition • $75 million of realized synergies anticipated in 2022 • Acquisition completed on July 1, 2020 for $1.45 billion.
https://www.avient.com/sites/default/files/2025-02/Avient Investor Presentation - February 2025_w_Non-GAAP.pdf
All Rights Reserved 2025 Full-year 2024 highlights ► 4% organic revenue growth for Avient; 3% for CAI and 6% for SEM ► Adjusted EBITDA margin expanded 20 bps for Avient; 90 bps for CAI and 110 bps for SEM ► New strategy in execution Leadership team strengthened with a new CTO, CIO, General Counsel, SVP (New business development & marketing) in place ► New compensation plan rolled out in January 2025, in direct alignment with the strategy ► 2024 was our safest year on record ► Increased dividend 5% to $1.08 on an annualized basis; 14th consecutive increase FY 2024 results FULL YEAR 2024 VS.
https://www.avient.com/sites/default/files/2020-03/polyone-2019-annual-report.pdf
Although just slightly higher than last year, I’m pleased that the severity of our injuries decreased, our most common injury historically is decreasing, and on two occasions we set new records for most consecutive days globally without a recordable injury.
https://www.avient.com/sites/default/files/2021-12/AVNT 2021 Investor Day_0.pdf
Post-consumer recycled content as percentage of total plastic packaging volume, by weightAvient Corporation 36 37Avient Corporation T O P 5 G A P S T H A T W E A R E A D D R E S S I N G 2: DECONTAMINATION1: COLOR MANAGEMENT 3: MAINTAINING MECHANICAL PROPERTIES 4: MONO-MATERIAL CONSTRUCTION 5: CONSISTENT RECYCLED MATERIAL QUALITY Improving the Use of Recycled Content Avient Corporation 38 39Avient CORPORATION • Inconsistent base color of recycled materials • Lightest color recycled material in high demand for all applications ($$) • Even with clear/transparent materials, color degrades over repeated processing Our Solutions • OpticaTM Toners and Super-concentrated colorants to reduce and mask recycled material discoloration • SmartHeatTM reduces heat history to minimize yellowing • Color Simulation Tool to assist with color space design CHALLENGES OPPORTUNITIES • Stabilization of color fluctuation driven by variable recycled polymer • In-line color correction to optimize customer manufacturing efficiency RECYCLE COLOR QUALITY RANGE Avient Corporation 39 1: Color Management Recycled Material Restricts Color Options With virgin material, we can design across a broad color spectrum The darker the recycled materials, the more color design freedom is restricted This bright yellow is not achievable with high concentrations of dark recycled materials Avient can provide customer guidance on maximum recycle content possible and color concentration required to achieve desired color Avient Corporation 40 Case Study with Brand Owner Recycled Resin = Discolored Base Virgin Resin = Clean Color Base Degree of base discoloration limits recycle content Avient Corporation 41 The Plus Factor Opportunity I N C R E A S E D U S E O F R E C Y C L E D M A T E R I A L R E Q U I R E S M O R E C O L O R A N T A N D A D D I T I V E S Avient Corporation 42 $100M + 2: Decontamination Recycled material feedstocks are contaminated • Feedstock variability supplies the recycle process • Insufficient washing at recycler • Residual labels and printing inks cause quality and NIAS issues • Unpleasant recycled material odor (in processing and the final application) • Clean, food grade, recycled material availability in high demand • Reliable decontamination to reduce NIAS concerns • Full odor removal Our Solutions • CESATM Laser Marking to eliminate contaminating printing inks, labels and glue • AAzureTM process aids and scavengers to enable food and beverage taste purity in PET packaging • ProsureTM range of formulations to enable NIAS compliance and security (customer peace of mind) CHALLENGES NIAS = Non Intentionally Added Substances OPPORTUNITIES Avient Corporation 43 44 3: Maintaining Mechanical Properties • Mechanical properties of recycled materials degrade after multiple heat cycles • Today's recycling protocols only focus on one recycle loop…in reality, there will be several • Legislation and brand owners are targeting higher recycled material ratio incorporation and full circularity • Polymer quality stability over multiple loops to deliver circular recyclability • Stress cracking of recycled bottles • Upgrading performance of lower quality recycled materials • Specification and guided selection amongst highly variable recycled materials Our Solutions • CESATM antioxidants and process aids to enhance physical properties • SmartHeatTM reduces heat history to minimize yellowing • rePrize™ for PET polymer chain repair and extension CHALLENGES OPPORTUNITIES Avient Corporation 44 45 Multi-material packaging is harder to recycle • Contamination of polymer streams • Issues in sorting • Issues in separation • Trend is to restrict multi-material systems in favor of mono-material constructions • Improve recyclability of PET gas barriers • Barrier system development for Polyolefins • Recyclable barrier systems for film and sheet Our Solutions • Portfolio of compatibilizers to enable multilayer constructions • AmosorbTM to extend beverage shelf life by scavenging oxygen through the bottle wall • CaptureTM to extend product shelf life through oxygen scavenging but without contaminating the bottle • Lactra SX TM to prevent light-induced oxidation in liquid dairy products stored at higher temperatures OPPORTUNITIES CHALLENGES Avient Corporation 45 4: Mono-Material Construction 46 Brand Owners require a consistent brand identity • Inconsistent quality streams pose a challenge to delivering homogeneous product quality and aesthetics to the consumer • Brands demand recycled content, but with color/property consistency • Recyclers are challenged to fulfill needs from brand owners and convertors • Specification and selection of recycled material grades for targeted applications • Simulation of recycled material performance in the end-use application • Leverage re-formulation expertise to provide a consistent packaging product (color and mechanical properties) Our Solutions Our Service and Color Expertise differentiate Avient and allow us to support customers throughout the entire design process • Design for use: Color matching, Color design options • Recycle lot selection • Improving mechanical properties • Improving material processing OPPORTUNITIES CHALLENGES Closer customer collaboration to support recycle efforts Avient Corporation 46 5: Consistent Recycle Material Quality 2016 2021E Growth in Sustainable Solutions *Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”) Revenue From Sustainable Solutions* $340M $930M Avient Corporation 47 Future Revenue Growth Assumptions 8-12% CAGR Avient Corporation 48 Healthcare Cathy Dodd High-Impact, High-Growth Industry Medical Equipment / Devices 33% Drug Delivery 19% Medical Supplies 18% Labware 14% Packaging 8% Remote Monitoring 5% $225 $380 $685 2010 2016 2021E Healthcare Submarkets (2021E) Track Record of Sales Growth Personal Wellness 3% ($ millions) Avient Corporation 49 Our Foundation W E A R E P O S I T I O N E D T O W I N Relationships Innovative Solutions Differentiated Services 50Avient Corporation Trends in Healthcare S H A P I N G I N N O V A T I O N & S O L U T I O N S Improved Wellness & Connectedness Globalization & Localization Increasing Life Expectancy Self Management & Self Administration Technology Driving Diagnostic & Remote Monitoring COVID-19 Protection Avient Corporation 51 • Deep, trusted customer relationships • Well-positioned and entrenched in the Healthcare supply chain • Broad & differentiated capabilities • Positioned to respond & execute quickly COVID - 19 Protection A V I E N T W A S S E T A N D R E A D Y Avient Corporation 52 Aging Population T R E A T I N G C H R O N I C C O N D I T I O N S Of the U.S. population is aged 65 or older… and this number is growing Suffer from one or more chronic health conditions Avient Corporation 53 Aging Population T R E A T I N G C H R O N I C C O N D I T I O N S Increasing Life Expectancy Cardiology • 47% of Americans having at least one of three major risk factors for heart disease Diabetes • 193 million people with Type 2 diabetes and will grow to 252 million by 2026 at a 5% CAGR Neurology • Neurological disorders are the second leading cause of death globally, second only to heart disease Avient Corporation 54 Connected Health E X P A N S I O N O F M E D I C A L W E A R A B L E D E V I C E S Improved Wellness & Connectedness Application Opportunities • Flexible components to provide design aesthetics & proper functionality • Robust designs to meet regulatory requirements and perform over long product lifecycles • Patient comfort to promote ongoing use Avient Corporation 55 Remote Patient Monitoring T R A N S L A T I N G D E V I C E S F R O M H O S P I T A L S E T T I N G S T O H O M E Technology Driving Diagnostic & Remote Monitoring Application Opportunities • Durable, chemically-resistant devices to withstand impact in a home environment and exposure to a variety of household cleaners • Miniaturization of devices to fit into limited space in the home, while maintaining maximum functionality • Innovative, user-friendly designs and long-term aesthetics to provide patients with easy-to-use, high-quality, attractive devices in the home Avient Corporation 56 Self Management & Self Administration E N A B L I N G P A T I E N T S T O M A N A G E H E A L T H Self Management & Self Administration Application Opportunities • Combination of rigid & flexible materials to realize design potential and optimize device functionality • Superior chemical resistance to cleaners, disinfectants, hand oils, UV rays, and drugs to extend life of device • Reduced abrasion between mating components to ensure proper dosing • Regulatory-approved colorant and additives to provide branding and drug identification Avient Corporation 57 Trends are Shaping Innovation Professional / Clinic Patient / Home Avient Corporation 58 Avient Design D I F F E R E N T I A T E D S E R V I C E • Global product development support from industrial design through engineering and product launch • Extensive material, manufacturing, industry and value chain knowledge • Human-centric design skill, aligning product innovations with ergonomic needs • Product tear-down capabilities to provide customers with product optimization and cost reduction insights • 3D-printed prototypes and samples to accelerate product development Avient Corporation 59 IDEAIDEA PROOF OF CONCEPT PROOF OF CONCEPT DESIGNDESIGN TOOLINGTOOLING EVALUATIONEVALUATION LAUNCH & DELIVERY LAUNCH & DELIVERY Accelerating Speed to Market with Avient design Avient Corporation 60 Avient Design A U T O I N J E C T O R 61Avient Corporation Avient Design 62 A U T O - I N J E C T O R T E A R - D O W N Defined haptics and soft touch Stringent regulatory requirements Drug contact, mechanical sensitivity for dosing accuracy Lasermarking and laserwelding compatible Strict change control Avient Corporation Avient Design 63 A U T O I N J E C T O R I N N O V A T I O N Avient Corporation Avient Design 64 A U T O I N J E C T O R I N N O V A T I O N Easy to use Safe Quality Protect Ingredients Compliant Temperature Management Avient Corporation 65 Medical Grade TPE Healthcare Colorants High-Density Polymer Laser weldable formulation Laser marking additives Lubricated polymers Avient Corporation Easy to use Safe Quality Protect Ingredients Compliant Temperature Management Avient Design A U T O I N J E C T O R I N N O V A T I O N 17,645 29,445 2021E 2025E Source: BCC Research, Nov. 2020 (LBs millions) Healthcare Growth Outlook Avient Corporation 66 8-10% CAGR Future Revenue Growth AssumptionsMarket for Medical Plastics Investor Day 2021 Break Avient Corporation 68 Composites Chris Pederson $74 $84 $216 $212 $260 $5 $10 $32 $41 $50 0 10 20 30 40 50 60 70 2017 2018 2019 2020 2021E • Prior investments in composites platform and outdoor high performance applications continue to pay off driving substantial growth in 2021 ($ in millions) Composites • Composites will also drive our ability to deliver future revenue growth in excess of GDP Avient Corporation 69 Spotlight: Growth in Composites Composite Material Design Avient Corporation 70 Materials Structure Mfg ProcessPart Properties Lower weight Corrosion resistance Fatigue performance Tailor-ability Design flexibility Composite Material Forms Avient Corporation 71 Manufacturing Costs Continuous Fiber Thermosets Continuous Fiber Thermoplastics Design Flexibility Continuous Fiber Thermosets Continuous Fiber Thermoplastics Discontinuous Fiber Thermoplastics Performance Performance Discontinuous Fiber Thermoplastics Composites Portfolio D I V E R S E C A PA B I L I T I E S A N D S O L U T I O N S S E R V I N G M A N U FA C T U R E R S A N D O E M S LFT Tapes Laminates/Panels Shapes Pultrusion Engineered Fibers Avient Corporation 72 Powersports & Outdoor Gear B E N E F I T S O F C O M P O S I T E S STRUCTURAL COMPONENTS Material Replacement • Weight Reduction • Temperature Resistance • Impact Resistance BODY PANELS Paint Replacement • Weight Reduction • Scratch Resistance ADVENTURE GEAR Fatigue Resistance • Lightweight • Temperature Resistance • Impact Resistance Avient Corporation 73 Industrial & Energy B E N E F I T S O F C O M P O S I T E S HIGH PRESSURE PIPE Burst Strength • Corrosion Resistance • Lighter Weight GPS TRACKABLE PALLETS Weight Reduction • Increased Load • Stiffness POWER INFRASTUCTURE Corrosion Resistance • Electrical Insulation • Weight Reduction Avient Corporation 74 $31 $48 $66 $119 2009 2013 2017 2021E ($ millions) Avient Corporation 75 Spotlight: Growth at Fiber-Line Revenue • Fiber-Line business acquired on January 2, 2019 for $120 million • Specialty portfolio of fiber-optic cable applications primarily serving telecommunications end-market • Deep formulation expertise, innovative culture and global commercial presence will accelerate growth related to 5G infrastructure build out Avient Corporation 76 5G Technology Matt Reinhardt Evolution of 5G M E E T I N G S I G N I F I C A N T L Y E X P A N D I N G C O N N E C T I V I T Y N E E D S Avient Corporation 77 How FAST IS 5G?
https://www.avient.com/sites/default/files/2025-03/Q4 2024 Avient Webcast Slides w Non-GAAP.pdf
All Rights Reserved 2025 Full-year 2024 highlights ► 4% organic revenue growth for Avient; 3% for CAI and 6% for SEM ► Adjusted EBITDA margin expanded 20 bps for Avient; 90 bps for CAI and 110 bps for SEM ► New strategy in execution Leadership team strengthened with a new CTO, CIO, General Counsel, SVP (New business development & marketing) in place ► New compensation plan rolled out in January 2025, in direct alignment with the strategy ► 2024 was our safest year on record ► Increased dividend 5% to $1.08 on an annualized basis; 14th consecutive increase FY 2024 results FULL YEAR 2024 VS.
https://www.avient.com/sites/default/files/resources/Novel_Thermoplastic_elastomers_for_overmolding_applications.pdf
The initial and final tensile strength and modulus results of Versaflex OM6240 (40 shore A universal polyamide OM TPE) and Versaflex OM6258 (60 shore A) after aging at 70°C for one week have been recorded.
https://www.avient.com/sites/default/files/resources/PolyOne%2520IR%2520Presentation%2520Sidoti%2520wNonGAAP%2520Rec.pdf
Page 3 Strategy and Execution Drive Results 90% $22 $24 PolyOne Stock Price 50% 70% $18 $20 $22 S&P 500 (relative performance) 30% $12 $14 $16 S&P 500 (relative performance) ‐10% 10% $6 $8 $10 50% ‐30% $0 $2 $4 $ | ‐50%$0 2006 2007 2008 2009 2010 2011 2012 2013 Page 4 Four Pillar Strategy The World’s Premier Provider of SpecializedThe World s Premier Provider of Specialized Polymer Materials, Services & Solutions Page 5 Spartech – Compelling Strategic Rationale • Spartech expands PolyOne’s specialty portfolio with adjacent technologies in attractive end markets Bolt on acquisition with opportunity for global expansion as only Bolt‐on acquisition with opportunity for global expansion, as only 6% of Spartech’s revenues are outside of North America • PolyOne has a proven management team with a track record of transformational success • Preliminary synergy estimated at $65 million run rate by end of 3year 3 Significant opportunity to expand profitability by leveraging PolyOne’s four pillar strategy • Substantial potential share price appreciation for all shareholders f f ll / $ Accretive to EPS in first full year post‐acquisition / $0.50 once synergies realized Page 6 Mix Shift Highlights Specialty Transformation Old PolyOne Transformation 100% 2015 Target 80% In co m e* 65 – 75%40% 60% f O pe ra tin g 34% 43% 45% 65 75% 20% % o f 2%0% 2005 2008 2010 2012 2015 Specialty OI $5M $46M $87M $114M Target *Operating Income excludes corporate charges and special items JV's PP&S Distribution Specialty Page 7 Proof of Performance 2007 2012 2015 “Where we were” “Where we are” “Where we Where we were Where we are expect to be" 1) Operating Income % Specialty 3.2% 9.1% 12 – 16% PP&S 6.1% 9.0% 9 – 12% Distribution 3.0% 6.4% 6 – 7.5% 2) Specialty Platform sss% of Operating Income 20% 45% 65 – 75% 3) ROIC* ( ft t ) 7% 11% 15%3) ROIC* (after‐tax) 7% 11% 15% 4) Adjusted EPS Growth** N/A 4 yr CAGR = 55% Double Digit Expansion *ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period **4 yr EPS CAGR calculated using 2012 adjusted EPS vs 2008 adjusted EPS Page 8 Proof of Performance Spartech Opportunity Intermediate PolyOne Spartech Opportunity 2006 2012 Today Goal “Where we were” “Where we are” “Where Spartech is”* “Where we can go”were are Spartech is can go Specialty Operating Margin 1.5% 9.1% 2.2% 8.0% – 10.0% Margin Page 9 *Pro Forma results include Spartech corporate allocations for FY12 ended November 3, 2012 At a Glance PolyOne Europe 14% Canada 8% Asia 5% Latin America 3% Distribution 2012 Revenues: $4.2 Billion* 2012 Revenues: $4.2 Billion* United States 70% 14% 5% PP&S 20%Specialty 57% 23% 70% Appliance 5% Building & HealthCare Transportation 16% Textiles 2% 1.02 1.20 $1.20 $1.40 ha re End Markets* EPS Growth g Construction 14% Wire & Cable 8% Consumer 8% Packaging 17% Industrial 11% Misc. 6% 9% 0.27 0 21 0.79 $0.40 $0.60 $0.80 $1.00 Ad ju st ed E ar ni ng s P er S Electrical & Electronics 4% 0.12 0.21 0.13 $0.00 $0.20 2006 2007 2008 2009 2010 2011 2012 Page 10 * Pro Forma includes FY2012 results for Spartech (11/03/12 YE) and Glasforms At a Glance Specialty U it d 2012 Revenues: $2.4 Billion* Solutions United States 59% Europe 23% Asia Canada 4% Asia 9% Latin America 5% Appliance 4% Building & C t ti HealthCare 5% Transportation 16% Textiles 2% % o f S al es 12-16% End Markets* Expanding Profits Construction 11% Wire & Cable 7% Electrical & Electronics Packaging 23% Industrial 7% Misc. 15% 1.5% 3.2% 4.3% 5.3% 8.4% 9.1% O pe ra tin g In co m e % 8.0% Electronics 4% Consumer 6% Page 11 2006 2007 2008 2009 2010 2011 2012 2015 O Target* Pro Forma includes FY2012 results for Spartech (11/03/12 YE) and Glasforms At a Glance Designed Structures and Solutions United States 2012 Revenues: $0.85 Billion* Solutions 84% Europe 2% Canada 7% Latin America 7% Appliance 4% Building & Construction 11% Wire & Cable Sign & Advertising 3% Recreation & Leisure 2% Pool & Spa 1% Distribution & Thermoform 8% Textiles 2% Operating Income % of Sales 2012 Revenue by Industry Segment* Expanding Profits** Wire & Cable 7% Electrical & Electronics 4% Consumer 6% Packaging 23%Industrial 7% Transportation 16% 3% 2.2% 8 ‐ 10% 7% Misc. 1% HealthCare 5% 2012 2015 Target Page 12 *Pro Forma includes FY2012 results for Spartech (11/03/12 YE) **Pro Forma results include Spartech corporate allocations for FY12 Positioned for Earnings Growth 2015 Target Rev: $5B Adj.