https://www.avient.com/sites/default/files/2024-01/AVNT January IR Presentation_w Non-Gaap Recs.pdf
Continue fostering our Great Place
to Work® culture
Strategic Objectives
Long Term
Growth
Rates
Growth Drivers
$340
$455
$790
$1,120
$51 $84
$212
$650
$108 $113
$231 $230
$265
$358
$726 $730
8-12% 8-10% 8-10% 5%
Sustainable Solutions Composites Healthcare Asia/Emerging Regions
Profitable Growth Great Place to Work
5.4%
10.9%
2006 2014 2023E
EBITDA Margins
$0.14
$1.93
2006 2014 2023E
TOP-TIER SUSTAINABILITY PERFORMANCE
AND RECOGNITION
Industry Sustainability Standards
ESG Ratings Performance
1
3
5
87th
94th
percentile
5
Innovation is the lifeblood of a specialty company.
GUIDANCE
$800
$754
$128
$123
Sales Adjusted EBITDA
$0.56 $0.57
13
• Demand impacted by destocking
and cautious customer sentiment
• Positive net price benefit:
o CAI - Pricing flat and raw
material deflation
o SEM - Pricing flat with
unfavorable mix related to
healthcare, more than offset
with raw material deflation
• Cost reductions driven by Clariant
synergies and reduced
administrative costs
Q3 EBITDA BRIDGE
($ millions)
CAI:
Price / Mix -)
Deflation 22)
SEM:
Price / Mix (6)
Deflation 13)
Net Price Benefit 29)
Cost Reductions 13)
Wage Inflation (8)
FX 1)
Q3 2023 Actual $ 123)
Adjusted
EBITDA
Q3 2022 Pro Forma $ 137)
Demand (49)
14
2023 G U I DAN CE
Q4 2023 GUIDANCE VS.
PRIOR YEAR
$790
$710
2022 2023
$107
$112
2022 2023
Sales Adjusted EBITDA
$0.42
$0.47
2022 PF 2023
- 10% + 5% + 12%
Sales Adjusted EBITDA Adjusted EPS
16
$112
$500
$0.47
Q4 AND FULL YEAR 2023 GUIDANCE
$710
$3,130
Sales Adjusted EBITDA Adjusted EPS
17
(in millions) (in millions)
Guidance: Free Cash Flow
$180 $180
Prior Guidance Guidance
FREE CASH FLOW & INCREASED DIVIDEND
13th Consecutive Dividend Increase
0.16
0.26
0.42
0.58
0.79
0.85
0.99
1.03
2011 2013 2015 2017 2019 2021 2023 2024
S U S TAI NABI L I T Y DAY
RE CAP
SUSTAINABILITY AS A GROWTH DRIVERLONG-TERM REVENUE GROWTH DRIVERS
60%+
Key Growth
Drivers
Sustainable
Solutions
Composites, Healthcare,
Asia / LATAM
Overlap
Other
(GDP Growth)
Total Company Revenue
Growth Drivers Long-Term
Growth Rate
Sustainable Solutions 8–12%
Composites 8–10%
Healthcare 8–10%
Asia / LATAM 5%
Other (GDP growth) 0–2%
Avient 6%
SUSTAINABILITY TRENDS DRIVE LONG-TERM GROWTH
8-12%
Long Term
Growth
50
90
2022 2030
Medical Plastics
Market Size
(in $Billions)
2020 2030
Recycled
Plastics
Virgin
Plastics
Growing Demand
for Recycled
Content
Avient Sustainable
Solutions
46
2023 2032
Global Offshore Annual
Wind Installations
(in Gigawatts)
Sources: McKinsey, Bloomberg, Grand View Research
SUSTAINABILITY TRENDS DRIVE
LONG-TERM GROWTH
21
• Transformative acquisitions
combined with divestitures of
more cyclical businesses have
improved margins over 400 bps
since 2018
• 20% long-term margin goal to
be driven by key growth drivers,
with sustainable solutions
playing a meaningful role
5.4%
11.5%
2006 2018 2023E Recovery Growth
Drivers
Strategic
Objective
20%+
+1%+
+3%+
ADJUSTED EBITDA MARGIN EXPANSION
22
• 6% annualized long-term sales growth leveraging
sustainable solutions, composites, healthcare, and
emerging regions
• Expand EBITDA margins to 20%
• Deliver annual EBITDA and EPS growth of
10% and 15%
• Maintain asset-light, 80% free cash flow conversion
profile and be valued as a specialty formulator
• Continue fostering our Great Place to Work® culture
CREATING A WORLD-CLASS
SUSTAINABLE ORGANIZATION
23
PEER COMPARISONS
AVIENT IS ASSET LIGHT
Capex / Revenue
2023E (%)
Avient Specialty
Other Specialty /
Note: Avient reflects 2023 estimated revenue of $3,130 and estimated run-rate CAPEX of $110M.
26
3.5
1.8
2.7
3.1 3.3 3.7
3.0
3.7
4.7 4.8
6.8 6.8
8.7
11.1
Av
ie
nt
AV
PM FM
N C
FREE CASH FLOW CONVERSION
Note: Free cash flow conversion calculated as (Adjusted EBITDA – Capex) / Adjusted EBITDA.
https://www.avient.com/industries/transportation/automotive
Provide the luxury, beauty and high-tech features your customers demand to see and feel.
Provide the luxury, beauty and high-tech features your customers demand to see and feel.
https://www.avient.com/industries/consumer/consumer-discretionary/outdoor-recreation/sporting-goods
Gravi-Tech™ Lead Replacement Formulations
Density Modified Formulations: Gravi-Tech™
https://www.avient.com/news/avient-unveil-new-specialized-and-sustainable-solutions-fakuma-2023
Avient Launches New Stat-Tech™ TPEs & PTFE-Free LubriOne™ Internally Lubricated Formulations Fakuma 2023
NEW Stat-Tech™ TPE Static Dissipative & Electrically Conductive Thermoplastic Elastomers – Formulated to offer electrical resistivity from 10⁰Ω to 10¹⁰Ω.
https://www.avient.com/news/polyone-helps-polycase-win-“ammo-year”-polymer-based-ammunition
Now marketed under the Ruger® ARX® line of ammunition, the projectiles feature a patentpending
flute design molded from Gravi-Tech™ High Density Composite material.
PolyOne developed a specific Gravi-Tech formulation that makes it possible to produce the unique geometry of the bullet while maintaining balance and weighting requirements to deliver higher velocity and more efficient energy transfer.
https://www.avient.com/resource-center?document_subtype=0&document_type=59&form_id=resource_filter_form&industry=0&op=FILTER RESULTS&product_family=0&product_name=0&page=39
Stat-Tech™ Static Dissipative and Electrically Conductive Formulations
Injection molding parameters, startup and shutdown, mold design and troubleshooting recommendations for Stat-Tech™ Static Dissipative and Conductive Formulations
https://www.avient.com/resource-center?document_subtype=0&document_type=59&form_id=resource_filter_form&industry=0&op=FILTER RESULTS&product_family=0&product_name=0&page=36
Stat-Tech™ Static Dissipative and Electrically Conductive Formulations
Injection molding parameters, startup and shutdown, mold design and troubleshooting recommendations for Stat-Tech™ Static Dissipative and Conductive Formulations
https://www.avient.com/resource-center?document_type=59&document_subtype=0&industry=0&product_family=0&product_name=0&op=FILTER RESULTS&form_id=resource_filter_form&page=3
Stat-Tech™ Static Dissipative Formulations protected critical electronics from ESD while providing an environmental barrier
Stat-Tech™ Static Dissipative & Electrically Conduction formulations provided flame retardant and anti-static solution for vacuum cleaner handle
https://www.avient.com/resource-center?document_type=59&page=28
Gravi-Tech™ Luxury Closure - (English & Spanish)
Gravi-Tech™ replaces metal and maintains a high quality look and feel for luxury closure (English & Spanish language version)
https://www.avient.com/idea/navigating-challenges-semiconductor-packaging-specialty-polymer-solutions
How Avient Can Help
Avient’s ultra-pure Stat-Tech™ Static Dissipative Formulations are polymeric formulations that combine select engineered resins with conductive additives such as carbon powder, carbon fiber, nickel-coated carbon fiber, and stainless steel fiber, that provide the precise level of electrical conductivity required for your application.
Depending on your application’s performance needs, Avient can develop a custom Stat-Tech formulation to provide anti-static properties, dissipation, conduction, and electromagnetic and radio frequency interference (EMI/RFI) shielding.