https://www.avient.com/sites/default/files/2021-06/avient-ir-presentation-june-2021-w-non-gaap-recs_0.pdf
To provide comparable financial results, the Company references “pro forma” financial metrics, which include the business results of CMB for periods prior to the Acquisition Date.
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.
APPENDIX Performance Additives 15% Pigments 15% TiO2 12% Dyestuffs 4%Polyethylene 10% Nylon 5% Polypropylene 4% Other Raw Materials 29% Styrenic Block Copolymer 6% ~1/3 hydrocarbon based (Grey shaded materials are hydrocarbon based, includes portion of “Other Raw Materials”) Non-hydrocarbon based materials 31 • Exiting 2020, the majority of hydrocarbon based raw material markets were experiencing price inflation and tight inventory • Winter Storm Uri in the Gulf Coast caused further stress on the situation for 2021 • Raw materials most impacted include polyethylene, polypropylene and nylon • We purchase over 8,000 different raw materials to formulate our customized solutions and unique specifications Annual Purchases RAW MATERIAL UPDATE Based on 2020 pro forma purchases, excludes Distribution business SEGMENT DATA U.S. & Canada 50% EMEA 26% Asia 16% Latin America 8% 2020 SEGMENT, END MARKET AND GEOGRAPHY 33 GEOGRAPHY REVENUESEGMENT FINANCIALS Consumer 23% Packaging 21%Industrial 15% Wire & Cable 6% Building & Construction 6% Electrical & Electronics 4% END MARKET REVENUE Transportation 10% Healthcare 15% All data reflects 2020 Pro forma for acquisition of the Clariant Masterbatch business. (1) The total company sales and EBITDA of $3,783M and $457M, respectively, include intercompany sales eliminations and corporate costs $2,043M $331M $709M $124M $1,110M $70M Sales EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $457M$3,783M (1) Packaging 35% Consumer 23% Healthcare 8% Industrial 14% Building & Construction 8% Transportation 7% Wire & Cable 3% Electrical & Electronics 2% C O L O R , A D D I T I V E S & I N K S 2020 PF REVENUE | $2 .0 BILLION US & Canada 31% EMEA 40% Asia 22% Latin America 7% END MARKET REGION 34 2020 figures Pro forma for acquisition of the Clariant Masterbatch business S P E C I A LT Y E N G I N E E R E D M AT E R I A L S Consumer 24% Healthcare 10% Packaging 6% Wire & Cable(1) 24% Electrical & Electronics 13% Transportation 11% Industrial 10% Building & Construction 2% 2020 REVENUE | $709 MILLION END MARKET US & Canada 58% EMEA 23% Asia 19% REGION 35 (1) Approximately 50% of Wire and Cable sales are associated with Fiber Optic Cabling DI S TR IBU T I ON 2020 REVENUE | $1 .1 B ILL ION Healthcare 29% Consumer 25% Packaging 2% Industrial 20% Transportation 14% Electrical & Electronics 5% Building & Construction 4% Wire & Cable 1% US & Canada 82% Asia 3% Latin America 15% END MARKET REGION K E Y S U P P L I ER S 36 TOTA L C O M PA N Y R E G I O N A L S A L E S BY END MARKET Packaging 32% Consumer 27% Healthcare 12% Industrial 6% Wire & Cable 6% Building & Construction 4% Electrical & Electronics 9% Asia (16% of sales) Transportation 4% Packaging 34% Consumer 16%Healthcare 5% Industrial 17% Wire & Cable 10% Building & Construction 8% Electrical & Electronics 3% EMEA (26% of sales) Transportation 7% 2020 figures Pro forma for acquisition of the Clariant Masterbatch business 37 Transportation 10% Consumer 26% Healthcare 19% Packaging 13% Industrial 16% Wire & Cable 7% Building & Construction 5% Electrical & Electronics 4% US & Canada (50% of sales) Packaging 45% Consumer 29% Healthcare 6% Industrial 8% Building & Construction 3% Electrical & Electronics 2% Wire & Cable 1% LATAM (8% of sales) Transportation 6% Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except for per share data) Three Months Ended March 31, 2021 Reconciliation to Condensed Consolidated Statements of Income GAAP Results Special Items Adjusted Results Income from continuing operations before income taxes $ 102.6 $ 2.4 $ 105.0 Income tax expense - GAAP (22.9) — (22.9) Income tax impact of special items — (0.9) (0.9) Tax adjustments — 1.1 1.1 Net income attributable to noncontrolling interests (0.4) — (0.4) Net income from continuing operations attributable to Avient shareholders $ 79.3 $ 2.6 $ 81.9 Net income / EPS $ 0.86 0.03 $ 0.89 Weighted-average diluted shares 92.2 92.2 92.2 Reconciliation to Consolidated Statements of Income Three Months Ended March 31, 2021 Operating income - GAAP $ 120.4 Special items in operating income 2.4 Adjusted Operating income $ 122.8 1 Business Segment Operations Three Months Ended March 31, Year Ended December 31, 2021 2020 2020 2019 2018 Sales: Color, Additives and Inks $ 609.3 $ 256.5 $ 1,502.9 $ 1,003.8 $ 1,046.5 Specialty Engineered Materials 216.5 185.3 708.8 745.7 645.8 Distribution 362.7 289.5 1,110.3 1,192.2 1,265.4 Corporate and eliminations (26.2) (19.8) (79.9) (79.0) (76.7) Sales $ 1,162.3 $ 711.5 $ 3,242.1 $ 2,862.7 $ 2,881.0 Gross margin: Color, Additives and Inks $ 197.5 $ 89.4 $ 484.4 $ 338.4 $ 353.4 Specialty Engineered Materials 64.7 52.6 207.6 200.2 171.7 Distribution 39.3 33.6 124.0 132.1 125.8 Corporate and eliminations 0.9 (4.1) (31.7) (13.5) (26.1) Gross margin $ 302.4 $ 171.5 $ 784.3 $ 657.2 $ 624.8 Selling and administrative expense: Color, Additives and Inks $ 108.7 $ 48.9 $ 303.6 $ 191.0 $ 194.9 Specialty Engineered Materials 30.5 30.3 113.2 116.5 99.4 Distribution 15.3 14.2 54.5 56.7 54.3 Corporate and eliminations 27.5 25.3 123.7 136.2 97.6 Selling and administrative expense $ 182.0 $ 118.7 $ 595.0 $ 500.4 $ 446.2 Operating income: Color, Additives and Inks $ 88.8 $ 40.5 $ 180.8 $ 147.4 $ 158.5 Specialty Engineered Materials 34.2 22.3 94.4 83.7 72.3 Distribution 24.0 19.4 69.5 75.4 71.5 Corporate and eliminations (26.6) (29.4) (155.4) (149.7) (123.7) Operating income $ 120.4 $ 52.8 $ 189.3 $ 156.8 $ 178.6 Earnings before interest, taxes, depreciation and amortization (EBITDA): Color, Additives and Inks $ 116.2 $ 51.4 $ 255.9 $ 190.1 $ 202.8 Specialty Engineered Materials 42.0 29.8 124.4 113.2 95.5 Distribution 24.2 19.5 70.2 75.9 72.2 Corporate and eliminations (24.9) (28.0) (146.2) (144.3) (119.3) Other income, net 1.5 1.6 24.3 12.1 (12.9) EBITDA $ 159.0 $ 74.3 $ 328.6 $ 247.0 $ 238.3 EBITDA as a % of Sales: Color, Additives and Inks 19.1 % 20.0 % 17.0 % 18.9 % 19.4 % Specialty Engineered Materials 19.4 % 16.1 % 17.6 % 15.2 % 14.8 % Distribution 6.7 % 6.7 % 6.3 % 6.4 % 5.7 % 2 Reconciliation of Pro Forma EBITDA - Color, Additives and Inks Three Months Ended March 31, Year Ended December 31, 2021 2020 2020 2019 2018 Sales: Color, Additives and Inks $ 609.3 $ 256.5 $ 1,502.9 $ 1,003.8 $ 1,046.5 Clariant MB pro forma adjustments(1) — 279.4 540.4 1,118.6 1,209.8 Pro forma sales $ 609.3 $ 535.9 $ 2,043.3 $ 2,122.4 $ 2,256.3 Operating income: Color, Additives and Inks $ 88.8 $ 40.5 $ 180.8 $ 147.4 $ 158.5 Clariant MB pro forma adjustments(1) — 23.0 45.0 72.9 80.3 Pro forma operating income $ 88.8 $ 63.5 $ 225.8 $ 220.3 $ 238.8 Depreciation & amortization: Color, Additives and Inks $ 27.4 $ 10.9 $ 75.1 $ 42.7 $ 44.3 Clariant MB pro forma adjustments(1) — 15.1 30.1 60.3 61.2 Pro forma depreciation & amortization $ 27.4 $ 26.0 $ 105.2 $ 103.0 $ 105.5 Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA): Color, Additives and Inks $ 116.2 $ 51.4 $ 255.9 $ 190.1 $ 202.8 Clariant MB pro forma adjustments(1) — 38.1 75.1 133.2 141.5 Pro forma EBITDA $ 116.2 $ 89.5 $ 331.0 $ 323.3 $ 344.3 Pro forma EBITDA as a % of Sales 19.1 % 16.7 % 16.2 % 15.2 % 15.3 % Three Months Ended March 31, 2020 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(1) Pro Forma Adjusted Avient Sales $ 711.5 $ — $ 711.5 $ 279.4 $ 990.9 Operating income 52.8 9.7 62.5 23.0 85.5 Interest expense, net (9.4) — (9.4) (12.8) (22.2) Other income, net 1.6 (0.1) 1.5 — 1.5 Income taxes (11.9) (1.0) (12.9) (2.4) (15.3) Net income from continuing operations attributable to Avient shareholders $ 33.1 $ 8.6 $ 41.7 $ 7.8 $ 49.5 Weighted average diluted shares 86.7 Impact to diluted shares from January 2020 equity offering 6.1 Weighted average diluted shares 92.8 EPS $ 0.53 (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition 3 Three Months Ended June 30, 2020 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(2) Pro Forma Adjusted Avient Sales $ 609.1 $ — $ 609.1 $ 261.1 $ 870.2 Operating income $ 38.0 $ 9.0 $ 47.0 $ 22.0 $ 69.0 Interest expense, net (16.2) — (16.2) (5.3) (21.5) Other income, net 9.5 (0.3) 9.2 — 9.2 Income taxes (7.9) 0.7 (7.2) (3.8) (11.0) Net income attributable to non controlling interests (0.4) — (0.4) — (0.4) Net income from continuing operations attributable to Avient shareholders $ 23.0 $ 9.4 $ 32.4 $ 12.9 $ 45.3 Weighted average diluted shares 91.8 Impact to diluted shares from January 2020 equity offering 15.3 Pro forma weighted average diluted shares 107.1 Pro forma adjusted EPS $ 0.42 (2) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition Year Ended December 31, Reconciliation to Adjusted EBITDA 2020 2019 2018 Net income from continuing operations – GAAP $ 133.8 $ 75.7 $ 87.4 Income tax expense 5.2 33.7 14.4 Interest expense 74.6 59.5 62.8 Debt extinguishment cost — — 1.1 Depreciation and amortization from continuing operations 115.0 78.1 72.6 EBITDA $ 328.6 $ 247.0 $ 238.3 Special items, before tax 66.2 61.7 59.5 Interest expense included in special items (10.1) — — Accelerated depreciation included in special items (3.2) — (3.0) Adjusted EBITDA $ 381.6 $ 308.7 $ 294.8 4 Year Ended December 31, 2020 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(3) Pro Forma Adjusted Avient Sales $ 3,242.1 $ — $ 3,242.1 $ 540.4 $ 3,782.5 Operating income $ 189.3 $ 73.7 $ 263.0 $ 45.0 $ 308.0 Interest expense, net (74.6) 10.1 (64.5) (18.1) (82.6) Other income, net 24.3 (17.6) 6.7 — 6.7 Income taxes (5.2) (41.4) (46.6) (6.2) (52.8) Net income attributable to noncontrolling interests (1.8) — (1.8) — (1.8) Net income from continuing operations attributable to Avient shareholders $ 132.0 $ 24.8 $ 156.8 $ 20.7 $ 177.5 Weighted average diluted shares 90.6 Impact to diluted shares from January 2020 equity offering 1.5 Pro forma weighted average diluted shares 92.1 Pro forma adjusted EPS $ 1.93 Reconciliation of Pro Forma Adjusted EBITDA from continuing operations Operating income and other income, net $ 213.6 $ — $ 56.1 $ 269.7 $ 45.0 $ — $ 314.7 Depreciation and amortization 115.0 (3.2) 111.8 30.1 141.9 EBITDA from continuing operations $ 328.6 $ 52.9 $ 381.5 $ 75.1 $ 456.6 Year Ended December 31, 2019 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(1) Pro Forma Adjusted Avient Sales $ 2,862.7 $ — $ 2,862.7 $ 1,118.6 $ 3,981.3 Operating income $ 156.8 $ 71.7 $ 228.5 $ 72.9 $ 301.4 Interest expense, net (59.5) — (59.5) (33.4) (92.9) Other income, net 12.1 (10.0) 2.1 — 2.1 Income taxes (33.7) (5.9) (39.6) (9.1) (48.7) Net income attributable to noncontrolling interests (0.2) — (0.2) — (0.2) Net income from continuing operations attributable to Avient shareholders $ 75.5 $ 55.8 $ 131.3 $ 30.4 $ 161.7 Weighted average diluted shares 77.7 Impact to diluted shares from January 2020 equity offering 15.3 Pro forma weighted average diluted shares 93.0 Pro forma adjusted EPS $ 1.74 Reconciliation of Pro Forma Adjusted EBITDA from continuing operations Operating income and other income, net $ 168.9 $ — $ 61.7 $ 230.6 $ 72.9 $ — $ 303.5 Depreciation and amortization 78.1 — 78.1 60.3 138.4 EBITDA from continuing operations $ 247.0 $ 61.7 $ 308.7 $ 133.2 $ 441.9 (3) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition 5 Avient IR Presentation - June 2021.pdf Avient IR Presentation - June 2021 w Non GAAP Recs.pdf Avient IR Presentation - May 2021 w Non-GAAP Recs.pdf AVNT First Quarter 2021 Earnings Presentation.pdf AVNT First Quarter 2021 Earnings Presentation.pdf AVNT First Quarter 2021 Earnings Presentation.pdf AVNT First Quarter 2021 Earnings Presentation.pdf 4.29 127pm Q1 21 IR Deck Version non-GAAP Recs (002).pdf
https://www.avient.com/knowledge-base/article/considering-house-plastisol-production?rtype[]=1164
Weigh the pros and cons in these seven key categories
As you consider the pros and cons associated with in-house plastisol production, consider these seven issues to determine what will work best in your situation.
https://www.avient.com/sites/default/files/2021-10/avnt-q3-2021-earnings-presentation_0.pdf
To provide comparable financial results, the Company references “pro forma” financial metrics, which include the business results of Clariant Color for periods prior to the Acquisition Date.
Q 3 2021 P E RFO R MA N CE U P DAT E $74 $99 2020 2021 $0.46 $0.70 2020 2021 Q3 2021 PERFORMANCE (TOTAL COMPANY) 4 Sales Adjusted Operating Income $925 $1,220 2020 2021 + 32% Adjusted EPS + 34% + 52% (in millions) (in millions) Q3 2021 SEGMENT PERFORMANCE 5 CAI $494 $587 Sales ($ in millions) SEM Distribution $51 $67 Operating Income +19% +31% $277 $439 Sales $18 $24 Operating Income +58% +33% (1) $174 $234 Sales $25 $32 Operating Income +34% +28% SPECIALTY EBITDA MARGIN EXPANSION 6 CAI (1) 2018-2020 financial information is pro forma to include a full year of Clariant Color acquisition 15.3% 15.2% 16.2% 17.6% 2018 2019 2020 YTD 2021 14.8% 15.2% 17.6% 18.4% 2018 2019 2020 YTD 2021 (1) SEM • Continued portfolio transformation to high-growth end markets and sustainable solutions • Clariant Color synergy realization • Investments in composites and outdoor high performance applications drive growth and mix improvements CAI EBITDA MARGIN EXPANSION 7 Legacy CAI 18.9% 18.9% 19.8% 2019 2020 YTD 2021 Legacy Clariant Color 11.9% 13.8% 15.7% 2019 2020 YTD 2021 • Synergy capture driving margin improvement • Favorable mix with growth in healthcare, consumer and packaging end-markets • World-class vitality index of 35% represents sales from products introduced in the last five years.
APPENDIX Performance Additives 15% Pigments 15% TiO2 12% Dyestuffs 4%Polyethylene 10% Nylon 5% Polypropylene 4% Other Raw Materials 29% Styrenic Block Copolymer 6% ~1/3 hydrocarbon based (Grey shaded materials are hydrocarbon based, includes portion of “Other Raw Materials”) Non-hydrocarbon based materials 27 • Significant raw material price inflation and tight inventory continued in Q3 2021 o Average cost of hydrocarbon based materials was up 65% year-over-year and 10% sequentially o Average cost of non-hydrocarbon based materials was up 20% year-over-year and 3% sequentially • Additionally, we continued to experience other supply chain challenges during Q3 related to raw material spot purchases, freight constraints and productivity loss as a result of these shortages Annual Purchases RAW MATERIAL AND SUPPLY CHAIN UPDATE Based on 2020 pro forma purchases, excludes Distribution business SEGMENT DATA U.S. & Canada 51% EMEA 25% Asia 16% Latin America 8% 2021 YTD SEGMENT, END MARKET AND GEOGRAPHY 29 GEOGRAPHY REVENUESEGMENT FINANCIALS Consumer 23% Packaging 19% Industrial 16% Building and Construction 10% Telecommunications 4% Energy 2% END MARKET REVENUE (1) Total company sales and EBITDA of $3,617M and $455M, respectively, include intercompany sales eliminations and corporate costs All charts reflect YTD financials through September 30 $1,820M $321M $691M $127M $1,206M $72M Sales Adjusted EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $455M$3,617M (1) Transportation 12% Healthcare 14% Packaging 34% Consumer 21% Healthcare 7% Industrial 16% Building & Construction 10% Transportation 9% Energy 2% Telecommunications 1% C O L O R , A D D I T I V E S & I N K S 2021 YTD REVENUE | $1 .8 BILL ION US & Canada 31% EMEA 42% Asia 21% Latin America 6% END MARKET REGION 30 All charts reflect 2021 YTD financials through September 30 S P E C I A LT Y E N G I N E E R E D M AT E R I A L S Consumer 28% Healthcare 10% Packaging 6% Telecommunications 16% Transportation 12% Industrial 11% Building & Construction 10% Energy 7% 2021 YTD REVENUE | $691 MILLION END MARKET US & Canada 55% EMEA 25% Asia 20% REGION 31 All charts reflect 2021 YTD financials through September 30 DI S TR IBU T I ON Healthcare 26% Consumer 22% Packaging 6% Industrial 20% Transportation 16% Building and Construction 8% Energy 1% Telecommunications 1% US & Canada 81% Asia 4% Latin America 15% END MARKET REGION K E Y S U P P L I ER S 2021 YTD REVENUE | $1 .2 BILL ION 32 All charts reflect 2021 YTD financials through September 30 TOTA L C O M PA N Y R E G I O N A L S A L E S BY END MARKET Packaging 30% Consumer 27% Healthcare 12% Industrial 14% Building & Construction 5% Telecommunications 2% Energy 2% Asia (16% of sales) Transportation 8% Packaging 31% Consumer 14% Healthcare 5% Industrial 17% Building & Construction 12% Telecommunications 5% Energy 4% EMEA (25% of sales) Transportation 12% 33 Consumer 25% Healthcare 19% Packaging 10% Industrial 17% Building & Construction 10% Telecommunications 4% Energy 2% US & Canada (51% of sales) Transportation 13% Packaging 42% Consumer 33% Healthcare 3% Industrial 10% Building & Construction 5% Telecommunications 1% LATAM (8% of sales) Transportation 6% All charts reflect 2021 YTD financials through September 30 Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except for per share data) Three Months Ended September 30, 2021 Reconciliation to Condensed Consolidated Statements of Income GAAP Results Special Items Adjusted Results Operating income $ 78.7 $ 20.0 $ 98.7 Income from continuing operations before income taxes $ 61.1 $ 19.9 $ 81.0 Income tax expense - GAAP (8.5) — (8.5) Income tax impact of special items — (4.6) (4.6) Tax adjustments — (3.6) (3.6) Net income attributable to noncontrolling interests 0.3 — 0.3 Net income from continuing operations attributable to Avient shareholders $ 52.9 $ 11.7 $ 64.6 Net income / EPS $ 0.57 $ 0.13 $ 0.70 Weighted-average diluted shares 92.2 92.2 92.2 Three Months Ended September 30, 2020 Reconciliation to Condensed Consolidated Statements of Income GAAP Results Special Items Adjusted Results Operating income $ 33.5 $ 40.4 $ 73.9 Income from continuing operations before income taxes $ 5.3 $ 50.0 $ 55.3 Income tax expense - GAAP (2.7) — (2.7) Income tax impact of special items — (12.7) (12.7) Tax adjustments — 3.0 3.0 Net income attributable to noncontrolling interests (0.9) — (0.9) Net income from continuing operations attributable to Avient shareholders $ 1.7 $ 40.3 $ 42.0 Net income / EPS $ 0.02 $ 0.44 $ 0.46 Weighted-average diluted shares 91.9 91.9 91.9 1 Three Months Ended September 30, Three Months Ended Nine Months Ended Year Ended December 31, Reconciliation to Pro Forma Adjusted EBITDA 2021 2020 June 30, 2021 September 30, 2021 2020 2019 2018 Net income from continuing operations – GAAP $ 52.6 $ 2.6 $ 69.4 $ 201.7 $ 133.8 $ 75.7 $ 87.4 Income tax expense 8.5 2.7 20.4 51.8 5.2 33.7 14.4 Interest expense 19.0 29.7 19.5 57.8 74.6 59.5 62.8 Debt extinguishment cost — — — — — — 1.1 Depreciation and amortization from continuing operations 36.8 36.5 33.8 107.7 115.0 78.1 72.6 EBITDA $ 116.9 71.5 $ 143.1 $ 419.0 $ 328.6 $ 247.0 $ 238.3 Special items, before tax 19.9 50.0 14.2 36.5 66.2 61.7 59.5 Interest expense included in special items — (9.6) — — (10.1) — — Depreciation and amortization included in special items (0.9) (1.3) 1.4 (0.1) (3.2) — (3.0) Adjusted EBITDA $ 135.9 $ 110.6 $ 158.7 $ 455.4 $ 381.6 $ 308.7 $ 294.8 Clariant MB pro forma adjustments(1) — — — — 75.1 133.2 141.5 Pro forma adjusted EBITDA $ 135.9 $ 110.6 $ 158.7 $ 455.4 $ 456.7 $ 441.9 $ 436.3 (1) Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects to the financing for the acquisition 2 Reconciliation of EBITDA by Segment Three Months Ended September 30, Nine Months Ended September 30, Year Ended December 31, 2021 2020 2021 2020 2019 2018 Sales: Color, Additives and Inks $ 586.6 $ 493.8 $ 1,820.3 $ 1,502.9 $ 1,003.8 $ 1,046.5 Specialty Engineered Materials 233.6 174.1 690.7 708.8 745.7 645.8 Distribution 438.8 276.9 1,205.9 1,110.3 1,192.2 1,265.4 Corporate and eliminations (39.2) (20.3) (99.6) (79.9) (79.0) (76.7) Sales $ 1,219.8 $ 924.5 $ 3,617.3 $ 3,242.1 $ 2,862.7 $ 2,881.0 Operating income: Color, Additives and Inks $ 66.8 $ 50.5 $ 241.9 $ 180.8 $ 147.4 $ 158.5 Specialty Engineered Materials 31.7 24.7 103.2 94.4 83.7 72.3 Distribution 23.8 17.5 71.5 69.5 75.4 71.5 Corporate and eliminations (43.6) (59.2) (109.4) (155.4) (149.7) (123.7) Operating income $ 78.7 $ 33.5 $ 307.2 $ 189.3 $ 156.8 $ 178.6 Items below OI in Corporate: Other income, net $ 1.4 $ 1.5 $ 4.1 $ 24.3 $ 12.1 $ (12.9) Depreciation & amortization: Color, Additives and Inks $ 26.6 $ 26.3 $ 79.2 $ 75.1 $ 42.7 $ 44.3 Specialty Engineered Materials 7.9 7.5 23.8 30.0 29.5 23.2 Distribution 0.2 0.2 0.6 0.7 0.5 0.7 Corporate and eliminations 2.1 2.5 4.1 9.2 5.4 4.4 Depreciation & Amortization $ 36.8 $ 36.5 $ 107.7 $ 115.0 $ 78.1 $ 72.6 EBITDA: Color, Additives and Inks $ 93.4 $ 76.8 $ 321.1 $ 255.9 $ 190.1 $ 202.8 Specialty Engineered Materials 39.6 32.2 127.0 124.4 113.2 95.5 Distribution 24.0 17.7 72.1 70.2 75.9 72.2 Corporate and eliminations (41.5) (56.7) (105.3) (146.2) (144.3) (119.3) EBITDA $ 116.9 $ 71.5 $ 419.0 $ 328.6 $ 247.0 $ 238.3 EBITDA as a % of Sales: Color, Additives and Inks 15.9 % 15.6 % 17.6 % 17.0 % 18.9 % 19.4 % Specialty Engineered Materials 17.0 % 18.5 % 18.4 % 17.6 % 15.2 % 14.8 % Distribution 5.5 % 6.4 % 6.0 % 6.3 % 6.4 % 5.7 % 3 Reconciliation of Pro Forma EBITDA - Color, Additives and Inks Year Ended December 31, 2020 2019 2018 Sales: Color, Additives and Inks $ 1,502.9 $ 1,003.8 $ 1,046.5 Clariant MB pro forma adjustments(1) 540.4 1,118.6 1,209.8 Pro forma sales $ 2,043.3 $ 2,122.4 $ 2,256.3 Operating income: Color, Additives and Inks $ 180.8 $ 147.4 $ 158.5 Clariant MB pro forma adjustments(1) 45.0 72.9 80.3 Pro forma operating income $ 225.8 $ 220.3 $ 238.8 Depreciation & amortization: Color, Additives and Inks $ 75.1 $ 42.7 $ 44.3 Clariant MB pro forma adjustments(1) 30.1 60.3 61.2 Pro forma depreciation & amortization $ 105.2 $ 103.0 $ 105.5 EBITDA Color, Additives and Inks $ 255.9 $ 190.1 $ 202.8 Clariant MB pro forma adjustments(1) 75.1 133.2 141.5 Pro forma EBITDA $ 331.0 $ 323.3 $ 344.3 Pro forma EBITDA as a % of Sales 16.2 % 15.2 % 15.3 % (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition 4 Year Ended December 31, 2020 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(1) Pro Forma Adjusted Avient Sales $ 3,242.1 $ — $ 3,242.1 $ 540.4 $ 3,782.5 Operating income $ 189.3 $ 73.7 $ 263.0 $ 45.0 $ 308.0 Interest expense, net (74.6) 10.1 (64.5) (18.1) (82.6) Other income, net 24.3 (17.6) 6.7 — 6.7 Income taxes (5.2) (41.4) (46.6) (6.2) (52.8) Net income attributable to noncontrolling interests (1.8) — (1.8) — (1.8) Net income from continuing operations attributable to Avient shareholders $ 132.0 $ 24.8 $ 156.8 $ 20.7 $ 177.5 Weighted average diluted shares 90.6 Impact to diluted shares from January 2020 equity offering 1.5 Pro forma weighted average diluted shares 92.1 Pro forma adjusted EPS $ 1.93 (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition Year Ended December 31, 2019 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(1) Pro Forma Adjusted Avient Sales $ 2,862.7 $ — $ 2,862.7 $ 1,118.6 $ 3,981.3 Operating income $ 156.8 $ 71.7 $ 228.5 $ 72.9 $ 301.4 Interest expense, net (59.5) — (59.5) (33.4) (92.9) Other income, net 12.1 (10.0) 2.1 — 2.1 Income taxes (33.7) (5.9) (39.6) (9.1) (48.7) Net income attributable to noncontrolling interests (0.2) — (0.2) — (0.2) Net income from continuing operations attributable to Avient shareholders $ 75.5 $ 55.8 $ 131.3 $ 30.4 $ 161.7 Weighted average diluted shares 77.7 Impact to diluted shares from January 2020 equity offering 15.3 Pro forma weighted average diluted shares 93.0 Pro forma adjusted EPS $ 1.74 (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition 5 AVNT Q3 2021 Earnings Presentation.pdf AVNT Q3 2021 Earnings Presentation.pdf Final 10.27 606pm Q3 21 IR Deck Version v1.pdf
https://www.avient.com/sites/default/files/2023-01/AVNT Dec 2022 Earnings Presentation.pdf
OPS) 21 Sales Adjusted EBITDA $818 $823 2021 2022 + 1% Adjusted EPS + 8% - 3% (in millions) (in millions) (+ 9% excluding FX) (+ 18% excluding FX) (+ 5% excluding FX) Q3 EBITDA BRIDGE (PRO FORMA TOTAL COMPANY) 22 Price increases more than offset raw material and supply chain impacts $ millions CAI: Price / Mix 68 Inflation (44) SEM: Price / Mix 41 Inflation (26) Net Price Benefit 39 Wage and Energy Inflation (14) Clariant Color Integration Synergies 6 Incentives, Other Employee Costs 14 FX (11) Q3 2022 $137 Adjusted EBITDA Q3 2021 $ 142 Demand (39) Q3 2022 SEGMENT PERFORMANCE 23 CAI $587 $566 Sales ($ in millions) $93 $93 EBITDA SEM Pro Forma $326 $319 Sales $70 $62 EBITDA (+ 4% excluding FX) - 4% - 2% (+ 5% excluding FX) Flat (+ 7% excluding FX) - 11% (- 7% excluding FX) $500 $585 Cont.
Ops Pro Forma $2.60 $2.95 Cont.
Ops Pro Forma FULL YEAR 2022 GUIDANCE 24 Sales Adjusted EBITDA $3,375 $3,635 Cont.
https://www.avient.com/sites/default/files/2025-01/AVNT Dec 2022 Earnings Presentation Updated.pdf
OPS) 21 Sales Adjusted EBITDA $818 $823 2021 2022 + 1% Adjusted EPS + 8% - 3% (in millions) (in millions) (+ 9% excluding FX) (+ 18% excluding FX) (+ 5% excluding FX) Q3 EBITDA BRIDGE (PRO FORMA TOTAL COMPANY) 22 Price increases more than offset raw material and supply chain impacts $ millions CAI: 68Price / Mix (44)Inflation SEM: 41Price / Mix (26)Inflation 39Net Price Benefit (14)Wage and Energy Inflation 6Clariant Color Integration Synergies 14Incentives, Other Employee Costs (11)FX $137 Q3 2022 Adjusted EBITDA $ 142Q3 2021 (39)Demand Q3 2022 SEGMENT PERFORMANCE 23 CAI $587 $566 Sales ($ in millions) $93 $93 EBITDA SEM Pro Forma $326 $319 Sales $70 $62 EBITDA (+ 4% excluding FX) - 4% - 2% (+ 5% excluding FX) Flat (+ 7% excluding FX) - 11% (- 7% excluding FX) $500 $585 Cont.
Ops Pro Forma $2.60 $2.95 Cont.
Ops Pro Forma FULL YEAR 2022 GUIDANCE 24 Sales Adjusted EBITDA $3,375 $3,635 Cont.
https://www.avient.com/sites/default/files/AVNT February IR Presentation_w_Non-GAAP Recs.pdf
Pro Forma Financial Information The Company acquired Avient Protective Materials (“Dyneema”) on September 1, 2022 (the “Acquisition Date”) and sold the Distribution segment on November 1, 2022.
Three Months Ended December 31, 2023 2022 Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1) Net income (loss) from continuing operations attributable to Avient shareholders $ 27.8 $ 0.30 $ (17.0) $ (0.19) Special items, after tax (Attachment 3) 5.4 0.06 38.3 0.42 Amortization expense, after-tax 15.0 0.16 14.6 0.16 Adjusted net income / EPS $ 48.2 $ 0.52 $ 35.9 $ 0.39 (1) Per share amounts may not recalculate from figures presented herein due to rounding Year Ended December 31, 2023 2022 Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1) Net income from continuing operations attributable to Avient shareholders $ 75.8 $ 0.83 $ 82.8 $ 0.90 Special items, after tax (Attachment 3) 79.3 0.86 116.2 1.26 Amortization expense, after-tax 61.5 0.67 49.0 0.53 Adjusted net income / EPS $ 216.6 $ 2.36 $ 248.0 $ 2.69 (1) Per share amounts may not recalculate from figures presented herein due to rounding 1 Three Months Ended December 31, Year Ended December 31, Reconciliation to EBITDA and Pro Forma Adjusted EBITDA 2023 2022 2023 2022 Sales - GAAP $ 719.0 $ 790.4 $ 3,142.8 $ 3,396.9 Pro forma APM adjustments — — — 256.1 Pro forma adjusted sales $ 719.0 $ 790.4 $ 3,142.8 $ 3,653.0 Net income (loss) from continuing operations – GAAP $ 27.6 $ (16.6) $ 76.3 $ 83.1 Income tax (benefit) expense (7.0) (60.8) 11.0 (19.3) Interest expense 26.8 49.4 115.3 119.8 Depreciation and amortization from continuing operations 44.2 48.6 188.8 162.5 EBITDA from continuing operations $ 91.6 $ 20.6 $ 391.4 $ 346.1 Special items, before tax 22.4 104.3 114.6 194.0 Interest expense included in special items (0.1) (16.0) (2.3) (26.0) Depreciation and amortization included in special items — (1.5) (1.9) (5.5) Adjusted EBITDA $ 113.9 $ 107.4 $ 501.8 $ 508.6 APM pro forma adjustments - 8 months 2022* — — — 83.1 Pro forma adjusted EBITDA $ 113.9 $ 107.4 $ 501.8 $ 591.7 Pro forma adjusted EBITDA as a percent of sales 15.8 % 13.6 % 16.0 % 16.2 % * Pro forma adjustment for January - August 2022 APM results (period before Avient ownership).
Three Months Ended Year Ended Reconciliation of Pro Forma Adjusted Earnings per Share December 31, 2022 Net (loss) income from continuing operations attributable to Avient shareholders $ (17.0) $ 82.8 Special items, after tax 38.3 116.2 Amortization expense, after-tax 14.6 49.0 Adjusted net income from continuing operations excluding special items 35.9 248.0 Pro forma adjustments* 2.5 13.6 APM pro forma amortization expense, after-tax* — 19.1 Pro forma adjusted net income from continuing operations attributable to Avient shareholders $ 38.4 $ 280.7 Weighted average diluted shares 91.7 92.2 Pro forma adjusted EPS - excluding special items pro forma for APM acquisition $ 0.42 $ 3.04 * Pro forma adjustment to reflect APM results for the period before Avient ownership including the impacts of debt financing and paydown of debt with net proceeds from the Distribution sale. 2 Three Months Ended December 31, Year Ended December 31, 2023 2022 2023 2022 Sales: Color, Additives and Inks $ 459.4 $ 490.8 $ 2,007.4 $ 2,355.0 Specialty Engineered Materials 259.8 300.8 1,138.2 1,044.4 Corporate (0.2) (1.2) (2.8) (2.5) Sales $ 719.0 $ 790.4 $ 3,142.8 $ 3,396.9 Operating income: Color, Additives and Inks $ 61.8 $ 44.3 $ 259.9 $ 301.0 Specialty Engineered Materials 29.4 35.2 142.5 140.1 Corporate (48.1) (79.1) (205.6) (197.8) Operating income $ 43.1 $ 0.4 $ 196.8 $ 243.3 Other expense, net: $ 4.3 $ (28.4) $ 5.8 $ (59.7) Depreciation & amortization: Color, Additives and Inks $ 22.2 $ 25.2 $ 98.3 $ 101.3 Specialty Engineered Materials 19.8 20.3 81.5 48.7 Corporate 2.2 3.1 9.0 12.5 Depreciation & amortization $ 44.2 $ 48.6 $ 188.8 $ 162.5 Earnings before interest, taxes, depreciation and amortization (EBITDA): Color, Additives and Inks $ 84.0 $ 69.5 $ 358.2 $ 402.3 Specialty Engineered Materials 49.2 55.5 224.0 188.8 Corporate (45.9) (76.0) (196.6) (185.3) Other expense, net $ 4.3 $ (28.4) $ 5.8 $ (59.7) EBITDA $ 91.6 $ 20.6 $ 391.4 $ 346.1 Special items in EBITDA 22.3 86.8 110.4 162.5 EBITDA - excluding special items $ 113.9 $ 107.4 $ 501.8 $ 508.6 APM pro forma adjustments - 8 months 2022* — — — 83.1 Pro forma EBITDA $ 113.9 $ 107.4 $ 501.8 $ 591.7 * Pro forma adjustment for January - August 2022 APM results (period before Avient ownership). 3 AVNT February IR Presentation.pdf Avient corporation�investor presentation DISCLAIMER Slide Number 3 Creating a world-class�sustainable organization Top-tier sustainability performance�and recognition Slide Number 6 Slide Number 7 Portfolio transformation Slide Number 9 END MARKET observations�(% of company sales) Regional observations�(% of company sales) Slide Number 12 Slide Number 13 Slide Number 14 Slide Number 15 Slide Number 16 Slide Number 17 Slide Number 18 Slide Number 19 Slide Number 20 Slide Number 21 Slide Number 22 2023 segment, end market and Geography Color, Additives & Inks Specialty Engineered Materials Slide Number 26 AVNT Q4 2023 Earnings Presentation.pdf AVNT Q4 2023 Earnings Presentation_For Website_with Non-GAAP.pdf IR Deck - AVNT-2023.12.31 (2.12.24 9PM Milestone February 12 0905 pm).pdf Attachment
https://www.avient.com/sites/default/files/2021-11/avnt-november-investor-meetings.pdf
To provide comparable financial results, the Company references “pro forma” financial metrics, which include the business results of Clariant Color for periods prior to the Acquisition Date.
Post-consumer recycled content as percentage of total plastic packaging volume, by weight ENABLING THE USE OF RECYCLED CONTENT 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 15 G U I D I N G B R A N D S T O W H A T I S P O S S I B L E CASE STUDY WITH BRAND OWNER Recycled ResinVirgin Resin 16 SUSTAINABILITY FOR A BETTER TOMORROW 17 • Revenue from sustainable solutions expected to grow 18% in 2021 as our innovation efforts and collaboration with customers continues to accelerate • Investments centered around innovation and global sustainability megatrends o Enabling a circular economy – Technologies that allow for increased use of post-consumer recycled (PCR) material and improve recyclability of plastics o Light-weighting – Composites and CAI applications to reduce weight and material requirements, which minimize energy and carbon emissions o Eco-Conscious – Health and human safety applications as well as Avient’s alternative materials to replace lead, PVC, halogens, BPA and other less eco-friendly options 17 *Avient Sustainable Solutions definitions aligned with FTC 2012 Guide for the Use of Environmental Marketing Claims (“Green Guides”) **2020 is Pro Forma to include full year of the Clariant Color business 2016 2017 2018 2019 2020PF** 2021E $405M $455M $340M $550M $790M Revenue From Sustainable Solutions* 2016-2021 $930M 17 Q3 2020 $925 $74 Sustainable Solutions 35 19% 14 Healthcare 51 44% 10 Composites 13 39% 6 Growth in Asia / LATAM 14 11% 3 Other 177 39% 16 Sub-total $1,215 31% $123 Supply Chain Disruption Costs (19) COVID Response Applications (5) (3) FX Impact 10 2 Synergies 12 Incentives, Travel, Other Employee Costs (16) Q3 2021 $1,220 32% $99 Q3 2021 SALES AND OPERATING INCOME (TOTAL COMPANY) 18 Sales Growth Rate Adjusted Operating Income$ millions 19 Q3 2020 Q3 2021 (1) Financial information is presented on a constant currency basis (1) (44% of total revenue) (56% of total revenue) Q3 END MARKET SALES PERFORMANCE +20% +31% +40% +24% +46% +40% +14% +33% Energy Telecom Building & Construction Transportation Industrial Healthcare Packaging Consumer Q3 YEAR-OVER-YEAR EBITDA BRIDGE 20 • Demand driven by growth in sustainable solutions, healthcare and consumer applications • Price increases more than offsets raw material and supply chain impacts • Synergy capture on pace to achieve $50M in annual savings in 2021 Q3 2020 $ 111 Demand 29 Adjusted EBITDA$ millions CAI: Price / Mix 51 Inflation (37) SEM: Price / Mix 25 Inflation (22) Distribution: Price / Mix 108 Inflation (103) Net Price Benefit 22 Supply Chain Disruption Costs (19) COVID Response Applications (3) Synergies 12 Incentives, FX, Other (16) Q3 2021 $ 136 21 • Price increases have more than covered raw material and freight inflation impacts of $300M year- to-date compared to 2020 • Demand impact driven by Q3 seasonality for the business Q2 TO Q3 SEQUENTIAL EBITDA BRIDGE Q2 2021 $ 159 CAI: Price / Mix 17 Inflation (8) SEM: Price / Mix 6 Inflation (5) Distribution: Price / Mix 35 Inflation (35) Net Price Benefit 10 Supply Chain Disruption Costs (4) Demand / Seasonality (35) Other 6 Q3 2021 $ 136 Adjusted EBITDA$ millions FU LL Y EA R 2021 O U T LO O K $308 $430 2020PF 2021E $1.93 $3.00 2020PF 2021E FULL YEAR GROWTH PROJECTIONS (TOTAL COMPANY) 23 Sales Adjusted Operating Income $3,783 $4,750 2020PF 2021E + 26% Adjusted EPS + 40% + 55% (in millions) (in millions) (1) Financial information is pro forma to include a full year of Clariant Color acquisition (1)(1)(1) $1.74 $1.93 $3.00 2019PF 2020PF 2021E $442 $457 $580 2019PF 2020PF 2021E FULL YEAR 2019 – 2021 GROWTH (TOTAL COMPANY) 24 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) 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 40% 99% 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 25 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 ~$4Bn MARKET CAP INCREASE OVER LAST 10 YEARS (1) Share performance includes reinvested dividends and is as of 10.25.2021 (2) Financial information is pro forma to include a full year of Clariant Color acquisition (1) (2) 494% SUSTAINABILITY REPORT Continuous ESG Improvement 26 • Updated 2030 Sustainability Goals • Further disclosure on key Environmental, Social, and Governance impacts • Joined U.N.
APPENDIX Performance Additives 15% Pigments 15% TiO2 12% Dyestuffs 4%Polyethylene 10% Nylon 5% Polypropylene 4% Other Raw Materials 29% Styrenic Block Copolymer 6% ~1/3 hydrocarbon based (Grey shaded materials are hydrocarbon based, includes portion of “Other Raw Materials”) Non-hydrocarbon based materials 36 • Significant raw material price inflation and tight inventory continued in Q3 2021 o Average cost of hydrocarbon based materials was up 65% year-over-year and 10% sequentially o Average cost of non-hydrocarbon based materials was up 20% year-over-year and 3% sequentially • Additionally, we continued to experience other supply chain challenges during Q3 related to raw material spot purchases, freight constraints and productivity loss as a result of these shortages Annual Purchases RAW MATERIAL AND SUPPLY CHAIN UPDATE Based on 2020 pro forma purchases, excludes Distribution business SEGMENT DATA U.S. & Canada 51% EMEA 25% Asia 16% Latin America 8% 2021 YTD SEGMENT, END MARKET AND GEOGRAPHY 38 GEOGRAPHY REVENUESEGMENT FINANCIALS Consumer 23% Packaging 19% Industrial 16% Building and Construction 10% Telecommunications 4% Energy 2% END MARKET REVENUE (1) Total company sales and EBITDA of $3,617M and $455M, respectively, include intercompany sales eliminations and corporate costs All charts reflect YTD financials through September 30 $1,820M $321M $691M $127M $1,206M $72M Sales Adjusted EBITDA Distribution Specialty Engineered Materials Color Additives and Inks $455M$3,617M (1) Transportation 12% Healthcare 14% Packaging 34% Consumer 21% Healthcare 7% Industrial 16% Building & Construction 10% Transportation 9% Energy 2% Telecommunications 1% C O L O R , A D D I T I V E S & I N K S 2021 YTD REVENUE | $1 .8 BILL ION US & Canada 31% EMEA 42% Asia 21% Latin America 6% END MARKET REGION 39 All charts reflect 2021 YTD financials through September 30 S P E C I A LT Y E N G I N E E R E D M AT E R I A L S Consumer 28% Healthcare 10% Packaging 6% Telecommunications 16% Transportation 12% Industrial 11% Building & Construction 10% Energy 7% 2021 YTD REVENUE | $691 MILLION END MARKET US & Canada 55% EMEA 25% Asia 20% REGION 40 All charts reflect 2021 YTD financials through September 30 DI S TR IBU T I ON Healthcare 26% Consumer 22% Packaging 6% Industrial 20% Transportation 16% Building and Construction 8% Energy 1% Telecommunications 1% US & Canada 81% Asia 4% Latin America 15% END MARKET REGION K E Y S U P P L I ER S 2021 YTD REVENUE | $1 .2 BILL ION 41 All charts reflect 2021 YTD financials through September 30 TOTA L C O M PA N Y R E G I O N A L S A L E S BY END MARKET Packaging 30% Consumer 27% Healthcare 12% Industrial 14% Building & Construction 5% Telecommunications 2% Energy 2% Asia (16% of sales) Transportation 8% Packaging 31% Consumer 14% Healthcare 5% Industrial 17% Building & Construction 12% Telecommunications 5% Energy 4% EMEA (25% of sales) Transportation 12% 42 Consumer 25% Healthcare 19% Packaging 10% Industrial 17% Building & Construction 10% Telecommunications 4% Energy 2% US & Canada (51% of sales) Transportation 13% Packaging 42% Consumer 33% Healthcare 3% Industrial 10% Building & Construction 5% Telecommunications 1% LATAM (8% of sales) Transportation 6% All charts reflect 2021 YTD financials through September 30 Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except for per share data) Three Months Ended September 30, 2021 Reconciliation to Condensed Consolidated Statements of Income GAAP Results Special Items Adjusted Results Operating income $ 78.7 $ 20.0 $ 98.7 Income from continuing operations before income taxes $ 61.1 $ 19.9 $ 81.0 Income tax expense - GAAP (8.5) — (8.5) Income tax impact of special items — (4.6) (4.6) Tax adjustments — (3.6) (3.6) Net income attributable to noncontrolling interests 0.3 — 0.3 Net income from continuing operations attributable to Avient shareholders $ 52.9 $ 11.7 $ 64.6 Net income / EPS $ 0.57 $ 0.13 $ 0.70 Weighted-average diluted shares 92.2 92.2 92.2 Three Months Ended September 30, 2020 Reconciliation to Condensed Consolidated Statements of Income GAAP Results Special Items Adjusted Results Operating income $ 33.5 $ 40.4 $ 73.9 Income from continuing operations before income taxes $ 5.3 $ 50.0 $ 55.3 Income tax expense - GAAP (2.7) — (2.7) Income tax impact of special items — (12.7) (12.7) Tax adjustments — 3.0 3.0 Net income attributable to noncontrolling interests (0.9) — (0.9) Net income from continuing operations attributable to Avient shareholders $ 1.7 $ 40.3 $ 42.0 Net income / EPS $ 0.02 $ 0.44 $ 0.46 Weighted-average diluted shares 91.9 91.9 91.9 1 Three Months Ended September 30, Three Months Ended Nine Months Ended Year Ended December 31, Reconciliation to Pro Forma Adjusted EBITDA 2021 2020 June 30, 2021 September 30, 2021 2020 2019 2018 Net income from continuing operations – GAAP $ 52.6 $ 2.6 $ 69.4 $ 201.7 $ 133.8 $ 75.7 $ 87.4 Income tax expense 8.5 2.7 20.4 51.8 5.2 33.7 14.4 Interest expense 19.0 29.7 19.5 57.8 74.6 59.5 62.8 Debt extinguishment cost — — — — — — 1.1 Depreciation and amortization from continuing operations 36.8 36.5 33.8 107.7 115.0 78.1 72.6 EBITDA $ 116.9 71.5 $ 143.1 $ 419.0 $ 328.6 $ 247.0 $ 238.3 Special items, before tax 19.9 50.0 14.2 36.5 66.2 61.7 59.5 Interest expense included in special items — (9.6) — — (10.1) — — Depreciation and amortization included in special items (0.9) (1.3) 1.4 (0.1) (3.2) — (3.0) Adjusted EBITDA $ 135.9 $ 110.6 $ 158.7 $ 455.4 $ 381.6 $ 308.7 $ 294.8 Clariant MB pro forma adjustments(1) — — — — 75.1 133.2 141.5 Pro forma adjusted EBITDA $ 135.9 $ 110.6 $ 158.7 $ 455.4 $ 456.7 $ 441.9 $ 436.3 (1) Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects to the financing for the acquisition 2 Reconciliation of EBITDA by Segment Three Months Ended September 30, Nine Months Ended September 30, Year Ended December 31, 2021 2020 2021 2020 2019 2018 Sales: Color, Additives and Inks $ 586.6 $ 493.8 $ 1,820.3 $ 1,502.9 $ 1,003.8 $ 1,046.5 Specialty Engineered Materials 233.6 174.1 690.7 708.8 745.7 645.8 Distribution 438.8 276.9 1,205.9 1,110.3 1,192.2 1,265.4 Corporate and eliminations (39.2) (20.3) (99.6) (79.9) (79.0) (76.7) Sales $ 1,219.8 $ 924.5 $ 3,617.3 $ 3,242.1 $ 2,862.7 $ 2,881.0 Operating income: Color, Additives and Inks $ 66.8 $ 50.5 $ 241.9 $ 180.8 $ 147.4 $ 158.5 Specialty Engineered Materials 31.7 24.7 103.2 94.4 83.7 72.3 Distribution 23.8 17.5 71.5 69.5 75.4 71.5 Corporate and eliminations (43.6) (59.2) (109.4) (155.4) (149.7) (123.7) Operating income $ 78.7 $ 33.5 $ 307.2 $ 189.3 $ 156.8 $ 178.6 Items below OI in Corporate: Other income, net $ 1.4 $ 1.5 $ 4.1 $ 24.3 $ 12.1 $ (12.9) Depreciation & amortization: Color, Additives and Inks $ 26.6 $ 26.3 $ 79.2 $ 75.1 $ 42.7 $ 44.3 Specialty Engineered Materials 7.9 7.5 23.8 30.0 29.5 23.2 Distribution 0.2 0.2 0.6 0.7 0.5 0.7 Corporate and eliminations 2.1 2.5 4.1 9.2 5.4 4.4 Depreciation & Amortization $ 36.8 $ 36.5 $ 107.7 $ 115.0 $ 78.1 $ 72.6 EBITDA: Color, Additives and Inks $ 93.4 $ 76.8 $ 321.1 $ 255.9 $ 190.1 $ 202.8 Specialty Engineered Materials 39.6 32.2 127.0 124.4 113.2 95.5 Distribution 24.0 17.7 72.1 70.2 75.9 72.2 Corporate and eliminations (41.5) (56.7) (105.3) (146.2) (144.3) (119.3) EBITDA $ 116.9 $ 71.5 $ 419.0 $ 328.6 $ 247.0 $ 238.3 EBITDA as a % of Sales: Color, Additives and Inks 15.9 % 15.6 % 17.6 % 17.0 % 18.9 % 19.4 % Specialty Engineered Materials 17.0 % 18.5 % 18.4 % 17.6 % 15.2 % 14.8 % Distribution 5.5 % 6.4 % 6.0 % 6.3 % 6.4 % 5.7 % 3 Reconciliation of Pro Forma EBITDA - Color, Additives and Inks Year Ended December 31, 2020 2019 2018 Sales: Color, Additives and Inks $ 1,502.9 $ 1,003.8 $ 1,046.5 Clariant MB pro forma adjustments(1) 540.4 1,118.6 1,209.8 Pro forma sales $ 2,043.3 $ 2,122.4 $ 2,256.3 Operating income: Color, Additives and Inks $ 180.8 $ 147.4 $ 158.5 Clariant MB pro forma adjustments(1) 45.0 72.9 80.3 Pro forma operating income $ 225.8 $ 220.3 $ 238.8 Depreciation & amortization: Color, Additives and Inks $ 75.1 $ 42.7 $ 44.3 Clariant MB pro forma adjustments(1) 30.1 60.3 61.2 Pro forma depreciation & amortization $ 105.2 $ 103.0 $ 105.5 EBITDA Color, Additives and Inks $ 255.9 $ 190.1 $ 202.8 Clariant MB pro forma adjustments(1) 75.1 133.2 141.5 Pro forma EBITDA $ 331.0 $ 323.3 $ 344.3 Pro forma EBITDA as a % of Sales 16.2 % 15.2 % 15.3 % (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition 4 Year Ended December 31, 2020 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(1) Pro Forma Adjusted Avient Sales $ 3,242.1 $ — $ 3,242.1 $ 540.4 $ 3,782.5 Operating income $ 189.3 $ 73.7 $ 263.0 $ 45.0 $ 308.0 Interest expense, net (74.6) 10.1 (64.5) (18.1) (82.6) Other income, net 24.3 (17.6) 6.7 — 6.7 Income taxes (5.2) (41.4) (46.6) (6.2) (52.8) Net income attributable to noncontrolling interests (1.8) — (1.8) — (1.8) Net income from continuing operations attributable to Avient shareholders $ 132.0 $ 24.8 $ 156.8 $ 20.7 $ 177.5 Weighted average diluted shares 90.6 Impact to diluted shares from January 2020 equity offering 1.5 Pro forma weighted average diluted shares 92.1 Pro forma adjusted EPS $ 1.93 (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition Year Ended December 31, 2019 Reconciliation of Pro Forma Adjusted Earnings per Share Avient Special Items Adjusted Avient Clariant MB Pro Forma Adjustments(1) Pro Forma Adjusted Avient Sales $ 2,862.7 $ — $ 2,862.7 $ 1,118.6 $ 3,981.3 Operating income $ 156.8 $ 71.7 $ 228.5 $ 72.9 $ 301.4 Interest expense, net (59.5) — (59.5) (33.4) (92.9) Other income, net 12.1 (10.0) 2.1 — 2.1 Income taxes (33.7) (5.9) (39.6) (9.1) (48.7) Net income attributable to noncontrolling interests (0.2) — (0.2) — (0.2) Net income from continuing operations attributable to Avient shareholders $ 75.5 $ 55.8 $ 131.3 $ 30.4 $ 161.7 Weighted average diluted shares 77.7 Impact to diluted shares from January 2020 equity offering 15.3 Pro forma weighted average diluted shares 93.0 Pro forma adjusted EPS $ 1.74 (1) - Pro forma adjustments for the periods prior to the acquisition date (July 1, 2020) and to give effects of the financing for the acquisition 5 AVNT November Investor Meetings.pdf AVNT Q3 2021 Earnings Presentation.pdf Final 10.27 606pm Q3 21 IR Deck Version v1.pdf
https://www.avient.com/investor-center/news/avient-announces-fourth-quarter-and-full-year-2023-results
Pro forma adjustment for January -
APM pro forma adjustments - 8 months 2022*
Pro forma adjusted EBITDA
https://www.avient.com/sites/default/files/2021-01/avient-co.-ltd.-business-license.pdf
https://www.avient.com/sites/default/files/2024-12/ISO13485_EN%26CN_Co-cert_PolyOne Suzhou.pdf