https://www.avient.com/sites/default/files/2021-01/case-study-one-pager-lubrione-data-storage-carrier.pdf
DATA STORAGE UNIT MANUFACTURER D A T A S T O R A G E C A R R I E R • Excellent dimensional stability • Good mechanical properties with excellent wear resistance • Flame retardant requirement – FRv0 compliance • UL certification • Provided a customized formulation to meet application-specific lubricity, physical and thermal requirements • Delivered on short lead times to help customer manage working capital LubriOne™ CY1000-000/5T FR V0 BLK001 Formulation KEY REQUIREMENTS WHY AVIENT?
https://www.avient.com/sites/default/files/2022-04/Avient Q1 2022 Earnings Release.pdf
Rose Vice President, Corporate Communications Avient Corporation +1 440-930-3162 kyle.rose@avient.com mailto:giuseppe.disalvo@avient.com mailto:kyle.rose@avient.com 5 Attachment 1 Avient Corporation Summary of Condensed Consolidated Statements of Income (Unaudited) (In millions, except per share data) Three Months Ended March 31, 2022 2021 Sales $ 1,293.8 $ 1,162.3 Operating Income 128.6 120.4 Net income attributable to Avient shareholders 84.2 79.3 Basic earnings per share attributable to Avient shareholders $ 0.92 $ 0.87 Diluted earnings per share attributable to Avient shareholders $ 0.91 $ 0.86 Senior management uses comparisons of adjusted net income attributable to Avient shareholders and diluted adjusted earnings per share (EPS) attributable to Avient shareholders, excluding special items, to assess performance and facilitate comparability of results.
Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Reconciliation to Condensed Consolidated Statements of Income $ EPS $ EPS Net income attributable to Avient shareholders $ 84.2 $ 0.91 $ 79.3 $ 0.86 Special items, after tax (Attachment 3) 7.2 0.08 2.6 0.03 Adjusted net income / EPS - excluding special items $ 91.4 $ 0.99 $ 81.9 $ 0.89 6 Attachment 2 Avient Corporation Condensed Consolidated Statements of Income (Unaudited) (In millions, except per share data) Three Months Ended March 31, 2022 2021 Sales $ 1,293.8 $ 1,162.3 Cost of sales 1,000.1 859.9 Gross margin 293.7 302.4 Selling and administrative expense 165.1 182.0 Operating income 128.6 120.4 Interest expense, net (16.9) (19.3) Other (expense) income, net (0.6) 1.5 Income before income taxes 111.1 102.6 Income taxes (26.6) (22.9) Net income 84.5 79.7 Net income attributable to noncontrolling interests (0.3) (0.4) Net income attributable to Avient shareholders $ 84.2 $ 79.3 Earnings per share attributable to Avient common shareholders - Basic $ 0.92 $ 0.87 Earnings per share attributable to Avient common shareholders - Diluted $ 0.91 $ 0.86 Cash dividends declared per share of common stock $ 0.2375 $ 0.2125 Weighted-average shares used to compute earnings per common share: Basic 91.5 91.3 Diluted 92.3 92.2 7 Attachment 3 Avient Corporation Summary of Special Items (Unaudited) (In millions, except per share data) Special items (1) Three Months Ended March 31, 2022 2021 Cost of sales: Restructuring costs, including accelerated depreciation and amortization $ (4.4) $ (1.8) Environmental remediation costs (2.0) (0.5) Reimbursement of previously incurred environmental costs 0.6 4.5 Impact on cost of sales (5.8) 2.2 Selling and administrative expense: Restructuring, legal and other 0.9 (1.3) Acquisition related costs (2.9) (3.3) Impact on selling and administrative expense (2.0) (4.6) Impact on operating income (7.8) (2.4) Other income, net 0.1 — Impact on income before income taxes (7.7) (2.4) Income tax benefit on above special items 2.0 0.9 Tax adjustments(2) (1.5) (1.1) Impact of special items on net income attributable to Avient Shareholders $ (7.2) $ (2.6) Diluted earnings per common share impact $ (0.08) $ (0.03) Weighted average shares used to compute adjusted earnings per share: Diluted 92.3 92.2 (1) Special items include charges related to specific strategic initiatives or financial restructuring such as: consolidation of operations; debt extinguishment costs; costs incurred directly in relation to acquisitions or divestitures; employee separation costs resulting from personnel reduction programs, plant realignment costs, executive separation agreements; asset impairments; settlement gains or losses and mark-to- market adjustments associated with actuarial gains and losses on pension and other post-retirement benefit plans; environmental remediation costs, fines, penalties and related insurance recoveries related to facilities no longer owned or closed in prior years; gains and losses on the divestiture of operating businesses, joint ventures and equity investments; gains and losses on facility or property sales or disposals; results of litigation, fines or penalties, where such litigation (or action relating to the fines or penalties) arose prior to the commencement of the performance period; one-time, non-recurring items; and the effect of changes in accounting principles or other such laws or provisions affecting reported results. (2) Tax adjustments include the net tax benefit/(expense) from one-time income tax items, the set-up or reversal of uncertain tax position reserves and deferred income tax valuation allowance adjustments. 8 Attachment 4 Avient Corporation Condensed Consolidated Balance Sheets (In millions) (Unaudited) March 31, 2022 December 31, 2021 ASSETS Current assets: Cash and cash equivalents $ 562.6 $ 601.2 Accounts receivable, net 757.9 642.3 Inventories, net 475.4 461.1 Other current assets 131.0 122.4 Total current assets 1,926.9 1,827.0 Property, net 661.9 676.1 Goodwill 1,283.4 1,286.4 Intangible assets, net 904.1 925.2 Operating lease assets, net 67.1 74.1 Other non-current assets 200.3 208.4 Total assets $ 5,043.7 $ 4,997.2 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Short-term and current portion of long-term debt $ 607.5 $ 8.6 Accounts payable 642.3 553.9 Current operating lease obligations 21.7 24.2 Accrued expenses and other current liabilities 284.8 353.9 Total current liabilities 1,556.3 940.6 Non-current liabilities: Long-term debt 1,250.2 1,850.3 Pension and other post-retirement benefits 98.5 100.0 Deferred income taxes 99.4 100.6 Non-current operating lease obligations 45.9 50.1 Other non-current liabilities 164.1 165.1 Total non-current liabilities 1,658.1 2,266.1 SHAREHOLDERS' EQUITY Avient shareholders’ equity 1,813.2 1,774.7 Noncontrolling interest 16.1 15.8 Total equity 1,829.3 1,790.5 Total liabilities and equity $ 5,043.7 $ 4,997.2 9 Attachment 5 Avient Corporation Condensed Consolidated Statements of Cash Flows (Unaudited) (In millions) Three Months Ended March 31, 2022 2021 Operating Activities Net income $ 84.5 $ 79.7 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 35.7 36.6 Accelerated depreciation and amortization 2.1 0.5 Share-based compensation expense 3.2 2.7 Changes in assets and liabilities, net of the effect of acquisitions: Increase in accounts receivable (118.8) (137.6) Increase in inventories (15.1) (35.1) Increase in accounts payable 90.5 67.3 Decrease in pension and other post-retirement benefits (4.0) (7.1) Decrease in accrued expenses and other assets and liabilities, net (59.2) (3.4) Net cash provided by operating activities 18.9 3.6 Investing activities Capital expenditures (13.3) (16.5) Other investing activities — (2.0) Net cash used by investing activities (13.3) (18.5) Financing activities Purchase of common shares for treasury (15.8) (4.2) Cash dividends paid (21.7) (19.5) Repayment of long-term debt (2.4) (2.3) Payments of withholding tax on share awards (3.9) (3.1) Net cash used by financing activities (43.8) (29.1) Effect of exchange rate changes on cash (0.4) (11.0) Decrease in cash and cash equivalents (38.6) (55.0) Cash and cash equivalents at beginning of year 601.2 649.5 Cash and cash equivalents at end of period $ 562.6 $ 594.5 10 Attachment 6 Avient Corporation Business Segment Operations (Unaudited) (In millions) Operating income and earnings before interest, taxes, depreciation and amortization (EBITDA) at the segment level does not include: special items as defined in Attachment 3; corporate general and administration costs that are not allocated to segments; intersegment sales and profit eliminations; share-based compensation costs; and certain other items that are not included in the measure of segment profit and loss that is reported to and reviewed by the chief operating decision maker.
Three Months Ended March 31, 2022 2021 Sales: Color, Additives and Inks $ 649.5 $ 609.3 Specialty Engineered Materials 244.7 216.5 Distribution 432.9 362.7 Corporate and eliminations (33.3) (26.2) Sales $ 1,293.8 $ 1,162.3 Gross margin: Color, Additives and Inks $ 192.1 $ 197.5 Specialty Engineered Materials 69.8 64.7 Distribution 39.3 39.3 Corporate and eliminations (7.5) 0.9 Gross margin $ 293.7 $ 302.4 Selling and administrative expense: Color, Additives and Inks $ 97.6 $ 108.7 Specialty Engineered Materials 30.1 30.5 Distribution 15.1 15.3 Corporate and eliminations 22.3 27.5 Selling and administrative expense $ 165.1 $ 182.0 Operating income: Color, Additives and Inks $ 94.5 $ 88.8 Specialty Engineered Materials 39.7 34.2 Distribution 24.2 24.0 Corporate and eliminations (29.8) (26.6) Operating income $ 128.6 $ 120.4 Earnings before interest, taxes, depreciation and amortization (EBITDA): Color, Additives and Inks $ 120.5 $ 116.2 Specialty Engineered Materials 47.5 42.0 Distribution 24.4 24.2 Corporate and eliminations (26.0) (24.9) Other income, net (0.6) 1.5 EBITDA $ 165.8 $ 159.0 11 Attachment 7 Avient Corporation Reconciliation of Non-GAAP Financial Measures (Unaudited) (In millions, except per share data) Senior management uses gross margin before special items and operating income before special items to assess performance and allocate resources because senior management believes that these measures are useful in understanding current profitability levels and how it may serve as a basis for future performance.
https://www.avient.com/sites/default/files/2023-07/AVNT Q2 2023 Earnings Presentation%5B70%5D.pdf
Global Compact • Highlights ESG Performance, including ratings, awards, and certifications • Features increased carbon emissions disclosures, including Climate Change Scenario Analysis and Scope 3 emissions data • Outlines Sustainable Supplier Program, designed to enable supplier evaluation & collaboration • Reflects Great Place To Work® culture focused on safety, employee engagement and advancing diversity, equity and inclusion 2022 SUSTAINABILITY REPORT 15 Avient Confidential 16 • Virtual presentation to be held September 20, 2023 • Leadership will be conducting an investor-focused presentation around our sustainable solutions portfolio • Deep dive into how we enable customers to achieve their sustainability goals SUSTAINABILITY DAY 16 …are Growing at Twice the Rate as Conventional Products Sustainably-Branded Products… STAKEHOLDER INFLUENCE DRIVES DEMAND Consumers Are demanding recyclability and eco- conscious products Governments Are mandating changes through legislation, taxes, and regional accords Brand Owners Have committed to ambitious goals to achieve sustainability metrics 17 AP P EN D IX 20 Performance Additives 16% Pigments 12% TiO2 10% Dyestuffs 2% Polyethylene 11% Nylon 6% Polypropylene 5% Styrenic Block Copolymer 5% Other Raw Materials 33% ~40% hydrocarbon based (Grey shaded materials are hydrocarbon based, includes portion of “Other Raw Materials”) Non-hydrocarbon based materials 2022 pro forma results for the acquisition of Avient Protective Materials RAW MATERIAL BASKET PEER COMPARISONS AVIENT IS ASSET LIGHT Capex / Revenue 2023E (%) Avient Specialty Formulators Other Specialty / Chemical Companies Source: Peer data per Bloomberg as of July 21, 2023 Note: Avient reflects 2023 estimated revenue of $3,280 and estimated run-rate CAPEX of $110M. 22 3 2 3 3 4 4 3 3 4 5 5 7 8 8 A vi en t K W R P P G F U L R P M A V Y F M C H U N C E H X L E C L A S H E M N S C L FREE CASH FLOW CONVERSION Source: Peer data per Bloomberg as of July 21, 2023 Note: Free cash flow conversion calculated as (Adjusted EBITDA – Capex) / Adjusted EBITDA.
Avient reflects 2023 adjusted EBITDA guidance of $525M and estimated run-rate CAPEX of $110M. 2023E (%) 23 79 90 84 83 76 73 88 82 77 74 72 67 57 20 A vi en t K W R P P G F U L A V Y R P M F M C C E H X L E C L A S H H U N E M N S C L Avient Specialty Formulators Other Specialty / Chemical Companies MULTIPLE EXPANSION Source: Peer data per Bloomberg as of July 21, 2023 Note: Avient reflects 2023 adjusted EBITDA guidance of $525M and closing share price of $40.93.
Avient 2011 and 2018 valuations reflect trailing 12 months EBITDA at December 31 of the respective years. 24 EV / 2023E EBITDA Historic Multiple 6.5 8.3 10.3 14.4 13.6 13.6 12.4 9.0 20.2 18.2 11.5 10.6 9.7 9.6 8.7 8.3 A vi en t (2 01 1) A vi en t (2 01 8) A vi en t (2 02 3) R P M P P G K W R A V Y F U L E C L H X L F M C A S H S C L C E H U N E M N Avient Specialty Formulators Other Specialty / Chemical Companies SEGMENT DATA U.S. & Canada 40% EMEA 37% Asia 18% Latin America 5% 2022 PRO FORMA SEGMENT, END MARKET AND GEOGRAPHY GEOGRAPHY REVENUESEGMENT FINANCIALS Consumer 20% Packaging 24% Industrial 15% Building and Construction 10% Telecommunications 4% Energy 4% Defense 6% END MARKET REVENUE $2,355M $402M $1,300M $272M Sales EBITDA Specialty Engineered Materials Color Additives and Inks $592M$3,653M (1) Transportation 9% Healthcare 8% 26 (1) Total company sales and adjusted EBITDA of $3,653M and $592M, respectively, include intercompany sales eliminations and corporate costs 2022 REVENUE | $2 .4 B ILL ION US & Canada 34% EMEA 38% Asia 20% Latin America 8% END MARKET REGION 27 Packaging 34% Consumer 21% Healthcare 8% Industrial 15% Transportation 8% Building & Construction 11% Telecommunications 1% Energy 2% COLOR, ADDITIVES & INKS 2022 PRO FORMA REVENUE | $1 .3 B ILL ION US & Canada 52% EMEA 35% Asia 13% 28 Packaging 5% Consumer 19% Healthcare 8%Industrial 16% Transportation 10% Telecommunications 10% Energy 9% Defense 15% Building & Construction 8% END MARKET REGION SPECIALTY ENGINEERED MATERIALS Packaging 32% Consumer 27% Healthcare 8% Industrial 14% Building & Construction 5% Telecommunications 3% Energy 1% Defense 1% Asia (18% of sales) Transportation 9% 2022 PROFORMA AVIENT REGIONAL SALES Packaging 27% Consumer 14% Healthcare 5% Industrial 17% Building & Construction 10% Energy 5% Defense 8% EMEA (37% of sales)Transportation 11% Packaging 13% Consumer 24% Healthcare 12% Industrial 15% Building & Construction 13% Energy 5% Defense 5% US & Canada (40% of sales) Transportation 7% Packaging 56% Consumer 23% Healthcare 4% Industrial 7% Building & Construction 4% Telecommunications 1% LATAM (5% of sales) Transportation 5% Telecommunications 3% Telecommunications 6% 29 BY END MARKET Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except for per share data) Senior management uses comparisons of adjusted net income from continuing operations attributable to Avient shareholders and diluted adjusted earnings per share (EPS) from continuing operations attributable to Avient shareholders, excluding special items, to assess performance and facilitate comparability of results.
https://www.avient.com/sites/default/files/resources/PolyOne%2520IR%2520Presentation%2520KeyBanc%2520Conference%2520-%2520September%252014%25202016.pdf
PolyOne Corporation Page 3 PolyOne Commodity to Specialty Transformation 2000-20052000-2005 2006 - 20092006 - 2009 2010 – 20152010 – 2015 2016 and beyond 2016 and beyond • Steve Newlin appointed, Chairman, • Steve Newlin appointed, Chairman, • Substantial EPS growth from $0.13 to all-time high of $1.96 • Substantial EPS growth from $0.13 to all-time high of $1.96 • Deliver consistent double digit annual EPS growth • Deliver consistent double digit annual EPS growth • Volume driven, commodity producer • Volume driven, commodity producer pp , , President and CEO • New leadership team appointed pp , , President and CEO • New leadership team appointed • Shift to faster growing, high margin, less cyclical end markets • Key acquisitions propel • Shift to faster growing, high margin, less cyclical end markets • Key acquisitions propel • Maintain >35% vitality index • Pursue strategic i iti th t • Maintain >35% vitality index • Pursue strategic i iti th t • Heavily tied to cyclical end markets • Heavily tied to cyclical end markets • Implementation of four pillar strategy • Implementation of four pillar strategy y q p p current and future growth, as well as margin expansion • Specialty mix expands y q p p current and future growth, as well as margin expansion • Specialty mix expands acquisitions that expand specialty offerings and geographic breadth acquisitions that expand specialty offerings and geographic breadth • Performance largely dependent on non- controlling joint ventures • Performance largely dependent on non- controlling joint ventures • Focus on value based selling, investment in commercial resources and innovation to drive transformation • Focus on value based selling, investment in commercial resources and innovation to drive transformation to 65% of Operating Income – strongest mix of earnings in history to 65% of Operating Income – strongest mix of earnings in history • Invest and grow current and next generation talent • Invest and grow current and next generation talent PolyOne Corporation Page 4 Confirmation of Our Strategy SpecializationSpecialization GlobalizationGlobalization Associates Operational Excellence Operational Excellence Commercial Excellence Commercial Excellence Th W ld’ P i P id f S i li d PolyOne Corporation Page 5 The World’s Premier Provider of Specialized Polymer Materials, Services and Solutions 27 Consecutive Quarters of EPS Growth PolyOne Corporation Page 6 PolyOne At A Glance 2015 Revenues: $3.4 Billion2015 Revenues: $3.4 Billion 2015 Revenues: $3.4 Billion2015 Revenues: $3.4 Billion Europe 13% Canada 7% Asia 7% Latin America 7% PP&S 20% United States Distribution 29% CAI 23% SEM %DSS End MarketsEnd Markets Adjusted EPSAdjusted EPS 66% 15%DSS 13% End MarketsEnd Markets $1.31 $1.80 Adjusted EPSAdjusted EPS Industrial 14% Packaging 13% Textiles 2% Transportation $1.96 $0 27 $0 21 $0.68 $0.82 $1.00 $1.31 Building & C Consumer Healthcare 11% 20% Wire & Cable 9% PolyOne Corporation Page 7 $0.12 $0.27 $0.21 $0.13 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Appliances 4% Construction 12% 10%Electrical & Electronics 5% Mix Shift Highlights Specialty Transformation Old PolyOne 100% Transformation 2020 Platinum Vision 80% nc om e* 40% 60% pe ra tin g In 80%+ 43% 65% 20% 40% % o f O 2%0% 2005 2010 2015 2020 Specialty OI $5M $87M $229M Platinum Vision PolyOne Corporation Page 8 *Operating Income excludes corporate charges and special items JV's Performance Products & Solutions Distribution Specialty Vision Color and Engineered Materials at the Heart of Specialty Transformation OPERATING MARGIN 16.7% 17.5% 20%+ COLOR, ADDITIVES AND INKS 15 8% 20%+ SPECIALTY ENGINEERED MATERIALS 9.7% 12.2% 14.7% 9.6% 9.3% 12.1% 14.7% 15.8% 1 7% 4.6% 5.1% 5.5% 7.2% 8.1% 3.4% 5.1% 8.0% 8.6% 1.7% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2Q'16 2020 Platinum Vision 1.1% 1.3% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2Q'16 2020 Platinum Vision YTD YTD PolyOne Corporation Page 9 Proof of Performance & 2020 Goals 2006 2Q 2016 2020 “Where we were” “Where we are” Platinum Vision 1) Operating Income %1) Operating Income % Specialty: Color, Additives & Inks 1.7% 18.0% 20%+ S i lt E i d M t i l 1 1% 14 9% 20%+Specialty Engineered Materials 1.1% 14.9% 20%+ Designed Structures & Solutions N/A 1.7% (TTM) 8 – 10% Performance Products & Solutions 5.5% 12.3% 12 – 14% Distribution 2.6% 6.5% 6.5 – 7.5% 2) Specialty Platform % of Operating Income 6.0% 61% 80%+ 3) ROIC* 5.0% 12.0% 15% 4) Adjusted EPS Growth N/A 11% Double Digit PolyOne Corporation Page 10 ) j % Expansion *ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period TPE’s & Film Therma-Tech™ & Sheet GEON™ Vinyl TPE + OnForce™ Gravi-Tech™ Polymer ColorantsTherma-Tech™ Film PolyOne Corporation Page 11Page 11 Target End Markets… Healthcare OnForce (SEM) Glasforms (SEM) TPE + OnForce (SEM) TPE Vibration Dampening (SEM/GLS) Source: Outdoor Industry Association TPE & Film (SEM + DSS) Thermoplastic Elastomers (SEM) TPE O F Glasforms (SEM) Polymer Colorants (CAI) Thermatech (SEM) TPE + OnForce (SEM) OnForce (SEM) Thermoplastic Elastomers (SEM) Sheet (DSS) (SEM) Glasforms (SEM) Polymer Colorants (CAI) PolyOne Corporation Page 12 Target End Markets… Outdoor High Performance Sound & Vibration Management Roof Systems Management Interior & Exterior Trim Interior Structural Components Fuel Handling Underhood Components g SystemsAir management Electronics & Cameras Structural Braces & Brackets Lighting Fluid Handling PolyOne Corporation Page 13 Target End Markets… Automotive ColorMatrix™ Amosorb™ ColorMatrix™ Ultimate™ UV Oxygen Scavenger Ultimate UV Light Barrier PreservaPak™ OnColor™ Smart Batch™ OnCap™ Laser Marking Additives VersaFlex™ TPE Cap Liner PolyOne Corporation Page 14 Target End Markets… Packaging Innovation Drives Earnings Growth $53 Research & Development Spending ($ millions) Specialty Platform Vitality Index Progression* 34% CAI & SEM Gross Margin Target ≥ 35% $20 $53 14% 12% 43% *Specialty Platform revenue from products introduced in last five years 2006 2015 2006 20152006 2015 Innovation Pipeline PotentialInnovation Pipeline Potential PolyOne Corporation Page 15 Ours is Not a Cost Cutting Story VolumeCommercial, R&D Adjusted 2,883 Volume (lbs in millions) $192 Commercial, R&D and Marketing Spending ($M) $721 Adjusted Gross Profit ($M) -16% +86% +138% 2,414$103 $303 2006 20152006 2015 2006 2015 PolyOne Corporation Page 16 Design and Service as a Differentiator Right Material & Color Desired Product Design Appropriate Manufacturing Process Connecting Delivering Concept to Commercialization Connecting the Dots with iQ Design Labs and InVisiO Color Design PolyOne Corporation Page 17 CommercializationInVisiO Color Design Customer First Through World-Class Service Strengthening relationships through: Providing LSS services to small/medium sized customers Providing training in Customer Centric Selling Skills with customers On-Time Delivery Commitment to Operational Excellence World’s Best Business Process Excellence Program in 2012* World’s Best Start-up program for Lean Six Sigma Deployment in 2009* 81% 93% 2006 2015 Working Capital % of Sales 16.2% 9.7% 52% of associates trained in LSS PolyOne Corporation Page 18 2006 2015 Five consecutive years – CFO Magazine Best Working Capital Management in the chemical industry Debt Maturities & Pension Funding 102% 100% Pension Funding** As of June 30, 2016 $700 $800 Debt Maturities As of June 30, 2016 ($ millions) 80% 90% 100% $547 $600 $600 $700 60% 60% 70% $500 40% 50% $300 $400 20% 30% 2008 2Q 2016 $200 2022 2023 Coupon Rate: LIBOR + 2 75% 5 250% PolyOne Corporation Page 19 Net Debt / Adjusted EBITDA*= 2.3x ** includes US-qualified pension plans only*TTM 6/30/2016 Coupon Rate: LIBOR + 2.75% 5.250% (3.50%) Free Cash Flow and Strong Balance Sheet Fund Investment / Shareholder Return Expanding our sales, marketing, and technical capabilities Investing in operational Repurchased 17.3 million shares since early 2013 10 0 million shares are Investing in operational and LSS initiatives ~75% of capital expenditures fund growth initiatives Organic Gro th Share Rep rchases 10.0 million shares are available for repurchase under the current authorization Growth Repurchases Acquisitions Dividends Annual Dividend Targets that expand our: • Specialty offerings • End market $0.20 $0.32 $0.40 $0.48 $0.30 $0.40 $0.50 • End market presence • Geographic breadth Synergy opportunities Adjacent material $0.24 PolyOne Corporation Page 20 $0.16 $ $0.10 $0.20 2011 2012 2013 2014 2015 2016 solutions Why Invest In PolyOne?
Addressable market exceeds $40 billion St f d t t th t t t d ti Strong performance demonstrates that our strategy and execution are working Megatrends and emerging opportunities align with our strengths Innovation and services provide differentiation, incremental pricing power, and competitive advantage Strong and proven management team driving growth and performance The New PolyOne: A Specialty Growth Company g p g g g p PolyOne Corporation Page 21 The New PolyOne: A Specialty Growth Company Appendix PolyOne Corporation Page 22 2Q 2016 Financial Highlights Performance Products & Solutions operating margin grew 370 basis $18 $16 $21 $18 $22 PP&S Operating Profit points year-over-year to 12.3% $11 $15 $16 $10 $14 $18 2Q'12 2Q'13 2Q'14 2Q'15 2Q'16 SEM O ti P fit SEM operating margin expanded 50 basis points to a record second $15 $19 $20 $21 $18 $22 SEM Operating Profit Adjusted EPS quarter level of 14.9% $13 $15 $10 $14 2Q'12 2Q'13 2Q'14 2Q'15 2Q'16 $0.37 $0.51 $0.57 $0.63 $0.45 $0.70 Adjusted EPS Second quarter adjusted EPS has grown on average 20% per year PolyOne Corporation Page 23 $0.30 $ $0.20 2Q'12 2Q'13 2Q'14 2Q'15 2Q'16 since 2012 Note: $ in millions, except per share data At a Glance Color, Additives and Inks 2015 Revenues: $0.8 Billion Solutions United States 48% Europe 33% Asia Canada 2% 12% Latin America 5% 16.7% 18.0% 20%+Operating Income % of Sales Expanding Profits2015 Revenue by Industry Segment 14.7% Packaging 31% Textiles 1.7% 4.6% 5.1% 5.5% 7.2% 8.1% 9.7% 12.2% Building & C i Consumer Healthcare 6% Industrial 13% 8% Transportation 9% Wire & Cable 11% PolyOne Corporation Page 24 1.7% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2Q'16 2020 Platinum Vision Appliances 2% Construction 11% 8% Electrical & Electronics 1% At a Glance Specialty Engineered Materials 2015 Revenues: $0.5 Billion Solutions United States 49%49% Europe 29% Asia 20% Canada 2% 14.7% 14.9% 20%+Operating Income % of Sales 2015 Revenue by Industry Segment Expanding Profits Appliances 3% Packaging 5% Transportation 19% Wire & Cable 15% 1.1% 1.3% 3.4% 5.1% 9.6% 8.0% 8.6% 9.3% 12.1%Building & Construction 3% Consumer 20% Electrical & Electronics Healthcare 11% Industrial 8% PolyOne Corporation Page 25 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2Q'16 2020 Platinum Vision Electronics 16% At a Glance Designed Structures and Solutions Solutions2015 Revenues: $0.5 Billion United States 97% Canada 3% 8-10% Operating Income % of Sales Expanding Profits2015 Revenue by Industry Segment Packaging 19% 1.4% 5.6% 7.3% 3.0% 1.0%Building & Construction Healthcare 7% Industrial 24% Transportation 33% PolyOne Corporation Page 26 2012 2013 2014 2015 2Q'16 2020 Platinum Vision Appliances, 3% Construction 9% Consumer 5% 7% At a Glance Performance Products and Solutions Solutions2015 Revenues: $0.7 Billion United States 79% CanadaCanada 14% Asia 2% Latin America 5% Packaging 5% Transportation 19% Wire & Cable 16% 12-14% Operating Income % of Sales Expanding Profits 12.3% 2015 Revenue by Industry Segment Appliances 7% Building & Construction 31% Electrical & El t i Healthcare 1% Industrial 13% % 5.5% 6.9% 3.8% 3.6% 5.5% 4.3% 6.3% 7.2% 8.3%7.7% PolyOne Corporation Page 27 31% Consumer 5% Electronics 3% 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2Q'16 2020 Platinum Vision At a Glance Distribution Key Suppliers2015 Revenues: $1.0 Billion Packaging 4% Transportation 24% Wire & Cable 4% Appliances 6% Building & Construction 4%Consumer 13%Healthcare Industrial 16% Electrical & Electronics 6% 23% 6 6% 6.5-7.5% 6 5% Operating Income % of Sales53% ROIC Expanding Profits 2.6% 3.0% 3.5% 4.0% 4.6% 5.6% 6.4% 5.9% 6.6% 6.5% 15% 6.1% PolyOne Corporation Page 28 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2Q'16 2020 15% 2006 2Q 2016 Platinum Vision Plastics: Key to Future Sustainable Development 2 lbs Plastic = 3 lbs aluminum Requires 91% less energy to recycle a pound of plastic versus a pound of paper3 lbs aluminum or 8 lbs steel or a pound of paper or 27 lbs glass 33% less material by weight than aluminum 75% less material by weight75% less material by weight than steel 93% less material by weight than glass PolyOne Corporation Page 29 than glass Source: SPI: Sustainability and the Plastics Industry Application Examples PolyOne Corporation Page 30 Luxury Packaging with Gravitech Density Modified Polymers • Impart weight, sound and metallic finish to caps andmetallic finish to caps and closures for cosmetics and spirits applications • Elevate quality and prestige perceptions amongperceptions among high‐end consumers • Eliminate time and cost associated with secondary operations and assembly PolyOne Corporation Page 31 p y Medical Device Housings with Chemically Resistant Engineered Polymers • Durable, long‐lasting products stand up to the most aggressive disinfectants • Minimize environmental stress cracking and discolorationg • One of the broadest medically y approved polymer and colorant portfolios PolyOne Corporation Page 32 Printed Circuit Boards with Thermally Conductive Polymers • Replaces metal by etchingReplaces metal by etching circuit designs into thermally conductive plastic • Maintains heat transfer and cooling capabilities of metals • Reduces both weight and cost • Increases the lifetime and reliability of electronic systems PolyOne Corporation Page 33 Color & Design Services • Greater control of color development and supply chain • Work across entire design process from concept to commercialization • Inspire creativity in the use of polymer materials, colors and effects • Innovative brand differentiation • Faster development timelines PolyOne Corporation Page 34 • Faster development timelines Outdoor Applications • Leading provider of high performance specialty materials for the recreational and sports & p leisure industry • Well positioned across all segments to address market needs Metal to Polymer Conversion Lightweighting Thermal Management Impact Performance PolyOne Corporation Page 35 Source: Outdoor Industry Association Fiber Colorants Solutions for clothing, apparel, footwear, automotive & sporting goods • ColorMatrix Fiber Colorant Solutions Proprietary advanced liquid color formulations and equipment enable greater efficiency and productivity Eliminates aqueous dyeing and its associated wastewater treatment • Solid Color Concentrates Extrusion spun fibers colored viaExtrusion‐spun fibers colored via solid masterbatch PolyOne Corporation Page 36 PET Bottling Technology • $1.5 billion attractive, growing market Shelf‐life extension Weight reduction • Improve performance and reduce cost through light‐weighting, d d t f t l ti Greater product consistency l b l Enhanced product aesthetics reduced waste, faster cycle times and extended shelf life Recyclability and reduced carbon footprint aesthetics High heat • Aligned with megatrend of facing climate and resource challenges: Color and Special Effects High heat resistance Sustainability benefits include lower package weight and improved recyclability of package at end of use PolyOne Corporation Page 37 at end of use Metal Replacement Solutions • Replaces metal in LED lighting • Extends LED durability and life span eliminating hot spots • Greater design flexibility with fewer parts • Weight reduction l f f d• Simplifies manufacturing and lowers total production cost PolyOne Corporation Page 38 High-Barrier Packaging Containers • Capability to extrude up to 13 layers• Capability to extrude up to 13 layers • Strong oxygen and moisture vapor transmission protectiontransmission protection • Can be made symmetrical or asymmetrical to meet customizedasymmetrical to meet customized needs of broad variety of applications • Barrier protection and superiorBarrier protection and superior sensory properties PolyOne Corporation Page 39 1 Reconciliation of Non-GAAP Financial Measures (Unaudited) (Dollars in millions, except per share data) Below is a reconciliation of non-GAAP financial measures to the most directly comparable measures calculated and presented in accordance with U.S.
https://www.avient.com/sites/default/files/2025-03/380605_AVIENT_2024AR_full_250325.pdf
Purpose Innovator of materials solutions to help our customers succeed, while enabling a sustainable world Strategic Approach Intersecting high growth markets and secular trends with our technologies to create product platforms of scale Foundational Strengths Strategic Drivers Unwavering customer focus Global reach with a local touch Diverse technology portfolio Commercial excellence, financial rigor & prudence Culture of safety and sustainability Catalyze the core Build new platforms of scale Portfolio prioritization Amplify Innovation Digital for operational excellence & growth Leadership, talent and culture for the Avient of the future Growing at GDP+ Growing at 10% plus CAGR Our Purpose and Strategic Framework Dear Avient Shareholders, 2024 was a positive year for Avient where our primary focus was on organic revenue growth and margin expansion.
THIS PAGE IS NOT PART OF AVIENT’S FORM 10-K FILING THIS PAGE IS NOT PART OF POLYONE’S FORM 10-K FILINGTHIS PAGE IS NOT PART OF POLYONE’S FORM 10-K FILINGTHIS PAGE IS NOT PART OF AVIENT’S FORM 10-K FILING Reconciliation of Non-GAAP Financial Measures (Unaudited) (In millions, except for per share data) Senior management uses comparisons of adjusted net income from continuing operations attributable to Avient shareholders and diluted adjusted earnings per share (EPS) from continuing operations attributable to Avient shareholders, excluding special items, to assess performance and facilitate comparability of results.
Environmental, Health and Safety 4.
https://www.avient.com/sites/default/files/2023-07/TPEs for Healthcare Industry Bulletin.pdf
VERSAFLEX™ HC MEDICAL TUBING GRADES • Improve extrusion rates, achieve high service temperature performance or increase clarity in medical tubing • Traditional and bio- based formulations specifically for biopharmaceutical tubing to meet the needs for weldability and minimize extractables during processing VERSALLOY™ HC SERIES • Obtain better flow in long, thin paths and lower shrink rates versus typical TPVs with our alloys • Color easily and obtain a smooth tactile feel VERSAFLEX™ HC GASKETS & STOPPERS SERIES • Achieve no coring, good puncture and resealability in static stoppers • Meet low COF and low stiction requirements in dynamic seals VERSAFLEX™ CL E SERIES • Increase clarity and flexibility in bags, bottles and films • Mitigate risk with plasticizer-free formulations for film extrusion • Deliver excellent odor & O2 barrier performance for film extrusion INDUSTRY BULLETIN TPE HEALTHCARE PRODUCT SELECTOR GUIDE Versaflex™ HC Medical Tubing Grades Versaflex™ HC MT222 Clear 66A 0.88 14 - 334 2.30 629 4.34 898 6.19 430 220 36 ✔ ✔ High clarity, without plasticizersVersaflex™ HC MT224 Clear 75A 0.89 19 - 468 3.23 773 5.33 1360 9.40 530 321 56 ✔ ✔ Versaflex™ HC MT226 Clear 84A 0.88 20 - 606 4.17 885 6.10 1600 11.00 600 433 76 ✔ ✔ Versaflex™ HC MT317 Clear 68A 0.89 17 69 450 3.10 660 4.55 870 6.00 470 221 39 ✔ ✔ Very high service temperature Versaflex™ HC BT218 Natural 67A 0.89 19 69 381 2.60 683 4.70 1186 8.20 608 - - ✔ ✔ Weldable, kink resistant Versalfex™ HC BIO BT218 Natural 70A 0.88 18 58 416 2.87 668 4.60 1190 8.20 630 - - ✔ ✔ Weldable, kink resistant, contains 40% bio-derived content (Gen 1 biomass) Versaflex™ HC Gaskets & Stoppers Series Versaflex™ HC 2110-35N Natural 34A 0.90 19 47 145 1.00 261 1.80 400 2.76 620 97 17 ✔ ✔ Good resealing Versaflex™ HC 2110-43N Natural 43A 0.98 12 46 134 0.92 368 2.54 723 4.98 710 - - ✔ ✔ Good compression set Versaflex™ HC 2110-57B Black 59A 1.01 20 37 369 2.54 558 3.85 537 3.70 350 147 26 ✔ ✔ Low stiction Versaflex™ CL E Series Versaflex™ CL E85 Clear 84A 0.90 20 72 752 5.18 1160 8.00 1550 10.70 450 433 76 ✔ ✔ High clarity, without plasticizers; E95 also offers excellent odor & O2 barrier Versaflex™ CL E90 Clear 90A 0.90 27 73 1000 6.89 1230 8.50 1830 12.60 57 - - ✔ ✔ Versaflex™ CL E95 Clear 95A 0.90 38 71 1680 11.60 1730 11.90 2500 17.20 580 720 126 ✔ ✔ Versaflex™ HC 3810 Series Versaflex™ HC 3810-20N Natural 20A 0.88 16 54 123 0.80 185 1.30 342 2.40 650 - - ✔ - Formulated without animal derivatives, excellent colorability, translucent Versaflex™ HC 3810-30N Natural 30A 0.89 18 58 170 1.20 245 1.70 459 3.20 680 - - ✔ - Versaflex™ HC 3810-40N Natural 40A 0.88 19 59 191 1.30 275 1.90 506 3.50 670 - - ✔ - Versaflex™ HC 3810-50N Natural 50A 0.89 21 61 264 1.80 366 2.50 699 4.80 690 - - ✔ - Versaflex™ HC 3810-60N Natural 60A 0.88 24 65 459 3.20 594 4.10 790 5.40 510 - - ✔ - Versaflex™ HC 3810-70N Natural 70A 0.88 28 67 535 3.70 684 4.70 1000 6.90 570 - - ✔ - Versaflex™ HC 3810-80N Natural 80A 0.88 30 67 689 4.80 869 6.00 1390 9.60 620 - - ✔ - Versaflex™ HC 3810-90N Natural 90A 0.88 27 89 1087 7.50 1350 9.30 1890 13.00 570 - - ✔ - Versalloy™ HC 9210 Series Versalloy™ HC 9210-45N Natural 45A 0.89 19 39 160 1.10 320 2.20 484 3.33 480 100 18 - ✔ Smooth surface aestheticsVersalloy™ HC 9210-55N Natural 53A 0.89 20 44 208 1.44 335 2.31 580 4.00 610 120 21 - ✔ Versalloy™ HC 9210-70N Natural 70A 0.89 23 53 356 2.45 510 3.52 780 5.38 590 180 32 - ✔ Versalloy™ HC 9220 Series Versalloy™ HC 9220-70 Natural 70A 0.95 17 51 453 3.12 - - 643 4.43 265 208 36 ✔ ✔ ExtrudableVersalloy™ HC 9220-80 Natural 80A 0.94 18 59 553 3.67 777 5.36 945 6.52 415 208 36 ✔ ✔ Versalloy™ HC 9220-90 Natural 90A 0.94 25 55 1030 8.13 1350 9.33 1945 13.45 620 400 70 ✔ ✔ Standard Healthcare Grades Versaflex™ G2705N Natural 60A 0.88 - - - - 528 3.64 670 4.62 470 - - ✔ ✔ Natural, high strength Versaflex™ CL 2242 Clear 43A 0.89 23 - 152 1.05 294 2.02 731 5.00 780 124 22 ✔ ✔ High clarity, boilable Versaflex™ CL 2250 Clear 50A 0.89 20 - 220 1.52 337 2.32 827 5.70 770 140 25 ✔ ✔ Versaflex™ OM Series Versaflex™ OM 1040X Natural 42A 0.92 22 - 180 1.24 301 2.08 504 3.47 580 100 18 ✔ ✔ ABS/PC overmoldVersaflex™ OM 3060 Clear 59A 0.90 33 - 420 2.90 360 2.48 500 3.45 480 180 32 ✔ ✔ Versaflex™ OM 8940X-1 Clear 42A 0.91 - - 233 - 311 - 1573 - 1059 - - - - PK, COPE overmold Versaflex™ OM 4052 Natural 56A 1.01 27 - 271 - 557 - 1680 - 670 - - ✔ - Excellent chemical resistance; PK, PC, ABS, PC/ABS overmoldVersaflex™ OM 4063 Natural 54A 1.12 30 - 365 - 580 - 1640 - 670 - - ✔ - Color Hardness Specific Gravity Compression Set @ 23°C Compression Set @ 100°C 100% Modulus 300% Modulus Tensile Strength Elongation Tear Strength ISO 10993 USP VI Special Characteristics ASTM Shore A ASTM/ISO ASTM % ASTM % ASTM psi MPa ASTM psi MPa ASTM psi ISO MPa ASTM % ASTM pll ISO kN/m GENERAL PROPERTIES TENSILE PROPERTIES OTHER For further information on specific grades, review technical data sheets.
https://www.avient.com/sites/default/files/2024-09/Terms and Conditions of Sale for Germany.pdf
Buyer acknowledges that Seller has furnished to Buyer Safety Data Sheets, which include warnings together with safety and health information concerning the Product and/or the containers for such Product.
DATA PROTECTION 25.
DATA PROTECTION 26.
https://www.avient.com/sites/default/files/2023-07/Terms and Conditions of Sale for China - August 2023.pdf
Seller warrants good and clear title in goods subject to the sale (“Product”) and that the Product conforms at the time of shipment to a Certificate of Analysis, a Certificate of Compliance, or a Product Specification Sheet, if any such document exists, and other specifications signed by Seller (“Specifications”).
Buyer acknowledges that information in Seller’s marketing materials, technical data sheets and other descriptive publications distributed or published on its websites may vary from time to time without notice.
Buyer acknowledges that Seller has furnished to Buyer Safety Data Sheets, which include warnings together with safety and health information concerning the Product and/or the containers for such Product.
https://www.avient.com/sites/default/files/2024-12/Terms and Conditions of Sale for Taiwan %28English and Chinese Translation%29.pdf
Seller warrants good and clear title in goods subject to the sale (“Product”) and that the Product conforms at the time of shipment to a Certificate of Analysis, a Certificate of Compliance or a Product Specification Sheet, if any such document exists, and other specifications signed by Seller (“Specifications”).
Buyer acknowledges that information in Seller’s marketing materials, technical data sheets and other descriptive publications distributed or published on its websites may vary from time to time without notice.
Buyer acknowledges that Seller has furnished to Buyer Safety Data Sheets, which include warnings together with safety and health information concerning the Product and/or the containers for such Product.
https://www.avient.com/sites/default/files/2020-09/avient-candidates-data-privacy-notice-final-portuguese.pdf
Ao candidatar-se para um cargo, você pode fornecer informações pessoais, incluindo: https://polyone.referrals.selectminds.com/ mailto:HR@polyone.com • Identificadores e Informações de Contato, como seu nome, data de nascimento, endereço residencial, e-mail particular, número de telefone, Identificadores governamentais (como a sua carta de habilitação e/ou número de identidade nacional); • Dados de Login, incluindo seu endereço de e-mail, nome de usuário e senha quando você inicia sessão para enviar a sua candidatura; • Classificações Protegidas, na medida permitida pela legislação vigente, como seu gênero, raça e origem étnica; • Informações Profissionais ou Relacionadas a Emprego, como seu currículo ou CV, experiência ou histórico profissional, qualificação profissional, cargo para o qual gostaria de candidatar-se, referências profissionais, seu salário atual, bônus, expectativa salarial ou qualquer outra informação que opte por fornecer, incluindo informações relativas a quaisquer candidaturas anteriores que você possa ter-nos enviado ou qualquer experiência prévia de trabalho com a Avient, afiliações ou associações profissionais e preferência de data de início; • Informações Educacionais, como formação acadêmica, seus históricos escolares, histórico acadêmico e de capacitação, sua proficiência em inglês, a qual pode ser necessária para determinados cargos, competências linguísticas e outras competências especiais, informações de certificação; e • Outras informações pessoais que você opte por nos enviar em conexão com a sua candidatura, como dados de contato de referências, informações divulgadas em uma entrevista ou a sua situação pessoal.
Data de entrada em vigor: 1º de agosto de 2020 mailto:PRIVACY.OFFICER@POLYONE.COM https://privacyportal.onetrust.com/webform/b25cf7b1-a93a-4d26-8c84-ceda4d0ae91b/e180cbe4-d1b9-49bd-b621-cb5f6a0f42cb mailto:PRIVACY.OFFICER@POLYONE.COM