https://www.avient.com/sites/default/files/2023-02/AVNT Q4 2022 Earnings Presentation.pdf
GUIDANCE
DEBT / LEVERAGE R EDUCTION
• Completed sale of Distribution
and paid down $750M of debt
in November
• Strong free cash flow in fourth
quarter reduced leverage and
enabled paydown of additional
$200M of debt
• Fixed/Floating Debt Ratio 63/37
• Proven track record of
deleveraging following
acquisitions through consistent
free cash flow generation
$725 $725 $725
$575 $500 $400
$600
$525
$425
$650
$650
$650
$600
$2.40B
$2.20B
2030 Notes
2029 Term Loan
2026 Term Loan
2025 Notes
After Distribution
Divestiture
Year-End
4
Year-End
Leverage
3.8x 3.1x 2.9x
2023 Notes
After Avient
Protective Materials
Acquisition
$3.15B
20 22 TRA NSF OR MATI ONAL PORTFOLI O
ENHA NC EMENTS
5
EBITDA margins expanded
from 12% to 16%
Diversified end markets
with reduced exposure to
more cyclical industries
Dyneema®
Acquisition
$1.48B acquisition
strengthens composites
platform
Significantly improved
EBITDA margins $950M divestiture results
in 100% specialty sales
Strong exit multiple of 10x
TTM EBITDA despite
market volatility
Distribution
Divestiture
Improved
Portfolio
G ROW I NG C OM PO SI T ES P LAT F OR M
C O NT R I BU TI O NS TO S EM S EG ME NT
6
Note: 2022 is pro forma for Avient Protective Materials
2016 Sales 2022 Sales
Advanced
Composites
51%
$560M $1,300M
Advanced
Composites
9%
C O M P O S I T E S P O R T F O L I O
D Y N E E M A ® E X P A N D S O U R E N G I N E E R E D F I B E R S A N D T A P E S T E C H N O L O G Y
LFT Tapes Laminates/Panels Shapes Pultrusion Engineered Fibers
7
ADVA NC ED C OM POSI TES PERFORMA NCE
8 (1) Pro forma for the acquisition of Avient Protective Materials
Sales
$51
$84
$212
$668
2016 2018 2020 2022
$4
$10
$41
$169
2016 2018 2020 2022
EBITDA
(1) (1)
($ in millions)
PORTFOLIO EVOLUTION AND EPS EXPANSION
9
Adj.
We also monitor earnings (defined as net income from continuing operations) before interest,
taxes, depreciation and amortization (EBITDA) and adjusted EBITDA (EBITDA before the impact of special items) as a
supplement to our GAAP measures.
Reconciliation of Pro Forma Net Debt December 31, 2022
Short-term and current portion of long term debt $ 2.2
Total long-term debt, net 2,176.7
Unamortized discount and debt issuance cost 37.4
Total debt $ 2,216.3
Cash (641.1)
Net taxes due from sale of business 105.0
Adjusted cash $ (536.1)
Net debt $ 1,680.2
Year Ended
December 31,
Reconciliation to EBITDA and Adjusted EBITDA 2006 2018
Sales $ 2,622.4 $ 3,533.4
Net income from continuing operations – GAAP $ 133.5 $ 160.8
Income tax expense 29.7 36.4
Interest expense 63.1 62.8
Depreciation and amortization 57.1 91.5
EBITDA $ 283.4 $ 351.5
Special items, before income tax (34.0) 59.5
Depreciation and amortization included in special items — (3.0)
JV - equity income (107.0) —
Adjusted EBITDA $ 142.4 $ 408.0
EBITDA as a % of sales 5.4 % 11.5 %
2
Reconciliation of Adjusted EPS 2006 2018
Net income from continuing operations attributable to Avient common shareholders $ 130.9 $ 161.1
Joint venture equity earnings, after tax (68.5) —
Special items, after tax (21.2) 44.6
Special items, tax adjustments (30.0) (10.4)
Amortization expense, after tax 1.4 19.5
Adjusted net income from continuing operations attributable to Avient common
shareholders $ 12.6 $ 214.8
Diluted shares 92.8 80.4
Adjusted EPS attributable to Avient common shareholders $ 0.14 $ 2.67
Three Months
Ended Year Ended Year Ended
Reconciliation of Pro Forma Adjusted Earnings per Share December 31, 2022 December 31, 2021
Net (loss) income from continuing operations attributable to Avient
shareholders $ (17.0) $ 82.8 $ 151.8
Special items, after tax 38.3 116.2 50.0
Amortization expense, after-tax 14.6 49.0 44.9
Adjusted net income from continuing operations excluding special
items 35.9 248.0 246.7
Pro forma adjustments* 2.5 13.6 9.9
APM pro forma amortization expense, after tax* — 19.1 21.2
Pro forma adjusted net income from continuing operations attributable
to Avient shareholders $ 38.4 $ 280.7 $ 277.8
Weighted average diluted shares 91.7 92.2 92.1
Pro forma adjusted EPS - excluding special items pro forma for APM
acquisition $ 0.42 $ 3.04 $ 3.02
* 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.
https://www.avient.com/investor-center/news/avient-announces-second-quarter-2023-results
Continuing operations
Continuing operations
EBITDA from continuing operations
https://www.avient.com/news/archives?page=36
PolyOne Launches New ECCOH™ LSFOH Grades for Optical Fiber Cables
McHENRY, Ill. – June 15, 2020 – PolyOne today announced that select OnFlex™ thermoplastic elastomers (TPEs) are now being manufactured in North
SHANGHAI, China – May 15, 2020 – PolyOne today launched a new functional additive for protective face masks as part of its Fiber Solutions portfo
https://www.avient.com/news/avient-specialty-inks-focuses-sustainability-debuts-updates-union-ink-branding-impressions-expo-2023
This is an exciting year to exhibit at the Impressions Expo, as our screen printing inks portfolio continues to evolve with future generations in mind,” said Tito Echiburu, general manager, Avient Specialty Inks.
From eco-conscious inks to a refreshed look for one of our most iconic, classic brands, the Avient Specialty Inks team is pleased to continue to offer innovative and inspired solutions.”
Sustainable infrastructure solutions that increase energy efficiency, renewable energy, natural resource conservation and fiber optic / 5G network accessibility
https://www.avient.com/idea/new-horizons-fiber-optic-cable
Fiber optic cable rendering by Avient Design
The telecommunications industry is poised for significant growth through 2025, and fiber optic cables are critical infrastructure components.
Mordor Intelligence – Global Fiber Optic Cable Market (2021 – 2026)
https://www.avient.com/sites/default/files/2023-05/SG Liner for Pipe Replacement - Case Study.pdf
CASE STUDY: FIBER-LINE™ HIGH PERFORMANCE ENGINEERED FIBERS
Ch
all
en
ge
A
cc
ep
te
d.
INNOVATIVE CARBON FIBER
SOLUTIONS FOR SG PIPE
REPLACEMENT
To learn more about Fiber-Line high performance
engineered fibers, visit fiber-line.com.
THE SOLUTION
Avient worked with the company to develop a novel
reinforcement material comprised of Avient Fiber-Line™
carbon fiber tows in which the filaments were manipulated
to increase strength and improve abrasion resistance.
https://www.avient.com/investor-center/news/polyone-design-expertise-and-advanced-materials-accelerate-innovation-outdoor-high-performance-industry
NYSE: POL) today announced that its continued investment in outdoor high performance design and materials support is enabling sporting, hunting, powersports, and paddlesports equipment manufacturers to bring improved products to market faster and more efficiently.
Combined with our portfolio of advanced composites and polymer formulations, we're helping customers to create lighter weight, higher performing products where failure is not an option."
As we continue to invest in design and R&D resources, outdoor equipment makers are leveraging our considerable insights, innovative technologies, and collaborative approach to drive success."
https://www.avient.com/products/engineered-polymer-formulations/conductive-signal-radiation-shielding-formulations/therma-tech-thermally-conductive-formulations
Therma-Tech™ Thermally Conductive Formulations are engineered to combine the heat transfer, dissipation, and cooling capabilities of metals with the design freedom, weight reduction, and cost advantages of thermoplastics.
The design and lightweighting benefits of thermoplastics with the conductive performance of metal
Engineered with short fiber reinforcements to provide precise levels of electrical conductivity
https://www.avient.com/investor-center/news/avient-announces-record-fourth-quarter-and-full-year-2021-results
driven by demand for sustainable solutions, healthcare applications and composites technologies."
continued.
Sustainable infrastructure solutions that increase energy efficiency, renewable energy, natural resource conservation and fiber optic / 5G network accessibility
https://www.avient.com/sites/default/files/2021-10/bergamid-house-of-sports-gun-case-study-one-pager-1020.pdf
U TG ® H U N T I N G &
S H O OT I N G S P O RT S
G U N M A G A Z I N E H O U S I N G
• Good dimension stability with low warpage at different
temperature ranges (70˚C, room temperature, -40˚C)
• Good appearance with less glass fiber exposure
• Provided durable and impact-resistant glass
fiber reinforced formulation with excellent
surface finish and good dimensional stability
for smooth operation
• Passed all temperature durability and drop tests
to confirm use in outdoor environments
• Collaborated with customer via technology
services to accelerate product development
Bergamid™ Customized Polyamide
Formulation
KEY REQUIREMENTS
WHY AVIENT?
https://www.avient.com/products/engineered-polymer-formulations/structural-fiber-reinforced-formulations/short-fiber-reinforced-formulations