https://www.avient.com/sites/default/files/resources/Forward%2520Looking%2520Statements%2520and%2520Non%2520GAAP%2520Measures.pdf
Factors that could cause actual results to differ materially from those implied by these forward-looking statements include, but are not limited to:
� Disruptions, uncertainty or volatility in the credit markets that could adversely impact the availability of credit already arranged and the availability
and cost of credit in the future;
� The financial condition of our customers, including the ability of customers (especially those that may be highly leveraged and those with inadequate
liquidity) to maintain their credit availability;
� The speed and extent of an economic recovery, including the recovery of the housing market;
� The amount and timing of repurchases, if any, of PolyOne common shares and our ability to pay regular quarterly cash dividends and the amounts and
timing of any future dividends;
� The effect on foreign operations of currency fluctuations, tariffs, and other political, economic and regulatory risks;
Changes in polymer consumption growth rates in the markets where we conduct business;
Forward Looking Statements
� Changes in polymer consumption growth rates in the markets where we conduct business;
� Changes in global industry capacity or in the rate at which anticipated changes in industry capacity come online;
� Fluctuations in raw material prices, quality and supply and in energy prices and supply;
� Production outages or material costs associated with scheduled or unscheduled maintenance programs;
� Unanticipated developments that could occur with respect to contingencies such as litigation and environmental matters;
� An inability to achieve or delays in achieving or achievement of less than the anticipated financial benefit from initiatives related to working capital
reductions, cost reductions, employee productivity goals, and an inability to raise or sustain prices for products or services;
� The ability to successfully integrate acquired companies into our operations, retain the management teams of acquired companies, and retain
relationships with customers of acquired companies, including without limitation, Color Matrix Group, Inc.
The non-GAAP financial measures
include: adjusted EPS, earnings before interest, tax, depreciation and
amortization (EBITDA), adjusted EBITDA, net debt, Specialty platform operating
income and gross margin, adjusted operating income, free cash flow, return on
invested capital, GLS operating income, net debt/ EBITDA, and the exclusion of
corporate charges in certain calculations.
https://www.avient.com/sites/default/files/2024-02/AVNT Q4 2023 Earnings Presentation_For Website_with Non-GAAP.pdf
ASHISH KHANDPUR
PRESIDENT & CEO
4
5
PORTFOLIO TRANSFORMATION
5
46%
66%
87%
100%
0%
20%
40%
60%
80%
100%
2005 2010 2015 2020 2023
%
o
f A
dj
us
te
d
EB
IT
D
A
Commodity JVs Distribution Performance Products & Solutions Specialty Businesses
Adjusted EBITDA from Specialty Applications
SUSTAINABILITY AS A GROWTH DRIVER
7
LONG-TERM REVENUE GROWTH DRIVERS
Sustainable
Solutions
Composites, Healthcare,
Asia / LATAM
Overlap
Other
60%+
Key Growth
Drivers
Total Company Revenue
Growth Drivers Long-Term
Growth Rate
Sustainable Solutions 8–12%
Composites 8–10%
Healthcare 8–10%
Asia / LATAM 5%
Other 0–2%
Avient 6%
END MARKET OBSERVATIONS
(% OF COMPANY SALES)
ENERGY
DEFENSE
TELECOMMUNICATIONS
HEALTHCARE
8
TRANSPORTATION
INDUSTRIAL
BUILDING &
CONSTRUCTION 9%
CONSUMER
19%
PACKAGING
23%
9
REGIONAL OBSERVATIONS
(% OF COMPANY SALES)
9
41%
36%
Q 4 2 0 2 3 R E S U LT S
Q4 2023 PERFORMANCE VS.
Further, as a result of Avient's portfolio shift to a pure play specialty formulator, it has completed several
acquisitions and divestitures which have resulted in a significant amount of intangible asset amortization.
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
Year Ended
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 Q4 2023 Earnings Presentation_For Website_with Non-GAAP.pdf
AVNT Q4 2023 Earnings Presentation_For Website.pdf
IR Deck - AVNT-2023.12.31 (2.12.24 9PM Milestone February 12 0905 pm).pdf
Attachment
Non-GAAP Update.pdf
https://www.avient.com/resource-center?document_type=59&document_subtype=117&page=0
Innovative carbon fiber matrix organizations and infusion formulations enable pipeline renewal
Complēt™ MT 40% Long Glass Fiber Impact Modified Formulation used to produce fans for lawn blowers and vacuums
Design freedom, metal replacement and Thermally Conductive Formulations provide powerful solution for Elausa Electronics
https://www.avient.com/resource-center?document_type=59&document_subtype=0&industry=0&product_family=0&product_name=0&op=FILTER RESULTS&form_id=resource_filter_form
Bergamid™ Polyamide Formulations offered nylon (PA66) formulation with high impact resistance and dimensional stability
OnForce™ Long Fiber Reinforced Thermoplastic Formulations provided metal replacement and met strict mechanical criteria
Maxxam™ NHFR Non-Halogen Flame Retardant Polyolefin Formulations provided a non-halogenated solution while improving the performance of the formerly used halogenated grade
https://www.avient.com/resource-center?document_type=59&page=0
Bergamid™ Polyamide Formulations offered nylon (PA66) formulation with high impact resistance and dimensional stability
OnForce™ Long Fiber Reinforced Thermoplastic Formulations provided metal replacement and met strict mechanical criteria
Maxxam™ NHFR Non-Halogen Flame Retardant Polyolefin Formulations provided a non-halogenated solution while improving the performance of the formerly used halogenated grade
https://www.avient.com/resource-center?document_subtype=117&document_type=59&page=0
Innovative carbon fiber matrix organizations and infusion formulations enable pipeline renewal
Complēt™ MT 40% Long Glass Fiber Impact Modified Formulation used to produce fans for lawn blowers and vacuums
Design freedom, metal replacement and Thermally Conductive Formulations provide powerful solution for Elausa Electronics
https://www.avient.com/sites/default/files/2021-11/artisan-ar7300-pre-colored-formulation-processing-guide.pdf
Artisan™ AR7300
PRE-COLORED FORMULATIONS
PROCESSING GUIDE
Artisan™ Pre-Colored Thermoplastics
Artisan™ AR7300 pre-colored thermoplastics are customized ABS formulations to help manufacturers achieve
brilliant and high-gloss metallic effect, excellent chemical resistance, and scratch resistance.
https://www.avient.com/resource-center?document_type=59&page=21
Increased process efficiency and formulated a solution that met rigorous medical application requirements
It permits black and dark polymers to be detected by near infrared (NIR) automatic sorting equipment.
https://www.avient.com/sites/default/files/2020-05/2.-polyone-ir-presenstation-wells-fargo-industrials-conference.pdf
Microsoft PowerPoint - PolyOne Investor Presentation 5.4.20_v8
P E O P LE
P RO D U CT S P LA N E T
P E RF O R MAN C E
JVs Performance Products & Solutions Distribution Specialty
To be the world’s
premier provider of
specialized polymer
materials, services and
solutions
To be the world’s
premier provider of
specialized polymer
materials, services
and sustainable
solutions
2016 2017 2018 2019
Lightweighting Reduced Material Requirements Improved Recyclability
Renewable Energy Applications Eco-conscious Bio-derived Content
Reduced Energy Use VOC Reduction
$275M
$325M
$355M
$410M 14% Total Annual Growth
9% Organic Annual Growth
PolyOne Corporation 33
Adjusted EPS attributable to PolyOne common shareholders is calculated as follows:
2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016** 2017** 2018 2018***
Q1
2019*** 2019
Q1
2020
Net income from continuing operations attributable to PolyOne
common shareholders
Joint venture equity earnings, after tax
Special items, before tax(1)
Special items, tax adjustments(1)
Adjusted net income from continuing operations attributable to
PolyOne common shareholders
$ 106.7 $ 152.5 $ 153.4 $ 53.3 $ 94.0 $ 78.0 $ 144.6 $ 166.4 $ 173.5 $ 161.1 $ 87.7 $ 22.4 $ 75.5 $ 33.1
(19.0) (14.7) (3.7) — — — — — — — — — — —
(48.7) 24.2 (48.1) 55.1 46.3 164.2 87.6 23.8 32.9 59.5 58.7 12.2 61.7 9.6
(27.2) (96.7) (24.7) (18.9) (13.7) (73.7) (58.7) (15.9) (24.8) (25.3) (25.1) (1.2) (5.9) (1.0)
$ 11.8 $ 65.3 $ 76.9 $ 89.5 $ 126.6 $ 168.5 $ 173.5 $ 174.3 $ 181.6 $ 195.3 $ 121.3 $ 33.4 $ 131.3 $ 41.7
Diluted shares 93.4 96.0 94.3 89.8 96.5 93.5 88.7 84.6 82.1 80.4 80.4 78.2 77.7 86.7
Adjusted EPS attributable to PolyOne common shareholders $ 0.13 $ 0.68 $ 0.82 $ 1.00 $ 1.31 $ 1.80 $ 1.96 $ 2.06 $ 2.21 $ 2.43 $ 1.51 $ 0.43 $ 1.69 $ 0.48
* Historical results are shown as presented in prior filings and have not been updated to reflect subsequent changes in accounting principle, discontinued operations or the related resegmentation.
** Pro forma for sale of Designed Structures and Solutions segment (DSS).
*** Pro forma for sale of Performance Products and Solutions segment (PP&S).
https://www.avient.com/sites/default/files/2020-05/1.-polyone-ir-presenstation-fermium-research-chemicals-conference.pdf
Microsoft PowerPoint - PolyOne Investor Presentation 5.4.20_v8
P E O P LE
P RO D U CT S P LA N E T
P E RF O R MAN C E
JVs Performance Products & Solutions Distribution Specialty
To be the world’s
premier provider of
specialized polymer
materials, services and
solutions
To be the world’s
premier provider of
specialized polymer
materials, services
and sustainable
solutions
2016 2017 2018 2019
Lightweighting Reduced Material Requirements Improved Recyclability
Renewable Energy Applications Eco-conscious Bio-derived Content
Reduced Energy Use VOC Reduction
$275M
$325M
$355M
$410M 14% Total Annual Growth
9% Organic Annual Growth
PolyOne Corporation 33
Adjusted EPS attributable to PolyOne common shareholders is calculated as follows:
2009* 2010* 2011* 2012* 2013* 2014* 2015* 2016** 2017** 2018 2018***
Q1
2019*** 2019
Q1
2020
Net income from continuing operations attributable to PolyOne
common shareholders
Joint venture equity earnings, after tax
Special items, before tax(1)
Special items, tax adjustments(1)
Adjusted net income from continuing operations attributable to
PolyOne common shareholders
$ 106.7 $ 152.5 $ 153.4 $ 53.3 $ 94.0 $ 78.0 $ 144.6 $ 166.4 $ 173.5 $ 161.1 $ 87.7 $ 22.4 $ 75.5 $ 33.1
(19.0) (14.7) (3.7) — — — — — — — — — — —
(48.7) 24.2 (48.1) 55.1 46.3 164.2 87.6 23.8 32.9 59.5 58.7 12.2 61.7 9.6
(27.2) (96.7) (24.7) (18.9) (13.7) (73.7) (58.7) (15.9) (24.8) (25.3) (25.1) (1.2) (5.9) (1.0)
$ 11.8 $ 65.3 $ 76.9 $ 89.5 $ 126.6 $ 168.5 $ 173.5 $ 174.3 $ 181.6 $ 195.3 $ 121.3 $ 33.4 $ 131.3 $ 41.7
Diluted shares 93.4 96.0 94.3 89.8 96.5 93.5 88.7 84.6 82.1 80.4 80.4 78.2 77.7 86.7
Adjusted EPS attributable to PolyOne common shareholders $ 0.13 $ 0.68 $ 0.82 $ 1.00 $ 1.31 $ 1.80 $ 1.96 $ 2.06 $ 2.21 $ 2.43 $ 1.51 $ 0.43 $ 1.69 $ 0.48
* Historical results are shown as presented in prior filings and have not been updated to reflect subsequent changes in accounting principle, discontinued operations or the related resegmentation.
** Pro forma for sale of Designed Structures and Solutions segment (DSS).
*** Pro forma for sale of Performance Products and Solutions segment (PP&S).