https://www.avient.com/news/avient-expands-resound-tpe-portfolio-new-grade-formulated-fda-reviewed-post-consumer-recycled-material
This FDA evaluation should boost OEM and consumer confidence in incorporating recycled materials into products that face stringent regulatory controls,” said Matt Mitchell, Director, Global Marketing, Specialty Engineered Materials at Avient.
SEARCH INVESTOR NEWS
https://www.avient.com/news/avient-launches-new-cross-linkable-formulations-photovoltaic-cables-support-rising-need-solar-power-generation
Avient has an ongoing commitment to sustainability, whether through bio-polymers, recycled solutions, or supporting the growth of sustainable infrastructure,” said Matt Mitchell, director of global marketing, Specialty Engineered Materials at Avient.
SEARCH INVESTOR NEWS
https://www.avient.com/sites/default/files/2023-02/AVNT Q4 2022 Earnings Press Release-1.pdf
A recording of the webcast and the slide presentation will be available at
avient.com/investors/events-presentations immediately following the conference call and will be
accessible for one year.
Three Months Ended
December 31,
2022 2021
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net (loss) income from continuing operations attributable to Avient
shareholders $ (17.0) $ (0.19) $ 11.2 $ 0.12
Special items, after tax (Attachment 3) 38.3 0.42 23.9 0.26
Amortization expense, after-tax 14.6 0.16 11.3 0.12
Adjusted net income / EPS $ 35.9 $ 0.39 $ 46.4 $ 0.50
(1) Per share amounts may not recalculate from figures presented herein due to rounding
Year Ended
December 31,
2022 2021
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 82.8 $ 0.90 $ 151.8 $ 1.65
Special items, after tax (Attachment 3) 116.2 1.26 50.0 0.54
Amortization expense, after-tax 49.0 0.53 44.9 0.49
Adjusted net income / EPS $ 248.0 $ 2.69 $ 246.7 $ 2.68
(1) Per share amounts may not recalculate from figures presented herein due to rounding
9
Attachment 2
Avient Corporation
Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
December 31,
Year Ended
December 31,
2022 2021 2022 2021
Sales $ 790.4 $ 807.1 $ 3,396.9 $ 3,315.5
Cost of sales 618.4 590.5 2,514.2 2,371.7
Gross margin 172.0 216.6 882.7 943.8
Selling and administrative expense 171.6 166.4 639.4 664.1
Operating income 0.4 50.2 243.3 279.7
Interest expense, net (49.4) (17.5) (119.8) (75.2)
Other expense, net (28.4) (5.3) (59.7) (1.0)
(Loss) income from continuing operations before income taxes (77.4) 27.4 63.8 203.5
Income tax benefit (expense) 60.8 (17.1) 19.3 (51.9)
Net (loss) income from continuing operations (16.6) 10.3 83.1 151.6
Income from discontinued operations, net of income taxes 561.5 18.7 620.3 79.0
Net income 544.9 29.0 703.4 230.6
Net (income) loss attributable to noncontrolling interests (0.4) 0.9 (0.3) 0.2
Net income attributable to Avient common shareholders $ 544.5 $ 29.9 $ 703.1 $ 230.8
Earnings per share attributable to Avient common shareholders - Basic:
Continuing operations $ (0.19) $ 0.12 $ 0.91 $ 1.66
Discontinued operations 6.17 0.21 6.80 0.87
Total $ 5.98 $ 0.33 $ 7.71 $ 2.53
Earnings per share attributable to Avient common shareholders - Diluted:
Continuing operations $ (0.19) $ 0.12 $ 0.90 $ 1.65
Discontinued operations 6.17 0.20 6.73 0.86
Total $ 5.98 $ 0.32 $ 7.63 $ 2.51
Cash dividends declared per share of common stock $ 0.2475 $ 0.2375 $ 0.9600 $ 0.8750
Weighted-average shares used to compute earnings per common share:
Basic 91.0 91.5 91.2 91.4
Diluted 91.0 92.4 92.2 92.1
10
Attachment 3
Avient Corporation
Summary of Special Items (Unaudited)
(In millions, except per share data)
Special items (1)
Three Months Ended
December 31,
Year Ended
December 31,
2022 2021 2022 2021
Cost of sales:
Restructuring costs, including accelerated depreciation $ (21.3) $ (6.0) $ (31.1) $ (14.6)
Environmental remediation costs (0.4) (0.5) (24.2) (22.9)
Reimbursement of previously incurred environmental costs — — 8.3 4.5
Acquisition related costs (23.8) 0.6 (34.1) (0.6)
Impact on cost of sales (45.5) (5.9) (81.1) (33.6)
Selling and administrative expense:
Restructuring, legal and other (8.3) (4.2) (8.3) (5.9)
Acquisition related costs (6.1) (1.1) (19.3) (8.3)
Impact on selling and administrative expense (14.4) (5.3) (27.6) (14.2)
Impact on operating income (59.9) (11.2) (108.7) (47.8)
Interest expense, net - committed financing and debt extinguishment (16.0) — (26.0) —
Mark-to-market on derivatives — — (30.9) —
Pension and post retirement mark-to-market adjustment and other (28.4) (9.3) (28.4) (9.3)
Impact on Other expense, net (28.4) (9.3) (59.3) (9.3)
Impact on income from continuing operations before income taxes (104.3) (20.5) (194.0) (57.1)
Income tax benefit benefit/(expense) on above special items 26.8 4.1 49.4 13.0
Tax adjustments(2) 39.2 (7.5) 28.4 (5.9)
Impact of special items on net income from continuing operations $ (38.3) $ (23.9) $ (116.2) $ (50.0)
Diluted earnings per common share impact $ (0.42) $ (0.26) $ (1.26) $ (0.54)
Weighted average shares used to compute adjusted earnings per share:
Diluted 91.7 92.4 92.2 92.1
(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
Three Months Ended
December 31,
Year Ended
December 31,
2022 2021 2022 2021
Sales:
Color, Additives and Inks $ 490.8 $ 581.3 $ 2,355.0 $ 2,401.6
Specialty Engineered Materials 300.8 226.3 1,044.4 911.6
Corporate (1.2) (0.5) (2.5) 2.3
Sales $ 790.4 $ 807.1 $ 3,396.9 $ 3,315.5
Gross margin:
Color, Additives and Inks $ 134.5 $ 164.5 $ 681.3 $ 727.5
Specialty Engineered Materials 82.4 58.3 283.7 250.9
Corporate (44.9) (6.2) (82.3) (34.6)
Gross margin $ 172.0 $ 216.6 $ 882.7 $ 943.8
Selling and administrative expense:
Color, Additives and Inks $ 90.2 $ 103.3 $ 380.3 $ 424.4
Specialty Engineered Materials 47.2 31.2 143.6 125.4
Corporate 34.2 31.9 115.5 114.3
Selling and administrative expense $ 171.6 $ 166.4 $ 639.4 $ 664.1
Operating income:
Color, Additives and Inks $ 44.3 $ 61.2 $ 301.0 $ 303.1
Specialty Engineered Materials 35.2 27.1 140.1 125.5
Corporate (79.1) (38.1) (197.8) (148.9)
Operating income $ 0.4 $ 50.2 $ 243.3 $ 279.7
14
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.