https://www.avient.com/sites/default/files/2023-08/AVNT August IR Presentation w NonGAAP Recs%5B40%5D.pdf
GUIDANCE
12
15.4%
15.9%
Adjusted EBITDA Margin %
Better-than-expected margins
driven by:
• Favorable mix - strong
demand for composite
applications
• Raw material deflation
Q2 EBITDA BRIDGE
13
($ millions)
CAI:
Price / Mix 7)
Deflation 11)
SEM:
Price / Mix 2)
Deflation 6)
Net Price Benefit 26)
Wage and Energy Inflation (10)
Cost Reductions 13)
FX (2)
Q2 2023 Actual $131)
Adjusted
EBITDA
Q2 2022 Pro Forma $ 172)
Demand (68) • Demand conditions vs.
expectations:
LATAM
• Net price benefit remains greater
than wage and energy inflation
• Clariant synergies and reduced
administrative costs
Q2 2023 SEQUENTIAL SALES BY REGION
Q 2 2 0 2 3 v s .
Q 1 2 0 2 3
-8%
+6%
-1%
Flat
14
Total Avient -2.6%
2023 G U IDA N CE
$128
$525
$0.56
$2.40
2023 GUIDANCE
16
$800
$3,280
Sales Adjusted EBITDA Adjusted EPS
(in millions) (in millions)
17
• Focused on working capital
management, restructuring
actions to streamline
operations
• IT investment to further
integrate acquired
businesses and capture
operational efficiencies
• Preserve Free Cash Flow to
maintain net leverage
CASH FLOW / LEVERAGE
($ millions) 2023E
Cash Flow from Operating Activities 320$
Less: CapEx (140)
Free Cash Flow 180$
Adjusted EBITDA 525$
Net Debt / Adjusted EBITDA 3.0x
SUSTAINABILITY AS A GROWTH DRIVER
18
LONG-TERM REVENUE GROWTH DRIVERS
Revenue From Sustainable Solutions* 2016-2022
$340M
$405M
$455M
$550M
$790M
$915M
2016 2017 2018 2019 2020PF** 2021 2022PF***
$1,175M
*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
***2022 is Pro Forma for the acquisition of Avient Protective Materials and the divestiture of Distribution
60%+
Key Growth
Drivers
Sustainable
Solutions
Composites, Healthcare,
Asia / LATAM
Overlap
Other
(GDP Growth)
Total Company Revenue
SUSTAINABILITY REPORT
2022
• Provides progress on 2030 goals
• Reaffirms commitment to U.N.
https://www.avient.com/knowledge-base/case-study/enabling-cleaner-and-safer-automotive-parts
Lowered energy requirements versus painting and the reduction of VOCs also made this masterbatch a more environmentally sustainable solution.
https://www.avient.com/knowledge-base/case-study/enabling-cleaner-and-safer-automotive-parts?sust[]=1139
Lowered energy requirements versus painting and the reduction of VOCs also made this masterbatch a more environmentally sustainable solution.
https://www.avient.com/knowledge-base/case-study/enabling-cleaner-and-safer-automotive-parts?pname[]=10437
Lowered energy requirements versus painting and the reduction of VOCs also made this masterbatch a more environmentally sustainable solution.
https://www.avient.com/knowledge-base/case-study/enabling-cleaner-and-safer-automotive-parts?ind[]=6601
Lowered energy requirements versus painting and the reduction of VOCs also made this masterbatch a more environmentally sustainable solution.
https://www.avient.com/knowledge-base/case-study/enabling-cleaner-and-safer-automotive-parts?psfam[]=21983
Lowered energy requirements versus painting and the reduction of VOCs also made this masterbatch a more environmentally sustainable solution.
https://www.avient.com/sites/default/files/2020-10/coffee-capsules-case-study.pdf
https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/oncolor-bio-colorants
https://www.avient.com/sites/default/files/2021-08/avient-cdp-climate-change-questionnaire-2021.pdf
In 2020, we updated our
applications and revenue to better represent how we enable our customers’ sustainability
goals, as well reflect the sustainable technologies of recently acquired Clariant Masterbatch
business.
In 2020, we
updated our applications and revenue to better represent how we enable our customers’
sustainability goals, as well reflect the sustainable technologies of recently acquired
Clariant Masterbatch business.
In 2020, we further evaluated our
applications and revenue from our sustainable solutions, since the publishing of our last
report and the acquisition of Clariant Masterbatch.
https://www.avient.com/sites/default/files/2023-05/OnColor Combination MIC Color - Center Console - Application Snapshot.pdf
All Rights Reserved
https://www.avient.com/products/polymer-colorants/color-additive-combination-masterbatches/smartbatch-combination-colorants-additives
Automotive oem
https://www.avient.com/sites/default/files/2023-02/OnColor Water Pitcher Application Snapshot.pdf
https://www.avient.com/products/polymer-colorants/solid-color-masterbatches/remafin-concentrates-polyolefins