https://www.avient.com/sites/default/files/2024-10/Avient Announces Third Quarter 2024 Results.pdf
Rose
Vice President, Corporate Communications
Avient Corporation
+1 440-930-3162
kyle.rose@avient.com
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Attachment 1
Avient Corporation
Summary of Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
September 30,
Nine Months Ended
September 30,
2024 2023 2024 2023
Sales $ 815.2 $ 753.7 $ 2,493.9 $ 2,423.8
Operating income 77.2 34.3 243.7 153.7
Net income from continuing operations attributable to Avient
shareholders 38.2 5.1 121.2 48.0
Diluted earnings per share from continuing operations attributable to
Avient shareholders $ 0.41 $ 0.06 $ 1.32 $ 0.52
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.
Three Months Ended September 30,
2024 2023
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 38.2 $ 0.41 $ 5.1 $ 0.06
Special items, after-tax (Attachment 3) 6.6 0.07 32.0 0.35
Amortization expense, after-tax 15.0 0.16 15.2 0.16
Adjusted net income / EPS $ 59.8 $ 0.65 $ 52.3 $ 0.57
(1) Per share amounts may not recalculate from figures presented herein due to rounding
Nine Months Ended September 30,
2024 2023
Reconciliation to Condensed Consolidated Statements of Income $ EPS(1) $ EPS(1)
Net income from continuing operations attributable to Avient shareholders $ 121.2 $ 1.32 $ 48.0 $ 0.52
Special items, after-tax (Attachment 3) 33.9 0.37 73.9 0.81
Amortization expense, after-tax 44.7 0.49 46.5 0.51
Adjusted net income / EPS $ 199.8 $ 2.17 $ 168.4 $ 1.84
(1) Per share amounts may not recalculate from figures presented herein due to rounding
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Attachment 2
Avient Corporation
Condensed Consolidated Statements of Income (Unaudited)
(In millions, except per share data)
Three Months Ended
September 30,
Nine Months Ended
September 30,
2024 2023 2024 2023
Sales $ 815.2 $ 753.7 $ 2,493.9 $ 2,423.8
Cost of sales 553.8 558.4 1,696.7 1,740.2
Gross margin 261.4 195.3 797.2 683.6
Selling and administrative expense 184.2 161.0 553.5 529.9
Operating income 77.2 34.3 243.7 153.7
Interest expense, net (26.9) (30.3) (80.1) (88.5)
Other (expense) income, net (0.3) 1.0 (2.1) 1.5
Income from continuing operations before income taxes 50.0 5.0 161.5 66.7
Income tax (expense) benefit (11.3) 0.1 (39.3) (18.0)
Net income from continuing operations 38.7 5.1 122.2 48.7
Loss from discontinued operations, net of income taxes — — — (0.9)
Net income $ 38.7 $ 5.1 $ 122.2 $ 47.8
Net income attributable to noncontrolling interests (0.5) — (1.0) (0.7)
Net income attributable to Avient common shareholders $ 38.2 $ 5.1 $ 121.2 $ 47.1
Earnings (loss) per share attributable to Avient common shareholders - Basic:
Continuing operations $ 0.42 $ 0.06 $ 1.33 $ 0.53
Discontinued operations — — — (0.01)
Total $ 0.42 $ 0.06 $ 1.33 $ 0.52
Earnings (loss) per share attributable to Avient common shareholders - Diluted:
Continuing operations $ 0.41 $ 0.06 $ 1.32 $ 0.52
Discontinued operations — — — (0.01)
Total $ 0.41 $ 0.06 $ 1.32 $ 0.51
Cash dividends declared per share of common stock $ 0.2575 $ 0.2475 $ 0.7725 $ 0.7425
Weighted-average shares used to compute earnings per common share:
Basic 91.3 91.1 91.3 91.1
Diluted 92.3 91.9 92.0 91.8
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Attachment 3
Avient Corporation
Summary of Special Items (Unaudited)
(In millions, except per share data)
Special items (1)
Three Months Ended
September 30,
Nine Months Ended
September 30,
2024 2023 2024 2023
Cost of sales:
Restructuring costs, including accelerated depreciation $ 1.8 $ (2.1) $ 5.6 $ (9.9)
Environmental remediation costs (2.4) (38.1) (28.2) (52.5)
Impact on cost of sales (0.6) (40.2) (22.6) (62.4)
Selling and administrative expense:
Restructuring and employee separation costs (3.1) (2.0) (6.6) (13.8)
Legal and other (4.3) 1.7 (10.1) (9.1)
Acquisition related costs (0.4) (0.5) (2.5) (4.6)
Impact on selling and administrative expense (7.8) (0.8) (19.2) (27.5)
Impact on operating income (8.4) (41.0) (41.8) (89.9)
Interest expense, net - financing costs (1.3) (2.2) (2.3) (2.2)
Other income (loss) — — 0.1 (0.1)
Impact on income from continuing operations before income taxes (9.7) (43.2) (44.0) (92.2)
Income tax benefit on special items 3.5 10.8 11.9 23.2
Tax adjustments(2) (0.4) 0.4 (1.8) (4.9)
Impact of special items on net income from continuing operations $ (6.6) $ (32.0) $ (33.9) $ (73.9)
Diluted earnings per common share impact $ (0.07) $ (0.35) $ (0.37) $ (0.81)
Weighted average shares used to compute adjusted earnings per share:
Diluted 92.3 91.9 92.0 91.8
(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 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, 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
September 30,
Nine Months Ended
September 30,
2024 2023 2024 2023
Sales:
Color, Additives and Inks $ 521.5 $ 486.5 $ 1,578.8 $ 1,548.0
Specialty Engineered Materials 294.6 267.9 917.1 878.4
Corporate (0.9) (0.7) (2.0) (2.6)
Sales $ 815.2 $ 753.7 $ 2,493.9 $ 2,423.8
Gross margin:
Color, Additives and Inks $ 172.8 $ 156.8 $ 528.5 $ 482.9
Specialty Engineered Materials 89.0 78.3 290.7 263.7
Corporate (0.4) (39.8) (22.0) (63.0)
Gross margin $ 261.4 $ 195.3 $ 797.2 $ 683.6
Selling and administrative expense:
Color, Additives and Inks $ 97.3 $ 92.3 $ 292.1 $ 284.8
Specialty Engineered Materials 52.6 48.0 158.1 150.6
Corporate 34.3 20.7 103.3 94.5
Selling and administrative expense $ 184.2 $ 161.0 $ 553.5 $ 529.9
Operating income:
Color, Additives and Inks $ 75.5 $ 64.5 $ 236.4 $ 198.1
Specialty Engineered Materials 36.4 30.3 132.6 113.1
Corporate (34.7) (60.5) (125.3) (157.5)
Operating income $ 77.2 $ 34.3 $ 243.7 $ 153.7
Depreciation & amortization:
Color, Additives and Inks $ 21.9 $ 24.6 $ 65.6 $ 76.1
Specialty Engineered Materials 20.7 20.5 61.1 61.6
Corporate 2.5 1.3 7.6 6.8
Depreciation & amortization $ 45.1 $ 46.4 $ 134.3 $ 144.5
Earnings before interest, taxes, depreciation and
amortization (EBITDA):
Color, Additives and Inks $ 97.4 $ 89.1 $ 302.0 $ 274.2
Specialty Engineered Materials 57.1 50.8 193.7 174.7
Corporate (32.2) (59.2) (117.7) (150.7)
Other (expense) income, net (0.3) 1.0 (2.1) 1.5
EBITDA from continuing operations $ 122.0 $ 81.7 $ 375.9 $ 299.7
Special items, before tax 9.7 43.2 44.0 92.2
Interest expense included in special items (1.3) (2.2) (2.3) (2.2)
Depreciation & amortization included in special items (0.4) — (1.2) (1.9)
Adjusted EBITDA $ 130.0 $ 122.7 $ 416.4 $ 387.8
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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.
