https://www.avient.com/resources/safety-data-sheets?page=7078
ABS GREY
MET CIGAR BLACK ABS V2
MET CIGAR GOLD ABS V2
https://www.avient.com/resources/safety-data-sheets?page=4493
ABS NEUUMO BLUE 7462C
AEON YELLOW ABS
YELLOW ABS 2
https://www.avient.com/resources/safety-data-sheets?page=2510
GRAY ABS M2942
YELLOW ABS M2942
BLUE ABS M2942
https://www.avient.com/resource-center?document_subtype=0&document_type=59&form_id=resource_filter_form&industry=0&op=FILTER RESULTS&product_family=0&product_name=0&page=36
OnFlex-S™ used for overmolding handgrips onto ABS resin
The focus for this study was to develop thermoplastic elastomer compounds that would overmold onto substrates made from Nylon (PA), Polycarbonate (PC), Acrylonitrile-butadiene-styrene (ABS), and PC/ABS alloys
https://www.avient.com/knowledge-base/case-study/lawn-and-garden-maker-adds-appeal-profitability
It required a high temperature and a strong injection pressure to bond to the acrylonitrile-butadienestyrene (ABS) substrate, which caused the resin to deform.
Product developers reported that they needed a better TPE to provide superior bonding performance with ABS without requiring high temperature and pressure during 2K molding.
Avient recommended an OnFlex™-S multicomponent TPE, which offers excellent adhesion to ABS and can be molded at lower temperatures and injection pressures than competitive products.
https://www.avient.com/sites/default/files/2023-06/AVNT June IR Conferences w_Non GAAP Recs.pdf
vehicles to be 100% electric by 2032
Where Avient Wins:
Lightweight panels that establish both
strength and stiffness resulting in
decreased energy usage, lower emissions
Long-lasting Color applications to resist
UV exposure, temperature fluctuations
and exceed the stylistic requirements of
global automakers
19
$130
$530
Q2 FY
$0.60
$2.40
Q2 FY
2023 GUIDANCE
20
Sales Adjusted EBITDA
$845
$3,400
Q2 FY
Adjusted EPS
(in millions) (in millions)
CA SH FLOW / LEV ER AGE
21
• Maintaining free cash flow
and leverage guidance from
February earnings call
• IT investment to further
integrate acquired
businesses and capture
operational efficiencies
• Restructuring actions to
streamline operations and
improve profitability,
primarily in Europe
($ millions) 2023E
Cash Flow from Operating Activities 350$
Less:
Run-Rate CapEx (110)
CapEx for IT System Upgrade (25)
CapEx for Restructuring (15)
Total CapEx (150)
Free Cash Flow 200$
Adjusted EBITDA 530$
Net Debt / Adjusted EBITDA 2.9x
LONG-TERM REVENUE GROWTH DRI VERS
Growth Drivers
Long-Term
Growth Rate
Sustainable Solutions 8–12%
Healthcare 8–10%
Composites 10%
Asia / LATAM 5%
Other (GDP growth) 2–3%
Avient 6.5%
22
Sustainable
Solutions
32%
Asia / LATAM
15%
Composites
8%
Healthcare
6%
Other (GDP
Growth)
39%
• Virtual presentation to be held
September 20, 2023
• The company will be
conducting an investor-focused
presentation around our
sustainability solutions portfolio
Avient Confidential 23
SUSTAINABILITY
INVESTOR DAY
23
$340M
$405M
$455M
$550M
$790M
$915M
2016 2017 2018 2019 2020PF** 2021 2022PF***
SUSTA INAB ILITY F OR A BETTER TOMOR ROW
Revenue From Sustainable Solutions* 2016-2022
($ in millions)
Organic Future Growth Revenue Assumptions From Sustainable Solutions: 8 - 12%
24
*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
$1,175M
Lightweighting
Eco-Conscious
Recycle Solutions
VOC Reduction
Sustainable Infrastructure
Human Health & Safety
Reduced Energy Use
Bio-polymers
SUSTA INAB ILITY NEEDS BY M ARKET
B&C
• Eco-Conscious
• Carbon footprint
• Resource
conservation
Healthcare
• Carbon footprint
• Bio based content
• Eco-Conscious
Automotive
• Light weighting
• Recycled Content
• VOC reduction
Consumer
• Recycle Solutions
• Light weighting
• Carbon Footprint
Packaging
• Recycle Solutions
• Light weighting
• Food waste
reduction
Common Theme: CO2 Emission Goals
Increasing Single-Use Plastic Regulation
25
I NV ESTI NG
I N INNOVATI ON
S U S T A I N A B I L I T Y P O R T F O L I O
26
A P P E N D I X
29
RAW MATERIAL 2022 ANNUAL PURCHASES
Performance
Additives
16%
Pigments
12%
TiO2
10%
Dyestuffs
2%
Polyethylene
11%
Nylon
6%
Polypropylene
5%
Styrenic Block
Copolymer
5%
Other Raw
Materials
33%
~40% hydrocarbon based
(Grey shaded materials are hydrocarbon based,
includes portion of “Other Raw Materials”)
Non-hydrocarbon
based materials
• Cost inflation
decelerating,
particularly for
hydrocarbon-based
raw materials
2022 pro forma results for the acquisition of Avient Protective Materials
SEGMENT DATA
U.S. & Canada
40%
EMEA
37%
Asia
18%
Latin America
5%
2022 PRO FORMA SEGMENT, END MARKET AND GEOGRAPHY
GEOGRAPHY REVENUESEGMENT FINANCIALS
Consumer
20%
Packaging
24%
Industrial
15%
Building and
Construction
10%
Telecommunications
4%
Energy
4%
Defense
6%
END MARKET REVENUE
$2,355M $402M
$1,300M $272M
Sales EBITDA
Specialty Engineered Materials
Color Additives and Inks
$592M$3,653M
(1)
Transportation
9%
Healthcare
8%
31
(1) Total company sales and adjusted EBITDA of $3,653M and $592M, respectively, include intercompany sales eliminations and corporate costs
C O L O R , A D D I T I V E S & I N K S
2 0 2 2 R E V E N U E | $ 2 . 4 B I L L I O N
US & Canada
34%
EMEA
38%
Asia
20%
Latin America
8%
END MARKET REGION
32
Packaging
34%
Consumer
21%
Healthcare
8%
Industrial
15%
Transportation
8%
Building &
Construction
11%
Telecommunications
1% Energy
2%
S P E C I A L T Y E N G I N E E R E D M A T E R I A L S
2 0 2 2 P R O F O R M A R E V E N U E | $ 1 . 3 B I L L I O N
END MARKET
US & Canada
52%
EMEA
35%
Asia
13%
REGION
33
Packaging
5%
Consumer
19%
Healthcare
8%Industrial
16%
Transportation
10%
Telecommunications
10%
Energy
9% Defense
15%
Building &
Construction
8%
Packaging
32%
Consumer
27%
Healthcare
8%
Industrial
14%
Building &
Construction
5%
Telecommunications
3%
Energy
1% Defense
1%
Asia
(18% of sales)
Transportation
9%
2 0 2 2 P R O F O R M A AV I E N T R E G I O N A L S A L E S
B Y E N D M A R K E T
Packaging
27%
Consumer
14%
Healthcare
5%
Industrial
17%
Building &
Construction
10%
Energy
5%
Defense
8%
EMEA
(37% of sales)Transportation
11%
Packaging
13%
Consumer
24%
Healthcare
12%
Industrial
15%
Building &
Construction
13%
Energy
5%
Defense
5%
US &
Canada
(40% of sales)
Transportation
7%
Packaging
56%
Consumer
23%
Healthcare
4%
Industrial
7%
Building &
Construction
4%
Telecommunications
1%
LATAM
(5% of sales)
Transportation
5%
Telecommunications
3%
Telecommunications
6%
34
PEER COMPARISONS
AV I E N T I S A S SE T L I G H T
Capex / Revenue
2023E (%)
Avient Specialty
Formulators
Other Specialty /
Chemical Companies
Source: Peer data per Bloomberg as of May 31, 2023
Note: Avient reflects 2023 estimated revenue of $3,400 and estimated run-rate CAPEX of $110M.
36
3
2
3
3
4 4
3
3
4
5
5
6
8
9
A
vi
e
n
t
K
W
R
P
P
G
F
U
L
A
V
Y
R
P
M
F
M
C
H
U
N
C
E
H
X
L
E
C
L
A
S
H
E
M
N
S
C
L
F R E E C A S H F LOW C O N V E R S I O N
Source: Peer data per Bloomberg as of May 31, 2023
Note: Free cash flow conversion calculated as (Adjusted EBITDA – Capex) / Adjusted EBITDA.
https://www.avient.com/products/engineered-polymer-formulations/conductive-signal-radiation-shielding-formulations
Long Carbon Fiber Reinforcement
reSound™ Ultra-Low Carbon Footprint TPEs
Carbon Fiber
https://www.avient.com/resource-center/services/color-services/color-management-colormatrix-select
Long Carbon Fiber Reinforcement
reSound™ Ultra-Low Carbon Footprint TPEs
Carbon Fiber
https://www.avient.com/products/engineered-polymer-formulations/conductive-signal-radiation-shielding-formulations/edgetek
Long Carbon Fiber Reinforcement
reSound™ Ultra-Low Carbon Footprint TPEs
Carbon Fiber
https://www.avient.com/products/polymer-colorants/fiber-colorants
Long Carbon Fiber Reinforcement
reSound™ Ultra-Low Carbon Footprint TPEs
Carbon Fiber