https://www.avient.com/sites/default/files/resources/PolyOne%2520IR%2520Presentation%2520-%2520RW%2520Baird%2520Global%2520Industrial%2520Conference%2520-%252011%253A8%253A2016.pdf
A reconciliation of each non-GAAP financial measure with the most directly
comparable GAAP financial measure is attached to this presentation which is posted
on our website at www.polyone.com.
4 POLYONE CORPORATION
About PolyOne
Reach
7,000 associates | 77 facilities | $3.4 B 2015 revenue
Global Presence
10,000 global customers | Americas, Europe, Africa, Asia |
Global sales, technical and manufacturing footprint
Solutions
35,000+ polymer solutions | 12 innovation centers |
Support for design through manufacturing
5 POLYONE CORPORATION
What We Do
Value
Formulation
Expertise Inputs
Base resins
Additives
Modifiers
Pigments
Expertise in
Polymer
Materials,
Services and
Solutions
OEMs
Brand Owners
Processers
Assemblers
Driving customer value with specialty products & services
Service
InVisiOSM Color
Services
IQ Design Labs
LSS Customer
First
POLYONE CORPORATION 6
CAI
23%
SEM
15%
DSS
13%
POD
29%
PPS
20%
2015 Revenue: $3.4 Billion
At a Glance
United
States
66%
Europe
13%
Canada
7%
Asia
7%
Latin
America
7%
$0.12
$0.27 $0.21 $0.13
$0.68
$0.82
$1.00
$1.31
$1.80
$1.96
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
2015 Revenue: $3.4 Billion
2015 Operating Income: $322 Million
CAI
38%
SEM
23%
DSS
4%
POD
19%
PPS
16%
Adjusted Earnings Per Share
7 POLYONE CORPORATION
Old
PolyOne
*Operating Income excludes corporate charges and special items
2%
43%
65%
0%
20%
40%
60%
80%
100%
2005 2010 2015 2020
%
o
f O
pe
ra
tin
g
In
co
m
e*
JV's Performance Products & Solutions Distribution Specialty
80%+
Specialty OI $5M $87M $229M
Transformation
2020
Platinum
Vision
Platinum
Vision
Mix Shift Highlights Specialty Transformation
POLYONE CORPORATION 8
-$0.10
$0.00
$0.10
$0.20
$0.30
$0.40
$0.50
$0.60
$0.70
2009 2010 2011 2012 2013 2014 2015 2016
Adjusted Earnings Per Share
$0.56
3Q
-2%
0%
2%
4%
6%
8%
10%
12%
2009 2010 2011 2012 2013 2014 2015 2016
Adjusted Consolidated Operating Margin
2.8%
5.2%
5.6%
6.7%
8.3%
6.9%
9.5% 9.9%
3Q
28 Consecutive Quarters of EPS Growth
9 POLYONE CORPORATION
2006 2016 YTD 2020
“Where we were” “Where we are” Platinum Vision
1) Operating Income % of Sales
Specialty:
Color, Additives & Inks 1.7% 17.0% 20%+
Specialty Engineered Materials 1.1% 15.2% 20%+
Designed Structures & Solutions N/A 0.6% (TTM) 8 – 10%
Performance Products &
Solutions 5.5% 11.6% 12 – 14%
Distribution 2.6% 6.6% 6.5 – 7.5%
2) Specialty Platform % of
Operating Income 6.0% 60% 80%+
3) ROIC* 5.0% 11.6% 15%
4) Adjusted EPS Growth N/A 11.5% Double Digit
Expansion
Proof of Performance & 2020 Goals
*ROIC is defined as TTM adjusted OI divided by the sum of average debt and equity over a 5 quarter period
POLYONE CORPORATION 10
2,883
2,414
2006 2015
Volume
(lbs in millions)
-16%
$103
$192
2006 2015
Commercial, R&D
and Marketing
Spending ($M)
+86%
$88
$322
2006 2015
Adjusted
Operating Profit ($M)
+266%
Ours is Not a Cost Cutting Story
11 POLYONE CORPORATION
Innovation Drives Earnings Growth
*Specialty Platform revenue from products introduced in last five years
$20
$53
2006 2015
Research & Development
Spending
($ millions)
Specialty Platform
Vitality Index Progression*
14%
34%
2006 2015
CAI & SEM
Gross Margin
12%
43%
2006 2015
Target ≥ 35%
Innovation Pipeline Potential
12 POLYONE CORPORATION
Globalization
Specialization
Commercial
Excellence
Operational
Excellence
Growth in
urbanization
Changing
demographics
Climate and
resource
challenges
Increase of
individual
power
Evolution and
expansion of
healthcare
Strategic Growth Opportunities
Four Pillar Strategy Global Megatrends
Attractive
Revenue &
Margin Growth
Opportunities
13 POLYONE CORPORATION
Primary Industries Served
2015 Revenue: $3.4 Billion
Electrical &
Electronic
5%
Building &
Construction
12%
Appliance
4%
Industrial
14%
Wire & Cable
9%
Healthcare
11%
Consumer
10%
Packaging
13%
Transportation
20%
Focus End Markets
14 POLYONE CORPORATION
Therma-Tech™ & Sheet
GEON™ Vinyl
Polymer Colorants
Therma-Tech™
TPE’s & Film
TPE + OnForce™
Gravi-Tech™
Page 14
Film
Target End Markets… Healthcare
15 POLYONE CORPORATION
Sound & Vibration
Management
Fuel Handling
Systems
Interior & Exterior Trim
Structural Braces
& Brackets
Interior Structural
Components
Lighting
Air management
Electronics & Cameras
Fluid Handling
Target End Markets… Automotive
Underhood
Components
Roof Systems
16 POLYONE CORPORATION
PreservaPak™
OnColor™
Smart Batch™
VersaFlex™
TPE Cap Liner
ColorMatrix™
Amosorb™
Oxygen Scavenger
ColorMatrix™
Ultimate™ UV
Light Barrier
OnCap™
Laser Marking
Additives
Target End Markets… Packaging
17 POLYONE CORPORATION
Source: Outdoor Industry Association
TPE Vibration Dampening
(SEM/GLS)
TPE + OnForce
(SEM)
OnForce
(SEM)
Advanced Composites
(SEM)
TPE Vibration Dampening
(SEM/GLS)
Target End Markets… Outdoor High Performance
Thermoplastic Elastomers
(SEM)
Advanced Composites
(SEM)
Polymer Colorants
(CAI)
Sheet
(DSS)
TPE & Film
(SEM + DSS)
Advanced Composites
(SEM)
Polymer Colorants
(CAI)
Thermatech
(SEM)
Thermoplastic Elastomers
(SEM)
TPE + OnForce
(SEM)
OnForce
(SEM)
18 POLYONE CORPORATION
Free Cash Flow and Strong Balance Sheet
Fund Investment / Shareholder Return
Expanding our sales,
marketing, and
technical capabilities
Investing in operational
and LSS initiatives
~75% of capital
expenditures fund
growth initiatives Organic
Growth
Acquisitions
Share
Repurchases
Dividends Targets that expand
our:
• Specialty offerings
• End market
presence
• Geographic breadth
Synergy opportunities
Adjacent material
solutions
Repurchased 318,000
shares in Q3 2016
Repurchased 17.6
million shares since
early 2013
9.7 million shares are
available for
repurchase under the
current authorization
Increased annual
dividend by 12.5% to
$0.54 per share,
representing the sixth
consecutive year of
dividend growth
19 POLYONE CORPORATION
Returning Cash to Shareholders
$0.16
$0.20
$0.24
$0.32
$0.40
$0.48
$0.54
$0.10
$0.20
$0.30
$0.40
$0.50
$0.60
2011 2012 2013 2014 2015 2016 2017
Annual Dividend
Since 2011, we have returned nearly $800 million to shareholders
$130 million returned through dividends
$650 million returned through share repurchases
$650M
$0
$150
$300
$450
$600
$750
2011 2012 2013 2014 2015 Q3'16
Cumulative Share Repurchases
(in millions)
POLYONE CORPORATION 20
The New PolyOne: A Specialty Growth Company
Why Invest In PolyOne?
https://www.avient.com/sites/default/files/2024-10/Avient Announces Third Quarter 2024 Results.pdf
The US and Canada region grew organic revenue by 9%, led by continued demand
for our composite materials for the building and construction market.
https://www.avient.com/sites/default/files/2025-05/Avient Announces First Quarter 2025 Results_0.pdf
We harness the collective strength of more than 9,000 employees worldwide to
collaborate and build on each other's ideas.
https://www.avient.com/sites/default/files/2021-11/avient-design-ergonomic-design-guide.pdf
You should carefully
consider what effect the ambient temperature will
have on device usability, particularly in demanding
environments such as manufacturing, agriculture,
building and construction, and medical/surgical
settings.
https://www.avient.com/sitemap
Building & Construction
Versaflex™ Low Adhesive Build-up TPE for Protective Film Tack Layer
Avient Launches Next Generation Low Adhesive Build-Up TPE for Protective Film Tack Layer
https://www.avient.com/investor-center/news/avient-announces-second-quarter-2024-results
Building on the positive start to the year, we delivered a strong second quarter, highlighted by broad-based growth across all regions and most end markets," said Dr.
https://www.avient.com/investor-center/news/polyone-announces-first-quarter-2017-results
Patterson continued, "Performance Products and Solutions led the way with 11% sales growth for the quarter building upon strong prior year momentum.
https://www.avient.com/company/policies-and-governance/avient-corporation-privacy-statement
This includes all efforts related to making, shipping, and building the product or service, as well as processing payment.
https://www.avient.com/sites/default/files/2025-03/2025 Proxy Statement.pdf
We harness the collective strength of 9,000+
employees worldwide to collaborate and build on each other’s ideas.
We have a two-pronged strategic approach, where we seek to intersect high-growth markets and secular trends
with our technologies to (1) build new platforms of scale by playing bigger and bolder in high-growth markets,
and (2) catalyze the core of our business, maximizing the impact of what we have.
We are committed to building additional capabilities
within our organization to meet the changing needs of our customers and the dynamic macro environment in
which we operate.
https://www.avient.com/sites/default/files/2023-09/Avient Sustainability Day 2023 - Website %289.19%29.pdf
DISCLAIMER
Avient Corporation 3
Avient Corporation 4
Welcome
Chairman, President, and Chief Executive Officer
INTRODUCTION
Sustainability for a Better Tomorrow
Senior Vice President and Chief Financial Officer
Avient Corporation 5
WE ARE A FORMULATOR
CUSTOM
FORMULATION
Avient Corporation 6
Avient Corporation 7
WE ARE INNOVATORS
2,500+
ACTIVE PATENT
FILINGS WORLDWIDE
1,100+
RESEARCH AND
DEVELOPMENT ASSOCIATES
>85% Stage-gate technology projects
enable sustainable solutions
INDIA INNOVATION CENTER
33%
2022 VITALITY
INDEX
140+
MATERIAL SCIENCE
PhD ASSOCIATES
Avient Corporation 8
3% 3%
5%
Avient Specialty Formulators Other Specialty /
Chemical Companies
CAPEX / Revenue
2023E
Global footprint enables greater flexibility to exceed
needs of customers and deliver localized technical
and formulation expertise
9
36
24
Manufacturing Locations by Region
WE ARE ASSET LIGHT
Note: Free cash flow conversion calculated as (Adjusted EBITDA – Capex) / Adjusted EBITDA
Avient Corporation 9
Asset-light flexibility
enables more nimble
manufacturing capabilities
and lower overhead
Periods of economic
weakness have driven
higher levels of cash
generation due to working
capital improvement
PROVEN TRACK RECORD OF HIGH FREE CASH FLOW CONVERSION
80% 80%
81%
84%
83%
79%
50%
70%
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023E
150
200
250
300
350
400
Fr
ee
C
as
h
Fl
ow
C
ve
rs
io
Fr
ee
C
as
h
Fl
ow
FCF $ AVNT FCF Conversion % S&P FCF Conversion %
2 Recent Divestitures - Combined $1.7B in Proceeds
PORTFOLIO EVOLUTION
Avient Corporation 10
Combined $3.6B Investment in Acquisitions Since 2016
Color Business
Distribution
2016 2022
PORTFOLIO TRANSFORMATION
46%
87%
0%
20%
2005 2010 2015 2020 2023
%
o
f A
dj
us
te
d
EB
IT
DA
Commodity JVs Distribution Performance Products & Solutions Specialty Businesses
Adjusted EBITDA from Specialty Applications
Avient Corporation 11
END MARKET TRANSFORMATION
Defense
Avient Corporation 12
8%
23%
4%
2006 2023E
Other
Industri
es
22%
56%
14%
43%
9%
2006 2023E
Reduced Exposure to Cyclical End Markets End Market Diversification
Transportation
Building &
Construction
57%
Defense
IMPROVING PROFITABILITY AND EXPANDING MARGINS
Avient Corporation 13
Adj.