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Sep 30, 2021

Chemours Q3 2021 Earnings Report

Chemours reported strong quarterly performance driven by market strength and operational excellence, leading to an increased full-year outlook.

Key Takeaways

Chemours reported strong Q3 2021 results with net sales of $1.7 billion, a 36% increase year-over-year. Net income and Adjusted Net Income were both $214 million, with EPS and Adjusted EPS of $1.27. Adjusted EBITDA reached $372 million, up 77% year-over-year, resulting in Free Cash Flow of $244 million. The company has raised its full-year 2021 outlook for Adjusted EBITDA and Adjusted EPS and expects Free Cash Flow greater than $500 million.

Net Sales of $1.7 billion, up 36% year-over-year.

Net Income of $214 million with EPS of $1.27, up $0.81 year-over-year.

Adjusted EBITDA of $372 million, up 77% year-over-year, resulting in Free Cash Flow of $244 million.

The U.S. EPA established final rules for the phasedown of HFC refrigerants under the U.S. AIM Act designed to accelerate widespread use of climate friendly and energy efficient alternatives such as our low global warming potential Opteon™ solutions.

Total Revenue
$1.68B
Previous year: $1.23B
+36.3%
EPS
$1.27
Previous year: $0.47
+170.2%
Gross Profit
$427M
Previous year: $257M
+66.1%
Cash and Equivalents
$1.03B
Previous year: $956M
+7.8%
Free Cash Flow
$244M
Previous year: $252M
-3.2%
Total Assets
$7.53B
Previous year: $6.95B
+8.4%

Chemours

Chemours

Chemours Revenue by Segment

Forward Guidance

Chemours is raising its expectations for the full year. The new guidance reflects the expectation for strong Q4 demand, inclusive of typical seasonal patterns and against a backdrop of ongoing logistics and supply chain challenges. The company expects 2021 Adjusted EBITDA within a range of $1,300 million to $1,340 million and Free Cash Flow of greater than $500 million.

Positive Outlook

  • Expects 2021 Adjusted EBITDA within a range of $1,300 million to $1,340 million.
  • Expects Free Cash Flow of greater than $500 million.
  • Expects strong Q4 demand.
  • Delivering increasing value for customers through unique product offerings.
  • Industry leading reliability.

Challenges Ahead

  • Ongoing logistics challenges.
  • Ongoing supply chain challenges.
  • Typical seasonal patterns.
  • Raw material inflation
  • Unfavorable mix

Revenue & Expenses

Visualization of income flow from segment revenue to net income