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Olin
🇺🇸 NYSE:OLN
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•
Mar 31, 2022

Olin Q1 2022 Earnings Report

Olin's Q1 2022 performance reflected record quarterly adjusted EBITDA and strategic prioritization of system value.

Key Takeaways

Olin Corporation reported a strong first quarter in 2022, with net income reaching $393.0 million, or $2.48 per diluted share. The company achieved a record quarterly adjusted EBITDA of $710.9 million and repurchased $263.2 million in shares. Sales increased to $2,461.4 million compared to $1,918.8 million in the first quarter 2021.

Net income for Q1 2022 was $393.0 million, or $2.48 per diluted share.

Adjusted EBITDA reached a record $710.9 million for the quarter.

The company executed share repurchases totaling $263.2 million during Q1 2022.

Olin expects its 2022 adjusted EBITDA to improve to $2.6 billion to $2.9 billion.

Total Revenue
$2.46B
Previous year: $1.92B
+28.2%
EPS
$2.48
Previous year: $1.54
+61.0%
Adjusted EBITDA
$711M
Gross Profit
$654M
Previous year: $495M
+32.1%
Cash and Equivalents
$198M
Previous year: $260M
-23.9%
Free Cash Flow
$306M
Previous year: $219M
+40.1%
Total Assets
$8.57B
Previous year: $8.45B
+1.4%

Olin

Olin

Olin Revenue by Segment

Forward Guidance

Olin expects second quarter 2022 adjusted EBITDA to improve sequentially from first quarter 2022.

Positive Outlook

  • Chlor Alkali Products and Vinyls second quarter 2022 results is expected to improve sequentially.
  • Recently announced price increases for ammunition and primers expected to offset higher commodity and other materials costs.
  • Winning model to push second quarter 2022 results higher than first quarter 2022.
  • Our Chemicals teams overcame reduced electrical power generation at our Freeport, Texas facility.
  • Our Winchester business delivered record quarterly segment results as our Shoot United™ campaign ramped up.

Challenges Ahead

  • Reduced electrical power generation at our Freeport, Texas facility, which is expected to continue at least into fourth quarter 2022.
  • Weaker European epoxy resin demand in our system.
  • Epoxy business expects to continue to absorb weaker epoxy resin demand and operate at low rates.
  • Approximately $75 million of reduced margin from lost sales and production volumes, increased maintenance expense and other costs, as a result of the unplanned production outage at our Plaquemine, Louisiana facility.
  • Sequentially higher raw material and operating costs, mainly increased natural gas and electrical power costs.

Revenue & Expenses

Visualization of income flow from segment revenue to net income

Company Overview

Full financial data and analysis

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