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Olin
🇺🇸 NYSE:OLN
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Sep 30, 2022

Olin Q3 2022 Earnings Report

Olin's Q3 2022 financial results were announced, revealing a net income of $315.2 million and adjusted EBITDA of $547.8 million.

Key Takeaways

Olin Corporation reported a net income of $315.2 million, or $2.18 per diluted share, for the third quarter of 2022. Sales were $2,321.7 million. The company's adjusted EBITDA was $547.8 million. Share repurchases amounted to $410.9 million during the quarter.

Net income for Q3 2022 was $315.2 million, or $2.18 per diluted share.

Adjusted EBITDA for Q3 2022 reached $547.8 million.

Share repurchases in Q3 2022 totaled $410.9 million.

Sales for Q3 2022 were $2,321.7 million.

Total Revenue
$2.32B
Previous year: $2.34B
-0.8%
EPS
$2.18
Previous year: $2.38
-8.4%
Adjusted EBITDA
$548M
Previous year: $707M
-22.5%
Gross Profit
$481M
Previous year: $660M
-27.2%
Cash and Equivalents
$164M
Previous year: $306M
-46.6%
Free Cash Flow
$486M
Previous year: $495M
-1.8%
Total Assets
$8.22B
Previous year: $8.65B
-5.0%

Olin

Olin

Olin Revenue by Segment

Forward Guidance

Olin expects Chlor Alkali Products and Vinyls fourth quarter segment results to be slightly lower than third quarter 2022 levels. Epoxy segment fourth quarter results are expected to seasonally decline from third quarter 2022 levels, exacerbated by increased Chinese exports precipitated by continuing weak Chinese domestic demand. Winchester segment fourth quarter results are expected to seasonally decline from third quarter 2022 levels as Olin executes holiday shutdowns. Overall, Olin expects fourth quarter 2022 adjusted EBITDA to decline approximately 15% to 20% from third quarter 2022 levels.

Positive Outlook

  • Chlorine and caustic soda pricing is expected to continue to improve.
  • The company continues to adeptly reduce operating rates and increase product purchases.
  • The company has a strong balance sheet.
  • The company has confidence in Olin’s earnings and cash flow generation even in recessionary economic conditions.
  • The company expects to continue its capital allocation strategy.

Challenges Ahead

  • Vinyls intermediates pricing is likely to remain under pressure.
  • Epoxy segment fourth quarter results are expected to seasonally decline from third quarter 2022 levels, exacerbated by increased Chinese exports precipitated by continuing weak Chinese domestic demand.
  • Winchester segment fourth quarter results are expected to seasonally decline from third quarter 2022 levels as the company executes its holiday shutdowns.
  • Olin's fourth quarter 2022 adjusted EBITDA is expected to decline approximately 15% to 20% from third quarter 2022 levels.
  • The company is experiencing recessionary global economic conditions.

Revenue & Expenses

Visualization of income flow from segment revenue to net income

Company Overview

Full financial data and analysis

View Olin