Dec 31, 2022

Olin Q4 2022 Earnings Report

Olin's Q4 2022 financial performance was announced, revealing a decrease in net income and sales compared to the same quarter last year.

Key Takeaways

Olin Corporation reported a decrease in net income for Q4 2022 to $196.6 million, or $1.43 per diluted share, compared to $306.6 million, or $1.89 per diluted share in Q4 2021. Sales also decreased to $1,977.0 million from $2,430.4 million in the same period last year. The company expects challenging global economic conditions to continue in 2023.

Q4 2022 net income was $196.6 million, or $1.43 per diluted share.

Adjusted EBITDA for the quarter was $441.8 million.

Share repurchases amounted to $1.35 billion in 2022.

The company anticipates 2023 adjusted EBITDA to be between $1.5 to $2.0 billion.

Total Revenue
$1.98B
Previous year: $2.43B
-18.6%
EPS
$1.43
Previous year: $2.41
-40.7%
Adjusted EBITDA
$442M
Previous year: $687M
-35.7%
Gross Profit
$383M
Previous year: $630M
-39.3%
Cash and Equivalents
$194M
Previous year: $181M
+7.5%
Free Cash Flow
$344M
Previous year: $425M
-19.0%
Total Assets
$8.04B
Previous year: $8.52B
-5.6%

Olin

Olin

Olin Revenue by Segment

Forward Guidance

Olin expects challenging global economic conditions to continue in 2023, anticipating full year adjusted EBITDA to be in the $1.5 to $2.0 billion range.

Positive Outlook

  • Resiliency of Olin's winning model.
  • Commitment to maintain an investment-grade balance sheet.
  • Achievement of investment-grade credit ratings.
  • Expectation to continue capital allocation strategy.
  • Focus on 'value first' approach.

Challenges Ahead

  • Chemical businesses to be tested by European and North American epoxy demand weakness.
  • Vinyls intermediate demand weakness.
  • Elevated levels of Chinese exports due to weak Chinese domestic demand.
  • Chemical businesses expect to continue at reduced operating rates.
  • Winchester business first quarter 2023 results expected to be lower than first quarter 2022 levels due to lower commercial ammunition shipments.

Revenue & Expenses

Visualization of income flow from segment revenue to net income