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Dec 31, 2023
Olin Q4 2023 Earnings Report
Olin's Q4 2023 financial performance declined compared to the previous year due to lower sales and pricing, but the company executed a 'value accelerator initiative' to halt the decline in electrochemical unit values.
Key Takeaways
Olin Corporation reported a net income of $52.9 million, or $0.43 per diluted share, for Q4 2023, a decrease compared to Q4 2022. Sales were $1,614.6 million, also lower than the previous year. The company's adjusted EBITDA was $210.1 million. Despite the challenging economic environment, Olin successfully repurchased shares and is confident in future earnings and cash flow.
Net income for Q4 2023 was $52.9 million, or $0.43 per diluted share.
Adjusted EBITDA for Q4 2023 was $210.1 million.
Sales for Q4 2023 reached $1,614.6 million.
The company repurchased approximately 10% of its outstanding shares in 2023.
Olin
Olin
Olin Revenue by Segment
Revenue by Segment
Chlor Alkali & Vinyls Revenue
CapyFin.comEpoxy Revenue
CapyFin.comWinchester Revenue
CapyFin.com Forward Guidance
Olin anticipates an improved 2024 adjusted EBITDA compared to 2023, expecting Q1 2024 results from the Chemical businesses to be slightly higher than Q4 2023 levels, and Winchester's Q1 2024 results to increase sequentially. Overall, Olin expects its Q1 2024 adjusted EBITDA to improve by approximately 10% from Q4 2023 levels.
Positive Outlook
- Expects first quarter 2024 results from our Chemical businesses to be slightly higher than fourth quarter 2023 levels.
- Expects Winchester business first quarter 2024 results to increase sequentially from fourth quarter 2023.
- Expects Olin’s first quarter 2024 adjusted EBITDA to improve by approximately 10% from fourth quarter 2023 levels.
- Anticipates initiative supports an improved 2024 adjusted EBITDA as compared to 2023.
- Seeing success with our ‘value accelerator initiative’
Challenges Ahead
- Considering the ongoing difficult global economic environment
- Continue to limit our market participation through February 2024
- Remain disciplined in our approach to ECU values.
- The Chlor Alkali Products and Vinyls fourth quarter 2023 segment results were negatively impacted by approximately $100 million from the ‘value accelerator initiative.’
- Lower volumes and lower pricing, primarily caustic soda, partially offset by lower raw material and operating costs.
Revenue & Expenses
Visualization of income flow from segment revenue to net income