NYSE$CC

The Chemours · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Chemours reported a challenging fourth quarter due to higher raw material costs and demand weakness in Europe and Asia, leading to lower operating rates, while annual results in TSS and APM were driven by strong secular tailwinds.

Chemours' Q4 2022 results reflect a challenging quarter with net sales down 15% year-over-year and a net loss of $(97) million. Adjusted EBITDA decreased by 61% to $120 million. Despite the weak quarter, the company highlighted record annual results in TSS and APM segments.

  • Net Sales of $1.3 billion, down (15)% year-over-year.
  • Net Loss of $(97) million with EPS of $(0.65), down $(2.05) year-over-year.
  • Adjusted Net Income* of less than $1 million with Adjusted EPS* of $0.00, down $(0.81) year-over-year.
  • Adjusted EBITDA*of $120 million, down (61)% year-over-year

Headline financials

Total Revenue

$1.34B

Previous: $1.58B-15.0%
EPS (adj)

-$0.65

Previous: $0.81-179.8%
Capital Expenditures

$67M

Previous: $83M-19.3%
Free Cash Flow

$94M

Previous: $131M-28.2%
Net Income

-$97M

Previous: $233M-141.6%
Operating Income

$741M

Previous: $0.00
Gross Profit

$202M

Previous: $393M-48.6%
Cash & Equivalents

$1.1B

Previous: $1.45B-24.2%
Total Assets

$7.64B

Previous: $7.55B+1.2%
Stock-Based Comp

$3M

Previous: $10M-70.0%

Revenue & EPS history

Chemours · Revenue · Quarterly

$1.34B

Q4 2022-15%vs Q4 2021
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Forward guidance

The Company expects to deliver 2023 Adjusted EBITDA within a range of $1.20 billion to $1.30 billion. Adjusted EPS is projected to be between $3.80 and $4.29. The Company expects Free Cash Flow of greater than $350 million, inclusive of approximately $400 million of capital expenditures.

Tailwinds

  • Adjusted EBITDA* between $1.20 billion and $1.30 billion
  • Adjusted EPS* between ~$3.80 and $4.29
  • Free Cash Flow* of greater than $350 million, including CAPEX of approximately $400 million to support TSS and APM growth investments
  • conditions improving in the second half of the year
  • continued secular growth in key parts of our TSS and APM businesses

Headwinds

  • weaker start to 2023
  • higher raw material costs
  • demand weakness in Europe and Asia
  • lower operating rates
  • improve the earnings profile of our TT business

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2022

Historical avgQ4 2022

+1.4%

Avg return

Earnings day

+2.4%

Avg return

5 days after

+1.2%

Avg return

30 days after

55%

27 / 49 earnings

Positive

+24.2%

Q4 2019

Best reaction

-23.0%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-15.7%-9.6%-26.8%
Q4 2025-16.5%-11.7%-13.3%
Q3 2025+6.8%+7.4%+8.2%
Q1 2025-9.4%-0.9%-8.1%
Q4 2024+3.9%-0.4%-12.8%
Q3 2024+11.6%+11.1%+19.4%
Q2 2024-15.0%-22.5%-19.6%
Q1 2024-6.1%-4.0%-7.6%
Q4 2023-4.1%+5.0%-0.2%
Q3 2023-0.1%+2.1%+11.7%
Q2 2023-4.8%-4.0%-14.8%
Q1 2023+6.4%+11.1%+4.4%
Q4 2022-1.7%-0.8%-10.7%
Q3 2022+1.0%-0.9%+13.5%
Q2 2022+4.0%+1.6%+4.5%
Q1 2022+17.7%+21.1%+31.7%
Q4 2021-16.8%-13.9%-26.9%
Q3 2021+8.0%+4.7%-3.0%
Q2 2021+1.9%+4.7%+6.5%
Q1 2021+4.4%+14.7%+23.0%
Q4 2020-2.6%-1.8%+7.1%
Q3 2020+2.2%+8.3%+23.0%
Q2 2020-0.3%+5.9%+12.8%
Q1 2020+12.9%+18.3%+44.4%
Q4 2019+24.2%+19.1%-33.9%
Q3 2019+13.9%+13.4%-11.1%
Q2 2019-23.0%-26.5%-25.7%
Q1 2019-1.8%-16.4%-39.4%
Q4 2018-2.6%-3.0%-2.2%
Q3 2018+4.1%+2.9%-13.7%
Q2 2018+4.9%+6.7%-2.8%
Q1 2018+4.5%+4.4%+1.7%
Q4 2017+2.7%+2.5%+4.5%
Q3 2017-8.4%-10.5%-9.0%
Q2 2017-1.6%+3.8%+4.3%
Q1 2017-1.0%+2.4%-0.7%
Q4 2016-0.5%+3.1%+8.4%
Q3 2016+12.7%+21.1%+52.3%
Q2 2016+13.2%+25.8%+49.6%
Q1 2015-3.1%
Q1 2016+9.6%
Q1 2014+2.3%
Q4 2013+2.3%
Q4 2015+14.3%
Q3 2014-17.2%
Q3 2015-17.2%
Q4 2014+16.3%
Q2 2014+16.3%
Q2 2015+16.3%

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