NYSE$CE

Celanese Corp · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Reported resilient performance despite challenging conditions, delivering GAAP diluted earnings per share of $7.03 and adjusted earnings per share of $1.44.

Celanese Corporation reported fourth-quarter earnings, highlighting resilient performance amidst challenging market conditions. The company's adjusted earnings per share performance was within 12 percent of the all-time high delivered in 2021 and 44 percent higher than the next best year.

  • Completed the acquisition of Mobility & Materials on November 1, 2022.
  • Announced the signing of a term sheet to form a standalone Food Ingredients joint venture.
  • Completed a strategic overhaul of the acetate flake and tow products as part of the Acetyl Chain.
  • Completed an ultra-low capital project, at the EVA facility in Edmonton, to repurpose existing manufacturing and infrastructure assets and unlock approximately 35 percent incremental capacity to meet strong demand growth.

Headline financials

Total Revenue

$2.35B

Previous: $2.28B+3.2%
EPS (adj)

$1.44

Previous: $4.91-70.7%
Capital Expenditures

$143M

Previous: $163M-12.3%
Free Cash Flow

$395M

Previous: $415M-4.8%
Net Income

$769M

Previous: $526M+46.2%
Operating Income

$56M

Previous: $517M-89.2%
Gross Profit

$384M

Previous: $721M-46.7%
Cash & Equivalents

$1.51B

Previous: $536M+181.3%
Total Assets

$26.3B

Previous: $12B+119.4%
Stock-Based Comp

$13M

Previous: $19M-31.6%

Revenue & EPS history

Celanese · Revenue · Quarterly

$2.35B

Q4 2022+3.2%vs Q4 2021
Beat estimate in 5 of 16 quarters(31%)
ActualEstimate

Revenue by segment

Celanese · $2.37B total across 2 segments · Q4 2022

  • Engineered Materials
    $1.24B+75.0%
  • Acetyl Chain
    $1.14B-23.1%

Forward guidance

The company anticipates first quarter adjusted earnings per share of $1.50 to $1.75, inclusive of approximately $0.30 per share of M&M transaction amortization. An upward trajectory in quarterly earnings across 2023 is expected as a result of demand improvement, enhancements to businesses, and M&M synergies.

Tailwinds

  • March order books reflect improvement in many of the recent external challenges
  • Confident that the back half of the first quarter will represent an inflection point
  • Sequential earnings improvement across our businesses
  • Demand improvement reflected in our current order books
  • Enhancements to our businesses, and M&M synergies

Headwinds

  • Accelerated destocking
  • Poor sequential demand in Asia due to COVID
  • Challenging competitive dynamics in Europe
  • Impact of Winter Storm Elliott
  • Taking action to address those which still persist

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

+0.3%

Avg return

Earnings day

-1.4%

Avg return

5 days after

+1.3%

Avg return

30 days after

56%

41 / 73 earnings

Positive

+16.4%

Q1 2015

Best reaction

-27.1%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.6%-13.9%-26.1%
Q4 2025-1.6%-6.1%+2.2%
Q3 2025+14.5%+8.3%+12.5%
Q2 2025-13.1%-10.4%-1.2%
Q1 2025+10.0%+14.4%+21.8%
Q4 2024-21.5%-24.3%-18.3%
Q3 2024-27.1%-32.1%-43.2%
Q2 2024-6.8%-10.0%-7.5%
Q1 2024-0.8%-1.5%-10.0%
Q4 2023-0.5%-1.1%+11.4%
Q3 2023-3.6%-2.0%+16.5%
Q2 2023+1.1%+1.7%+2.4%
Q1 2023-2.9%-4.9%+9.1%
Q4 2022+3.1%+1.8%-11.1%
Q3 2022-2.2%-0.2%+16.1%
Q2 2022-0.5%-5.7%-3.6%
Q1 2022+4.9%+7.3%+13.7%
Q4 2021-4.0%-1.3%-11.5%
Q3 2021+1.2%+3.0%-0.5%
Q2 2021+0.9%+1.7%+1.5%
Q1 2021-0.9%-1.3%+3.5%
Q4 2020+2.3%+4.7%+16.4%
Q3 2020-3.9%-5.6%+14.4%
Q2 2020+2.1%+2.1%+8.2%
Q1 2020+4.0%+0.7%+19.4%
Q4 2019-7.5%-4.1%-16.3%
Q3 2019-1.9%+1.6%+2.1%
Q2 2019+3.0%+3.8%+5.7%
Q1 2019+6.6%+3.2%-4.8%
Q4 2018-1.0%+1.5%+6.3%
Q3 2018-0.1%+0.3%+2.7%
Q2 2018+2.1%+2.9%+4.3%
Q1 2018+6.0%+7.2%+6.7%
Q4 2017+1.1%-0.3%-5.6%
Q3 2017-2.9%-1.6%-3.9%
Q2 2017-1.4%-3.2%+0.4%
Q1 2017-0.1%-0.9%-5.9%
Q4 2016+3.9%+4.3%+6.6%
Q3 2016+9.5%+11.5%+24.2%
Q2 2016-6.4%-9.7%-6.1%
Q1 2016+0.6%
Q4 2015+3.2%
Q3 2015+2.3%
Q2 2015-4.7%
Q1 2015+16.4%
Q4 2014-7.6%
Q3 2014+8.2%
Q2 2014-2.3%
Q1 2014+2.5%
Q4 2013-4.3%
Q3 2013+5.4%
Q2 2013+0.8%
Q1 2013+11.2%
Q4 2012+2.4%
Q3 2012+2.5%
Q2 2012+4.5%
Q1 2012+1.1%
Q4 2011-1.0%
Q3 2011+9.9%
Q2 2011-0.9%
Q1 2011+0.2%
Q4 2010+0.7%
Q3 2010+1.6%
Q2 2010-1.2%
Q1 2009-5.7%
Q1 2010+0.1%
Q4 2007+0.0%
Q4 2009+0.0%
Q3 2008+3.6%
Q3 2009+3.6%
Q4 2008+0.5%
Q2 2009+0.5%
Q2 2008+0.5%

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