NYSE$TROX

Tronox Holdings PLC · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Tronox's Q4 2021 financial results were reported, showing revenue of $884 million and adjusted EPS of $0.53.

Tronox reported Q4 2021 revenue of $884 million, net income of $87 million, and adjusted EPS of $0.53. The company's performance was driven by strong customer demand and effective management of macro challenges. Tronox reduced its total debt to $2.6 billion and anticipates continued strong demand for TiO2 and zircon.

  • Revenue reached $884 million.
  • Net income was reported at $87 million.
  • GAAP diluted EPS stood at $0.52, with adjusted diluted EPS at $0.53.
  • Free cash flow was $50 million after capital expenditures of $89 million.

Headline financials

Total Revenue

$884M

Previous: $783M+12.9%
EPS (adj)

$0.53

Previous: $0.19+178.9%
Free Cash Flow

$50M

Previous: $160M-68.8%
Net Income

$87M

Previous: $57M+52.6%
Operating Income

$134M

Previous: $94M+42.6%
Gross Profit

$218M

Previous: $178M+22.5%
Cash & Equivalents

$228M

Previous: $619M-63.2%
Total Assets

$5.99B

Previous: $6.57B-8.8%
Stock-Based Comp

-$20M

Previous: -$23M+13.0%

Revenue & EPS history

Tronox · Revenue · Quarterly

$884M

Q4 2021+12.9%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Tronox · $794M total across 2 segments · Q4 2021

  • TiO2
    $675M
  • Zircon
    $119M

Forward guidance

Tronox anticipates strong demand trends to continue for both TiO2 and zircon, in addition to continued supply chain disruptions and inflation pressures including elevated commodity prices. For the full year 2022, Tronox is reinstating its practice of providing annual guidance. We expect 2022 to be the year we meet and exceed our ambitious $1 billion EBITDA target as we expect margins to expand throughout the year.

Tailwinds

  • Strong demand trends to continue for both TiO2 and zircon
  • Expect margins to expand throughout the year
  • Expect to see earnings expansion driven by growing the top-line
  • Reducing our cost per ton through high return capital projects
  • Managing expenses, and leveraging our tax attributes

Headwinds

  • Continued supply chain disruptions
  • Inflation pressures including elevated commodity prices
  • First quarter Adjusted EBITDA to be $230-$245 million, driven by higher cost of goods manufactured in the fourth quarter impacting our results in both the fourth and first quarters as those tons were sold.
  • Ongoing cost pressures
  • Impacted by higher cost of goods manufactured in the fourth quarter

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 2021

Historical avgQ4 2021

-0.8%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+2.3%

Avg return

30 days after

49%

30 / 61 earnings

Positive

+33.8%

Q4 2016

Best reaction

-20.8%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.3%+4.3%-13.2%
Q4 2025-10.5%+3.6%+0.9%
Q3 2025-0.6%+9.1%+20.4%
Q1 2025+1.5%-1.8%+5.0%
Q4 2024-11.0%-18.4%-28.0%
Q3 2024-7.5%-9.9%-8.4%
Q2 2024-17.6%-16.8%-13.8%
Q1 2024+12.9%+10.2%+16.6%
Q4 2023+9.8%+12.7%+25.0%
Q3 2023+2.7%+0.5%+20.1%
Q2 2023-4.3%-10.0%-15.6%
Q1 2023-0.4%+7.1%-9.7%
Q4 2022-3.2%-2.9%-19.9%
Q3 2022-6.8%-11.0%+5.4%
Q2 2022-0.6%-4.3%-5.8%
Q1 2022-1.6%-4.6%+1.3%
Q4 2021-6.7%-9.9%-13.1%
Q3 2021-9.1%-5.6%-8.6%
Q2 2021+1.9%-3.0%+19.2%
Q1 2021+0.3%+1.0%+7.0%
Q4 2020-2.9%+7.0%-4.1%
Q3 2020+5.8%+17.1%+37.8%
Q2 2020-2.4%-1.0%+18.5%
Q1 2020-8.4%+3.5%+24.2%
Q4 2019-12.0%-16.7%-30.2%
Q3 2019+2.9%+6.4%+5.3%
Q2 2019-2.3%-6.4%-12.1%
Q1 2019-6.1%-9.3%-8.4%
Q4 2018+2.2%+1.4%+13.7%
Q3 2018+5.2%+3.4%-17.5%
Q2 2018-8.9%-7.7%-12.2%
Q1 2018+1.4%+0.1%+9.1%
Q4 2017+8.3%+9.4%+0.9%
Q3 2017+1.9%+3.5%-24.6%
Q2 2017-1.8%-1.5%+9.9%
Q1 2017-6.2%-4.3%-8.0%
Q4 2016+33.8%+20.7%+15.5%
Q3 2016+3.1%+17.2%+36.0%
Q2 2016+6.9%+19.1%+50.4%
Q1 2016-5.4%
Q4 2015+8.3%
Q3 2015-20.8%
Q2 2015+2.2%
Q1 2015-6.0%
Q4 2014-3.7%
Q3 2014+4.1%
Q2 2014+6.5%
Q1 2014-5.9%
Q4 2013+14.3%
Q3 2013+0.6%
Q2 2013+2.9%
Q1 2012+0.5%
Q1 2013+1.5%
Q4 2012+2.5%
Q3 2012-18.6%
Q2 2012-2.4%
Q4 2011+2.5%
Q3 2011-8.2%
Q2 2011+5.2%
Q1 2011+0.7%
Q4 2010+0.0%
Q3 2010
Q2 2010

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