Huntsman Announces Fourth Quarter 2024 Earnings
Huntsman (NYSE: HUN) reported Q4 2024 results with revenues of $1,452 million, showing a net loss of $141 million compared to a $71 million loss in Q4 2023. The diluted loss per share increased to $0.82 from $0.41 year-over-year.
The company's adjusted EBITDA improved to $71 million from $44 million in the prior year period. Free cash flow from continuing operations increased to $108 million from $83 million year-over-year.
Despite a 5% quarterly volume improvement year-on-year leading to full year volume growth of 6%, margins haven't shown needed improvement. The company faces challenges in construction and automotive markets, which represent about two-thirds of their portfolio. In response, Huntsman announced workforce reductions in their Polyurethanes segment and plans to assess strategic options for their European maleic anhydride business.
Huntsman (NYSE: HUN) ha riportato i risultati del quarto trimestre 2024 con ricavi di $1.452 milioni, mostrando una perdita netta di $141 milioni rispetto a una perdita di $71 milioni nel quarto trimestre 2023. La perdita diluita per azione è aumentata a $0,82 da $0,41 rispetto all'anno precedente.
L'EBITDA rettificato dell'azienda è migliorato a $71 milioni rispetto ai $44 milioni del periodo dell'anno precedente. Il flusso di cassa libero dalle operazioni continuative è aumentato a $108 milioni rispetto ai $83 milioni dell'anno precedente.
Nonostante un miglioramento del volume trimestrale del 5% anno su anno, che ha portato a una crescita del volume del 6% per l'intero anno, i margini non hanno mostrato il miglioramento necessario. L'azienda affronta sfide nei mercati delle costruzioni e dell'automotive, che rappresentano circa due terzi del loro portafoglio. In risposta, Huntsman ha annunciato riduzioni della forza lavoro nel loro segmento Poliuretani e prevede di valutare opzioni strategiche per il loro business di anidride maleica in Europa.
Huntsman (NYSE: HUN) informó los resultados del cuarto trimestre de 2024 con ingresos de $1,452 millones, mostrando una pérdida neta de $141 millones en comparación con una pérdida de $71 millones en el cuarto trimestre de 2023. La pérdida diluida por acción aumentó a $0.82 desde $0.41 interanual.
El EBITDA ajustado de la compañía mejoró a $71 millones desde $44 millones en el período del año anterior. El flujo de caja libre de operaciones continuas aumentó a $108 millones desde $83 millones interanual.
A pesar de una mejora del volumen trimestral del 5% año tras año, lo que llevó a un crecimiento del volumen del 6% para todo el año, los márgenes no han mostrado la mejora necesaria. La empresa enfrenta desafíos en los mercados de construcción y automotriz, que representan aproximadamente dos tercios de su cartera. En respuesta, Huntsman anunció reducciones de personal en su segmento de Poliuretanos y planea evaluar opciones estratégicas para su negocio de anhídrido maleico en Europa.
헌츠먼 (NYSE: HUN)은 2024년 4분기 실적을 발표하며 수익이 14억 5,200만 달러에 달했으며, 2023년 4분기 7,100만 달러의 손실에 비해 1억 4,100만 달러의 순손실을 기록했다고 보고했습니다. 희석 주당 손실은 전년 대비 0.41달러에서 0.82달러로 증가했습니다.
회사의 조정 EBITDA는 전년 동기 대비 4,400만 달러에서 7,100만 달러로 개선되었습니다. 지속 운영에서의 자유 현금 흐름은 전년 대비 8,300만 달러에서 1억 800만 달러로 증가했습니다.
전년 대비 5%의 분기별 물량 개선에도 불구하고, 연간 물량 성장은 6%에 그쳤고, 마진은 필요한 개선을 보이지 않았습니다. 회사는 포트폴리오의 약 3분의 2를 차지하는 건설 및 자동차 시장에서 도전에 직면해 있습니다. 이에 헌츠먼은 폴리우레탄 부문에서 인력 감축을 발표하고 유럽의 말레산 무수물 사업에 대한 전략적 옵션을 평가할 계획입니다.
Huntsman (NYSE: HUN) a annoncé les résultats du quatrième trimestre 2024 avec des revenus de 1,452 milliard de dollars, affichant une perte nette de 141 millions de dollars par rapport à une perte de 71 millions de dollars au quatrième trimestre 2023. La perte diluée par action a augmenté à 0,82 $ contre 0,41 $ d'une année sur l'autre.
L'EBITDA ajusté de l'entreprise s'est amélioré à 71 millions de dollars contre 44 millions de dollars pour la période de l'année précédente. Le flux de trésorerie libre des opérations continues a augmenté à 108 millions de dollars contre 83 millions de dollars d'une année sur l'autre.
Malgré une amélioration de 5 % du volume trimestriel d'une année sur l'autre, entraînant une croissance du volume annuel de 6 %, les marges n'ont pas montré l'amélioration nécessaire. L'entreprise fait face à des défis sur les marchés de la construction et de l'automobile, qui représentent environ deux tiers de son portefeuille. En réponse, Huntsman a annoncé des réductions d'effectifs dans son segment Polyuréthanes et prévoit d'évaluer des options stratégiques pour son activité d'anhydride maléique en Europe.
Huntsman (NYSE: HUN) hat die Ergebnisse des 4. Quartals 2024 mit Einnahmen von 1.452 Millionen US-Dollar veröffentlicht, was einen Nettoverlust von 141 Millionen US-Dollar im Vergleich zu einem Verlust von 71 Millionen US-Dollar im 4. Quartal 2023 zeigt. Der verwässerte Verlust pro Aktie stieg von 0,41 US-Dollar auf 0,82 US-Dollar im Jahresvergleich.
Das bereinigte EBITDA des Unternehmens verbesserte sich auf 71 Millionen US-Dollar von 44 Millionen US-Dollar im Vorjahreszeitraum. Der freie Cashflow aus fortgeführten Betrieben stieg im Jahresvergleich auf 108 Millionen US-Dollar von 83 Millionen US-Dollar.
Trotz einer Verbesserung des vierteljährlichen Volumens um 5 % im Jahresvergleich, die zu einem Wachstum des Jahresvolumens von 6 % führte, haben die Margen nicht die notwendige Verbesserung gezeigt. Das Unternehmen steht vor Herausforderungen in den Bau- und Automobilmärkten, die etwa zwei Drittel ihres Portfolios ausmachen. Als Reaktion darauf kündigte Huntsman Personalabbau in ihrem Polyurethan-Segment an und plant, strategische Optionen für ihr europäisches Maleinsäureanhydridgeschäft zu prüfen.
- Free cash flow from continuing operations increased to $108 million from $83 million
- Adjusted EBITDA improved to $71 million from $44 million year-over-year
- Sales volumes increased 5% quarterly and 6% annually
- $1.7 billion in combined cash and unused borrowing capacity
- Net loss widened to $141 million from $71 million year-over-year
- Diluted loss per share increased to $0.82 from $0.41
- Full year adjusted EBITDA declined to $414 million from $472 million
- Construction and automotive markets remain subdued
- European operations facing challenges from high energy costs and excess capacity
Insights
Huntsman's Q4 2024 results paint a concerning picture of persistent market challenges and deteriorating profitability. The widening net loss of $141 million (versus $71 million in Q4 2023) reflects severe pressure on margins despite a
The segment analysis reveals critical insights: Polyurethanes, the largest division, saw
The company's strategic response focuses on three key areas: 1) Cost reduction through workforce reductions and facility closures, 2) Portfolio optimization by evaluating strategic options for European maleic anhydride business, and 3) Cash preservation with strong free cash flow generation of
Most concerning is the continued margin compression despite volume growth, suggesting pricing power erosion and possible market share gains at the expense of profitability. The European operations face a particularly challenging environment due to high energy costs and regulatory burdens, necessitating strategic portfolio decisions.
The outlook remains challenging with two-thirds of the portfolio exposed to subdued construction and automotive markets. While management's aggressive cost actions are appropriate, the path to margin recovery appears prolonged given the structural challenges in key markets and ongoing economic uncertainties in China.
Fourth Quarter Highlights
- Fourth quarter 2024 net loss attributable to Huntsman of
$141 million $71 million $0.82 $0.41 - Fourth quarter 2024 adjusted net loss attributable to Huntsman of
$43 million $36 million $0.25 $0.21 - Fourth quarter 2024 adjusted EBITDA of
$71 million $44 million - Fourth quarter 2024 net cash provided by operating activities from continuing operations was
$159 million $108 million $83 million
Three months ended | Twelve months ended | |||||||
December 31, | December 31, | |||||||
In millions, except per share amounts | 2024 | 2023 | 2024 | 2023 | ||||
Revenues | $ 1,452 | $ 1,403 | $ 6,036 | $ 6,111 | ||||
Net (loss) income attributable to Huntsman Corporation | $ (141) | $ (71) | $ (189) | $ 101 | ||||
Adjusted net (loss) income(1) | $ (43) | $ (36) | $ (13) | $ 67 | ||||
Diluted (loss) income per share | $ (0.82) | $ (0.41) | $ (1.10) | $ 0.57 | ||||
Adjusted diluted (loss) income per share(1) | $ (0.25) | $ (0.21) | $ (0.08) | $ 0.37 | ||||
Adjusted EBITDA(1) | $ 71 | $ 44 | $ 414 | $ 472 | ||||
Net cash provided by operating activities from continuing operations | $ 159 | $ 166 | $ 285 | $ 251 | ||||
Free cash flow from continuing operations(2) | $ 108 | $ 83 | $ 101 | $ 21 | ||||
See end of press release for footnote explanations and reconciliations of non-GAAP measures. |
Peter R. Huntsman, Chairman, President, and CEO, commented:
"The fourth quarter was within our expectations as trough conditions continued in our core markets. Despite quarterly volume improvement year-on-year of
Segment Analysis for 4Q24 Compared to 4Q23
Polyurethanes
The increase in revenues in our Polyurethanes segment for the three months ended December 31, 2024 compared to the same period of 2023 was primarily due to higher sales volumes. Sales volumes increased primarily due to improved demand and share gains in the insulation and composite wood panels markets. The increase in segment adjusted EBITDA was primarily due to higher sales volumes, improved margins, and lower fixed and variable costs, partially offset with lower equity earnings from our minority-owned joint venture in China.
Performance Products
The decrease in revenues in our Performance Products segment for the three months ended December 31, 2024 compared to the same period of 2023 was primarily due to lower sales volumes, partially offset by higher average selling prices. Sales volumes decreased primarily due to extended Maleic Anhydride outages during the quarter and slow construction activity and weak demand in industrial markets, partially offset by modest improvements in fuels and lubes. The decrease in segment adjusted EBITDA was primarily due to lower sales volumes, partially offset by improved mix and lower fixed costs.
Advanced Materials
The increase in revenues in our Advanced Materials segment for the three months ended December 31, 2024 compared to the same period of 2023 was primarily due to higher sales volumes, partially offset by lower average selling prices. Sales volumes increased in our infrastructure and general industry segments. Average selling prices decreased primarily due to unfavorable sales mix. Segment adjusted EBITDA was relatively flat due to higher sales volumes offset by increased fixed costs.
Corporate, LIFO and other
For the three months ended December 31, 2024, adjusted EBITDA from Corporate and other was a loss of
Liquidity and Capital Resources
During the three months ended December 31, 2024, our free cash flow from continuing operations was
During the three months ended December 31, 2024, we spent
Income Taxes
In the fourth quarter of 2024, our effective tax rate loss was
Earnings Conference Call Information
We will hold a conference call to discuss our fourth quarter 2024 financial results on Tuesday, February 18, 2025, at 10:00 a.m. ET.
Webcast link: https://event.choruscall.com/mediaframe/webcast.html?webcastid=Hmr0Y2Vu
Participant dial-in numbers:
Domestic callers: (877) 402-8037
International callers: (201) 378-4913
The conference call will be accompanied by presentation slides that will be accessible via the webcast link and Huntsman's investor relations website, www.huntsman.com/investors. Upon conclusion of the call, the webcast replay will be accessible via Huntsman's website.
Upcoming Conferences
During the first quarter 2025, a member of management is expected to present at:
Bank of America Securities 2025 Global Agriculture and Materials Conference, February 26, 2025
Alembic Materials and Industrials Conference, March 6-7, 2025
A webcast of the presentation, if applicable, along with accompanying materials will be available at www.huntsman.com/investors.
Table 1 – Results of Operations | ||||||||
Three months ended | Twelve months ended | |||||||
December 31, | December 31, | |||||||
In millions, except per share amounts | 2024 | 2023 | 2024 | 2023 | ||||
Revenues | $ 1,452 | $ 1,403 | $ 6,036 | $ 6,111 | ||||
Cost of goods sold | 1,264 | 1,251 | 5,170 | 5,205 | ||||
Gross profit | 188 | 152 | 866 | 906 | ||||
Operating expenses, net | 193 | 195 | 793 | 804 | ||||
Restructuring, impairment and plant closing costs | 19 | 11 | 39 | 18 | ||||
Gain on acquisition of assets, net | - | - | (51) | - | ||||
Prepaid asset write-off | - | - | 71 | - | ||||
Loss on dissolution of subsidiaries | 39 | - | 39 | - | ||||
Operating (loss) income | (63) | (54) | (25) | 84 | ||||
Interest expense, net | (19) | (17) | (79) | (65) | ||||
Equity in income of investment in unconsolidated affiliates | 2 | 13 | 44 | 83 | ||||
Other (expense) income, net | (1) | (1) | 21 | (3) | ||||
(Loss) income from continuing operations before income taxes | (81) | (59) | (39) | 99 | ||||
Income tax (expense) benefit | (29) | 2 | (61) | (64) | ||||
(Loss) income from continuing operations | (110) | (57) | (100) | 35 | ||||
(Loss) income from discontinued operations, net of tax(3) | (15) | (2) | (27) | 118 | ||||
Net (loss) income | (125) | (59) | (127) | 153 | ||||
Net income attributable to noncontrolling interests | (16) | (12) | (62) | (52) | ||||
Net (loss) income attributable to Huntsman Corporation | $ (141) | $ (71) | $ (189) | $ 101 | ||||
Adjusted EBITDA(1) | $ 71 | $ 44 | $ 414 | $ 472 | ||||
Adjusted net (loss) income (1) | $ (43) | $ (36) | $ (13) | $ 67 | ||||
Basic (loss) income per share | $ (0.82) | $ (0.41) | $ (1.10) | $ 0.57 | ||||
Diluted (loss) income per share | $ (0.82) | $ (0.41) | $ (1.10) | $ 0.57 | ||||
Adjusted diluted (loss) income per share(1) | $ (0.25) | $ (0.21) | $ (0.08) | $ 0.37 | ||||
Common share information: | ||||||||
Basic weighted average shares | 172 | 172 | 172 | 177 | ||||
Diluted weighted average shares | 172 | 172 | 172 | 177 | ||||
Diluted shares for adjusted diluted (loss) income per share | 172 | 172 | 172 | 179 | ||||
See end of press release for footnote explanations. |
Table 2 – Results of Operations by Segment | ||||||||||||
Three months ended | Twelve months ended | |||||||||||
December 31, | Better / | December 31, | Better / | |||||||||
In millions | 2024 | 2023 | (Worse) | 2024 | 2023 | (Worse) | ||||||
Segment Revenues: | ||||||||||||
Polyurethanes | $ 970 | $ 895 | 8 % | $ 3,900 | $ 3,865 | 1 % | ||||||
Performance Products | 239 | 260 | (8 %) | 1,109 | 1,178 | (6 %) | ||||||
Advanced Materials | 254 | 251 | 1 % | 1,055 | 1,092 | (3 %) | ||||||
Total Reportable Segments' Revenues | 1,463 | 1,406 | 4 % | 6,064 | 6,135 | (1 %) | ||||||
Intersegment Eliminations | (11) | (3) | n/m | (28) | (24) | n/m | ||||||
Total Revenues | $ 1,452 | $ 1,403 | 3 % | $ 6,036 | $ 6,111 | (1 %) | ||||||
Segment Adjusted EBITDA(1): | ||||||||||||
Polyurethanes | $ 50 | $ 13 | 285 % | $ 245 | $ 248 | (1 %) | ||||||
Performance Products | 23 | 28 | (18 %) | 153 | 201 | (24 %) | ||||||
Advanced Materials | 37 | 38 | (3 %) | 179 | 186 | (4 %) | ||||||
Total Reportable Segments' Adjusted EBITDA(1) | 110 | 79 | 39 % | 577 | 635 | (9 %) | ||||||
Corporate, LIFO and other | (39) | (35) | (11 %) | (163) | (163) | 0 % | ||||||
Total Adjusted EBITDA(1) | $ 71 | $ 44 | 61 % | $ 414 | $ 472 | (12 %) | ||||||
n/m = not meaningful |
See end of press release for footnote explanations. |
Table 3 – Factors Impacting Sales Revenue | ||||||||||
Three months ended | ||||||||||
December 31, 2024 vs. 2023 | ||||||||||
Average Selling Price(a) | ||||||||||
Local | Exchange | Sales | ||||||||
Currency & Mix | Rate | Volume(b) | Total | |||||||
Polyurethanes | (1 %) | 0 % | 9 % | 8 % | ||||||
Performance Products | 3 % | 0 % | (11 %) | (8 %) | ||||||
Advanced Materials | (5 %) | 0 % | 6 % | 1 % | ||||||
Twelve months ended | ||||||||||
December 31, 2024 vs. 2023 | ||||||||||
Average Selling Price(a) | ||||||||||
Local | Exchange | Sales | ||||||||
Currency & Mix | Rate | Volume(b) | Total | |||||||
Polyurethanes | (7 %) | 0 % | 8 % | 1 % | ||||||
Performance Products | (7 %) | 0 % | 1 % | (6 %) | ||||||
Advanced Materials | (8 %) | 0 % | 5 % | (3 %) | ||||||
(a) Excludes sales from tolling arrangements, by-products and raw materials. |
(b) Excludes sales from by-products and raw materials. |
Table 4 – Reconciliation of | ||||||||||||||||
Income Tax | Diluted (Loss) Income | |||||||||||||||
EBITDA | and Other Expense | Net Loss | Per Share | |||||||||||||
Three months ended | Three months ended | Three months ended | Three months ended | |||||||||||||
December 31, | December 31, | December 31, | December 31, | |||||||||||||
In millions, except per share amounts | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | ||||||||
Net loss | $ (125) | $ (59) | $ (125) | $ (59) | $ (0.73) | $ (0.34) | ||||||||||
Net income attributable to noncontrolling interests | (16) | (12) | (16) | (12) | (0.09) | (0.07) | ||||||||||
Net loss attributable to Huntsman Corporation | (141) | (71) | (141) | (71) | (0.82) | (0.41) | ||||||||||
Interest expense, net from continuing operations | 19 | 17 | ||||||||||||||
Income tax expense (benefit) from continuing operations | 29 | (2) | $ (29) | $ 2 | ||||||||||||
Income tax (benefit) expense from discontinued operations(3) | (3) | 3 | ||||||||||||||
Depreciation and amortization from continuing operations | 75 | 70 | ||||||||||||||
Business acquisition and integration expenses and purchase accounting inventory adjustments | - | 1 | (1) | (1) | (1) | - | (0.01) | - | ||||||||
EBITDA / Loss (income) from discontinued operations(3) | 18 | (1) | N/A | N/A | 15 | 2 | 0.09 | 0.01 | ||||||||
Establishment of significant deferred tax asset valuation allowances | - | - | 23 | 14 | 23 | 14 | 0.13 | 0.08 | ||||||||
Loss on sale of business/assets | - | 1 | (3) | - | (3) | 1 | (0.02) | 0.01 | ||||||||
Loss on dissolution of subsidiaries | 39 | - | - | - | 39 | - | 0.23 | - | ||||||||
Fair value adjustments to Venator investment, net and other tax matter adjustments | - | - | 1 | - | 1 | - | 0.01 | - | ||||||||
Certain legal and other settlements and related expenses | - | 2 | (4) | (1) | (4) | 1 | (0.02) | 0.01 | ||||||||
Certain non-recurring information technology project implementation costs | - | - | - | (1) | - | (1) | - | (0.01) | ||||||||
Amortization of pension and postretirement actuarial losses | 14 | 12 | (4) | (4) | 10 | 8 | 0.06 | 0.05 | ||||||||
Restructuring, impairment and plant closing and transition costs | 21 | 12 | (3) | (2) | 18 | 10 | 0.10 | 0.06 | ||||||||
Adjusted(1) | $ 71 | $ 44 | $ (20) | $ 7 | (43) | (36) | $ (0.25) | $ (0.21) | ||||||||
Adjusted income tax expense (benefit)(1) | 20 | (7) | ||||||||||||||
Net income attributable to noncontrolling interests | 16 | 12 | ||||||||||||||
Adjusted pre-tax loss(1) | $ (7) | $ (31) | ||||||||||||||
Adjusted effective tax rate(4) | N/M | 23 % | ||||||||||||||
Effective tax rate | (36 %) | 3 % | ||||||||||||||
Income Tax | Net (Loss) | Diluted (Loss) Income | ||||||||||||||
EBITDA | and Other Expense | Income | Per Share | |||||||||||||
Twelve months ended | Twelve months ended | Twelve months ended | Twelve months ended | |||||||||||||
December 31, | December 31, | December 31, | December 31, | |||||||||||||
In millions, except per share amounts | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | 2024 | 2023 | ||||||||
Net (loss) income | $ (127) | $ 153 | $ (127) | $ 153 | $ (0.74) | $ 0.86 | ||||||||||
Net income attributable to noncontrolling interests | (62) | (52) | (62) | (52) | (0.36) | (0.29) | ||||||||||
Net (loss) income attributable to Huntsman Corporation | (189) | 101 | (189) | 101 | (1.10) | 0.57 | ||||||||||
Interest expense, net from continuing operations | 79 | 65 | ||||||||||||||
Income tax expense from continuing operations | 61 | 64 | $ (61) | $ (64) | ||||||||||||
Income tax (benefit) expense from discontinued operations(3) | (11) | 17 | ||||||||||||||
Depreciation and amortization from continuing operations | 289 | 278 | ||||||||||||||
Business acquisition and integration expenses and purchase accounting inventory adjustments | 21 | 4 | (17) | (1) | 4 | 3 | 0.02 | 0.02 | ||||||||
Income tax settlement related to | - | - | 5 | - | 5 | - | 0.03 | - | ||||||||
EBITDA / Loss (income) from discontinued operations(3) | 38 | (135) | N/A | N/A | 27 | (118) | 0.16 | (0.66) | ||||||||
Establishment of significant deferred tax asset valuation allowances | - | - | 23 | 14 | 23 | 14 | 0.13 | 0.08 | ||||||||
Loss on sale of business/assets | 1 | - | - | - | 1 | - | 0.01 | - | ||||||||
Loss on dissolution of subsidiaries | 39 | - | - | - | 39 | - | 0.23 | - | ||||||||
Fair value adjustments to Venator investment, net and other tax matter adjustments | (12) | 5 | 3 | - | (9) | 5 | (0.05) | 0.03 | ||||||||
Certain legal and other settlements and related expenses(6) | 13 | 6 | (3) | (1) | 10 | 5 | 0.06 | 0.03 | ||||||||
Certain non-recurring information technology project implementation costs | - | 5 | - | (1) | - | 4 | - | 0.02 | ||||||||
Amortization of pension and postretirement actuarial losses | 39 | 37 | (3) | (6) | 36 | 31 | 0.21 | 0.17 | ||||||||
Restructuring, impairment and plant closing and transition costs | 46 | 25 | (6) | (3) | 40 | 22 | 0.23 | 0.12 | ||||||||
Adjusted(1) | $ 414 | $ 472 | $ (59) | $ (62) | (13) | 67 | $ (0.08) | $ 0.37 | ||||||||
Adjusted income tax expense(1) | 59 | 62 | ||||||||||||||
Net income attributable to noncontrolling interests | 62 | 52 | ||||||||||||||
Adjusted pre-tax income(1) | $ 108 | $ 181 | ||||||||||||||
Adjusted effective tax rate(4) | 55 % | 34 % | ||||||||||||||
Effective tax rate | (156 %) | 65 % | ||||||||||||||
N/M = not meaningful |
See end of press release for footnote explanations. |
Table 5 – Balance Sheets | ||||
December 31, | December 31, | |||
In millions | 2024 | 2023 | ||
Cash | $ 340 | $ 540 | ||
Accounts and notes receivable, net | 725 | 753 | ||
Inventories | 917 | 867 | ||
Prepaid expenses | 114 | 92 | ||
Other current assets | 29 | 62 | ||
Property, plant and equipment, net | 2,493 | 2,376 | ||
Other noncurrent assets | 2,496 | 2,558 | ||
Total assets | $ 7,114 | $ 7,248 | ||
Accounts payable | $ 770 | $ 719 | ||
Other current liabilities | 470 | 441 | ||
Current portion of debt | 325 | 12 | ||
Long-term debt | 1,510 | 1,676 | ||
Other noncurrent liabilities | 876 | 922 | ||
Huntsman Corporation stockholders' equity | 2,959 | 3,251 | ||
Noncontrolling interests in subsidiaries | 204 | 227 | ||
Total liabilities and equity | $ 7,114 | $ 7,248 | ||
Table 6 – Outstanding Debt | ||||
December 31, | December 31, | |||
In millions | 2024 | 2023 | ||
Debt: | ||||
Revolving credit facility | $ - | $ - | ||
Senior notes | 1,799 | 1,471 | ||
Accounts receivable programs | - | 169 | ||
Variable interest entities | 16 | 26 | ||
Other debt | 20 | 22 | ||
Total debt - excluding affiliates | 1,835 | 1,688 | ||
Total cash | 340 | 540 | ||
Net debt - excluding affiliates(5) | $ 1,495 | $ 1,148 | ||
See end of press release for footnote explanations. |
Table 7 – Summarized Statements of Cash Flows | ||||||||
Three months ended | Twelve months ended | |||||||
December 31, | December 31, | |||||||
In millions | 2024 | 2023 | 2024 | 2023 | ||||
Total cash at beginning of period | $ 330 | $ 496 | $ 540 | $ 654 | ||||
Net cash provided by operating activities from continuing operations | 159 | 166 | 285 | 251 | ||||
Net cash used in operating activities from discontinued operations(3) | (6) | (2) | (22) | (42) | ||||
Net cash (used in) provided by investing activities from continuing operations | (39) | (86) | (126) | 309 | ||||
Net cash used in investing activities from discontinued operations(3) | - | - | - | (4) | ||||
Net cash used in financing activities | (95) | (39) | (326) | (620) | ||||
Effect of exchange rate changes on cash | (9) | 5 | (11) | (8) | ||||
Total cash at end of period | $ 340 | $ 540 | $ 340 | $ 540 | ||||
Free cash flow from continuing operations(2): | ||||||||
Net cash provided by operating activities from continuing operations | $ 159 | $ 166 | $ 285 | $ 251 | ||||
Capital expenditures | (51) | (83) | (184) | (230) | ||||
Free cash flow from continuing operations(2) | $ 108 | $ 83 | $ 101 | $ 21 | ||||
Supplemental cash flow information: | ||||||||
Cash paid for interest | $ (22) | $ (25) | $ (77) | $ (68) | ||||
Cash paid for income taxes | (30) | (15) | (90) | (97) | ||||
Cash paid for restructuring and integration | (3) | (8) | (29) | (59) | ||||
Cash paid for pensions | (9) | (9) | (35) | (50) | ||||
Depreciation and amortization from continuing operations | 75 | 70 | 289 | 278 | ||||
Change in primary working capital: | ||||||||
Accounts and notes receivable | $ 79 | $ 86 | $ 7 | $ 103 | ||||
Inventories | 60 | 92 | (77) | 125 | ||||
Accounts payable | 48 | (15) | 69 | (224) | ||||
Total change in primary working capital | $ 187 | $ 163 | $ (1) | $ 4 | ||||
See end of press release for footnote explanations. |
Footnotes | |
(1) | We use adjusted EBITDA to measure the operating performance of our business and for planning and evaluating the performance of our business segments. We provide adjusted net income (loss) because we feel it provides meaningful insight for the investment community into the performance of our business. We believe that net income (loss) is the performance measure calculated and presented in accordance with generally accepted accounting principles in the |
Adjusted EBITDA, adjusted net income (loss) and adjusted diluted income (loss) per share, as used herein, are not necessarily comparable to other similarly titled measures of other companies. | |
Adjusted EBITDA is computed by eliminating the following from net income (loss): (a) net income attributable to noncontrolling interests; (b) interest expense, net; (c) income taxes; (d) depreciation and amortization; (e) amortization of pension and postretirement actuarial losses; (f) restructuring, impairment and plant closing and transition costs; and further adjusted for certain other items set forth in the reconciliation of net income (loss) to adjusted EBITDA in Table 4 above. | |
Adjusted net income (loss) and adjusted diluted income (loss) per share are computed by eliminating the after tax impact of the following items from net income (loss): (a) net income attributable to noncontrolling interests; (b) amortization of pension and postretirement actuarial losses; (c) restructuring, impairment and plant closing and transition costs; and further adjusted for certain other items set forth in the reconciliation of net income (loss) to adjusted net income (loss) in Table 4 above. The income tax impacts, if any, of each adjusting item represent a ratable allocation of the total difference between the unadjusted tax expense and the total adjusted tax expense, computed without consideration of any adjusting items using a with and without approach. | |
We may disclose forward-looking adjusted EBITDA because we cannot adequately forecast certain items and events that may or may not impact us in the near future, such as business acquisition and integration expenses and purchase accounting inventory adjustments, net, certain legal and other settlements and related expenses, gains on sale of businesses/assets and certain tax only items, including tax law changes not yet enacted. Each of such adjustment has not yet occurred, is out of our control and/or cannot be reasonably predicted. In our view, our forward-looking adjusted EBITDA represents the forecast net income on our underlying business operations but does not reflect any adjustments related to the items noted above that may occur and can cause our adjusted EBITDA to differ. | |
(2) | Management internally uses free cash flow measure: (a) to evaluate our liquidity, (b) evaluate strategic investments, (c) plan stock buyback and dividend levels and (d) evaluate our ability to incur and service debt. Free cash flow is defined as net cash provided by operating activities less capital expenditures. Free cash flow is not a defined term under |
(3) | During the first quarter 2023, we completed the divestiture of our Textile Effects business, which is reported as discontinued operations on the income and cash flow statements. |
(4) | We believe the adjusted effective tax rate provides improved comparability between periods through the exclusion of certain items that management believes are not indicative of the businesses' operational profitability and that may obscure underlying business results and trends. In our view, effective tax rate is the performance measure calculated and presented in accordance with |
Our forward-looking adjusted effective tax rate is calculated based on our forecast effective tax rate, and the range of our forward-looking adjusted effective tax rate equals the range of our forecast effective tax rate. We disclose forward-looking adjusted effective tax rate because we cannot adequately forecast certain items and events that may or may not impact us in the near future, such as business acquisition and integration expenses and purchase accounting inventory adjustments, certain legal and other settlements and related expenses, gains on sale of businesses/assets and certain tax only items, including tax law changes not yet enacted. Each of such adjustment has not yet occurred, is out of our control and/or cannot be reasonably predicted. In our view, our forward-looking adjusted effective tax rate represents the forecast effective tax rate on our underlying business operations but does not reflect any adjustments related to the items noted above that may occur and can cause our effective tax rate to differ. | |
(5) | Net debt is a measure we use to monitor how much debt we have after taking into account our total cash. We use it as an indicator of our overall financial position, and calculate it by taking our total debt, including the current portion, and subtracting total cash. |
(6) | Certain legal and other settlements and related expenses for the twelve months ended December 31, 2024 includes approximately |
About Huntsman:
Huntsman Corporation is a publicly traded global manufacturer and marketer of differentiated and specialty chemicals with 2024 revenues of approximately
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Forward-Looking Statements:
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements include statements concerning our plans, objectives, goals, strategies, future events, future revenue or performance, capital expenditures, financing needs, plans or intentions relating to acquisitions, divestitures or strategic transactions, business trends and any other information that is not historical information. When used in this press release, the words "estimates," "expects," "anticipates," "likely," "projects," "outlook," "plans," "intends," "believes," "forecasts," or future or conditional verbs, such as "will," "should," "could" or "may," and variations of such words or similar expressions are intended to identify forward-looking statements. These forward-looking statements, including, without limitation, management's examination of historical operating trends and data, are based upon our current expectations and various assumptions and beliefs. In particular, such forward-looking statements are subject to uncertainty and changes in circumstances and involve risks and uncertainties that may affect the Company's operations, markets, products, prices and other factors as discussed in the Company's filings with the Securities and Exchange Commission (the "SEC"). Significant risks and uncertainties may relate to, but are not limited to, high energy costs in
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SOURCE Huntsman Corporation
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