The Chemours Company Q4 FY2025 earnings call

• Recently reached agreement to sell Kuan Yin site with estimated net proceeds $300 million to reduce debt. - Welcomed Mike Foley as new Business President of TT. - TSS had strong Opteon sales growth, TT stabilized pricing, APM navigated market headwinds. - Commenced restructuring of TT mining operations, Washington Works facility had unplanned outage but resumed operations. - Corporate level expenses decreased compared to same quarter last year.

TSS: Fourth quarter record for Opteon sales with 37% double-digit growth y-o-y, annual sales record in 2025, Opteon refrigerant growth 56% making up 75% of total refrigerant sales, annual adjusted EBITDA margins 32% up from 31% prior year. TT: Fourth quarter top line performance in line with expectations, adjusted EBITDA ahead due to stabilized pricing and cost performance, sequential net sales decrease in first quarter, TiO2 pigment sales down low single digits, adjusted EBITDA between breakeven and $5 million. APM: First quarter net sales decrease high teens percentage range sequentially due to market weakness, customer timing, and Washington Works outage, adjusted EBITDA range breakeven to $5 million, outage impact $20 - $25 million, net sales expected to recover later in 2026.

• First quarter 2026: TSS net sales projected to rise mid-25% to 30% sequentially, Opteon refrigerants up 30% to 40% sequentially, adjusted EBITDA $170M - $185M sequentially. TT sequential net sales decrease low to mid-single digits, adjusted EBITDA between breakeven and $5M. APM net sales decrease high teens percentage range, adjusted EBITDA breakeven to $5M. Consolidated net sales increase 3% to 5% sequentially, adjusted EBITDA $120M - $150M, corporate expenses $45M - $50M, cap ex $50M, free cash flow use of cash not exceed $100M. - Full year 2026: Consolidated net sales growth 3% to 5%, adjusted EBITDA $800M - $900M, cap ex $275M - $325M, free cash flow conversion above 25%, net leverage ratio below 4x adjusted EBITDA by end of 2026.

• Market weakness in certain end markets affecting APM. - Unplanned outages at facilities like Washington Works. - Impact of inventory and ore mix on TT's adjusted EBITDA. - Fluctuations in raw material costs, especially R32 affecting TSS. - Regulatory and market dynamics impacting TT's volume and pricing in certain regions.

Q: Pete Osterland with Truist Securities asked about TiO2 volume growth assumptions, legacy liabilities progress.

A: Denise Dignam said TT's outlook based on stable demand and pricing power, progress on legacy liabilities in New Jersey, West Virginia, and North Carolina.

Q: John Roberts with Mizuho asked about APM end markets.

A: Denise Dignam said auto and industrial production down, but Performance Solutions products in AI, data centers, semicon have strength.

Q: Arun Viswanathan with RBC Capital Markets asked about Q1 and full year guide.

A: Shane Hostetter said Q2 has seasonality and strength in refrigerants and Opteon, full year guide based on earnings growth in all businesses.

Q: Duffy Fisher with Goldman Sachs asked about TT antidumping activities and TSS Corpus Christi impact.

A: Denise Dignam said benefits from antidumping duties in some regions, TSS Corpus Christi expansion providing cost upside.

Q: Josh Spector with UBS asked about TT ore mix impact and Freon sales.

A: Denise Dignam said TT ore mix impact in first quarter related to winter interruption, Freon sales expected to continue growth.

Q: Hassan Ahmed with Alembic Global Advisors asked about TT volume growth and rationalizations.

A: Denise Dignam said TT volume projection stable, rationalizations planned.

Q: Caleb Boehnlein with BMO Capital Markets asked about full year range and TSS growth.

A: Shane Hostetter and Denise Dignam discussed factors affecting full year range and TSS growth from HFO transition.

Q: Vincent Andrews with Morgan Stanley asked about TSS residential HVAC and cash flow.

A: Denise Dignam and Shane Hostetter talked about TSS residential HVAC inventory and cash flow drivers.

Q: Jeffrey Zekauskas with JPMorgan asked about TT Asia revenues and inventory.

A: Denise Dignam said Asia revenue drop in TT due to market factors, Shane Hostetter talked about inventory management.