OLIN Corp Q3 FY2024 earnings call

• Ken Lane mentioned third quarter impacted by hurricane Beryl, team at Freeport restarting assets. • Chemicals business slightly better than expected excluding Beryl, residual impact in fourth quarter. • Chlor alkali and vinyls: Freeport plants returning, caustic soda strong, EDC participation disciplined. • Epoxy: Stade outage on plan, resin volumes challenged by Chinese imports. • Winchester: Commercial ammo volume short, clay target business exceeding, military sales strong. • Todd Slater discussed financial highlights, cash flow, balance sheet, share repurchases, and working capital. • Ken Lane talked about fourth quarter outlook, seasonality, and Investor Day in December.

Chemicals businesses excluding Hurricane Beryl impact were $110 million vs initial estimate of $100 million. Chlor alkali products had solid quarter with sequential improvement, caustic prices increased due to export demand and supply constraints. Epoxy prices and margins slowly improved but volumes weak. Winchester commercial ammunition volume fell short due to consumer demand softness, but defense demand strong. Chlor alkali and vinyls: Freeport plants returning to normal, caustic soda strong with global supply constraints, EDC participation disciplined. Epoxy: Planned Stade, Germany outage proceeding on plan, resin and formulated solution volumes challenged due to Chinese subsidized imports. Winchester: Commercial demand disappointing, new clay target business exceeding expectations, military sales strong.

• Expect seasonally weaker fourth quarter, Hurricane Beryl estimated to have $25 million additional impact, fourth quarter EBITDA expected $170 million to $200 million. • Net debt expected to be $100 million higher at year end 2024, net debt to adjusted EBITDA ratio expected 2.6 times. • Focus on cash generation, cost discipline, and returning cash to shareholders.

• Operational disruptions from hurricanes, including additional downtime and infrastructure repairs. • Uncertainty in market demand, especially in commercial ammunition due to consumer demand slump. • Impact of unfair trade from subsidized epoxy imports from Asia, affecting epoxy margins and market share. • Fluctuations in interest rates and industrial activity affecting demand for products like caustic soda and chlorine.

Q: Thoughts on competitor Shintech's chlor vinyl project and supply relationship?

A: Known about the project, relationship with Shintech not negatively impacted, expected growth plans.

Q: Q4 guidance despite EBITDA recovery?

A: Seasonality and Winchester's normal fourth quarter weakness contribute.

Q: 2025 outlook?

A: Uncertainty continues, awaiting interest rate cuts and housing demand recovery.

Q: Caustic soda supply demand?

A: Strong end use demand, export pricing firm, expected to improve with industrial activity.

Q: Epoxy antidumping situation?

A: Expect US ITC announcement in early November, but volume from Asia remains a concern.

Q: Acquisitions?

A: Focus on strategy, no comment on specific recent acquisitions.

Q: Chlor alkali and epoxy hurricane impacts?

A: Third quarter $77 million in chlor alkali, $33 million in epoxy; fourth quarter $25 million in chlor alkali.

Q: Winchester EBITDA margin and military vs commercial?

A: Commercial down, military ramping up project, pricing more flexible in international military.