Trinseo PLC Q4 FY2024 earnings call

• Safety: Nineteen production and recycling facilities, global R&D teams, and site service teams received a triple zero award. • Operational results: Overcame macro challenges by exiting unprofitable polycarbonate ops, consolidating PMMA sheet ops, rightsizing, implementing supply chain systems reducing days of inventory by over 20%, and extending debt maturity. Energy intensity decreased ~45%, maintenance CapEx down >35%, headcount reduced ~20%. • Strategic initiatives: Recycled content sales up 47%, Latex Binders had higher margin case applications, Engineered Materials PMMA Resins showed resilience. • Circular technologies: Commissioned polycarbonate dissolution pilot, ABS dissolution pilot, and PMMA DIMM depolymerization demo facilities; anticipate scaling up technologies. • Agreement with Deepak Nitrite: Agreed to supply polycarbonate license and equipment from Stad, Germany for $52M, exiting unprofitable site but technology remains valued.

The Latex Binders segment had sales volumes higher to higher margin case applications, accounting for 11% of total segment sales volumes and 18% of total segment variable margin in 2024. The Engineered Materials segment saw PMMA Resins sales and margins show resilience with volumes increasing 3% year over year. Recycled content containing product offerings sales increased 47% versus the prior year and represented 4% of the total company variable margin in 2024.

• 2025: No meaningful demand recovery expected in major end markets. First quarter adjusted EBITDA $60M-$80M including $26M from Polycarbonate license agreement. Expect Q1 sequentially better than Q4 but volumes still lower Y/Y. Refinancing provides ample liquidity for strategy.

• Macro uncertainties: Geopolitical, inflation, interest rates affecting end markets. • Tariffs: Uncertainty on impact of tariffs on imports and exports. • Market demand: Uncertainty in end market demand recovery.

Q: Follow up on cash spends for 2025.

A: Changes in working capital and cash taxes; working capital outflow due to volume and raw material prices, cash taxes higher due to higher profitability.

Q: Impact of rising European natural gas prices on Q1 guide.

A: Timing pricing lag in Engineered Materials due to natural gas price increases, mainly affecting EM related to natural gas prices.

Q: Duration of license sale with Deepak.

A: Perpetual license agreement; can enter similar agreements in the future as technology remains valued.

Q: Automotive compounding in Engineered Materials.

A: Automotive compounding business moved into Engineered Materials, but specific percentage breakdown to be provided offline.

Q: Status of AmSty sale.

A: Working with partner to monetize interest, timing adjusted to optimize value, later than original plan.