Chemours reports first-quarter adjusted earnings per share beat estimates, revenue in line Author:

WILMINGTON, Del. – The Chemours Company (NYSE: ), a leading chemicals company, reported first-quarter 2024 financial results, with adjusted earnings per share (EPS) exceeding analyst expectations while meeting Revenue Forecast.

The company reported first-quarter adjusted earnings of $0.32 per share, $0.17 higher than analysts' expectations of $0.15. Revenue for the quarter was reported at $1.35 billion, in line with consensus estimates.

Net sales decreased 12% compared to the same period last year, primarily due to a 23% decline in Advanced Performance Materials (APM) net sales, including lower net sales in Titanium Technologies (TT) and Thermal & Specialty Solutions (TSS) 7%.

The decline in net sales was driven by a combination of a 6% volume decline and a 5% price decline, with slight headwinds of 1% from the impact of the investment portfolio. Net income attributable to Chemours was $52 million, or $0.34 per diluted share, a significant decrease from $145 million, or $0.96 per diluted share, in the same period last year.

Chemours CEO Denise Dignam commented on the results: “First quarter net sales were in line with our expectations in all three segments. Consolidated Adjusted EBITDA was higher than expected and lower due to the allocation of TiO2 sales to high-yield regions. The timing of cost ore consumption, strong execution of our TT transformation plan and lower than expected enterprise costs.

Looking ahead to the second quarter of 2024, Chemours expects TT to achieve sequential net sales growth of approximately 15%, reflecting improvements in the company's TiO2 orders. Adjusted EBITDA growth is expected to be consistent with net sales growth.

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TSS's net sales and adjusted EBITDA are expected to increase sequentially by approximately 15%, driven by seasonality and continued adoption of Opteon™ products. APM is expected to achieve low double-digit net sales growth sequentially, and second-quarter adjusted EBITDA is expected to increase 30% quarter-on-quarter.

Chemours did not provide specific guidance for the second quarter or full year, nor did it provide analyst consensus for comparison. The company's focus remains on improving efficiency and reducing costs, particularly through the TT transformation program, with the goal of becoming one of the lowest-cost TiO2 producers in the world.

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