The Chemours Co. provided an update on its full-year 2022 guidance, announcing that adjusted EBITDA for 2022 is now expected to be between $1,400 million and $1,450 million–a midpoint approximately 7% below the midpoint of the prior guidance range, but about 9% above the prior year. Chemours will announce third-quarter 2022 financial results after market close on October 25, 2022.
Changes to the Titanium Technologies segment (TT) outlook drove the change in the company’s full-year guidance. The company stated that it now anticipates total company free cash flow of greater than $575 million, inclusive of actions taken to reduce full-year capital expenditures from $400 million to approximately $350 million, while continuing to invest in growth and sustainability initiatives.
“In our TT segment, we have experienced a continued decline in our demand outlook throughout the third quarter, most notably in Europe and Asia. Lower demand, coupled with continued high input costs, have impacted our projected results for the full year. In response, we will be extending a scheduled outage on one of our TT production lines, in addition to other cost actions,” commented Mark Newman, president and CEO of Chemours. “In our TSS and APM segments, we expect to drive 2022 earnings growth even as we enter the seasonally weaker second half. Our revised outlook assumes that the economic factors we’ve mentioned will not worsen or accelerate.”
Newman concluded, "As we navigate the challenges of the second half of 2022, we remain committed to TSS and APM growth, as well as the TVS strategy in TT. We believe Chemours is well positioned to withstand this economic cycle as we continue to invest to improve the quality of our underlying earnings.”
For more information, visit www.chemours.com.