Strong Sales Growth and Strategic Market Gains

• Revenue: $815 million, 8% growth over Q3 2023.

• Organic Sales Growth: 8.5% excluding foreign exchange impact.

• Adjusted EBITDA: $130 million, 6% growth over prior year.

• EBITDA Margin Expansion: 40 basis points in both segments.

• Adjusted Earnings Per Share (EPS): $0.65, 14% growth over prior year.

• Dividend Increase: 5% to an annualized payout of $1.08 per share.

• US and Canada Sales Growth: 9% with strong performance in building and construction (21%) and healthcare (15%).

• Latin America Organic Sales Growth: 27% driven by new business wins in personal care packaging.

• EMEA Sales Growth: 5% with strong demand in packaging and defense applications.

• Asia Sales Growth: 11% driven by new product launches and healthcare demand.

• Color Additives and Inks Sales Growth: 7% with strong performance in packaging and building and construction.

• Specialty Engineered Materials Sales Growth: 10% driven by Dyneema applications and composite materials.

• Full Year Adjusted EBITDA Guidance: $525 million to $530 million.

• Full Year Adjusted EPS Guidance: $2.63 to $2.67, representing 11% to 13% growth over prior year.

• Interest Expense: Expected to be approximately $104 million for the full year.

Release Date: October 31, 2024

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

• Avient Corp (NYSE:AVNT) reported an 8% growth in sales for the third quarter of 2024, with organic sales growth of 8.5% excluding foreign exchange impacts.

• The company achieved a double-digit increase in adjusted earnings per share, up 14% from the previous year, exceeding prior guidance.

• Both segments, color additives and inks, and specialty engineered materials, expanded EBITDA margins by 40 basis points each.

• Avient Corp (NYSE:AVNT) increased its dividend by 5%, marking the 14th consecutive year of dividend growth.

• The company is executing well globally, with strategic regional focus leading to market share gains and new business wins.

• The telecommunications and transportation markets remain challenging, with no growth expected in the near term.

• The Eurozone economy is sluggish, with manufacturing PMI at its lowest in nine months, impacting business and consumer confidence.

• The company faces headwinds from variable compensation accruals, impacting financial results.

• Fiberline business in Europe is challenged by competition from subsidized Chinese imports, affecting profitability.

• Interest expenses are expected to be slightly higher due to refinancing activities, despite some offset from lower variable rate debt.

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