Financial Data and Key Metrics Changes - Net sales in Q4 2023 decreased by 45% year-over-year, primarily due to a shift from long-term agreements (LTA) to non-LTA sales, along with lower overall volume and pricing [61][94] - Adjusted EBITDA was negative $22 million in Q4 2023, compared to positive adjusted EBITDA of $80 million in Q4 2022, reflecting the impact of lower sales volume and pricing [64][94] - The company reported a net loss of $217 million or $0.85 per share, which included a goodwill impairment charge of $171 million and a lower of cost or market inventory valuation adjustment of $12 million [94] Business Line Data and Key Metrics Changes - Production and sales volume for Q4 2023 were approximately 24,000 metric tons, with 5,000 metric tons sold under LTAs at a weighted average realized price of $8,500 per metric ton, and 19,000 metric tons of non-LTA sales at approximately $4,800 per metric ton [38][61] - The company anticipates a modest year-over-year improvement in sales and production volume in 2024, which is expected to positively impact cash costs per metric ton [68][97] Market Data and Key Metrics Changes - Steel production in the Americas was down 3% in 2023, with the U.S. steel production remaining flat year-over-year [37][59] - Capacity utilization in Europe ended the year at approximately 50% to 53%, indicating a more challenging economic environment compared to the U.S. [11][12] - The weighted average price for non-LTA sales represented a more than 20% year-over-year decline, reflecting ongoing pricing pressures in the market [92] Company Strategy and Development Direction - The company is implementing a cost rationalization and footprint optimization plan, which includes suspending production at the St. Marys facility and reducing corporate overhead, expected to drive $25 million in annualized cost savings [33][54] - The company remains optimistic about long-term prospects, driven by decarbonization efforts in the steel industry and anticipated growth in electric arc furnace (EAF) steel production, which is expected to increase graphite electrode demand [34][70][102] Management's Comments on Operating Environment and Future Outlook - Management noted that the current economic environment is characterized by uncertainty and geopolitical conflicts, impacting industrial production and demand for graphite electrodes [27][50] - The company expects continued softness in the commercial environment into 2024, but remains confident in its ability to navigate these challenges and capitalize on future market recoveries [30][70] Other Important Information - The company ended the year with a liquidity position of $289 million, consisting of $170 million in cash and $112 million available under its revolving credit facility, with no anticipated need to borrow in 2024 [69][99] - The company has proactively reduced inventory by over $100 million in 2023, resulting in positive free cash flow for the year [30][99] Q&A Session Summary Question: What is the outlook for cash costs and realized pricing in 2024? - Management indicated that cash costs are expected to decline towards the lower $4,000 range as volumes pick up, aligning with current spot pricing [80][111] Question: How is the company managing working capital and inventory in 2024? - The company anticipates a balanced approach to working capital, with opportunities to further reduce inventory levels, although some negative impact is expected as sales and production volumes increase [112][132] Question: What is the status of customer relationships following the transition from long-term agreements? - Management expressed satisfaction with customer relationships and engagement during the negotiation process, emphasizing the value proposition offered to customers [114][134] Question: How does the company view its market share in the U.S.? - While specific market share figures were not provided, management noted successful negotiations with customers and a positive outlook for the U.S. market [148] Question: Are there plans to shut down additional plants beyond St. Marys? - Management stated that the current actions taken are deemed sufficient to navigate the market conditions, with no immediate plans to shut down other plants [150][124]

GrafTech International (EAF) came out with a quarterly loss of $0.27 per share versus the Zacks Consensus Estimate of a loss of $0.21. This compares to earnings of $0.17 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -28.57%. A quarter ago, it was expected that this maker of graphite products would post a loss of $0.05 per share when it actually produced a loss of $0.08, delivering a surprise of -60%.Over the last four quarte ...

BROOKLYN HEIGHTS, Ohio--(BUSINESS WIRE)--GrafTech International Ltd. (NYSE: EAF) ("GrafTech" or the "Company") today announced financial results for the quarter and year ended December 31, 2023. Fourth Quarter 2023 Highlights Net loss of $217 million, or $0.85 per share(1) Includes a goodwill impairment charge of $171 million and a lower of cost or market ("LCM") inventory valuation adjustment of $12 million Adjusted EBITDA(2) of negative $22 million, including the LCM inventory valuation adjustmen ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission file number: 1-13888 GRAFTECH INTERNATIONAL LTD. (Exact name of registrant as specified in its charter) Delaware 27-2496053 (State or other jurisdi ...

Financial Data and Key Metrics Changes - The company reported a net loss of $23 million, or $0.9 per share, with adjusted EBITDA of $1 million compared to $129 million in Q3 2022, reflecting lower sales volume and higher costs [47][40] - Cash costs per metric ton were approximately $5,860 for Q3 2023, exceeding projections due to lower sales volume and fixed costs from idled production [48][30] - The company generated $51 million in cash from operating activities and adjusted free cash flow of $43 million, supported by a $50 million reduction in inventory during the quarter [49][50] Business Line Data and Key Metrics Changes - Production volume for Q3 was approximately 23,000 metric tons, with a capacity utilization rate of 47%, down from 49% in Q2 [25][16] - Sales volume was approximately 24,000 metric tons, a modest decline compared to Q2, with net sales decreasing 48% year-over-year [26][25] - The shift in business mix from long-term agreements (LTA) to non-LTA sales contributed to the decline, with LTA sales averaging $8,650 per metric ton and non-LTA sales at $5,400 per metric ton [45][26] Market Data and Key Metrics Changes - Global steel production outside of China was approximately 201 million tons in Q3 2023, a 4% sequential decline, with capacity utilization rates outside of China at 65% [16][23] - In the U.S., steel industry utilization rates ticked down to 76%, with a forecasted 1% decline in year-over-year steel demand for 2023 [24][23] - Export prices from China have fallen below $3,000 per metric ton, impacting pricing in non-tariff protected regions [17][16] Company Strategy and Development Direction - The company remains focused on managing near-term market disruptions while positioning for long-term opportunities, particularly in the graphite electrode market and the EV battery supply chain [21][14] - GrafTech is exploring participation in the development of a Western EV battery supply chain, leveraging its assets and technical know-how [35][63] - The company anticipates a 30% increase in global annual graphite electrode demand outside of China by 2030, driven by planned electric arc furnace (EAF) capacity additions [61][62] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing global economic uncertainty impacting steel industry demand and graphite electrode pricing, with expectations of continued market weakness [40][44] - The company expressed optimism about long-term growth opportunities in the graphite electrode market, despite current challenges [14][64] - Management highlighted the importance of maintaining liquidity and managing costs to navigate the current market environment [50][51] Other Important Information - The company has idled its Seadrift facility for the entire third quarter, with plans to restart it in Q4 [31][115] - The net debt to adjusted EBITDA ratio increased to 6.4 times as of September 30, reflecting a year-over-year decline in EBITDA [51][40] - The company is developing a carbon-neutral graphite electrode offering, aimed at meeting the growing demand for environmentally responsible steelmaking [110][96] Q&A Session Summary Question: What is the electrode market outlook? - Management noted continued price pressure in the electrode market, with spot pricing around $3,000 per ton, primarily due to weak seasonality and market conditions in China [53][67] Question: Update on needle coke prices? - Recent spot pricing for super premium needle coke is around $1,700 per ton, reflecting further softening, but long-term demand is expected to tighten as EV demand grows [55][67] Question: How much production could be diverted to the EV market? - The company has dual-use assets that can produce needle coke for both graphite electrodes and battery anodes, allowing flexibility in production based on market conditions [75][67] Question: How does utilization compare across regions? - Utilization rates in North America are higher than in Europe, with customer inventory levels varying significantly between regions [81][78] Question: Competitive landscape in the U.S. and EU markets? - The company maintains confidence in its value proposition despite competition from lower-priced imports, emphasizing quality and ancillary services [83][82] Question: What is the outlook for working capital in 2024? - Management anticipates some use of working capital as production ramps up, but aims to maintain manageable inventory levels [91][90]

15 Add: Unamortized debt discount and issuance costs (25,764) (12,049) | --- | --- | |----------------------------------|-------| | | | | | | | | | | | | | | | | | | | Q3 2023 Results November 3, 2023 | | | NYSE: EAF www.graftech.com | | Today's Presenters Marcel Kessler Chief Executive Officer and President Jeremy Halford Executive Vice President, Chief Operating Officer Forward-Looking Statements 2 GrafTech is well-equipped to manage the current environment 4 Tim Flanagan Chief Financial Officer, Senior V ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from______ to ______ Commission file number: 1-13888 GRAFTECH INTERNATIONAL LTD. (Exact name of registrant as specified in its charter) Delaware 27-2496053 (St ...

GrafTech International Ltd. (NYSE:EAF) Q2 2023 Earnings Conference Call August 4, 2023 10:00 AM ET Company Participants Mike Dillon - Vice President, Investor Relations Marcel Kessler - Chief Executive Officer Jeremy Halford - Chief Operating Officer Tim Flanagan - Chief Financial Officer Conference Call Participants Katja Jancic - BMO Capital Markets Arun Viswanathan - RBC Capital Markets Bill Peterson - JPMorgan Curt Woodworth - Credit Suisse Alex Hacking - Citi Abe Landa - Bank of America Operator Good d ...

Today's Presenters Tim Flanagan Chief Financial Officer, Senior VP Finance and Treasurer CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS: This presentation and related discussions may contain forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect our current views with respect to, among other things, financial projections, plans and objectives of management for future operations, and fu ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from______ to ______ Commission file number: 1-13888 GRAFTECH INTERNATIONAL LTD. (Exact name of registrant as specified in its charter) Delaware 27-2496053 (State o ...