First Quarter 2025 Conference Call Tronox Holdings plc May 1, 2025 Tronox Holdings plc | tronox.com | Confidential & Proprietary | © 2025 1 Presenters John Romano John Srivisal Chief Executive Officer Senior Vice President, Chief Financial Officer Tronox Holdings plc | tronox.com | Confidential & Proprietary | © 2025 2 Safe Harbor Statement and Non-U.S. GAAP Financial Terms Cautionary Statement about Forward-Looking Statements Statements in this presentation that are not historical are forward-looking state ...

Company Performance - Tronox reported a quarterly loss of $0.15 per share, significantly worse than the Zacks Consensus Estimate of $0.02, marking an earnings surprise of -850% [1] - The company posted revenues of $738 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 3.08%, and down from $774 million a year ago [2] - Over the last four quarters, Tronox has not surpassed consensus EPS estimates and has topped revenue estimates only once [2] Stock Movement and Outlook - Tronox shares have declined approximately 45.5% since the beginning of the year, compared to a -5.5% decline in the S&P 500 [3] - The company's earnings outlook is crucial for assessing future stock performance, with current consensus EPS estimates at $0.09 for the coming quarter and $0.46 for the current fiscal year [4][7] - The estimate revisions trend for Tronox is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6] Industry Context - The Chemical - Diversified industry, to which Tronox belongs, is currently in the bottom 14% of over 250 Zacks industries, suggesting a challenging environment for stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact investor decisions [5]

Financial Performance - Tronox reported first quarter 2025 revenue of $738 million, a decrease of 5% year-over-year, primarily due to lower zircon sales volumes and average selling prices [3][6] - TiO2 revenue was $584 million, down 3% year-over-year, with a 1% decline in sales volumes and average selling prices [7] - Zircon revenue decreased 22% to $69 million, driven by a 15% decline in sales volume and a 7% decrease in average selling prices [8] - The company recorded a net loss of $111 million, or a loss of $0.70 per diluted share, compared to a net loss of $9 million, or a loss of $0.06 per diluted share in the prior year [9][10] Operational Insights - The CEO noted stronger seasonal demand for TiO2, particularly in Europe, with sales volumes recovering to levels not seen since Q2 2021 [4] - Zircon sales were lower due to weaker demand, primarily in China, and competitive pressures were noted in Latin America, the Middle East, and Asia [4] - Production costs were higher than expected due to lower operating rates and increases in direct material prices [4] Strategic Actions - Tronox is implementing strategic actions to manage macroeconomic volatility, including idling the Botlek pigment plant, which is expected to improve free cash flow in 2025 [5] - The company anticipates sustainable cost improvements of $125-175 million by the end of 2026 [5][14] - Capital expenditures are focused on critical maintenance and completing mining projects in South Africa, with a reduction in expected capital expenditures to less than $365 million in 2025 [5][14] Outlook - Tronox maintains its guidance for 2025, expecting revenue between $3.0-3.4 billion and adjusted EBITDA of $525-625 million [14] - The company expects the second half of 2025 to be stronger than the first, driven by improving TiO2 and zircon volumes [14] - Free cash flow is anticipated to be greater than $50 million for the year [14]

Tronox (TROX) shares soared 19.5% in the last trading session to close at $5.39. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 34.5% loss over the past four weeks.TROX’s rally is driven by a surge in material stocks after President Trump announced he would pause reciprocal tariffs for 90 days for most countries.This producer of titanium ore and titanium dioxide is expected to post quarterly earnings of $0.03 per share in its up ...

Company Overview - Tronox Holdings plc is a leading global producer of high-quality titanium products, including titanium dioxide pigment, specialty-grade titanium dioxide products, high-purity titanium chemicals, and zircon [3] - The company mines titanium-bearing mineral sands and operates upgrading facilities to produce high-grade titanium feedstock materials, pig iron, and other minerals, including the rare earth-bearing mineral, monazite [3] - Tronox employs approximately 6,500 people across six continents, showcasing a rich diversity and unmatched vertical integration model [3] Earnings Release and Conference Call - The first quarter 2025 earnings release is scheduled for Wednesday, April 30, 2025, after the market close [2] - The webcast conference call will take place on Thursday, May 1, 2025, at 9:00 AM ET, which is one hour later than previously scheduled [1][2] - The live call will be accessible to the public via webcast and teleconference, with a replay available on the investor relations website following the call [2]

Company Overview - Tronox Holdings plc is a leading global producer of high-quality titanium products, including titanium dioxide pigment and specialty-grade titanium dioxide products [3] - The company also produces high-purity titanium chemicals and zircon, and operates facilities that mine titanium-bearing mineral sands [3] - Tronox employs approximately 6,500 individuals across six continents, showcasing its operational and technical expertise [3] Upcoming Earnings Release - Tronox is scheduled to release its first quarter 2025 earnings on April 30, 2025, after market close [1] - A webcast conference call will take place on May 1, 2025, at 8:00 AM ET, which is open to the public [1] - Investors can access the live call via webcast and teleconference, with registration available on the company's investor relations website [1][2]

Core Viewpoint - Tronox Holdings plc has announced the idling of its 90,000 metric ton per year titanium dioxide (TiO2) plant in Botlek, Netherlands, as part of a strategic review to optimize its asset footprint and improve manufacturing costs due to global supply imbalances and competitive pressures from China [1][2]. Financial Impact - The company estimates restructuring and related charges of approximately $130-160 million over the next 18 months, including $55-65 million in non-cash write-downs related to the idling of the facility [2]. - Cost savings from this action are projected to exceed $30 million annually starting in 2026, in addition to previously identified sustainable cost improvements of $125-175 million by the end of 2026 [2]. - Free cash flow for the full year 2025 is expected to be greater than $50 million [2]. Operational Context - The Botlek facility is currently shut down due to a chlorine supplier outage since March 6, 2025, and is not expected to resume operations after consultations with the works council [1]. - Tronox emphasizes that this decision will not affect its ability to serve customers, as it will utilize its diverse operational footprint to maintain supply [1]. Company Overview - Tronox Holdings plc is a leading producer of titanium products, including titanium dioxide pigment and high-purity titanium chemicals, with operations across six continents and approximately 6,500 employees [3].

Company Overview - Tronox Holdings plc is a leading integrated manufacturer of titanium dioxide pigment and other titanium products, including specialty-grade titanium dioxide and high-purity titanium chemicals [3] - The company operates mining and upgrading facilities for titanium-bearing mineral sands, producing high-grade titanium feedstock materials, pig iron, and rare earth minerals like monazite [3] - Tronox employs approximately 6,500 people globally, showcasing a diverse workforce and a strong vertical integration model [3] Board of Directors Update - Julie Beck has been appointed to the Board of Directors effective March 1, 2025, increasing the Board to 11 directors, with 7 being independent [1] - Beck brings over 30 years of finance and accounting expertise, having held senior leadership roles in various industrial and manufacturing sectors [2] - Prior to joining Tronox, Beck served as CFO of Terex Corporation and Nova Chemicals, and has extensive experience in finance-related positions at multiple companies [2]

Market Risks - The company is exposed to various market risks, including fluctuations in titanium dioxide (TiO2) prices, which are expected to vary over the next few years due to changes in ore and pigment prices [425]. - The company operates in a competitive environment, with risks related to geopolitical instability and fluctuations in currency exchange rates [14]. - The company has significant exposure to credit risk in industries affected by cyclical economic fluctuations, with ongoing credit evaluations of customers to mitigate this risk [426]. Financial Performance - For the year ended December 31, 2024, net sales were $3,074 million, an increase of 7.9% compared to $2,850 million in 2023 [458]. - The cost of goods sold for 2024 was $2,559 million, up from $2,388 million in 2023, resulting in a gross profit of $515 million [458]. - Income from operations increased to $219 million in 2024, compared to $186 million in 2023 [458]. - The company reported a net loss of $54 million for 2024, a significant improvement from a net loss of $314 million in 2023 [458]. - Basic and diluted loss per share for 2024 was $0.31, compared to a loss of $2.02 per share in 2023 [458]. - Total comprehensive loss for 2024 was $128 million, compared to a loss of $356 million in 2023 [461]. - Cash provided by operating activities increased to $300 million in 2024, up from $184 million in 2023 [466]. Tax and Deferred Tax Assets - As of December 31, 2024, the company had $960 million in net deferred tax assets, with valuation allowances of $1,951 million [452]. - Deferred tax assets totaled $2,911 million as of December 31, 2024, with a valuation allowance of $1,951 million [531]. - The company recorded a non-cash charge of $16 million for Brazil and $33 million for the Netherlands due to uncertainty in realizing deferred tax assets [533]. - The total tax loss carryforwards amounted to $9,493 million, with significant contributions from the U.S. Federal ($4,245 million) and Australia ($675 million) [539]. Debt and Interest Rates - A hypothetical 1% increase in interest rates would result in a net decrease to pre-tax income of approximately $8 million on an annualized basis, due to the company's exposure to floating rate debt totaling $824 million [427]. - The company entered into interest rate swap agreements to convert variable rates to fixed rates, with a notional value of $200 million maturing in March 2028 [431]. - As of December 31, 2024, the company maintains a total of $950 million in interest rate swaps, with $450 million maturing in March 2028 and $500 million maturing in September 2031 [436]. - Long-term debt, net, was $2,759 million in 2024, slightly down from $2,786 million in 2023 [464]. - The average effective interest rate for the Term Loan Facility was 5.9% for the year ended December 31, 2024, compared to 6.6% in 2023 [566]. Assets and Liabilities - Total assets decreased to $6,038 million in 2024 from $6,134 million in 2023 [464]. - Current liabilities rose to $874 million in 2024, compared to $753 million in 2023 [464]. - The company reported a decrease in inventories to $1,551 million in 2024 from $1,421 million in 2023 [464]. - Property, plant and equipment, net was reported at $1,927 million as of December 31, 2024, up from $1,835 million in 2023 [556]. - Total accrued liabilities increased to $247 million as of December 31, 2024, from $230 million in 2023, primarily due to changes in employee-related costs and sales rebates [563]. Shareholder Equity and Dividends - The total shareholders' equity decreased from $2,403 million at the end of 2022 to $1,980 million at the end of 2024, reflecting a decline of approximately 17.6% [468]. - Tronox's ordinary share dividends remained consistent at $0.50 per share for the years 2022, 2023, and 2024, with total dividends of $80 million each year [468]. - Dividends paid in 2024 amounted to $80 million, compared to $89 million in 2023 [466]. Research and Development - Research and development costs were $14 million in 2024, $12 million in 2023, and $12 million in 2022, indicating a 17% increase from 2023 to 2024 [479]. Currency and Foreign Contracts - The company is exposed to currency risk primarily in jurisdictions such as Australia, Europe, and South Africa, impacting its Adjusted EBITDA [437]. - The company had 516 million Australian dollars (approximately $319 million) in outstanding foreign currency contracts to hedge against currency fluctuations for its Australian subsidiaries [438]. - The notional amount of outstanding foreign currency contracts included 1.4 billion South African Rand (approximately $73 million) and 113 million Australian dollars (approximately $70 million) as of December 31, 2024 [439]. Operational Risks - The company is subject to various risks, including environmental liabilities, production delays, and cybersecurity incidents, which could materially impact financial performance [14]. - The company anticipates that ESG issues and increased regulatory requirements may subject it to additional costs and restrictions [17]. Revenue Generation - The company generates revenue primarily from selling TiO pigment products and related co-products, with contracts typically lasting one year or less [513]. - Revenue from TiO2 products was $2,407 million in 2024, up from $2,248 million in 2023, indicating a growth of 7.1% [522]. - Net sales in North America increased to $796 million in 2024 from $754 million in 2023, while sales in South and Central America rose to $208 million from $159 million [522].

Company Overview - Tronox Holdings plc is a leading integrated manufacturer of titanium dioxide pigment and other titanium products, including specialty-grade titanium dioxide and high-purity titanium chemicals [2] - The company operates mining and upgrading facilities for titanium-bearing mineral sands, producing high-grade titanium feedstock materials, pig iron, and rare earth minerals like monazite [2] - With approximately 6,500 employees across six continents, Tronox boasts a diverse workforce and a strong vertical integration model, enhancing its operational and technical expertise [2] Financial Highlights - The Board of Directors declared a quarterly dividend of $0.125 per share, payable on April 4, 2025, to shareholders of record by the close of business on March 3, 2025 [1]