Olin Announces Fourth Quarter 2024 Results

Core Insights - Olin Corporation reported a significant decline in net income for Q4 2024, with net income of $10.7 million ($0.09 per diluted share) compared to $52.9 million ($0.43 per diluted share) in Q4 2023 [1][7] - The company's full-year 2024 net income was $108.6 million ($0.91 per diluted share), down from $460.2 million ($3.57 per diluted share) in 2023 [1][23] - Adjusted EBITDA for Q4 2024 was $193.4 million, a decrease from $210.1 million in Q4 2023 [1][34] Financial Performance - Q4 2024 sales were $1,671.3 million, slightly up from $1,614.6 million in Q4 2023 [1][27] - The Chlor Alkali Products and Vinyls segment saw sales increase to $953.7 million in Q4 2024 from $906.1 million in Q4 2023, with segment earnings rising to $75.2 million from $65.9 million [6][27] - The Epoxy segment experienced a decline in sales to $282.2 million in Q4 2024 from $313.1 million in Q4 2023, resulting in a segment loss of $27.4 million compared to a loss of $23.1 million in the previous year [8][27] - Winchester segment sales increased to $435.4 million in Q4 2024 from $395.4 million in Q4 2023, but segment earnings fell to $42.0 million from $65.4 million [9][27] Strategic Outlook - The company anticipates challenging industry conditions to persist into 2025, focusing on optimizing core businesses and controlling costs [2][3] - Olin plans to enter the domestic PVC resin market in Q1 2025 through an EDC tolling agreement, which is expected to enhance its chlorine optionality and guide its PVC resin strategy [2] - The first quarter 2025 adjusted EBITDA is projected to be between $150 million and $170 million, reflecting disciplined market participation [4] Liquidity and Capital Management - As of December 31, 2024, Olin had a cash balance of $175.6 million and net debt of approximately $2.7 billion, with a net debt to adjusted EBITDA ratio of 3.1 times [11][36] - The company repurchased approximately 1.0 million shares at a cost of $43.5 million in Q4 2024, totaling about 5.9 million shares repurchased for $300.3 million throughout 2024 [12][36]