Gabelli Research 1 7 t h A n n u a l S p e c i a l t y C h e m i c a l s S y m p o s i u m M a r c h 1 9 , 2 0 2 6 2 Olin History Forward-looking Statements This presentation includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to analyses and other information that are based on management's beliefs, certain assumptions made by management, forecasts of future results, and current expectations, estimates and projections about ...

Core Insights - Olin Corporation (OLN) reported a fourth-quarter 2025 loss of $85.7 million or 75 cents per share, a significant decline from a profit of $10.7 million or 9 cents in the same quarter last year, with adjusted losses of 58 cents per share aligning with the Zacks Consensus Estimate [1][8] Revenue Performance - The company's revenues decreased by approximately 0.4% year over year to $1,665.1 million, surpassing the Zacks Consensus Estimate of $1,580.8 million, amid ongoing market challenges, customer destocking, and maintenance turnarounds [2] Segment Review - **Chlor Alkali Products and Vinyls**: Revenues fell 10.2% year over year to $856.4 million, beating the consensus estimate of $855 million, primarily due to decreased pricing, resulting in a segment loss of $14.7 million compared to earnings of $75.2 million in Q4 2024 [3] - **Epoxy**: Revenues increased by around 27.3% year over year to $359.3 million, exceeding the consensus estimate of $293 million [4] - **Winchester**: Revenues rose approximately 3.2% year over year to $449.4 million, benefiting from higher military sales, although offset by reduced commercial ammunition pricing and sales, surpassing the consensus estimate of $407 million [4] Financial Position - At the end of Q4, Olin had a cash balance of $167.6 million and approximately $2.7 billion in net debt. The company repurchased about 0.5 million shares for $10.1 million during the quarter, with $1.9 billion in share repurchase authorizations remaining as of December 31, 2025 [5] Outlook - Olin anticipates that the first quarter will reflect higher planned maintenance turnaround costs and increased raw material costs, including electrical power costs, leading to lower performance in its Chemicals business compared to Q4 2025. The Winchester business is expected to see slight improvement in Q1 2026 results as commercial customer inventories normalize. Overall, adjusted EBITDA for Q1 2026 is expected to be lower than Q4 2025 levels [6] Stock Performance - Olin's shares have declined by 25% over the past year, compared to a 20.8% decline in the industry [7]

Financial Data and Key Metrics Changes - The fourth quarter results were significantly below expectations due to operational issues and a decline in chlorine pipeline demand [5][6] - Generated approximately $321 million in operating cash flow, maintaining net debt flat compared to year-end 2024 [8][21] - Available liquidity stood at $1 billion at year-end 2025, with a focus on preserving and enhancing liquidity [21][24] Business Line Data and Key Metrics Changes - Chlor-alkali products faced pressure from subsidized Asian chlorine derivatives, leading to a challenging macro environment [8][9] - The Epoxy business saw sequential growth due to improved product mix and margins, although it remains in a low profitability state [10][11] - Winchester business adjusted its operating model to reflect lower commercial ammunition demand, with a focus on inventory reduction [12][13] Market Data and Key Metrics Changes - Merchant chlorine demand remains under pressure, with significant increases in exports from China affecting U.S. customers [8][9] - Global caustic soda demand remains healthy, driven by sectors like alumina and water treatment, with expectations of tightening supply due to low inventories [9][10] - Military sales in Winchester grew significantly, offsetting declines in commercial ammunition sales [14][15] Company Strategy and Development Direction - The company is committed to a value-first commercial approach and has announced a long-term EDC supply agreement with Braskem [6][7] - Olin's Beyond250 structural cost reduction program aims to identify and eliminate inefficiencies, targeting $100 million to $120 million in annual savings for 2026 [16][19] - The company is exploring potential expansions into PVC through joint ventures and partnerships, maintaining a long-term optimistic outlook despite current market challenges [43][44] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges in the chlor-alkali market and expects a recovery in demand to begin in warmer months [31][32] - The company is focused on executing cost reductions and maintaining operational discipline to navigate the current trough [26][67] - Management expressed confidence in being well-positioned for future market recovery, emphasizing safety and reliability in operations [36][40] Other Important Information - The company anticipates a cash-free tax year in 2026 due to expected refunds related to clean hydrogen production tax credits [23][75] - A $70 million stranded cost is expected due to the closure of Dow's Freeport propylene oxide plant, which the company is planning to offset through cost reductions [10][54] Q&A Session Summary Question: Chlorine pipeline demand decline and recovery expectations - Management noted a sharp decline in chlorine pipeline demand in Q4, primarily due to destocking, with expectations for recovery in warmer months [29][31] Question: Impact of competitor capacity closures - Management indicated that capacity rationalization is occurring globally, which should improve supply-demand balances quicker than expected [34][35] Question: Military demand trends at Winchester - Significant growth in military revenue was reported, with expectations for continued growth in 2026, despite challenges in commercial demand [38][39] Question: Guidance for Q1 and cost impacts - Management discussed headwinds from increased turnaround spending and higher costs for power and natural gas affecting Q1 guidance [50][52] Question: Clarification on stranded costs - Management confirmed awareness of the $70 million stranded costs and emphasized the need for cost reductions to offset this burden [54][55] Question: Energy costs and hedging strategy - Management confirmed that the company remains heavily hedged but faced unhedged components due to recent spikes in natural gas prices [70] Question: Volume and EBITDA benefits from Braskem EDC arrangements - Management refrained from quantifying specific benefits but highlighted the strategic partnership's potential for higher value and improved cost positions [72][73]

4Q25 & FY25 Earnings Call J a n u a r y 3 0 , 2 0 2 6 Forward-looking Statements 1 Value-first commercial approach continues to preserve ECU values 2 Announced Braskem long-term agreement, upgrading our export EDC values 3 Successful Epoxy volume growth amid European capacity closures 4 Winchester reduced commercial production accelerating destocking 5 Generated $321M of operating cash flow, keeping net debt flat year-over-year Chlor Alkali Products & Vinyls Segment Performance This presentation includes fo ...

Core Insights - Olin reported revenue of $1.67 billion for the quarter ended December 2025, a decrease of 0.4% year-over-year, with an EPS of -$0.58 compared to $0.09 in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate by 5.33%, while the EPS was slightly below the consensus estimate [1] Financial Performance - Olin's sales in the Epoxy segment reached $359.3 million, surpassing the average estimate of $293.07 million by 27.3% year-over-year [4] - Sales from Chlor Alkali Products and Vinyls were $856.4 million, slightly above the average estimate of $854.77 million, but represented a year-over-year decline of 10.2% [4] - Winchester sales amounted to $449.4 million, exceeding the estimated $406.54 million, reflecting a 3.2% increase compared to the previous year [4] Income Metrics - The income (loss) before taxes for Chlor Alkali Products and Vinyls was -$14.7 million, significantly below the average estimate of $46.26 million [4] - Winchester's income (loss) before taxes was $0.6 million, also below the average estimate of $7.84 million [4] - The income (loss) before taxes for the Epoxy segment was -$19.2 million, better than the average estimate of -$41.15 million [4] Stock Performance - Olin's shares have returned +9.2% over the past month, outperforming the Zacks S&P 500 composite, which saw a +0.8% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - Olin Corporation's near-term performance is under pressure due to macroeconomic factors such as weak demand, industry oversupply, and high leverage, which pose risks to growth [1][10]. Group 1: Near-Term Concerns - Olin's chlor-alkali and related chemical businesses are experiencing weak demand and oversupply, negatively impacting pricing and profit margins, particularly for caustic soda [2][10]. - The Epoxy segment is facing challenges from subsidized Asian imports and slow recovery in U.S. markets for construction, automotive, and consumer electronics, leading to increased uncertainty regarding chemical demand recovery [2][10]. - High debt levels are constraining Olin's financial flexibility, with total debt unchanged from the previous year, maintaining elevated leverage and increasing exposure to interest rate fluctuations [3]. Group 2: Winchester Segment Challenges - The Winchester segment is facing pressure from rising metal input costs, especially copper, which is expected to increase further, while retailers are destocking due to slow consumer spending [4][10]. - Olin has implemented production cuts and shifted to a make-to-order model to align output with demand and limit inventory build [4]. Group 3: Long-Term Opportunities - Olin is expected to benefit from ongoing cost-saving initiatives and clean hydrogen tax credits, which will enhance margins and cash flow generation [5][10]. - The Beyond250 cost-savings program aims to deliver $70 million to $90 million in annual savings, focusing on operational efficiencies and manufacturing discipline, with benefits expected to become visible from late 2025 [7]. - Olin is positioned to take advantage of the U.S. Clean Hydrogen Production Tax Credit, which will contribute to improved adjusted EBITDA through its chlor-alkali business [8]. Group 4: Market Performance - Olin's shares have declined by 2% over the past six months, compared to a 14% decline in the industry [9].

Core Insights - Olin Corporation reported a profit of $42.8 million for Q3 2025, a significant recovery from a loss of $24.9 million in the same quarter last year, with earnings per share at 37 cents compared to a loss of 21 cents [1][8] - Revenue increased by approximately 7.8% year over year to $1,713.2 million, although it fell short of the Zacks Consensus Estimate of $1,731.5 million due to constrained demand growth [2][8] Segment Review - **Chlor Alkali Products and Vinyls**: Revenues reached $924 million, up around 6% year over year, but missed the consensus estimate of $992 million. Segment earnings improved to $127.6 million from $45.3 million in Q3 2024 [3] - **Epoxy**: Revenues increased by approximately 22.6% year over year to $349.6 million, surpassing the consensus estimate of $321 million [3] - **Winchester**: Revenues rose about 1.6% year over year to $439.6 million, driven by higher military sales, although it missed the consensus estimate of $448 million [4] Financials - Olin's cash balance at the end of Q3 was $140.3 million, with a net debt of approximately $2.85 billion. The company repurchased about 0.5 million shares for $10.1 million during the quarter, maintaining around $2 billion in share repurchase authorizations [5] Outlook - The company anticipates Q4 2025 adjusted EBITDA to be between $110 million and $130 million, citing seasonal weakness and ongoing market challenges. Olin emphasizes a disciplined capital allocation strategy to maximize cash generation while maintaining net debt levels [6][8] Price Performance - Olin's shares have declined by 40.6% over the past year, compared to a 25.2% decline in the industry [7]

Financial Performance - Q3 2025 - Chlor Alkali Products & Vinyls segment sales were $924 million, with adjusted EBITDA of $237 million[11, 12] - Epoxy segment sales were $350 million, with an adjusted EBITDA loss of $19 million[18] - Winchester segment sales were $440 million, with adjusted EBITDA of $33 million[24] - Olin Corporation's Q3 2025 Adjusted EBITDA was $222.4 million, compared to $176.1 million in Q2 2025 and $160.3 million in Q3 2024[60, 62] Key Highlights & Actions - Olin recognized a $32 million net benefit from Section 45V Clean Hydrogen Production tax credits in the Chlor Alkali Products & Vinyls segment[16] - Winchester is shifting production toward international military sales and lowering commercial production to reduce inventory levels[29] - The company expects to lower current debt levels, targeting year-end 2025 net debt comparable to year-end 2024[36] Outlook - Q4 2025 - Olin anticipates Q4 2025 adjusted EBITDA to be between $110 million and $130 million, including a ~$40 million penalty from planned inventory reductions[38] - The company expects caustic soda price improvement and aims to preserve ECU values despite seasonally weak demand in the CAPV segment[38] - Olin plans aggressive inventory reductions and will execute the Freeport turnaround safely and on budget[38]

Core Insights - Olin reported revenue of $1.71 billion for the quarter ended September 2025, reflecting a year-over-year increase of 7.8% [1] - The company's EPS was $0.40, a significant improvement from -$0.21 in the same quarter last year, resulting in an EPS surprise of +344.44% compared to the consensus estimate of $0.09 [1] Revenue Performance - Epoxy sales reached $349.6 million, exceeding the average estimate of $320.9 million, marking a year-over-year increase of 22.6% [4] - Chlor Alkali Products and Vinyls generated $924 million in sales, below the estimated $992.33 million, but still showing a 6% increase from the previous year [4] - Winchester sales amounted to $439.6 million, slightly below the average estimate of $448.42 million, with a year-over-year growth of 1.6% [4] Income Before Taxes - Income before taxes for Chlor Alkali Products and Vinyls was $127.6 million, surpassing the average estimate of $86.94 million [4] - Winchester's income before taxes was $19.3 million, lower than the estimated $23.86 million [4] - Epoxy reported a loss before taxes of $-32.2 million, which was worse than the average estimate of $-19.35 million [4] Stock Performance - Olin's shares returned +0.4% over the past month, underperforming the Zacks S&P 500 composite's +2.5% change [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance in the near term [3]

Core Insights - Olin Corporation (OLN) reported a second-quarter 2025 loss of $1.3 million, or a loss of $0.01 per share, compared to a profit of $74.2 million, or $0.62 per share, in the same quarter last year. Excluding one-time items, earnings were $0.05 per share [1][7] - Revenues increased by approximately 6.9% year over year to $1,758.3 million, surpassing the Zacks Consensus Estimate of $1,669.1 million [1][7] Segment Review - **Chlor Alkali Products and Vinyls**: Revenues reached $979.5 million, up around 6.4% year over year, exceeding the consensus estimate of $955.4 million. Segment earnings were $64.9 million, down from $99.3 million in Q2 2024 [2] - **Epoxy**: Revenues rose approximately 4.2% year over year to $331.2 million, beating the consensus estimate of $305.9 million [3] - **Winchester**: Revenues increased by about 10.2% year over year to $447.6 million, driven by higher military sales, surpassing the consensus estimate of $401.9 million [3] Financials - Olin's cash balance at the end of Q2 was $223.8 million, with a net debt of approximately $2.8 billion. The company repurchased around 0.5 million shares for $10.1 million during the quarter, with about $2 billion remaining in share repurchase authorizations [4] Outlook - Olin anticipates adjusted EBITDA for Q3 2025 to be between $170 million and $210 million, citing ongoing market challenges and potential rising costs. The company emphasizes a disciplined capital allocation strategy focused on maximizing cash generation [5] Price Performance - Olin's shares have declined by 54.1% over the past year, compared to a 19.4% decline in the industry [6]