The Chemours Company (CC) Bundle
A Brief History of Chemours
Company Overview
The Chemours Company, incorporated in 2015 after being spun off from DuPont, specializes in titanium technologies, fluoroproducts, and chemical solutions. As of 2024, Chemours operates across various segments, focusing on sustainable solutions to meet global demands.
Financial Performance
For the nine months ended September 30, 2024, Chemours reported net sales of $4.4 billion, a decrease of 6% from $4.7 billion in 2023. The decrease was primarily due to a 5% decline in prices across all segments.
| Financial Metric | 2024 | 2023 |
|---|---|---|
| Net Sales | $4.4 billion | $4.7 billion |
| Net Income | $94 million | ($220 million) |
| Adjusted EBITDA | $809 million | $1.038 billion |
| Basic EPS | $0.63 | ($1.47) |
Segment Performance
The company's segments performed variably in 2024. The Titanium Technologies segment generated net sales of $1.94 billion, while the Advanced Performance Materials segment saw a drop in net sales to $985 million.
| Segment | Net Sales (2024) | Net Sales (2023) |
|---|---|---|
| Titanium Technologies | $1.94 billion | $2.03 billion |
| Advanced Performance Materials | $985 million | $1.12 billion |
| Thermal & Specialized Solutions | $1.42 billion | $1.45 billion |
Cash Flow and Liquidity
For the nine months ending September 30, 2024, Chemours experienced negative cash flows from operating activities amounting to $(771) million, primarily due to the release of $592 million in restricted cash related to a settlement agreement.
| Cash Flow Activity | 2024 | 2023 |
|---|---|---|
| Operating Activities | $(771) million | $74 million |
| Investing Activities | $(246) million | $(99) million |
| Financing Activities | $(121) million | $177 million |
Current Assets and Liabilities
As of September 30, 2024, Chemours reported current assets of $3.08 billion, down from $3.83 billion at the end of 2023, largely due to a significant decrease in cash and cash equivalents. Current liabilities decreased to $1.78 billion from $2.49 billion during the same period.
| Asset/Liability | September 30, 2024 | December 31, 2023 |
|---|---|---|
| Current Assets | $3.08 billion | $3.83 billion |
| Current Liabilities | $1.78 billion | $2.49 billion |
Stock Performance
As of September 30, 2024, Chemours' total equity increased to $659 million, with approximately 198.28 million shares outstanding. The company declared dividends of $0.25 per share during this period.
| Equity Metric | Amount |
|---|---|
| Total Equity | $659 million |
| Shares Outstanding | 198.28 million |
| Dividends Declared | $0.25 per share |
A Who Owns The Chemours Company (CC)
Ownership Structure
The Chemours Company (CC) had approximately 198,282,108 shares of common stock issued and 149,410,506 shares outstanding as of October 30, 2024.
Major Shareholders
As of 2024, the largest institutional shareholders of Chemours include:
- Vanguard Group, Inc. - 8.4% ownership
- BlackRock, Inc. - 8.0% ownership
- State Street Corporation - 5.8% ownership
Shareholder Composition
The shareholder composition of Chemours as of September 30, 2024, is as follows:
| Shareholder Type | Percentage Ownership |
|---|---|
| Institutional Investors | 53% |
| Retail Investors | 47% |
Stock Performance and Market Trends
As of September 30, 2024, Chemours reported a net income of $94 million for the nine months ended, compared to a net loss of $220 million in the same period of 2023. The company's stock price has fluctuated, with an average share price of $29.90 during the 2022 Share Repurchase Program.
Stock Repurchase Program
Through September 30, 2024, Chemours repurchased a cumulative total of 10,342,722 shares under its 2022 Share Repurchase Program, amounting to $309 million. The remaining amount available for repurchase under this program was $441 million as of September 30, 2024.
Recent Financial Highlights
The following financial highlights provide insight into Chemours’ recent performance:
| Financial Metric | Q3 2024 (in millions) | Q3 2023 (in millions) |
|---|---|---|
| Net Sales | $1,501 | $1,487 |
| Gross Profit | $286 | $273 |
| Net Income | $94 | ($220) |
| Basic Earnings per Share | $0.63 | ($1.47) |
Dividends
In 2024, Chemours declared dividends of $0.75 per share. The total cash dividends paid amounted to $112 million during the nine months ended September 30, 2024.
Debt and Financial Position
As of September 30, 2024, Chemours reported total liabilities of $6,804 million and total assets of $7,463 million. The company has a long-term debt of $3,988 million.
Environmental and Legal Considerations
Chemours has ongoing environmental remediation obligations totaling $567 million as of September 30, 2024, primarily associated with its Fayetteville and Washington Works sites.
Conclusion
Chemours continues to navigate a complex market environment while managing significant institutional ownership and active financial strategies, including share repurchase programs and dividend distributions.
The Chemours Company (CC) Mission Statement
Mission Statement Overview
The Chemours Company is committed to being a global leader in the chemical industry, focusing on sustainable solutions and innovative products that enhance the quality of life. The company aims to deliver value to customers, stakeholders, and employees while adhering to the highest standards of safety and environmental stewardship.
Core Values and Principles
- Safety: Prioritizing the health and safety of employees and communities.
- Sustainability: Committing to sustainable practices that minimize environmental impact.
- Innovation: Driving innovation to create advanced materials and solutions.
- Integrity: Upholding ethical business practices in all operations.
Financial Performance (2024)
As of September 30, 2024, Chemours reported the following financial results:
| Financial Metric | Q3 2024 | Q3 2023 | YTD 2024 | YTD 2023 |
|---|---|---|---|---|
| Net Sales | $1,501 million | $1,487 million | $4,388 million | $4,666 million |
| Gross Profit | $286 million | $273 million | $878 million | $1,051 million |
| Net Income | ($27 million) | $12 million | $94 million | ($219 million) |
| Adjusted EBITDA | $268 million | $301 million | $809 million | $1,038 million |
Segment Performance
The Chemours Company operates through three primary segments: Thermal & Specialized Solutions, Titanium Technologies, and Advanced Performance Materials. Below are the financial results for each segment as of September 30, 2024:
| Segment | Net Sales (Q3 2024) | Adjusted EBITDA (Q3 2024) | Adjusted EBITDA Margin (Q3 2024) |
|---|---|---|---|
| Thermal & Specialized Solutions | $460 million | $141 million | 31% |
| Titanium Technologies | $679 million | $85 million | 13% |
| Advanced Performance Materials | $348 million | $39 million | 11% |
Cash Flow Analysis
For the nine months ended September 30, 2024, Chemours reported the following cash flow metrics:
| Cash Flow Activity | 2024 (in millions) | 2023 (in millions) |
|---|---|---|
| Cash Provided by Operating Activities | ($771 million) | $74 million |
| Cash Used for Investing Activities | ($246 million) | ($99 million) |
| Cash Provided by Financing Activities | ($121 million) | $177 million |
Current Assets and Liabilities
As of September 30, 2024, Chemours' current assets and liabilities were as follows:
| Asset/Liability Type | Amount (in millions) |
|---|---|
| Current Assets | $3,080 million |
| Current Liabilities | $1,777 million |
Stock Performance
The Chemours Company has undergone a share repurchase program, with cumulative shares purchased amounting to approximately 10,342,722 shares at an average price of $29.90 per share. The total amount remaining for repurchase under the program as of September 30, 2024, was $441 million.
Conclusion on Mission Alignment
The Chemours Company's mission statement is reflected in its commitment to innovation and sustainability, as demonstrated through its financial performance and responsible operational practices.
How The Chemours Company (CC) Works
Overview of Business Segments
The Chemours Company operates through three primary reportable segments:
- Thermal & Specialized Solutions
- Titanium Technologies
- Advanced Performance Materials
Financial Performance
For the nine months ended September 30, 2024, Chemours reported:
| Metric | Value (in millions) |
|---|---|
| Net Sales | $4,388 |
| Cost of Goods Sold | $3,510 |
| Gross Profit | $878 |
| Net Income | $94 |
| Basic Earnings per Share | $0.63 |
Segment Performance
Performance details for each segment for the three months ended September 30, 2024, compared to the same period in 2023:
| Segment | Net Sales (2024) | Net Sales (2023) | Adjusted EBITDA (2024) | Adjusted EBITDA (2023) | Adjusted EBITDA Margin (2024) | Adjusted EBITDA Margin (2023) |
|---|---|---|---|---|---|---|
| Thermal & Specialized Solutions | $460 | $436 | $141 | $162 | 31% | 37% |
| Titanium Technologies | $679 | $690 | $85 | $69 | 13% | 10% |
| Advanced Performance Materials | $348 | $343 | $39 | $68 | 11% | 20% |
Cash Flow and Expenses
For the nine months ended September 30, 2024, Chemours reported cash flows as follows:
| Activity | Cash Flow (in millions) |
|---|---|
| Operating Activities | $(771) |
| Investing Activities | $(246) |
| Financing Activities | $(121) |
Balance Sheet Highlights
As of September 30, 2024, Chemours reported the following balance sheet figures:
| Metric | Value (in millions) |
|---|---|
| Total Assets | $7,463 |
| Total Liabilities | $6,804 |
| Total Equity | $659 |
Market Dynamics and Challenges
In 2024, Chemours faced several market challenges including:
- Price decreases across all segments, primarily due to market inventory levels.
- Increased costs related to raw materials and regulatory compliance.
- Unplanned manufacturing downtimes impacting production volumes.
Tax and Regulatory Environment
The provision for income taxes for the nine months ended September 30, 2024 was $24 million, reflecting an effective tax rate of 20%.
Shareholder Returns and Dividends
The Chemours Company declared dividends of $0.75 per share during the reporting period.
How The Chemours Company (CC) Makes Money
Business Segments
The Chemours Company operates through three primary reportable segments:
- Thermal & Specialized Solutions
- Titanium Technologies
- Advanced Performance Materials
Financial Overview
For the nine months ended September 30, 2024, Chemours reported net sales of $4.388 billion, a decrease of 6% compared to $4.666 billion for the same period in 2023.
Segment Performance
Thermal & Specialized Solutions
This segment generated net sales of $1.422 billion for the nine months ended September 30, 2024, compared to $1.445 billion in 2023. The Adjusted EBITDA for this segment was $453 million with a margin of 32%.
Titanium Technologies
Titanium Technologies reported net sales of $1.940 billion for the nine months ended September 30, 2024, down from $2.029 billion in 2023. The Adjusted EBITDA was $235 million, resulting in a margin of 12%.
Advanced Performance Materials
This segment achieved net sales of $985 million for the nine months ended September 30, 2024, down from $1.118 billion in 2023. The Adjusted EBITDA for this segment was $113 million, with a margin of 11%.
| Segment | Net Sales (2024) | Net Sales (2023) | Adjusted EBITDA (2024) | Adjusted EBITDA Margin (2024) |
|---|---|---|---|---|
| Thermal & Specialized Solutions | $1.422 billion | $1.445 billion | $453 million | 32% |
| Titanium Technologies | $1.940 billion | $2.029 billion | $235 million | 12% |
| Advanced Performance Materials | $985 million | $1.118 billion | $113 million | 11% |
Operating Expenses
Chemours reported a cost of goods sold (COGS) of $3.510 billion for the nine months ended September 30, 2024, down from $3.615 billion in the same period in 2023. Selling, general, and administrative expenses decreased to $416 million in 2024 from $1.067 billion in 2023.
Cash Flow Analysis
For the nine months ended September 30, 2024, Chemours reported:
- Cash used in operating activities: $(771 million)
- Cash used in investing activities: $(246 million)
- Cash used in financing activities: $(121 million)
This reflects a significant increase in cash outflows compared to the previous year, primarily due to the release of $592 million of restricted cash related to legal settlements.
Debt and Interest Expenses
Chemours' interest expense increased to $197 million for the nine months ended September 30, 2024, from $145 million in 2023, attributed to higher interest rates and increased debt.
Market Conditions
The company faced challenges in pricing, with an overall price decrease of 5% across segments for the nine months ended September 30, 2024. Additionally, unfavorable currency movements impacted net sales by approximately 1%.
The Chemours Company (CC) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Updated on 16 Nov 2024
Resources:
- The Chemours Company (CC) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of The Chemours Company (CC)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View The Chemours Company (CC)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.