Chemours swung to a second-quarter net loss of USD376m on the back of charges related to legal settlements and weaker results from its titanium technologies unit, the US-based pigment and fluoromaterials producer said.
Q2 net loss included the $644m of charges related to legal settlements for legacy PFAS environmental matters and associated fees, the company said in a statement.
Adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) fell by 32% year on year to $324m in the second quarter, driven by poorer results in titanium technologies.
Titanium technologies sales fell by 27% year on year to $707m in the second quarter, while adjusted EBITDA was down by 60% at $87m.
The company also announced that it will be closing its titanium dioxide (TiO2) plant in Taiwan "as part of a comprehensive strategy to improve the earnings quality of its titanium technologies business".
The Kuan Yin site will stop producing dry titanium dioxide pigment on 1 August and decommissioning will begin immediately. "The company expects there will be no impact on product or service quality and no supply interruption during this transition," it said. The plant has 120,000 tonnes/year of TiO2 capacity.
We remind, Chemours Company has entered into a definitive agreement to sell its Glycolic Acid business for USD137 M in cash to PureTech Scientific, a company founded and backed by Iron Path Capital, a private equity firm focused on lower-middle market investments across the speciality industrial and healthcare sectors. The Chemours Company is a chemistry company with market positions in titanium technologies, thermal & specialized solutions, and advanced performance materials.
The Chemours Company is a global leader in Titanium Technologies, Thermal & Specialized Solutions, and Advanced Performance Materials providing its customers with solutions in a wide range of industries with market-defining products, application expertise and chemistry-based innovations.
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