ESI FY 2022 Earnings Report — Element Solutions Inc Revenue & Financial Results | Market Cap Arena

Element Solutions IncESI

FY 2022 Earnings

Reported February 22, 2023

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	FY 2022	Prior Q	FY 2021	QoQ Change	YoY Change
Revenue	$2.5B	—	$2.4B	—	6.2%
Op. Income	$325M	—	$300M	—	8.5%
Gross Margin	37.4%	—	40.0%	—	-2.7pp
Net Margin	7.3%	—	8.5%	—	-1.1pp
EPS (Diluted)	$0.75	—	$0.82	—	-8.5%
Free Cash Flow	$250M	—	$276M	—	-9.5%

Revenue Flow

Item	Amount
REVENUE	$2.5B
Cost of Revenue	$1.6B
GROSS PROFIT	$953M
R&D Expenses	$49M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$579M
Other Expenses	$3M
Operating Expenses	$627M
Cost & Expenses	$2.2B
OPERATING INCOME	$325M
Interest Income	$0
Interest Expense	$51M
Other Income/Expenses	-$53M
INCOME BEFORE TAX	$272M
Income Tax Expense	$86M
Net Income from Continuing Ops	$186M
Net Income from Discontinued Ops	$2M
Other Adjustments	$0
NET INCOME	$187M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$187M
D&A	$161M
EBIT	$335M
EBITDA	$496M
EPS	$1
EPS Diluted	$1

Income Statement

Item	Amount
REVENUE	$2.5B
Cost of Revenue	$1.6B
GROSS PROFIT	$953M
R&D Expenses	$49M
Selling & Marketing	$0
General & Administrative	$0
SG&A Expenses	$579M
Other Expenses	$3M
Operating Expenses	$627M
Cost & Expenses	$2.2B
OPERATING INCOME	$325M
Interest Income	$0
Interest Expense	$51M
Other Income/Expenses	-$53M
INCOME BEFORE TAX	$272M
Income Tax Expense	$86M
Net Income from Continuing Ops	$186M
Net Income from Discontinued Ops	$2M
Other Adjustments	$0
NET INCOME	$187M
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$187M
D&A	$161M
EBIT	$335M
EBITDA	$496M
EPS	$1
EPS Diluted	$1

Cash Flow Statement

Item	Amount
Net Income	$187M
Depreciation & Amortization	$161M
Stock-Based Compensation	$18M
Deferred Income Tax	$0
Other Non-Cash Items	$31M
Change in Working Capital	-$99M
OPERATING CASH FLOW	$298M
Capital Expenditure	-$48M
Acquisitions (Net)	-$23M
Purchases of Investments	$0
Sales/Maturities of Investments	$0
Other Investing Activities	-$5M
NET CASH FROM INVESTING	-$75M
Net Debt Issuance	-$16M
Common Stock Repurchased	-$151M
Common Dividends Paid	-$78M
Other Financing Activities	-$30M
NET CASH FROM FINANCING	-$276M
FREE CASH FLOW	$250M
Net Change in Cash	-$65M

Balance Sheet

Item	Amount
Cash & Equivalents	$266M
Short-Term Investments	$0
Net Receivables	$456M
Inventory	$291M
Other Current Assets	$138M
TOTAL CURRENT ASSETS	$1.2B
PP&E (Net)	$277M
Goodwill	$2.4B
Intangible Assets	$806M
Long-Term Investments	$70M
Tax Assets	$52M
Other Non-Current Assets	$98M
TOTAL NON-CURRENT ASSETS	$3.7B
TOTAL ASSETS	$4.9B
Account Payables	$132M
Short-Term Debt	$12M
Deferred Revenue	$0
Other Current Liabilities	$68M
TOTAL CURRENT LIABILITIES	$344M
Long-Term Debt	$1.9B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$121M
Other Non-Current Liabilities	$134M
TOTAL NON-CURRENT LIABILITIES	$2.2B
TOTAL LIABILITIES	$2.6B
Common Stock	$3M
Additional Paid-In Capital	$4.2B
Retained Earnings	-$1.2B
Treasury Stock	-$334M
Accum. Other Comp. Income	-$298M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$2.3B
Minority Interest	$17M
TOTAL EQUITY	$2.3B
TOTAL LIABILITIES & EQUITY	$4.9B
Total Debt	$2.0B
Net Debt	$1.7B