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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

 

 

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported): February 21, 2024

 

 

 

Huntsman Corporation

(Exact name of registrant as specified in its charter)

 

Delaware   001-32427   42-1648585
(State or other jurisdiction   (Commission   (IRS Employer
of incorporation)   File Number)   Identification No.)

 

10003 Woodloch Forest Drive    
The Woodlands, Texas   77380
(Address of principal executive offices)   (Zip Code)

 

Registrant’s telephone number, including area code:

(281) 719-6000

 

Not applicable

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions (see General Instruction A.2. below):

 

¨Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Securities Registered pursuant to Section 12(b) of the Act:

 

Registrant   Title of each class   Trading 
Symbol		   Name of each exchange
 on which registered

Huntsman Corporation

   Common Stock, par value $0.01 per share   HUN   New York Stock Exchange

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

 

Emerging growth company ¨

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ¨

 

 

 

 

 

Item 2.02. Results of Operations and Financial Condition.

 

On February 21, 2024, we issued a press release announcing our results the three months and year ended December 31, 2023. The press release is furnished herewith as Exhibit 99.1.

 

We will hold a conference call to discuss our fourth quarter and full year 2023 financial results on Thursday, February 22, 2024, at 10:00 a.m. ET.

 

Webcast link: https://event.choruscall.com/mediaframe/webcast.html?webcastid=4YckWj4j

Participant dial-in numbers:

Domestic callers:                (877) 402-8037

International callers:           (201) 378-4913

 

The conference call will be accompanied by presentation slides that will be accessible via the webcast link and Huntsman’s investor relations website, www.huntsman.com/investors. Upon conclusion of the call, the webcast replay will be accessible via Huntsman’s website.

 

Information with respect to the conference call, together with a copy of the press release furnished herewith as Exhibit 99.1, is available on the investor relations page of our website at www.huntsman.com/investors.

 

Item 9.01. Financial Statements and Exhibits.

 

(d)     Exhibits.

 

Number   Description of Exhibits
     
99.1   Press Release dated February 21, 2024 regarding fourth quarter 2023 earnings
104   Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101)

 

2

 

 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

  HUNTSMAN CORPORATION
   
  /s/ IVAN MARCUSE
  Vice President, Investor Relations and Corporate Development

 

Dated:  February 21, 2024

 

3

 

 

Exhibit 99.1

 

  News Release  

 

FOR IMMEDIATE RELEASE Media: Investor Relations:
February 21, 2024 Kevin Gundersen Ivan Marcuse
The Woodlands, TX (281) 719-4627 (281) 719-4637
NYSE: HUN

 

Huntsman Announces Fourth Quarter 2023 Earnings

 

Fourth Quarter Highlights

 

·Fourth quarter 2023 net loss attributable to Huntsman of $71 million compared to a net loss of $91 million in the prior year period; fourth quarter 2023 diluted loss per share of $0.41 compared to a diluted loss per share $0.48 in the prior year period.

 

·Fourth quarter 2023 adjusted net loss attributable to Huntsman of $36 million compared to adjusted net income of $8 million in the prior year period; fourth quarter 2023 adjusted diluted loss per share of $0.21 compared to adjusted diluted income per share of $0.04 in the prior year period.

 

·Fourth quarter 2023 adjusted EBITDA of $44 million compared to $87 million in the prior year period.

 

·Fourth quarter 2023 net cash provided by operating activities from continuing operations was $166 million. Free cash flow from continuing operations was $83 million for the fourth quarter 2023 compared to $211 million in the prior year period.

 

·Repurchased approximately 2.1 million shares for approximately $50 million in the fourth quarter 2023.

 

·The Board of Directors approved a 5% increase to the quarterly dividend.

 

   Three months ended   Twelve months ended 
   December 31,   December 31, 
In millions, except per share amounts  2023   2022   2023   2022 
Revenues  $1,403   $1,650   $6,111   $8,023 
Net (loss) income attributable to Huntsman Corporation  $(71)  $(91)  $101   $460 
Adjusted net (loss) income (1)  $(36)  $8   $67   $636 
Diluted (loss) income per share  $(0.41)  $(0.48)  $0.57   $2.27 
Adjusted diluted (loss) income per share(1)  $(0.21)  $0.04   $0.37   $3.13 
Adjusted EBITDA(1)  $44   $87   $472   $1,155 
Net cash provided by operating activities from continuing operations  $166   $297   $251   $892 
Free cash flow from continuing operations(2)  $83   $211   $21   $620 

 

See end of press release for footnote explanations and reconciliations of non-GAAP measures.

 

 

 

 

THE WOODLANDS, Texas – Huntsman Corporation (NYSE: HUN) today reported fourth quarter 2023 results with revenues of $1,403 million, net loss attributable to Huntsman of $71 million, adjusted net loss attributable to Huntsman of $36 million and adjusted EBITDA of $44 million.

 

Peter R. Huntsman, Chairman, President, and CEO, commented:

 

“In early 2024 we have seen a moderate improvement from the lows experienced in the fourth quarter 2023, and while we are yet to see a clear inflexion point in demand, we remain positive about the future. We are well positioned to benefit significantly from volume leverage once our end markets improve and as we continue to control our cost base. While the exact timing of a recovery remains uncertain, we are confident that construction spending and industrial activity in our core markets will return to past cycle averages and the world will continue to value energy efficiency and light weighting which impacts two-thirds of our total sales.

 

“The portfolio changes we have made over the past several years have placed Huntsman in a position to withstand one of the toughest demand environments we have seen in well over a decade. The financial strength of our Company remains our priority as we consider both internal and external investments as well as returning cash to shareholders through our dividend and buybacks.”   

 

Segment Analysis for 4Q23 Compared to 4Q22

 

Polyurethanes

 

The decrease in revenues in our Polyurethanes segment for the three months ended December 31, 2023 compared to the same period of 2022 was primarily due to lower MDI average selling prices and lower sales volumes combined with an adverse sales mix. MDI average selling prices decreased due to less favorable supply and demand dynamics. Sales volumes decreased primarily due to an unplanned outage impact in our Rotterdam facility. The decrease in segment adjusted EBITDA was primarily due to lower MDI margins.

 

Performance Products

 

The decrease in revenues in our Performance Products segment for the three months ended December 31, 2023 compared to the same period of 2022 was primarily due to lower average selling prices. Sales volumes decreased slightly primarily due to slow construction activity and weak demand in fuel and lubes and other industrial markets. The decrease in segment adjusted EBITDA was primarily due to lower margins.

 

Advanced Materials

 

The decrease in revenues in our Advanced Materials segment for the three months ended December 31, 2023 compared to the same period of 2022 was primarily due to lower sales volumes and lower average selling prices. Sales volumes decreased primarily due to reduced customer demand in our industrial and commodity markets. Selling prices decreased in response to lower raw material costs. The decrease in segment adjusted EBITDA was primarily due to lower sales volumes.

 

Corporate, LIFO and other

 

For the three months ended December 31, 2023, adjusted EBITDA from Corporate and other was a loss of $35 million as compared to a loss of $52 million for the same period of 2022 due to a decrease in corporate overhead and minority interest expense.

 

- 2 -

 

 

Liquidity and Capital Resources

 

During the three months ended December 31, 2023, our free cash flow from continuing operations was $83 million as compared to $211 million in the same period of 2022. As of December 31, 2023, we had approximately $1.7 billion of combined cash and unused borrowing capacity.

 

During the three months ended December 31, 2023, we spent $83 million on capital expenditures from continuing operations as compared to $86 million in the same period of 2022. During 2024, we expect to spend approximately $200 million on capital expenditures.

 

Income Taxes

 

In 2023, our effective tax rate was 65% and our adjusted effective tax rate was 34%. We expect our 2024 adjusted effective tax rate to be approximately 34% to 37%. We expect our long-term adjusted effective tax rate to be approximately 22% to 24%.

 

Earnings Conference Call Information

 

We will hold a conference call to discuss our fourth quarter 2023 financial results on Thursday, February 22, 2024, at 10:00 a.m. ET.

 

Webcast link: https://event.choruscall.com/mediaframe/webcast.html?webcastid=4YckWj4j

 

Participant dial-in numbers:

Domestic callers: (877) 402-8037
International callers: (201) 378-4913

 

The conference call will be accompanied by presentation slides that will be accessible via the webcast link and Huntsman’s investor relations website, www.huntsman.com/investors. Upon conclusion of the call, the webcast replay will be accessible via Huntsman’s website.

 

Upcoming Conferences

 

During the first quarter 2024, a member of management is expected to present at:

Alembic Materials and Industrials Conference on February 29, 2024

 

A webcast of the presentation, if applicable, along with accompanying materials will be available at www.huntsman.com/investors.

 

- 3 -

 

 

Table 1 – Results of Operations

 

   Three months ended   Twelve months ended 
   December 31,   December 31, 
In millions, except per share amounts  2023   2022   2023   2022 
Revenues  $1,403   $1,650   $6,111   $8,023 
Cost of goods sold   1,251    1,460    5,205    6,477 
Gross profit   152    190    906    1,546 
Operating expenses, net   195    167    804    788 
Restructuring, impairment and plant closing costs   11    50    18    86 
Operating (loss) income   (54)   (27)   84    672 
Interest expense, net   (17)   (16)   (65)   (62)
Equity in income of investment in unconsolidated affiliates   13    12    83    67 
Other (expense) income, net   (1)   6    (3)   20 
(Loss) income from continuing operations before income taxes   (59)   (25)   99    697 
Income tax benefit (expense)   2    (31)   (64)   (186)
(Loss) income from continuing operations   (57)   (56)   35    511 
(Loss) income from discontinued operations, net of tax(3)   (2)   (18)   118    12 
Net (loss) income   (59)   (74)   153    523 
Net income attributable to noncontrolling interests   (12)   (17)   (52)   (63)
Net (loss) income attributable to Huntsman Corporation  $(71)  $(91)  $101   $460 
                     
Adjusted EBITDA(1)  $44   $87   $472   $1,155 
Adjusted net (loss) income (1)  $(36)  $8   $67   $636 
                     
Basic (loss) income per share  $(0.41)  $(0.48)  $0.57   $2.29 
Diluted (loss) income per share  $(0.41)  $(0.48)  $0.57   $2.27 
Adjusted diluted (loss) income per share(1)  $(0.21)  $0.04   $0.37   $3.13 
                     
Common share information:                    
Basic weighted average shares   172    189    177    201 
Diluted weighted average shares   172    189    177    203 
Diluted shares for adjusted diluted (loss) income per share   172    190    179    203 

 

See end of press release for footnote explanations. 

 

- 4 -

 

 

Table 2 – Results of Operations by Segment

 

   Three months ended       Twelve months ended     
   December 31,   Better /   December 31,   Better / 
In millions  2023   2022   (Worse)   2023   2022   (Worse) 
Segment Revenues:                              
Polyurethanes  $895   $1,071    (16)%  $3,865   $5,067    (24)%
Performance Products   260    307    (15)%   1,178    1,713    (31)%
Advanced Materials   251    278    (10)%   1,092    1,277    (14)%
Total Reportable Segments' Revenues   1,406    1,656    (15)%   6,135    8,057    (24)%
Intersegment Eliminations   (3)   (6)   n/m    (24)   (34)   n/m 
Total Revenues  $1,403   $1,650    (15)%  $6,111   $8,023    (24)%
                               
Segment Adjusted EBITDA(1):                              
Polyurethanes  $13   $37    (65)%  $248   $628    (61)%
Performance Products   28    61    (54)%   201    469    (57)%
Advanced Materials   38    41    (7)%   186    233    (20)%
Total Reportable Segments' Adjusted EBITDA(1)   79    139    (43)%   635    1,330    (52)%
Corporate, LIFO and other   (35)   (52)   33%   (163)   (175)   7%
Total Adjusted EBITDA(1)  $44   $87    (49)%  $472   $1,155    (59)%

 

n/m = not meaningful

 

Table 3 – Factors Impacting Sales Revenue

 

   Three months ended 
   December 31, 2023 vs. 2022 
   Average Selling Price(a)             
   Local   Exchange   Sales   Sales Mix     
   Currency   Rate   Volume(b)   & Other   Total 
Polyurethanes   (15)%   1%   (1)%   (1)%   (16)%
Performance Products   (17)%   1%   (1)%   2%   (15)%
Advanced Materials   (4)%   2%   (5)%   (3)%   (10)%

 

   Twelve months ended 
   December 31, 2023 vs. 2022 
   Average Selling Price(a)             
   Local   Exchange   Sales   Sales Mix     
   Currency   Rate   Volume(b)   & Other   Total 
Polyurethanes   (10)%   (1)%   (10)%   (3)%   (24)%
Performance Products   (8)%   0%   (24)%   1%   (31)%
Advanced Materials   1%   0%   (18)%   3%   (14)%

 

(a) Excludes sales from tolling arrangements, by-products and raw materials.

(b) Excludes sales from by-products and raw materials.

 

- 5 -

 

 

 

Table 4 – Reconciliation of U.S. GAAP to Non-GAAP Measures

 

           Income Tax   Net   Diluted (Loss) Income 
   EBITDA   Benefit   (Loss) Income   Per Share 
   Three months ended   Three months ended   Three months ended   Three months ended 
   December 31,   December 31,   December 31,   December 31, 
In millions, except per share amounts  2023   2022   2023   2022   2023   2022   2023   2022 
Net Loss  $(59)  $(74)            $(59)  $(74)  $(0.34)  $(0.39)
Net income attributable to noncontrolling interests   (12)   (17)             (12)   (17)   (0.07)   (0.09)
Net loss attributable to Huntsman Corporation   (71)   (91)             (71)   (91)   (0.41)   (0.48)
Interest expense, net from continuing operations   17    16                               
Income tax (benefit) expense from continuing operations   (2)   31   $2   $(31)                    
Income tax expense from discontinued operations(3)   3    5                               
Depreciation and amortization from continuing operations   70    74                               
Depreciation and amortization from discontinued operations(3)   -    1                               
Business acquisition and integration expenses and purchase accounting inventory adjustments   1    1    (1)   1    -    2    -    0.01 
EBITDA / (Income) loss from discontinued operations(3)   (1)   12     N/A      N/A     2    18    0.01    0.10 
Establishment of significant deferred tax asset valuation allowance   -    -    14    49    14    49    0.08    0.26 
Loss (gain) on sale of business/assets   1    (27)   -    6    1    (21)   0.01    (0.11)
Fair value adjustments to Venator investment, net   -    3    -    -    -    3    -    0.02 
Certain legal and other settlements and related expenses (income)   2    (8)   (1)   2    1    (6)   0.01    (0.03)
Certain non-recurring information technology project implementation costs   -    1    (1)   -    (1)   1    (0.01)   0.01 
Amortization of pension and postretirement actuarial losses   12    17    (4)   (4)   8    13    0.05    0.07 
Restructuring, impairment and plant closing and transition costs   12    52    (2)   (12)   10    40    0.06    0.21 
Adjusted(1)  $44   $87   $7   $11    (36)   8   $(0.21)  $0.04 
                                         
Adjusted income tax benefit(1)                       (7)   (11)          
Net income attributable to noncontrolling interests                       12    17           
Adjusted pre-tax (loss) income (1)                      $(31)  $14           
Adjusted effective tax rate(4)                       23%   n/m           
Effective tax rate                       3%   n/m           

 

           Income Tax           Diluted Income 
   EBITDA   Expense   Net Income   Per Share 
   Twelve months ended   Twelve months ended   Twelve months ended   Twelve months ended 
   December 31,   December 31,   December 31,   December 31, 
In millions, except per share amounts  2023   2022   2023   2022   2023   2022   2023   2022 
Net income  $153   $523             $153   $523   $0.86   $2.58 
Net income attributable to noncontrolling interests   (52)   (63)             (52)   (63)   (0.29)   (0.31)
Net income attributable to Huntsman Corporation   101    460              101    460    0.57    2.27 
Interest expense, net from continuing operations   65    62                               
Income tax expense from continuing operations   64    186   $(64)  $(186)                    
Income tax expense from discontinued operations(3)   17    19                               
Depreciation and amortization from continuing operations   278    281                               
Depreciation and amortization from discontinued operations(3)   -    12                               
Business acquisition and integration expenses and purchase accounting inventory adjustments   4    12    (1)   (2)   3    10    0.02    0.05 
Costs associated with the Albemarle Settlement, net   -    3    -    (1)   -    2    -    0.01 
EBITDA / Income from discontinued operations(3)   (135)   (43)   N/A    N/A    (118)   (12)   (0.66)   (0.06)
Establishment of significant deferred tax asset valuation allowance   -    -    14    49    14    49    0.08    0.24 
Income from transition services arrangements   -    (2)   -    -    -    (2)   -    (0.01)
Fair value adjustments to Venator investment, net   5    12    -    -    5    12    0.03    0.06 
Certain legal and other settlements and related expenses   6    7    (1)   (2)   5    5    0.03    0.02 
Certain non-recurring information technology project implementation costs   5    5    (1)   (1)   4    4    0.02    0.02 
Amortization of pension and postretirement actuarial losses   37    49    (6)   (11)   31    38    0.17    0.19 
Restructuring, impairment and plant closing and transition costs   25    96    (3)   (23)   22    73    0.12    0.36 
Plant incident remediation credits   -    (4)   -    1    -    (3)   -    (0.01)
                                         
Adjusted(1)  $472   $1,155   $(62)  $(176)   67    636   $0.37   $3.13 
                                         
Adjusted income tax expense(1)                       62    176           
Net income attributable to noncontrolling interests                       52    63           
Adjusted pre-tax income(1)                      $181   $875           
Adjusted effective tax rate(4)                       34%   20%          
Effective tax rate                       65%   27%          

 

n/m = not meaningful

 

See end of press release for footnote explanations.

 

- 6 -

 

 

Table 5 – Balance Sheets

 

   December 31,   December 31, 
In millions  2023   2022 
Cash  $540   $654 
Accounts and notes receivable, net   753    834 
Inventories   867    995 
Other current assets   154    190 
Current assets held for sale(3)   -    472 
Property, plant and equipment, net   2,376    2,377 
Other noncurrent assets   2,558    2,698 
Total assets  $7,248   $8,220 
           
Accounts payable  $719   $961 
Other current liabilities   441    480 
Current portion of debt   12    66 
Current liabilities held for sale(3)   -    194 
Long-term debt   1,676    1,671 
Other noncurrent liabilities   922    1,008 
Huntsman Corporation stockholders’ equity   3,251    3,624 
Noncontrolling interests in subsidiaries   227    216 
Total liabilities and equity  $7,248   $8,220 

 

Table 6 – Outstanding Debt

 

   December 31,   December 31, 
In millions  2023   2022 
Debt:          
Revolving credit facility  $-   $55 
Accounts receivable programs   169    166 
Senior notes   1,471    1,455 
Variable interest entities   26    35 
Other debt   22    26 
Total debt - excluding affiliates   1,688    1,737 
Total cash   540    654 
Net debt - excluding affiliates(5)  $1,148   $1,083 

 

See end of press release for footnote explanations.

 

- 7 -

 

 

Table 7 – Summarized Statements of Cash Flows

 

   Three months ended   Twelve months ended 
   December 31,   December 31, 
In millions  2023   2022   2023   2022 
Total cash at beginning of period  $496   $515   $654   $1,041 
Net cash provided by operating activities from continuing operations   166    297    251    892 
Net cash (used in) provided by operating activities from discontinued operations(3)   (2)   13    (42)   22 
Net cash (used in) provided by investing activities from continuing operations   (86)   (84)   309    (260)
Net cash used in investing activities from discontinued operations(3)   -    (7)   (4)   (19)
Net cash used in financing activities   (39)   (89)   (620)   (994)
Effect of exchange rate changes on cash   5    9    (8)   (28)
Total cash at end of period  $540   $654   $540   $654 
                     
Free cash flow from continuing operations(2):                    
Net cash provided by operating activities from continuing operations  $166   $297   $251   $892 
Capital expenditures   (83)   (86)   (230)   (272)
Free cash flow from continuing operations(2)  $83   $211   $21   $620 
                     
Supplemental cash flow information:                    
Cash paid for interest  $(25)  $(25)  $(68)  $(66)
Cash paid for income taxes   (15)   (23)   (97)   (194)
Cash paid for restructuring and integration   (8)   (13)   (59)   (56)
Cash paid for pensions   (9)   (13)   (50)   (48)
Depreciation and amortization from continuing operations   70    74    278    281 
                     
Change in primary working capital:                    
Accounts and notes receivable  $86   $206   $103   $146 
Inventories   92    122    125    (6)
Accounts payable   (15)   29    (224)   (84)
Total change in primary working capital  $163   $357   $4   $56 

 

See end of press release for footnote explanations.

 

- 8 -

 

 

Footnotes

 

(1)We use adjusted EBITDA to measure the operating performance of our business and for planning and evaluating the performance of our business segments. We provide adjusted net income (loss) because we feel it provides meaningful insight for the investment community into the performance of our business. We believe that net income (loss) is the performance measure calculated and presented in accordance with generally accepted accounting principles in the U.S. (“GAAP”) that is most directly comparable to adjusted EBITDA and adjusted net income (loss). Additional information with respect to our use of each of these financial measures follows:

 

Adjusted EBITDA, adjusted net income (loss) and adjusted diluted income (loss) per share, as used herein, are not necessarily comparable to other similarly titled measures of other companies.

 

Adjusted EBITDA is computed by eliminating the following from net income (loss): (a) net income attributable to noncontrolling interests; (b) interest expense, net; (c) income taxes; (d) depreciation and amortization; (e) amortization of pension and postretirement actuarial losses; (f) restructuring, impairment and plant closing and transition costs; and further adjusted for certain other items set forth in the reconciliation of net income (loss) to adjusted EBITDA in Table 4 above.

 

Adjusted net income (loss) and adjusted diluted income (loss) per share are computed by eliminating the after tax impact of the following items from net income (loss): (a) net income attributable to noncontrolling interests; (b) amortization of pension and postretirement actuarial losses; (c) restructuring, impairment and plant closing and transition costs; and further adjusted for certain other items set forth in the reconciliation of net income (loss) to adjusted net income (loss) in Table 4 above. The income tax impacts, if any, of each adjusting item represent a ratable allocation of the total difference between the unadjusted tax expense and the total adjusted tax expense, computed without consideration of any adjusting items using a with and without approach.

 

We may disclose forward-looking adjusted EBITDA because we cannot adequately forecast certain items and events that may or may not impact us in the near future, such as business acquisition and integration expenses and purchase accounting inventory adjustments, certain legal and other settlements and related expenses, gains on sale of businesses/assets and certain tax only items, including tax law changes not yet enacted. Each of such adjustment has not yet occurred, is out of our control and/or cannot be reasonably predicted. In our view, our forward-looking adjusted EBITDA represents the forecast net income on our underlying business operations but does not reflect any adjustments related to the items noted above that may occur and can cause our adjusted EBITDA to differ.

 

(2)Management internally uses free cash flow measure: (a) to evaluate our liquidity, (b) evaluate strategic investments, (c) plan stock buyback and dividend levels and (d) evaluate our ability to incur and service debt. Free cash flow is defined as net cash provided by operating activities less capital expenditures. Free cash flow is not a defined term under U.S. GAAP, and it should not be inferred that the entire free cash flow amount is available for discretionary expenditures.

 

(3)During the first quarter 2023, we completed the divestiture of our Textile Effects business, which is reported as discontinued operations on the income and cash flow statements and held for sale on the December 31, 2022 balance sheet.

 

(4)We believe the adjusted effective tax rate provides improved comparability between periods through the exclusion of certain items that management believes are not indicative of the businesses’ operational profitability and that may obscure underlying business results and trends. In our view, effective tax rate is the performance measure calculated and presented in accordance with U.S. GAAP that is most directly comparable to adjusted effective tax rate. The reconciliation of historical adjusted effective tax rate and effective tax rate is set forth in Table 4 above. Please see the reconciliation of our net income to adjusted net income in Table 4 for details regarding the tax impacts of our non-GAAP adjustments.

 

Our forward-looking adjusted effective tax rate is calculated based on our forecast effective tax rate, and the range of our forward-looking adjusted effective tax rate equals the range of our forecast effective tax rate. We disclose forward-looking adjusted effective tax rate because we cannot adequately forecast certain items and events that may or may not impact us in the near future, such as business acquisition and integration expenses and purchase accounting inventory adjustments, certain legal and other settlements and related expenses, gains on sale of businesses/assets and certain tax only items, including tax law changes not yet enacted. Each of such adjustment has not yet occurred, is out of our control and/or cannot be reasonably predicted. In our view, our forward-looking adjusted effective tax rate represents the forecast effective tax rate on our underlying business operations but does not reflect any adjustments related to the items noted above that may occur and can cause our effective tax rate to differ.

 

(5)Net debt is a measure we use to monitor how much debt we have after taking into account our total cash. We use it as an indicator of our overall financial position, and calculate it by taking our total debt, including the current portion, and subtracting total cash.

 

- 9 -

 

 

About Huntsman:

 

Huntsman Corporation is a publicly traded global manufacturer and marketer of differentiated and specialty chemicals with 2023 revenues of approximately $6 billion from our continuing operations. Our chemical products number in the thousands and are sold worldwide to manufacturers serving a broad and diverse range of consumer and industrial end markets. We operate more than 60 manufacturing, R&D and operations facilities in approximately 25 countries and employ approximately 6,000 associates within our continuing operations. For more information about Huntsman, please visit the company's website at www.huntsman.com. 

 

Social Media:

 

Twitter: www.twitter.com/Huntsman_Corp
Facebook: www.facebook.com/huntsmancorp
LinkedIn: www.linkedin.com/company/huntsman

 

Forward-Looking Statements:

 

This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements include statements concerning our plans, objectives, goals, strategies, future events, future revenue or performance, capital expenditures, financing needs, plans or intentions relating to acquisitions, divestitures or strategic transactions, business trends and any other information that is not historical information. When used in this press release, the words "estimates," "expects," "anticipates," "likely," "projects," "outlook," "plans," "intends," "believes," "forecasts," or future or conditional verbs, such as "will," "should," "could" or "may," and variations of such words or similar expressions are intended to identify forward-looking statements. These forward-looking statements, including, without limitation, management's examination of historical operating trends and data, are based upon our current expectations and various assumptions and beliefs. In particular, such forward-looking statements are subject to uncertainty and changes in circumstances and involve risks and uncertainties that may affect the Company's operations, markets, products, prices and other factors as discussed in the Company's filings with the Securities and Exchange Commission (the "SEC"). Significant risks and uncertainties may relate to, but are not limited to, increased energy costs in Europe, inflation and resulting monetary tightening in the US, geopolitical instability, volatile global economic conditions, cyclical and volatile product markets, disruptions in production at manufacturing facilities, reorganization or restructuring of the Company's operations, including any delay of, or other negative developments affecting the ability to implement cost reductions and manufacturing optimization improvements in the Company's businesses and to realize anticipated cost savings, and other financial, operational, economic, competitive, environmental, political, legal, regulatory and technological factors. Any forward-looking statement should be considered in light of the risks set forth under the caption "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2023, which may be supplemented by other risks and uncertainties disclosed in any subsequent reports filed or furnished by the Company from time to time. All forward-looking statements apply only as of the date made. Except as required by law, the Company undertakes no obligation to update or revise forward-looking statements to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events.

 

- 10 -

 

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Cover
Feb. 21, 2024
Cover [Abstract]  
Document Type 8-K
Amendment Flag false
Document Period End Date Feb. 21, 2024
Entity File Number 001-32427
Entity Registrant Name Huntsman Corporation
Entity Central Index Key 0001307954
Entity Tax Identification Number 42-1648585
Entity Incorporation, State or Country Code DE
Entity Address, Address Line One 10003 Woodloch Forest Drive
Entity Address, City or Town The Woodlands
Entity Address, State or Province TX
Entity Address, Postal Zip Code 77380
City Area Code 281
Local Phone Number 719-6000
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, par value $0.01 per share
Trading Symbol HUN
Security Exchange Name NYSE
Entity Emerging Growth Company false
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