Chemours Cuts Costs by $140 Million as Titanium Dioxide Prices Drop 5%

In a strategic move to enhance profitability, Chemours has successfully reduced costs by $140 million in its titanium dioxide segment, despite facing a 5% decline in product prices. The company reported a 1% increase in sales volume, indicating a positive response to its cost-saving measures.

For the fourth quarter of 2024, Chemours posted net sales of $1.4 billion, remaining stable compared to the previous year. Adjusted EBITDA for the quarter was approximately $179 million, consistent with last year’s figures. However, for the full year, total net sales reached $5.8 billion, representing a 4.92% decrease from $6.1 billion in 2023. The adjusted EBITDA for the year fell by 21.4% to $786 million.

The titanium dioxide business generated $2.6 billion in net sales for 2024, down 4% year-over-year. Despite the drop in prices, the segment's adjusted EBITDA increased by 8%, reaching $312 million, and its profit margin rose to 12%. Chemours attributes this growth mainly to its transformation efforts that yielded significant cost savings.

Looking ahead, Chemours anticipates that net sales for titanium dioxide will face substantial adjustments in the first quarter of 2025, with a potential decrease in adjusted EBITDA. However, sales volumes are expected to remain stable. The company also announced a leadership change, with Damián Gumpel stepping in as the new president of the titanium technology business.