Eastman Chemical sees FY24 EPS $7.25-$8.00, consensus $7.85

Commenting on the outlook for full-year 2024, Costa said: “As we begin 2024, the global economic environment remains uncertain. Despite this uncertainty, we are confident in our ability to generate growth across our portfolio for a number of reasons. First, we continue to expect volume growth due to the absence of customer inventory destocking in our end markets, except medical and agriculture, which continue to destock in the first quarter. And we expect modest primary demand growth in some stable end markets while discretionary end markets remain flat. Second, we expect to benefit from revenue and earnings generated by our Kingsport methanolysis facility. Third, we also expect improved asset utilization to be a benefit after aggressively managing inventory across the company in 2023. Finally, we expect these tailwinds to be partially offset by lower price-cost negatively impacting margins, primarily in Chemical Intermediates. And we will manage costs to offset inflation while continuing to invest in growth and capabilities for long-term value creation. Taking this together, we expect 2024 EPS to be between $7.25 – $8.00 and for 2024 cash from operations to be approximately $1.4 billion.”