OAKLAND, CA, May 5, 2017 (RISI) -The transcript of Tronox’s first quarter 2017 financial results conference call on May 4, 2017, with CEO Thomas J. Casey, is now available at Seeking Alpha.
EXCERPT:Our TiO2 business exceeded the very aggressive goals we set for our first quarter performance. Driving this strong performance in TiO2 were higher pigment selling prices, up 4% sequentially and up 16% above prior year; higher sales volumes including the highest single-month pigment sales volume since June of 2009, which we achieved in March; significantly higher titanium feedstock and zircons sales as well as continued cost savings from our Operational Excellence program.
We see the momentum in our TiO2 business continuing across the balance of this year and expect to benefit from additional set pigment selling price increases, firming conditions in titanium feedstock and co-products markets, and continued margin expansion sourced from top line growth in both pigment and historically higher margin feedstock as well as cost savings from our Operational Excellence program.
Our Alkali business delivered adjusted EBITDA of $38 million and free cash flow of $41 million in the quarter, despite record severe winter weather conditions at our Wyoming production facility, which impacted adjusted EBITDA by $4 million in the quarter.
The first quarter was certainly a milestone one for Tronox, marked by the signing of a definitive agreement to acquire Cristal's TiO2 business. Our integration planning is actively underway, so that we can from day one realize the substantial value creation enabled by this combination.
We also began a process to market our Alkali business and have received strong initial expressions of interest from both strategic and financial parties. At the same time, we continue our laser-like focus on generating high performance from our current portfolio. We are confident that 2017 will be a year of strong performance, and that 2018 will be a transformational one for Tronox.
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