Q1 2019 Earnings Presentation 5.8.19 1 Safe HarborStatement - PowerPoint PPT Presentation

Q1 2019 Earnings Presentation 5.8.19 1

Safe HarborStatement Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements in this presentation are forward- looking statements. In some cases, you can identify these statements by forward-looking words such as “may,” “might,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” the negative of these terms and other comparable terminology. These forward-looking statements, which are subject to risks, uncertainties and assumptions about us, may include projections of our future financial performance, our anticipated growth strategies and anticipated trends in our business. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements, including a decline in the growth in demand for electric vehicles; adverse global economic conditions; the success of our research and development efforts; volatility in the price for performance lithium compounds; risks relating to our planned production expansion and related capital expenditures; reduced customer demand, or delays in the growth of customer demand, for higher performance lithium compounds; the potential development and adoption of battery technologies that do not rely on performance lithium compounds as an input; risks inherent in international operations and sales, including political, financial and operational risks specific to Argentina and other countries where we have active operations, including China; customer concentration and the possible loss of, or significant reduction in orders from, large customers; failure to satisfy customer quality standards; fluctuations in the price of energy and certain raw materials; failure to achieve the expected benefits of our separation from FMC as well as the other factors described under the caption entitled “Risk Factors” in our 2018 Form 10-K filed with the Securities and Exchange Commission on February 28, 2019. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance or achievements. Moreover, neither we nor any other person assumes responsibility for the accuracy and completeness of any of these forward- looking statements. We are under no duty to update any of these forward-looking statements after the date of this presentation to conform our prior statements to actual results or revisedexpectations. Non-GAAP FinancialTerms These slides contain certain non-GAAP financial terms. We have provided on our website at www.livent.com reconciliations of non-GAAP terms to the most directly comparable GAAP term, including adjusted earnings per share, Adjusted EBITDA and adjusted cash from operations. Although we provide forecasts for adjusted earnings per share, Adjusted EBITDA and adjusted cash from operations, we are not able to forecast the most directly comparable measures calculated and presented in accordance with GAAP. Certain elements of the composition of the GAAP amounts are not predictable, making it impractical for us to forecast such GAAP measures or to reconcile corresponding non-GAAP financial measures to such GAAP measures without unreasonable efforts. For the same reason, we are unable to address the probable significance of the unavailable information.. Such elements include, but are not limited to restructuring, transaction related charges and related cash activity. As a result, no GAAP outlook is provided. 2

Reported Financial Results Q1 2019 2018 '19 vs. '18 Revenue $98 $103 (4%) Volume: 8% F/X: (1%) Price/Mix: (11%) Adjusted $28 $47 (41%) EBITDA (1) GAAP $17 $32 (48%) Net Income Note: Amounts in millions of USD. 3 (1) Denotes non-GAAP financial term.

Q1 Adj. EBITDA (1) Bridge $50.3 $2.4 $46.8 ($3.5) ($11.2) $27.6 ($10.1) ($0.3) FMC Carve out Adj. Volume Price / Cost F/X Adj. Segment Accounting EBITDA Mix & Other EBITDA (1) (1) EBITDA Adj. Q1 2018 Q1 2019 Q1 2018 Note: Amounts in millions of USD. 4 (1) Denotes non-GAAP financial term.

Key Market Drivers Today Future • • Delayed production of nickel-rich EV growth continues to accelerate as cathode materials that require highest evidenced by Q1 sales data and grade hydroxide announced model launches • • Higher LFP production, where either Shift to nickel-rich cathode technologies hydroxide or carbonate can be used increasingly OEM driven • • Oversupply in spodumene combined Customer qualification requirements with high carbonate inventory levels at continue to tighten customers driving carbonate prices • Lithium production and capacity down additions slowing down, with pressure on investment economics 5

Q2 2019 Outlook Q2 2018A Q2 2019E Revenue $108 $105 - $115 Adj. EBITDA (1) $48 $26 - $30 Adj. EPS (1)(2) 23¢ 11¢ - 14¢ Note: Amounts in millions of USD. (1) Denotes non-GAAP financial term. 6 (2) Adjusted EPS calculated using approximately 146 million shares outstanding.

Q2 2019 Adj. EBITDA Guidance Reconciliation Low High Commentary Q2 2018A Adj. EBITDA (1) $48 • Higher hydroxide volumes from third China facility coming online Volume / Product Mix 5 - 6 • Decline in carbonate sales • Higher sales on short-term contracts • Price / Customer Mix (16) - (14) Continued customer mix impact • FX (RMB, EUR) • Rain impact Costs & Other (11) - (10) • VAT • Raw materials Q2 2019E Adj. EBITDA (1) Guidance $26 - $30 Note: Amounts in millions of USD. 7 (1) Denotes non-GAAP financial term.

Full Year 2019 Outlook Full Year 2018A Revised Full Year 2019E Revenue $443 $435 - $475 Adj. EBITDA (1) $183 $125 - $145 Adj. EPS (1)(2) 91¢ 56¢ - 66¢ Note: Amounts in millions of USD. (1) Denotes non-GAAP financial term. 8 (2) Adjusted EPS calculated using approximately 146 million shares outstanding.

Full Year Production Balance (000 kT) 2018A 2019E Commentary Hydroxide (product tons) 15.9 18.5 - 20.5 Small portion consumed internally (~0.5) Carbonate required 14.0 16.5 - 18.0 ~0.9x conversion rate Carbonate produced internally 17.2 17.0 - 18.0 Purchased Carbonate (1) -- 2.0 - 3.0 ~0.5 purchased through first half of 2019 Total LCE's available for sale as Hydroxide or Carbonate 17.2 19.0 - 21.0 Plus: Chloride (LCE basis) 3.8 3.8 Consumed internally (Butyllithium, HPLM, etc.) Total LCE's available 21.0 22.8 - 24.8 9 (1) 3 rd party purchased carbonate is used as a feedstock for lithium hydroxide production in China.

Full Year 2019 Adj. EBITDA Guidance Reconciliation Low High Commentary 2018A Adj. EBITDA (1) $183 • Higher hydroxide and butyllithium volumes Volume / Product Mix 8 - 14 • Lower carbonate volumes • Negative hydroxide customer mix • More sales on short-term contracts in China • Price / Customer Mix (45) - (35) Significantly lower carbonate pricing • Butyllithium and high purity lithium metal price increases • Negative FX (RMB, EUR) • VAT incurred on exports out of China • Argentina rain impact Costs & Other (21) - (17) • Negative FX (ARS, GBP) • Higher raw material costs (metal and solvents) 2019E Adj. EBITDA (1) Guidance $125 $145 Note: Amounts in millions of USD. 10 (1) Denotes non-GAAP financial term.

Cash Flow and Capital Spending Through Q1 Full Year 2019 2018 '19 vs. '18 2019 Outlook Cash From Operations (GAAP) ($1) ($1) $0 Adjusted Cash from Operations (1) $22 ($1) $23 $75 - $105 Capital Spending (1)(2) ($25) ($11) ($14) ($235) - ($265) Of which: Argentina ($20) ($6) ($14) (~$175) Hydroxide expansion & other ($5) ($5) ($0) (~$75) Note: Amounts in millions of USD. (1) Denotes non-GAAP financial term. 11 (2) Includes capital expenditures and other investing activities.

Lithium Carbonate and Hydroxide Expansion Timeline 2019 2020 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Camps constructed Argentina Water pipeline / water treatment constructed Infrastructure Other utilities, warehouses / buildings and infrastructure constructed Carbonate modules constructed Phase 1 Civil work completed Carbonate Phase 1 Modules shipped from China (9.5 kT) Mechanical Complete Modules installed Customer Hydroxide modules constructed Qualification Bessemer City Civil work completed Hydroxide Plant Modules (5 kT) Mechanical Shipped Complete Modules installed Source: Livent estimates. 12 Note: Timing guidance provided to the nearest quarter.

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