Chemtrade Logistics Income Fund (CHE-UN) investor relations material

Business overview and strategy

• Leading industrial chemicals provider with a diversified portfolio serving critical industries such as water treatment, pulp and paper, refineries, and semiconductors.

• Vision 2030 targets $550–$600M in mid-cycle Adjusted EBITDA by 2030, with 5–10% annual growth focus.

• Strategic priorities include organic growth in water chemicals and ultrapure acid, operational excellence, and targeted acquisitions.

• Resilient business model with recession-resistant markets and significant regional market share.

• Commitment to sustainability and responsible care initiatives.

Financial performance and guidance

• 2026 Adjusted EBITDA guidance reaffirmed at $485–$525M, with a leverage ratio target of ~2.5x.

• Adjusted EBITDA margin improved by ~5 percentage points since 2021, with a 16% CAGR from 2021–2025.

• Distributable cash flow CAGR of ~18% (2021–LTM Q2 2026), with average conversion of 45%.

• Total unitholder return of ~125% over the last three years.

• Distribution increased 20% since 2023, with a sub-50% payout ratio and 4% yield.

Segment highlights

• Acid & Sulphur Products (ASP): Q2 2026 revenue up 32.4% YoY, driven by higher selling prices for merchant and Regen acid.

• Water Solutions (WS): Q2 2026 revenue up 30.8% YoY, boosted by the Polytec acquisition and higher selling prices.

• Electrochemicals (EC): Q2 2026 revenue down 7.1% YoY due to lower chlor-alkali prices and volumes; biennial maintenance impacted EBITDA.

• Water treatment chemicals market expected to grow at 5% CAGR (2023–2033), with Chemtrade positioned as a leading supplier.