Sociedad Quimica y Minera de Chile S.A. (SQM) logged earnings of 42 cents per share in fourth-quarter 2024, down from 71 cents per share registered in the year-ago quarter. Earnings per share also fell short of the Zacks Consensus Estimate of 52 cents.Find the latest earnings estimates and surprises on Zacks Earnings Calendar.SQM generated revenues of $1,073.8 million in the quarter, down around 18% year over year. The figure beat the Zacks Consensus Estimate of $1,010 million. SQM’s Segment HighlightsReven ...

Sociedad Química y Minera de Chile S.A. (NYSE:SQM) Q4 2024 Earnings Conference Call March 5, 2025 10:00 AM ET Company Participants Isabel Bendeck - Investor Relations Officer Gerardo Illanes - Vice President Services and Finance Carlos Díaz Ortiz - General Manager, Lithium Potassium Division Pablo Altimiras - General Manager, Nitrates Iodine Division Mark Fones - Vice President of Strategies and M&A Lithium Felipe Smith - Commercial Vice President of Lithium Juan Pablo Bellolio - Commercial Vice President ...

Sociedad Química y Minera de Chile (NYSE: SQM ) shares are trading near 5-year lows due to declining revenue, mainly due to the decreasing spot price of lithium, which represents a significant portion of their earnings. Their large market shareI have been investing in the stock market since I was 17 years old, and over the 25+ years since I have learned the joy of compounding, the value of dividend reinvesting, and the principle that patient investing through good times and bad brings the greatest rewards. ...

Sociedad Quimica y Minera de Chile S.A. (SQM) logged a profit of $131.4 million or 46 cents per share in third-quarter 2024. The figure marks a decline from a profit of $479.4 million or $1.68 per share registered in the year-ago quarter. Earnings per share also fell short of the Zacks Consensus Estimate of 64 cents per share.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.SQM generated revenues of $1,076.9 million in the quarter, down around 41% year over year. The figure missed the ...

Financial Data and Key Metrics Changes - The company reported positive volume growth in almost all business lines compared to the previous year, with Specialty Plant Nutrition volumes growing over 20% year-on-year and revenues increasing by more than 12% despite lower prices [8] - Lithium sales volumes reached over 51,000 metric tons, reflecting an 18% year-on-year growth, although average realized prices were 24% lower than the previous quarter [11][12] - The company expects to achieve sales volumes close to 195,000 tons for the year, maintaining its guidance despite pricing pressures [16] Business Line Data and Key Metrics Changes - Specialty Plant Nutrition showed solid dynamics with a market size recovery, contributing to revenue growth [8] - In Iodine, there has been a subtle but continued price increase since the beginning of the year, driven by strong demand and limited supply [9] - Lithium sales are under pressure from a temporary oversupply, but demand remains strong, particularly from the EV market [11][12] Market Data and Key Metrics Changes - The global lithium demand is expected to surpass 1.1 million tons this year, with a forecasted growth of 16% to 18% annually for the next five years [27] - The iodine market is estimated to be around 38,000 to 39,000 tons, with a projected growth of 7% this year, primarily driven by the contrast media industry [31] Company Strategy and Development Direction - The company is focused on increasing production efficiency and expanding capacity through projects like the seawater pipeline [9] - SQM is committed to developing its lithium projects in Chile and abroad, capitalizing on the clean energy transition [13] - The company plans to ramp up production at the Mt. Holland project, with expectations of producing between 110,000 to 130,000 tons of spodumene concentrate this year [18][46] Management's Comments on Operating Environment and Future Outlook - Management believes current lithium market prices are not at equilibrium, with demand continuing to grow while prices remain below incentive levels for new projects [12] - The company is optimistic about the specialty fertilizer market and expects stable price behavior in the midterm [8] - Management is confident in the long-term value of the Kwinana refinery and the overall lithium industry despite potential challenges during commissioning [24] Other Important Information - The company is currently under an SEC investigation related to compliance with anti-corruption laws, and is cooperating with the inquiry [39][40] - The agreement with Codelco is progressing as expected, with no specific issues reported in negotiations with local communities [36][37] Q&A Session Summary Question: Does SQM need to cut volume to help support the market? - The company plans to increase sales in line with production and does not anticipate any curtailments [16] Question: Update on Mt. Holland spodumene and conversion plant? - The concentrator is expected to produce 110,000 to 130,000 tons of spodumene concentrate this year, with the conversion plant 91% constructed and commissioning ongoing [18][20] Question: Outlook for lithium market in 2025? - Demand is expected to remain strong, with projections of 3 million tons by the end of the decade, driven primarily by the EV market [27][28] Question: Update on iodine market and new capacity? - The iodine market is expected to grow around 7% this year, with new supply anticipated in 2025 and 2026, but demand is expected to outpace supply [31][32] Question: Status of SEC investigation? - The company is cooperating with the SEC's inquiry and has initiated an internal review to address the request for information [39][40]

3Q2024 RESULTS PRESENTATION November 2024 Customary note regarding forward-looking statements This presentation release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "plan," "believe," "estimate," "expect," "strategy," "should," "will" and similar references to future periods. Examples of forward-looking statements include, among ...

Highlights SQM reported total revenues for the nine months ended September 30, 2024 of US$3,455.0 million compared to total revenues of  US$6,155.9 million for the same period last year.  Net loss(1),(2) for the nine months ended September 30, 2024 of (US$524.5) million or (US$1.84) per share, compared to net income(2) of  US$1,809.5 million or US$6.33 per share for the same period last year. Solid sales volumes in lithium, iodine, and fertilizer businesses. SPN and Potassium bu ...

Financial Performance - SQM reported total revenues of US$3,455.0 million for the nine months ended September 30, 2024, a decrease of 43.9% compared to US$6,155.9 million for the same period last year[3]. - The company experienced a net loss of US$524.5 million or US$1.84 per share for the nine months ended September 30, 2024, compared to a net income of US$1,809.5 million or US$6.33 per share for the same period last year[3]. - Gross profit for the nine months ended September 30, 2024, was US$1,033.3 million, representing 29.9% of revenues, down from US$2,674.3 million or 43.4% of revenues for the same period in 2023[3]. - Total revenues for Q3 2024 were $1,076.9 million, a decrease of 41.5% compared to $1,840.3 million in Q3 2023[50]. - Gross profit for Q3 2024 was $280.8 million, down 62.8% from $753.6 million in Q3 2023[50]. - Net income for Q3 2024 was $131.4 million, compared to $479.4 million in Q3 2023, representing a decrease of 72.6%[50]. Revenue Breakdown - Lithium and derivatives revenues totaled US$1,709.3 million for the nine months ended September 30, 2024, a decrease of 61.1% compared to US$4,388.7 million for the same period in 2023[7]. - Specialty Plant Nutrition revenues increased to US$717.3 million for the nine months ended September 30, 2024, a slight increase from US$690.2 million reported for the same period in 2023[10]. - Iodine and derivatives revenues totaled US$742.8 million for the nine months ended September 30, 2024, an increase of 10.2% compared to US$674.0 million for the same period in 2023[16]. - Potassium revenues for the nine months ended September 30, 2024, totaled US$204.9 million, representing a 10.2% decrease from US$228.2 million in the same period of 2023[23]. - Industrial chemicals revenues for the nine months ended September 30, 2024, reached US$61.0 million, a 61.0% decrease from US$156.4 million in the same period of 2023[25]. - Lithium and derivatives revenue dropped to $497.2 million from $1,277.9 million year-over-year, reflecting a decline of 61.1%[50]. Sales Volumes - Lithium sales volumes reached over 51,200 metric tons for the third quarter of 2024, an 18% increase year-on-year[8]. - Specialty Plant Nutrition sales volumes increased by 21% year-on-year for the nine months ended September 30, 2024, totaling 745.3 thousand metric tons[13]. - Potassium sales volumes for the nine months ended September 30, 2024, were 528.6 thousand metric tons, a 23% increase from 430.5 thousand metric tons in the same period of 2023[23]. - Industrial nitrates sales volumes for the nine months ended September 30, 2024, were 41.1 thousand metric tons, a 76% decrease from 168.1 thousand metric tons in the same period of 2023[29]. Profitability and Expenses - Adjusted EBITDA for the nine months ended September 30, 2024, was US$1,155.4 million, with an adjusted EBITDA margin of 33.4%, compared to US$2,752.5 million and a margin of 44.7% for the same period in 2023[37]. - Net financial expenses for the nine months ended September 30, 2024, totaled US$82.8 million, compared to US$3.9 million for the same period in 2023[33]. - Income tax expense for the nine months ended September 30, 2024, reached US$1,301.1 million, compared to US$719.3 million during the same period in 2023[34]. - Administrative expenses totaled US$132.2 million (3.8% of revenues) for the nine months ended September 30, 2024, compared to US$126.8 million (2.1% of revenues) for the same period in 2023[32]. - Cost of sales amounted to US$2,421.7 million for the nine months ended September 30, 2024, a decrease of 30.4% compared to US$3,481.5 million for the same period in 2023[31]. Financial Position - The company reported a liquidity ratio of 2.9, indicating strong short-term financial health[48]. - Total current assets remained stable at $5,608.1 million as of September 30, 2024[48]. - Total assets were reported at $11,290.5 million, unchanged from the previous quarter[48]. - Shareholders' equity stood at $5,123.0 million, consistent with the previous reporting period[48]. Future Outlook - The company anticipates future growth driven by the development of the Salar Futuro Project and partnerships, including with Codelco[52]. - SQM aims to maintain its leading position in the lithium, potassium nitrate, iodine, and thermo-solar salts markets through innovation and technological development[51].

Two of these lithium stocks look a lot riskier than the third. The bull run on lithium stocks seems to have run its course. Last week, lithium stocks exploded higher after British mining giant Rio Tinto Group (RIO 0.70%) announced it was buying Arcadium Lithium (ALTM -0.36%) for $6.7 billion, a move that seemed to signal that the cyclical lithium market has hit bottom and is ready to bounce back. Shares of lithium companies entirely unrelated to that specific transaction also surged, with Piedmont Lithium ( ...

SQM's Role in Global Markets Sociedad Química y Minera de Chile S.A. (SQM, Financial), based in Chile, has established itself as one of the world's leading producers of lithium, iodine, and potassium derivatives. Their global sales and production presence is spanned across multiple continents, with numerous Commercial Offices, Joint Ventures, Production Plants, and Mining Operations across North America, Europe, South America, with the bulk of sales being generated from Asia, and Oceania. Among their produc ...