Highlights
- SQM reported net income for the nine months ended
September 30, 2023 of US$1,809.5 million compared to US$2,755.3 million for the same period last year.
Earnings per share totaled US$6.33
for the nine months ended September 30,
2023.
- Revenues for the nine months ended September 30, 2023, reached US$6,155.9 million compared to US$7,577.0 million reported for the same period
last year.
- SQM received IRMA 75, the highest score to date, for its
lithium mining operation in the Salar de Atacama.
- Total contribution to the Chilean treasury amounted to
approximately US$2.4 billion for the
nine months ended September 30,
2023.
SQM will hold a conference call to discuss these results on
Thursday, November 16, at
10:00am ET (12:00pm Chile
time).
Participant Dial-In (Toll Free): 1-844-282-4852
Participant International Dial-In: 1-412-317-5626
Webcast:
https://event.choruscall.com/mediaframe/webcast.html?webcastid=o4InH7e7
SANTIAGO, Chile, Nov. 15, 2023 /PRNewswire/ -- Sociedad Química y
Minera de Chile S.A. (SQM) (NYSE: SQM; Santiago Stock Exchange:
SQM-B, SQM-A) reported today earnings for the nine months ended
September 30, 2023, of
US$1,809.5 million (US$6.33 per ADR), a decrease of approximately
34.3% from US$2,755.3 million
(US$9.65 per ADR) for the nine months
ended September 30, 2022.
Gross profit reached US$2,674.3 million (43.4% of revenues) for the
nine months ended September 30, 2023,
lower than US$4,094.8 million (54.0%
of revenues) recorded for the nine months ended September 30, 2022. Revenues totaled
US$6,155.9 million for the nine
months ended September 30, 2023,
representing a decrease of approximately 18.8% compared to
US$7,577.0 million reported for the
nine months ended September 30,
2022.
The Company also announced earnings for the third quarter of
2023 of US$479.4 million
(US$1.68 per share), a decrease of
approximately 56.4% compared to US$1,099.9
million (US$3.85 per share)
for the third quarter of 2022. Gross profit for the third quarter
of 2023 reached US$753.6 million,
approximately 53.8% lower than the US$1,632.7 million reported for the third quarter
2022. Revenues totaled US$1,840.3
million for the third quarter of 2023, a decrease of
approximately 37.8% compared to US$2,958.3
million for the third quarter of 2022.
SQM's Chief Executive Officer, Ricardo
Ramos, stated: "The third quarter 2023 results were impacted
by significantly lower average sales prices in lithium and
fertilizer business lines, partially offset by higher sales
volumes, when compared to the same period last year, and higher
iodine sales prices. When compared to the second quarter this year,
our third quarter earnings were lower by 17%, mainly due to lower
realized lithium prices. We continue to see strong fundamentals
behind long-term lithium demand growth, supported by strong EV
sales volumes and decarbonization targets across the globe.
However, the excess of inventory accumulated across battery and
lithium chemical supply chains, particularly in Asia, as well as additional lithium supply,
have put pressure on lithium market prices and could continue to
have a negative impact on lithium prices in the short-term."
He continued by saying: "As we continue with our expansions in
Chile, our lithium carbonate
capacity has reached 200,000 metric ton per year, and we expect to
complete the expansion to 210,000 metric tons in the beginning of
2024, earlier than anticipated. This will enable us to redirect our
attention to lithium production cost, ensuring that we maintain our
cost competitive position. In Australia, the first production of spodumene
concentrate at Mt. Holland is
expected during this quarter, while in China, we have commenced lithium hydroxide
production from lithium sulfate."
He finished by saying: "In September this year, our operations
in the Salar de Atacama received IRMA 75 from the Initiative for
Responsible Mining Assurance (IRMA), making us the first lithium
company to reach this level. The on-site audit took place last
year, as SQM committed to an independent assessment of its Salar de
Atacama operations to provide increased transparency for all
stakeholders. The ranking is an additional reinforcement of SQM's
commitment to transparency of its operations and to produce the
world's most sustainable lithium. We will continue our
collaboration with the communities surrounding the Salar de Atacama
and to work on further reducing our environmental footprint."
SQM´s total contribution to the Chilean treasury reached close
to US$2.4 billion for the first nine
months of 2023, including payments related to the public-private
alliance with CORFO.
About SQM
SQM is a global company that is listed on the New York Stock
Exchange and the Santiago Stock Exchange (NYSE: SQM; Santiago Stock
Exchange: SQM-B, SQM-A). SQM develops and produces diverse products
for several industries essential for human progress, such as
health, nutrition, renewable energy and technology through
innovation and technological development. We aim to maintain our
leading world position in the lithium, potassium nitrate, iodine
and thermo-solar salts markets.
For further information, contact:
Gerardo Illanes 56-2-24252022 /
gerardo.illanes@sqm.com
Irina Axenova 56-2-24252280 /
irina.axenova@sqm.com
Isabel Bendeck 56-2-24252074 /
isabel.bendeck@sqm.com
For media inquiries, contact:
Maria Ignacia Lopez /
ignacia.lopez@sqm.com
Pablo Pisani /
pablo.pisani@sqm.com
Cautionary Note Regarding Forward-Looking Statements
This news 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 others, statements we
make concerning the Company's capital expenditures, financing
sources, Sustainable Development Plan, Salar Futuro Plan, business
and demand outlook, future economic performance, anticipated sales
volumes, profitability, revenues, expenses, or other financial
items, anticipated cost synergies and product or service line
growth.
Forward-looking statements are neither historical facts nor
assurances of future performance. Instead, they are estimates that
reflect the best judgment of SQM management based on currently
available information. Because forward-looking statements relate to
the future, they involve a number of risks, uncertainties and other
factors that are outside of our control and could cause actual
results to differ materially from those stated in such statements,
including our ability to successfully implement the Sustainable
Development Plan. Therefore, you should not rely on any of these
forward-looking statements. Readers are referred to the documents
filed by SQM with the United States Securities and Exchange
Commission, including the most recent annual report on Form 20-F,
which identifies other important risk factors that could cause
actual results to differ from those contained in the
forward-looking statements. All forward-looking statements are
based on information available to SQM on the date hereof and SQM
assumes no obligation to update such statements, whether as a
result of new information, future developments or otherwise, except
as required by law.
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SOURCE Sociedad Quimica y Minera de Chile, S.A. (SQM)