Highlights
- SQM reported net income for the nine months ended September 30, 2022 of US$2,755.3 million compared to US$263.9 million for the same period the year
before. Earnings per share totaled US$9.65 for the first nine months of 2022, higher
than the US$0.92 reported for the
first nine months of 2021.
- Revenues for the nine months ended September 30, 2022, were US$7,577.0 million.
- During the nine months ended September
30, 2022, contributions to public coffers surpassed
US$3.6 billion.
SQM will hold a conference call to discuss these
results on Thursday, November 17, at
10:00am ET (12:00pm Chile
time).
Participant Dial-In (Toll
Free):
1-844-763-8274
Participant International Dial-In:
1-412-717-9224
Webcast:
https://services.choruscall.com/links/sqm221117.html
SANTIAGO, Chile, Nov. 16,
2022 /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, 2022, of
US$2,755.3 million (US$9.65 per ADR), an increase from US$263.9 million (US$0.92 per ADR) for the nine months ended
September 30, 2021.
Gross profit reached US$4,094.8 million (54.0% of revenues) for the
nine months ended September 30, 2022,
higher than US$547.3 million (30.8%
of revenues) recorded for the nine months ended September 30, 2021. Revenues totaled
US$7,577.0 million for the nine
months ended September 30, 2022,
representing an increase of 326% compared to US$1,778.0 million reported for the nine months
ended September 30, 2021.
The Company also announced earnings for the third quarter of
2022, reporting net income of US$1,099.9
million (US$3.85 per ADR)
compared to US$106.1 million
(US$0.37 per ADR) for the third
quarter of 2021. Gross profit for the third quarter of 2022 reached
US$1,632.7 million, higher than the
US$224.8 million recorded for the
third quarter of 2021. Revenues totaled US$2,958.3 million, an increase of approximately
347% compared to the third quarter of 2021, when revenues amounted
to US$661.6 million.
SQM's Chief Executive Officer, Ricardo
Ramos, stated: "We are very pleased with our results for the
first nine months of the year. We have believed in the lithium
market for many years, and as a result of this, we have invested
heavily in R&D and have quickly expanded capacity. During the
first nine months of the year, we were successfully able to surpass
our internal production goals in the business and our sales volumes
in the third quarter were the highest we have ever reported. In
addition, lithium prices continued to increase throughout the third
quarter. Our earnings reached record highs as a result of the
positive market conditions mentioned above and the investments and
risks SQM undertook over the past years, letting us contribute more
than US$3.6 billion to the public
coffers due our operations during the first nine months of the
year, which includes more than US$2.3
billion related to the successful public-private alliance
with CORFO."
He continued by saying, "Deepening our commitment with
developing a sustainable lithium industry in Chile, during the third quarter we announced
our plans related to the Salar Futuro project. We
believe that this plan will be beneficial for all stakeholders, and
we look forward to working with all of them to reduce our footprint
further than our previously announced goals by using innovation,
new technologies such as Advanced Evaporation Technologies (AET),
Direct Lithium Extraction (DLE) and by increasing yields and using
of sea water. The Salar Futuro project implies important
technological challenges, and investments for more than
US$1.5 billion, that would allow us
to have, here in Chile, the most
sustainable mining operation in the world. The initial tests allow
us to be optimistic; these are fundamental changes in the
technologies and processes currently. These plans could positively
change the way lithium mining is done globally and that makes us
very proud."
He added, "We continue to see strong signals regarding the
future demand growth of lithium. This year we believe demand growth
will be over 40% when compared to last year and for this reason we
continue to invest in new projects. In September, we announced the
purchase and development of a new plant in China, that will let us produce up to 30,000
metric tons of lithium hydroxide in China, from lithium sulfate coming from
Chile. In addition to this, today,
the board of Directors approved the first stages to expand our
lithium hydroxide capacity from 40,000 metric ton to 100,000 metric
ton in Chile. This expansion will
require a total investment of an additional US$360 million to the previously announced capex
plan and should be in full operation by 2025. Both projects will
allow us to have the flexibility to respond to future market needs
while keep on adding value to the Salar de Atacama operation."
He closed by saying, "Finally, during the past few months, we
have signed long term contracts for both lithium and iodine,
proving our commitment to our businesses and the mutual trust and
collaboration that we have with the main players in the industries
in which we operate".
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
Kelly O'Brien 56-2-24252074 /
kelly.obrien@sqm.com
Irina Axenova 56-2-24252280 /
irina.axenova@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, business outlook, future
economic performance, anticipated 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, specifically 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)