NYSE$ALB

Albemarle Corporation · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Albemarle's financial performance was marked by a significant increase in net sales and adjusted EBITDA, driven by strong demand for lithium-ion batteries.

Albemarle Corporation reported a net sales increase of 152% for the third quarter of 2022, reaching $2.1 billion. The company's adjusted EBITDA increased by 447% to $1.2 billion, and net income attributable to Albemarle Corporation was $897.2 million, or $7.61 per diluted share.

  • Net sales increased by 152% to $2.1 billion.
  • Net income was $897.2 million, or $7.61 per diluted share.
  • Adjusted EBITDA increased by 447% to $1.2 billion.
  • The company completed the acquisition of the Qinzhou lithium conversion plant in Guangxi China.

Headline financials

Total Revenue

$2.09B

Previous: $831M+151.9%
EPS (adj)

$7.50

Previous: $1.05+614.3%
Adjusted EBITDA

$1.2B

Previous: $218M+451.5%
Capital Expenditures

-$816M

Previous: -$653M-25.0%
Free Cash Flow

$81.3M

Previous: -$1.05B+107.8%
Net Income

$897M

Previous: -$393M+328.4%
Operating Income

$891M

Previous: $132M+577.4%
Gross Profit

$1.04B

Previous: $249M+318.7%
Cash & Equivalents

$1.38B

Previous: $595M+132.4%
Total Assets

$13.8B

Previous: $10.8B+27.7%
Stock-Based Comp

$9.42M

Previous: $6.24M+50.8%

Revenue & EPS history

Albemarle · Revenue · Quarterly

$2.09B

Q3 2022+151.9%vs Q3 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Albemarle · $2.09B total across 3 segments · Q3 2022

  • Energy Storage
    $1.5B+317.9%
  • Specialties
    $355M+27.8%
  • Ketjen
    $236M+21.8%

Forward guidance

Full-year 2022 outlook remains strong, with net sales expected to be more than double and adjusted EBITDA expected to be nearly four times 2021 results.

Tailwinds

  • Net sales expected to be $7.1 - $7.4 billion
  • Adjusted EBITDA expected to be $3.3 - $3.5 billion
  • Adjusted EBITDA Margin 46% - 47%
  • Adjusted Diluted EPS $19.75 - $21.75
  • Net Cash from Operations $1.45 - $1.65 billion

Headwinds

  • Bromine-related weakness in key end markets, including consumer and industrial electronics and building and construction.
  • Catalysts segment continues to experience natural gas pricing pressure related to the war in Ukraine and rising raw material costs.
  • Potential downside of volume shortfalls (e.g., delays in commissioning and production ramp up at expansion sites and qualifications for tolling) for the remainder of the year
  • Emerging softness in some end markets such as consumer and industrial electronics and building and construction for Bromine
  • Catalysts segment outlook for the full-year 2022 adjusted EBITDA expected to be down 45-65% year over year

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

+0.5%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+1.5%

Avg return

30 days after

60%

41 / 68 earnings

Positive

+20.0%

Q1 2022

Best reaction

-18.4%

Q4 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.3%+6.4%-19.2%
Q4 2025-9.4%-3.7%-9.8%
Q3 2025-0.3%+13.0%+36.1%
Q1 2025+1.3%-1.8%-4.8%
Q4 2024+3.5%+9.1%-1.8%
Q3 2024+0.2%+10.7%+5.2%
Q2 2024+0.7%-9.7%-2.4%
Q1 2024+4.1%+8.7%+1.9%
Q4 2023+4.7%+9.3%+8.9%
Q3 2023-1.7%-5.8%-0.5%
Q2 2023-4.2%-5.4%-3.7%
Q1 2023+1.3%+7.2%+20.2%
Q4 2022+5.5%-4.7%-23.0%
Q3 2022-1.6%+2.7%+1.9%
Q2 2022-3.7%+0.4%+6.6%
Q1 2022+20.0%+12.4%+27.2%
Q4 2021-18.4%-21.0%-17.9%
Q3 2021+4.9%+7.1%-3.3%
Q2 2021+5.6%+11.8%+16.9%
Q1 2021-5.7%-1.6%+7.1%
Q4 2020-12.8%-3.5%-6.6%
Q3 2020+8.1%+19.6%+42.6%
Q2 2020-2.3%+2.2%+11.0%
Q1 2020+2.2%+10.2%+44.2%
Q4 2019+6.3%+1.0%-39.7%
Q3 2019+6.0%+0.5%-4.6%
Q2 2019+12.3%+2.9%-3.4%
Q1 2019-4.3%-9.6%-8.9%
Q4 2018+7.4%+10.2%-0.5%
Q3 2018-1.8%-9.0%-17.8%
Q2 2018+6.6%+6.3%+5.4%
Q1 2018-2.3%-1.5%-5.3%
Q4 2017-8.8%-13.7%-15.8%
Q3 2017-1.6%+0.2%-8.8%
Q2 2017-3.5%-8.6%-0.8%
Q1 2017+0.3%+1.1%+5.3%
Q4 2016+9.2%+12.7%+13.0%
Q3 2016-0.9%-3.7%+6.4%
Q2 2016-2.7%-2.6%-2.9%
Q1 2016+11.0%
Q4 2015+4.2%
Q3 2015-9.6%
Q2 2015-3.5%
Q1 2015+4.7%
Q4 2014-15.3%
Q3 2014+0.5%
Q2 2014-8.8%
Q1 2014+1.6%
Q4 2013+2.6%
Q3 2013+5.0%
Q2 2013-3.0%
Q1 2013-6.3%
Q4 2012+0.4%
Q3 2012+3.6%
Q2 2012-3.0%
Q1 2012-0.6%
Q4 2008+1.2%
Q4 2011+1.2%
Q3 2011+8.5%
Q2 2011-1.1%
Q1 2010+3.6%
Q1 2011+1.2%
Q4 2010+2.7%
Q3 2010+1.5%
Q3 2009+1.5%
Q2 2010+1.3%
Q4 2009+1.3%
Q2 2009+1.3%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro