NYSE$ALB

Albemarle Corporation · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Albemarle's net sales increased ~3x and full-year net sales exceeded $7 billion.

Albemarle Corporation reported a significant increase in net sales for Q4 2022, nearly tripling compared to the prior-year quarter, driven by higher lithium prices and increased volumes. Net income also saw a substantial rise, reaching $1.1 billion, while adjusted EBITDA increased by 444%.

  • Net sales increased by 193% to $2.6 billion.
  • Net income reached $1.1 billion, or $9.60 per diluted share.
  • Adjusted diluted EPS increased by 753% to $8.62.
  • Adjusted EBITDA increased by 444% to $1.2 billion.

Headline financials

Total Revenue

$2.62B

Previous: $894M+193.1%
EPS (adj)

$8.62

Previous: $1.01+753.5%
Adjusted EBITDA

$1.24B

Previous: $229M+443.8%
Capital Expenditures

$446M

Previous: $301M+48.1%
Free Cash Flow

$507M

Previous: -$447M+213.3%
Net Income

$1.13B

Previous: -$3.8M+29901.2%
Operating Income

$833M

Previous: -$31.3M+2762.6%
Gross Profit

$1B

Previous: $237M+323.2%
Cash & Equivalents

$1.5B

Previous: $439M+241.5%
Total Assets

$15.5B

Previous: $11B+40.8%
Stock-Based Comp

$5.83M

Previous: $5.45M+6.8%

Revenue & EPS history

Albemarle · Revenue · Quarterly

$2.62B

Q4 2022+193.1%vs Q4 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Albemarle · $2.62B total across 3 segments · Q4 2022

  • Energy Storage
    $2.07B
  • Specialties
    $319M
  • Ketjen
    $236M

Forward guidance

Full-year 2023 guidance remains unchanged from the January update, and reflects strong growth with an increase in net sales of about 55% to 75% from 2022 primarily driven by market demand and continued favorable pricing for lithium. Adjusted EBITDA is expected to increase 20% - 45%, with adjusted diluted EPS up to 50% year-over-year. The company expects to maintain positive cash flow even while increasing capital expenditures to between $1.7 billion and $1.9 billion for 2023.

Tailwinds

  • Net sales are estimated to range between $11.3 to $12.9 billion.
  • Adjusted EBITDA is estimated between $4.2 and $5.1 billion.
  • Energy Storage volumes are projected to be up 30-40% in 2023 compared to 2022.
  • Full year realized pricing is expected to be up 55-65% vs. prior year, assuming flat pricing to fourth quarter 2022.
  • The company expects to maintain positive cash flow even while increasing capital expenditures to between $1.7 billion and $1.9 billion for 2023.

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 Q4 2022

Historical avgQ4 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%

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