Albemarle Reports Results, Misses Estimates

Albemarle Corporation announced its results for the fourth quarter and full year 2019.

The company’s net sales in fourth quarter increased 8% to $993 million with an adjusted EBITDA of $295 million increasing 12%.

Its full year net sales increased 6% to $3.6 billion with an adjusted EBITDA of $1.04 billion increasing 3%.

Net sales in the Lithium business were $411 million, up roughly 20% prior-year quarter. Net sales grew because of favorable volume of 27%, largely in battery-grade lithium hydroxide.

Net sales in the Catalysts business were $282.5 million, down roughly 7% prior-year quarter. Fall in sales of Clean Fuel Technology, or HPC, and Fluid Catalytic Cracking (FCC) Catalysts due to delays in the start-up of new FCC units, partially offset by favorable price impacts and product mix caused the decline.

Net sales in the Bromine Specialties business were $243.5 million, up roughly 2% prior-year quarter. Net sales increased due to favorable price impacts and product mix of 3%.

“Our ability to integrate, execute and adapt to market conditions contributed to our strong growth and notable achievements this year,” said CEO Luke Kissam. “In 2019, we saw solid performances across our portfolio and expanded our market-leading position in Lithium with additional high-quality resources and greater nameplate conversion capacity.”

Albemarle anticipates its 2020 performance to be lower year-over-year based on expected lower results from Lithium and flat-to-slightly lower results from Bromine Specialties, partially offset by flat to slightly higher results from Catalysts.