On November 1, 2023, Albemarle Corp (ALB, Financial), a global leader in providing essential elements for mobility, energy, connectivity, and health, announced its results for the third quarter ended September 30, 2023. The company reported a 10% increase in net sales, reaching $2.3 billion. Net income for the quarter was $302.5 million, or $2.57 per diluted share, and adjusted EBITDA stood at $453.3 million.
Financial Highlights
Albemarle Corp (ALB, Financial) reported a net sales increase of 10% for the third quarter of 2023, driven by higher volumes in its Energy Storage business. The company's net income for the quarter was $302.5 million, or $2.57 per diluted share. Adjusted EBITDA for the period was $453.3 million.
The company also signed agreements with Caterpillar Inc. to collaborate on solutions to support the full circular battery value chain and sustainable mining operations. Additionally, Albemarle Corp (ALB, Financial) received a $90 million critical materials award from the U.S. Department of Defense to support the restart of the Kings Mountain, NC mine.
Company Performance and Outlook
Albemarle Corp (ALB, Financial) CEO Kent Masters commented on the company's performance, stating,
Albemarle grew net sales by 10%, driven by higher volumes in our Energy Storage business. In the third quarter, we formed new strategic partnerships and streamlined our existing MARBL joint venture to better position Albemarle for long-term growth."
Looking ahead, the company expects 2023 net sales to increase approximately 30% to 35% year-over-year. Adjusted EBITDA for 2023 is expected to be flat to slightly down year-over-year.
Financial Tables
Albemarle Corp (ALB, Financial) provided detailed financial tables in its earnings report, including a summary of segment results and consolidated statements of income. The Energy Storage segment reported net sales of $1.7 billion for Q3 2023, an increase of 20% due to higher volumes. The Specialties segment reported net sales of $352.7 million, a decrease of 20% primarily due to lower volumes and prices.
As of September 30, 2023, Albemarle had estimated liquidity of approximately $3.1 billion, including $1.6 billion of cash and equivalents, $1.3 billion available under its revolver, and $186.1 million available under other credit lines. Total debt was $3.7 billion.
Explore the complete 8-K earnings release (here) from Albemarle Corp for further details.
