SQM Q1 Revenue Rises 69.8% to US$1.76B; Net Income Hits US$364.7M
SQM•SQM posted Q1 revenues of US$1.76 billion and net income of US$364.7 million (US$1.28 per share), up 69.8% and 165.2% year-over-year. Lithium sales reached 69,000 t LCE, prompting management to raise full-year lithium guidance from 10% to 15% and lift SPN volume growth to 10%.
1. Q1 Financial Performance
SQM recorded Q1 revenues of US$1,760.1 million and net income of US$364.7 million (US$1.28 per share), marking year-over-year increases of 69.8% and 165.2%, respectively, while gross profit rose to US$778.6 million, representing a 44.2% margin.
2. Lithium Operations and Guidance
Lithium sales volumes hit 69,000 metric tons of LCE in Q1 as operations ran at full capacity to meet strong market demand, prompting management to raise full-year lithium sales growth guidance from 10% to 15% based on an estimated global demand exceeding 1.9 million tons.
3. SPN and Iodine Segments
Specialty plant nutrition (SPN) volumes and prices outperformed forecasts, driving a 10% increase in full-year sales volume guidance, while iodine sales volumes and prices rose year-over-year; the seawater pipeline for iodine production is in commissioning and expected online in the second half of the year.
4. Future Projects and Permitting
The Nova Andino Litio partnership with CODELCO generated over US$530 million in contributions to the Chilean state during Q1, and SQM is finalizing documentation to submit the Salar Futuro project for environmental permitting in coming months, aiming to set a new benchmark in lithium production.
