Albemarle Q1 earnings rise supports $1.3bn debt reduction
US-based lithium and specialty chemicals producer Albemarle Corporation has reported a 148% year-on-year increase in its adjusted earnings before interest, taxes, depreciation and amortisation (Ebitda) to $664-million in the first quarter of the year.
The company experienced higher volumes and pricing in its Energy Storage and Specialties segments, in particular, with Ebitda in these segments having grown by 196% and 30% year-on-year, respectively.
The group generated free cash flow of $248-million in the quarter, with net income having been $319-million, or $2.34 apiece attributable to common shareholders.
Notably, Albemarle delivered $40-million in cost and productivity improvements in the quarter, making it on track to achieve the full-year targeted $100-million to $150-million.
The company also managed to pay down $1.3-billion of outstanding debt in the quarter, with total debt of $1.9-billion remaining.
As of March 31, Albemarle had estimated liquidity of about $2.7-billion, including $1.1-billion of cash and cash equivalents.
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