Albemarle Strategic Growth Presentation
Energy Storage Overview
Y/Y Q3 Performance Drivers
Net sales up +20% (price³ -17%, volume +40%); adjusted EBITDA down 62%
Increased sales due to higher volumes driven by new capacity from La Negra III/IV in Chile
and Qinzhou, China, as well as increased tolling
Lower adjusted EBITDA due to higher spodumene pricing in costs of goods sold
FY 2023 Outlook (as of November 1, 2023)
Energy Storage FY 2023 adj. EBITDA is expected to be flat to slightly down Y/Y, as timing
impacts of higher priced spodumene inventories more than offset higher net sales
FY 2023 realized price expected to range from 15% to 20% Y/Y, assuming recent market
prices continue through year-end
FY 2023 volume expected to range from +30-35% Y/Y, driven by ramping of new capacity,
plus additional tolling
Drivers/Sensitivities
Global accelerated EV adoption supported by regulation and technological improvements
Emerging technologies; battery cost declining + performance improving
Security of supply essential to underwrite global auto OEM investment in vehicle
electrification
Q3 2023 Performance
(in millions)
Net Sales
Q3 2023
Y/Y
$1,697
20%
Net Sales ex FX1
$1,737
23%
Adj. EBITDA4
$407
(62%)
Adj. EBITDA ex FX1,4
Adj. EBITDA Margin4
$430
(60%)
24%
-5280 bps
Adj. EBITDA Margin ex FX1,4
25%
-5200 bps
Historical Trend (TTM)
Adjusted EBITDA
Adjusted EBITDA Margin
$4,602M
$4,153M
$3,925M
$1,970M
$3,032M
68%
65%
65%
65%
53%
Note: Numbers may not reconcile due to rounding. 1 Net of FX impacts. 2 Sales based on historical average. 3 Includes FX impact.
4 See appendix for non-GAAP reconciliations.
3Q2022
4Q2022
1Q2023
2Q2023
3Q2023
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