SQM reports six-month revenues of $2.08 billion, net income of $226 million, and ongoing growth in lithium operations.
Quiver AI Summary
SQM reported a net income of $226.0 million, or $0.79 per share, for the first half of 2025, a significant recovery from a net loss of $655.9 million, or $2.30 per share, in the same period last year. However, total revenues decreased by 12.6% to $2,079.3 million compared to $2,378.1 million in 2024. For the second quarter of 2025, the company recorded a net income of $88.4 million, down 58.6% from $213.6 million a year earlier, with revenues also falling 19.4%. CEO Ricardo Ramos highlighted the impact of lower lithium market prices on sales volumes, despite an anticipated 10% increase in sales from the Salar de Atacama. Additionally, the Kwinana refinery in Australia, part of a joint venture with Wesfarmers, has begun production, with full capacity expected to reach around 50,000 tons of lithium hydroxide annually. SQM will discuss these results in a conference call on August 20, 2025.
Potential Positives
- Net income for the six months ended June 30, 2025, was US$226.0 million, a significant recovery from a net loss of US$(655.9) million for the same period last year, indicating strong financial improvement.
- Record-high iodine sales prices were observed, contributing positively to the company’s revenue streams.
- Completion of the Kwinana refinery in Australia, which is expected to produce approximately 50,000 tons of battery-grade lithium hydroxide annually, enhances the company’s position in the growing electric vehicle market.
- Sales volumes from the Salar de Atacama operations are projected to grow by approximately 10% compared to last year, indicating future growth potential.
Potential Negatives
- Net revenues decreased by 12.6% compared to the same period last year, signaling a potential downturn in business performance.
- Gross profit percentage also declined from 31.6% to 26.8% of revenues, indicating decreased profitability.
- Net income for the second quarter of 2025 decreased by 58.6% compared to the same period last year, raising concerns about short-term financial stability.
FAQ
What are the total revenues reported by SQM for the first half of 2025?
SQM reported total revenues of US$2,079.3 million for the six months ended June 30, 2025.
How did SQM's net income change compared to the previous year?
SQM's net income for the first half of 2025 was US$226.0 million, a turnaround from a net loss of US$(655.9) million last year.
What factors contributed to SQM's revenue decrease in 2025?
The revenue decrease was primarily due to lower lithium market prices impacting sales volumes and pricing contracts.
When will SQM hold a conference call to discuss its financial results?
SQM will hold a conference call on Wednesday, August 20, 2025, at 12:00pm EDT.
What is the expected output of SQM's Kwinana refinery at full capacity?
At full capacity, the Kwinana refinery is expected to produce approximately 50,000 tons of battery-grade lithium hydroxide per year.
Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.
$SQM Hedge Fund Activity
We have seen 121 institutional investors add shares of $SQM stock to their portfolio, and 153 decrease their positions in their most recent quarter.
Here are some of the largest recent moves:
- KINGSTONE CAPITAL PARTNERS TEXAS, LLC added 1,921,152 shares (+inf%) to their portfolio in Q2 2025, for an estimated $67,759,031
- MONDRIAN INVESTMENT PARTNERS LTD removed 1,040,459 shares (-99.6%) from their portfolio in Q1 2025, for an estimated $41,337,436
- NUVEEN, LLC removed 985,501 shares (-100.0%) from their portfolio in Q2 2025, for an estimated $34,758,620
- ITAU UNIBANCO HOLDING S.A. added 919,538 shares (+inf%) to their portfolio in Q2 2025, for an estimated $32,432,105
- ROYAL BANK OF CANADA added 600,860 shares (+302.3%) to their portfolio in Q2 2025, for an estimated $21,192,332
- LAZARD ASSET MANAGEMENT LLC removed 598,516 shares (-29.5%) from their portfolio in Q2 2025, for an estimated $21,109,659
- NORTH OF SOUTH CAPITAL LLP removed 597,057 shares (-100.0%) from their portfolio in Q1 2025, for an estimated $23,721,074
To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.
$SQM Analyst Ratings
Wall Street analysts have issued reports on $SQM in the last several months. We have seen 2 firms issue buy ratings on the stock, and 0 firms issue sell ratings.
Here are some recent analyst ratings:
- Scotiabank issued a "Sector Outperform" rating on 05/30/2025
- BMO Capital issued a "Outperform" rating on 05/29/2025
To track analyst ratings and price targets for $SQM, check out Quiver Quantitative's $SQM forecast page.
$SQM Price Targets
Multiple analysts have issued price targets for $SQM recently. We have seen 3 analysts offer price targets for $SQM in the last 6 months, with a median target of $45.0.
Here are some recent targets:
- Lucas Ferreira from JP Morgan set a target price of $41.0 on 07/28/2025
- Ben Isaacson from Scotiabank set a target price of $45.0 on 05/30/2025
- Joel Jackson from BMO Capital set a target price of $45.0 on 05/29/2025
Full Release
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Highlights
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| • | SQM reported total revenues for the six months ended June 30, 2025 of US$2,079.3 million compared to total revenues of US$2,378.1 million for the same period last year. |
| • | Net income for the six months ended June 30, 2025 of US$226.0 million or US$0.79 per share, compared to net loss of US$(655.9) million or US$(2.30) per share for the same period last year. |
| • | Continue to observe record- high iodine sales price. |
| • | Strong price environment in SPN and Potassium businesses. |
| • | Increasing sales volumes for the coming months from the International Lithium Division and completion of the Kwinana refinery. |
| SQM will hold a conference call to discuss these results on Wednesday, August 20, 2025 at 12:00pm EDT (12:00pm Chile time). | |
| Participant Call link: https://register-conf.media-server.com/register/BI096c4f4e6f094d1db8eba9c6ed4a9bbd | |
| Webcast: https://edge.media-server.com/mmc/p/2zir238k | |
SANTIAGO, Chile, Aug. 20, 2025 (GLOBE NEWSWIRE) -- Sociedad Química y Minera de Chile S.A. (SQM) (NYSE: SQM; Santiago Stock Exchange: SQM-B, SQM-A) reported today
net income for the six months ended June 30, 2025,
of US$226.0 million or US$0.79 per share, compared to a loss
1
of US$(655.9) million or US$(2.30) per share reported for the same period last year.
Gross profit reached US$558.3 million (26.8% of revenues) for the six months ended June 30, 2025, lower than US$752.5 million (31.6% of revenues) recorded for the six months ended June 30, 2024. Revenues totaled US$2,079.3 million for the six months ended June 30, 2025, representing a decrease of 12.6% compared to US$2,378.1 million reported for the six months ended June 30, 2024.
The Company also announced net income for the second quarter of 2025 of US$88.4 million or US$0.31 per share, a decrease of 58.6% compared to US$213.6 million or US$0.75 per share for the second quarter of 2024. Gross profit for the second quarter of 2025 reached US$253.6 million, 34.0% lower than the US$383.9 million reported for the second quarter of 2024. Revenues totaled US$1,042.7 million for the second quarter of 2025, a decrease of 19.4% compared to US$1,293.6 million for the second quarter of 2024.
SQM’s Chief Executive Officer, Ricardo Ramos, stated, “As anticipated, during the second quarter, we navigated a period of lower lithium market prices than those observed in previous quarters. In this context, some of the contracts we had in place, hit the lower limits set in those contracts, affecting the volumes agreed. As a result, the total volume sold during the second quarter of this year was lower than what was reported in the first quarter of this year, despite the growth seen in the market. With that said, we now expect sales volumes from our Salar de Atacama operations to grow by approximately 10% compared to last year, while we are increasing our sales guidance for our Australian operations.”
He added: “We are also pleased to announce that Covalent, our Joint Venture with Wesfarmers in Australia, has completed construction of the Kwinana refinery in Australia, and achieved first product produced in July at the expected quality and cost. The ramp-up period is expected to take 18 months, and once at full capacity, the Mt. Holland Lithium Project is expected to produce approximately 50,000 tons of battery-grade lithium hydroxide per year, contributing to the growing demand of electric vehicles.”
To see full press release please visit our website: https://ir.sqm.com/
