SANTIAGO, Chile, March 4, 2015 /PRNewswire/ -- Sociedad Quimica y
Minera de Chile S.A. (SQM) (NYSE: SQM; Santiago Stock Exchange:
SQM-B, SQM-A) reported today earnings for the twelve
months ended December 31, 2014 of
US$296.4 million (US$1.13 per ADR), a decrease from US$467.1 million (US$1.77 per ADR) for the twelve months ended
December 31, 2013. Gross
margin reached US$583.0 million
(28.9% of revenues) for the twelve months ended December 31, 2014, lower than US$721.5 million (32.7% of revenues) recorded for
the twelve months ended December 31,
2013. Revenues totaled US$2,014.2 million for the twelve months ended
December 31, 2014, representing a
decrease of 8.6% compared to US$2,203.1
million reported for the twelve months ended December 31, 2013.
The Company also announced earnings for the fourth quarter of
2014, reporting net income of US$78.0
million (US$0.30 per ADR)
compared to US$69.0 million
(US$0.26 per ADR) for the fourth
quarter of 2013. This comparison is affected by the sale of mining
rights to Antofagasta Minerals during the fourth quarter of 2014,
which had a one-time, before-tax effect of US$13 million on net income. Gross margin
for the fourth quarter of 2014 reached US$140.4 million, lower than the US$146.3 million recorded for the fourth quarter
of 2014. Revenues totaled US$491.4
million, a decrease of approximately 0.2% compared to the
fourth quarter of 2013, when revenues amounted to US$492.2 million.
SQM's Chief Executive Officer, Patricio
Contesse, stated, "During 2014, we were impacted by lower
prices in the iodine market; prices fell over 20% during 2014 when
compared to 2013. Despite this lower pricing environment, we remain
confident in our strong competitive position that has been
reinforced by our cost reduction efforts and efficient operational
processes. We will work to increase our market share in the
future."
"Fertilizer markets were positive during 2014; we estimate that
global demand in the potassium chloride market reached
approximately 60 million tons, and we saw some price recovery in
this market during the second half of 2014. In the specialty plant
nutrition business, sales volumes increased over 3% while prices
remained stable compared to 2013; this led to increased revenues in
this business line. We expect this momentum to continue into 2015,
when increased sales volumes are anticipated."
Mr. Contesse closed by saying, "Despite lower prices in iodine,
nitrates and lithium during the fourth quarter 2014 compared to the
fourth quarter 2013, our EBITDA margin increased to 36.9% from
35.5% percent during this same period. These numbers prove that our
cost saving program has been successful, and we look forward to
maintaining lower costs and remaining well-positioned to move
quickly to meet any changes in market demand or market dynamics in
all of the main businesses in which we sell."
For the complete version of this press release, please visit our
IR Web site:
http://ir.sqm.com/English/investor-relation/default.aspx
About SQM
SQM is an integrated producer and distributor of specialty plant
nutrients, iodine, lithium, potassium-related fertilizers and
industrial chemicals. Its products are based on the
development of high quality natural resources that allow the
Company to be a leader in costs, supported by a specialized
international network with sales in over 115 countries. SQM's
development strategy aims to maintain and strengthen the Company's
position in each of its businesses.
The leadership strategy is based on the Company's competitive
advantages and on the sustainable growth of the different markets
in which it participates. SQM's main competitive advantages in its
different businesses include:
- Low production costs based on vast and high quality natural
resources;
- Know-how and its own technological developments in its various
production processes;
- Logistics infrastructure and high production levels that allow
SQM to have low distribution costs;
- High market share in all its core products;
- International sales network with offices in 20 countries and
sales in over 115 countries;
- Synergies from the production of multiple products that are
obtained from the same two natural resources;
- Continuous new product development according to the specific
needs of its different customers;
- Conservative and solid financial position.
For further information, contact:
Gerardo Illanes 56-2-24252022 /
gerardo.illanes@sqm.com
Kelly O'Brien. 56-2-24252074 /
kelly.obrien@sqm.com
Carolyn McKenzie 56-2-24252280 /
carolyn.mckenzie@sqm.com
For media inquiries, contact:
Maria Jose Velozo /
maria.jose.velozo@sqm.com
Cautionary Note Regarding Forward-Looking Statements
This news release contains "forward-looking statements" within
the meaning of the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995. Forward-looking
statements can be identified by words such as: "anticipate,"
"plan," "believe," "estimate," "expect," "strategy," "should,"
"will" and similar references to future periods. Examples of
forward-looking statements include, among others, statements we
make concerning the Company's business outlook, future economic
performance, anticipated profitability, revenues, expenses, or
other financial items, anticipated cost synergies and product or
service line growth.
Forward-looking statements are neither historical facts nor
assurances of future performance. Instead, they are estimates
that reflect the best judgment of SQM management based on currently
available information. Because forward-looking statements
relate to the future, they involve a number of risks, uncertainties
and other factors that are outside of our control and could cause
actual results to differ materially from those stated in such
statements. Therefore, you should not rely on any of these
forward-looking statements. Readers are referred to the
documents filed by SQM with the United States Securities and
Exchange Commission, specifically the most recent annual report on
Form 20-F, which identifies important risk factors that could cause
actual results to differ from those contained in the
forward-looking statements. All forward-looking statements are
based on information available to SQM on the date hereof and SQM
assumes no obligation to update such statements, whether as a
result of new information, future developments or otherwise.