SQM Reports Earnings for the Twelve Months Ended December 31, 2025
MWN-AI** Summary
Sociedad Química y Minera de Chile S.A. (SQM) reported substantial earnings for the twelve months ended December 31, 2025, showcasing a remarkable turnaround from a net loss the previous year. The company declared total revenues of **US$4,576.2 million**, marking a modest increase of **1.0%** from **US$4,528.8 million** in 2024. More notably, SQM achieved a net income of **US$588.1 million** or **US$2.06 per share**, a significant recovery compared to the net loss of **US$(404.4) million** or **US$(1.42) per share** in 2024.
Gross profit during this period also improved, reaching **US$1,352.6 million**, which accounts for **29.6%** of revenues, a slight increase from **29.3%** in the previous year. The fourth quarter of 2025 was particularly strong, with net income of **US$183.8 million** or **US$0.64 per share**, a **53.0%** increase from **US$120.1 million** in Q4 2024. This quarter also saw revenues soar to **US$1,323.9 million**, a **23.3%** jump year-on-year.
CEO Ricardo Ramos highlighted the driving forces behind these favorable results, particularly the record sales volumes in SQM's lithium businesses, boosted by strong market demand for energy storage systems (ESS) and electric vehicles (EVs). The lithium market is projected to grow approximately **25%** this year, driven by these trends. Ramos noted that the company is operating at full capacity in both Chile and Australia, recently marking its first shipment of lithium hydroxide from the Kwinana refinery.
In addition, SQM's iodine and plant nutrition divisions performed well, with iodine contributing about **42%** of the total gross profit, aided by high prices amid strong demand, particularly from the medical sector. The company plans to discuss these results further in a conference call scheduled for March 2, 2026.
MWN-AI** Analysis
Analyzing SQM's earnings for the twelve months ended December 31, 2025, reveals a robust rebound from the previous year's net loss, suggesting a pivotal shift in the company's financial health and market positioning. SQM reported total revenues of US$4,576.2 million, reflecting a modest year-over-year increase of 1.0%. More significantly, the company achieved a net income of US$588.1 million or US$2.06 per share, a remarkable turnaround from a loss of US$(404.4) million in 2024.
The standout performance in SQM’s lithium segment is crucial to this recovery, with record sales volumes driven by escalating demand from the electric vehicle (EV) and energy storage systems (ESS) markets. CEO Ricardo Ramos highlighted that the market is shifting towards a tighter supply-demand balance, allowing for improved pricing dynamics. Demand for lithium is projected to grow by approximately 25% in the current year, underscoring the critical role this sector plays in SQM's future profitability.
The iodine segment has also performed admirably, contributing about 42% to SQM’s gross profit, aided by surging prices due to supply constraints within the X-ray contrast media sector. This diversification in revenue streams strengthens the company’s resilience and offers potential stability against volatility in the lithium market.
From an investment standpoint, SQM appears well-positioned for growth, especially with its continuous capacity enhancements and strategic expansions in lithium production both in Chile and Australia. Investors should consider potential short-term volatility driven by commodity price fluctuations but maintain a long-term bullish perspective given the structural demand for lithium and iodine.
As markets react to these results, monitoring SQM’s conference call on March 2, 2026, will provide further insights into management’s strategic initiatives and market outlook, which could be pivotal for investment decisions moving forward.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
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| SQM will hold a conference call to discuss these results on Monday, March 2, 2026 at 10:00am EST (12:00pm Chile time). |
| Participant Call link:https://register-conf.media-server.com/register/BI256bddfcaae643f591a9cfc6b2a449d6 |
| Webcast:https://edge.media-server.com/mmc/p/f6nxktxe |
SANTIAGO, Chile, Feb. 27, 2026 (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 twelve months ended December 31, 2025, of US$588.1 million or US$2.06 per share, compared to a loss of US$(404.4) million or US$(1.42) per share reported for the same period last year.
Gross profit(1) reached US$1,352.6 million (29.6% of revenues) for the twelve months ended December 31, 2025, higher than US$1,327.1 million (29.3% of revenues) recorded for the twelve months ended December 31, 2024. Revenues totaled US$4,576.2 million for the twelve months ended December 31, 2025, representing an increase of 1.0% compared to US$4,528.8 million reported for the twelve months ended December 31, 2024.
The Company also announced net income for the fourth quarter of 2025 of US$183.8 million or US$0.64 per share, an increase of 53.0% compared to US$120.1 million or US$0.42 per share for the fourth quarter of 2024. Gross profit for the fourth quarter of 2025 reached US$448.5 million, 52.7% higher than the US$293.8 million reported for the fourth quarter of 2024. Revenues totaled US$1,323.9 million for the fourth quarter of 2025, an increase of 23.3% compared to US$1,073.8 million for the fourth quarter of 2024.
SQM’s Chief Executive Officer, Ricardo Ramos, stated, “Our fourth quarter 2025 results reflected record-high sales volumes across both of our lithium businesses: Nova Andino Litio (formerly SQM Salar) and our International Lithium Division. In November 2025, we began to see early signs of an improved supply-demand balance, driven by stronger-than-expected demand from energy storage systems (ESS), as well as certain supply disruptions. This led to a tighter market environment and a shift in pricing trends. We continue to observe solid demand fundamentals, and we estimate that the lithium market could grow by approximately 25% this year, led by electric vehicles (EVs) and ESS.”
Mr. Ramos continued: At Nova Andino Litio, we are operating at full capacity to meet our customer commitments while continuing to advance our expansion plans in the Salar de Atacama. In parallel, we are increasing refinery of lithium carbonate from lithium sulfate in China through tolling agreements.”
He added: “In Australia, we are also operating at full capacity in the production of spodumene concentrate. In January of this year, we celebrated our first shipment of lithium hydroxide produced in Australia at the Kwinana refinery. Notably, lithium hydroxide from Kwinana refinery has been certified under the International Lithium Association’s Life Cycle Assessment framework, demonstrating a 37% lower emissions footprint compared to traditional hard-rock production refined in China.”
Mr Ramos continued: “Our Iodine and Plant Nutrition division delivered solid performance, particularly in iodine, which contributed approximately 42% of SQM’s total gross profit. By year-end, we observed record iodine prices amid tight supply conditions and strong demand, particularly from the X-ray contrast media market. In the fertilizer business, we observed healthy demand and stable prices across our key markets”.
For media inquiries, contact:
Nova Andino Litio:
Ignacia Lopez / ignacia.lopez@sqm.com
International Lithium Division:
Diana Wearing Smith / diana.wearingsmith@sqm.com
Iodine & Plant Nutrition Division:
Carolina Guzman / carolina.guzman@sqm.com
Note: To see full press release please visit our website:https://ir.sqm.com/
FAQ**
What factors contributed to the significant turnaround from a net loss in 2024 to a net income of US$588.1 million for Sociedad Química y Minera S.A. SQM in 2025?
How does Sociedad Química y Minera S.A. SQM plan to sustain its record-high sales volumes in lithium amidst growing market demand and anticipated supply disruptions?
Can Sociedad Química y Minera S.A. SQM provide further insights on the expected 25% growth in the lithium market in 2026 and its implications for future revenues?
What strategies is Sociedad Química y Minera S.A. SQM implementing to maintain its strong performance in the iodine market, particularly regarding record prices and demand for X-ray contrast media?
**MWN-AI FAQ is based on asking OpenAI questions about Sociedad Quimica y Minera S.A. (NYSE: SQM).
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