9 slides from Sociedad Quimica Y Minera De Chile Sa Pfd Series A's earnings presentation, 2019
Slide 1: Corporate Presentation 4Q2018 Results
CORPORATE PRESENTATION 4Q2018 Results 1
Slide 2: Customary Note Regarding Forward-Looking Statements
CUSTOMARY NOTE REGARDING FORWARD-LOOKING STATEMENTS SQM (NYSE: SQM, Santiago Stock Exchange: SQM-A, SQM-B) is a global company engaged in strategic industries for human development, such as health, food, clean energy and the technology that moves the world. This presentation and the material within
Slide 3: SQM: Well-balanced product portfolio
SQM: Well-balanced product portfolio 2018 Market Share ~17% ~56% ~36% <2% >41%1 Sales Volumes 45.1 kMT 1,083 kMT 13.3 kMT 832 kMT 136 kMT Revenues US$735 mm US$781 mm US$325 mm US$267 mm US$109 mm Contribution to Gross Profit 53% 22% 14% 6% 5% 2018 Revenues: US$2.3 billion | 2018 Adjusted EBITDA2: U
Slide 4: Review of Results
Review of Results SPN Lithium Iodine Potassium Industrial Chemicals P Q • Prices increased in all business lines except Industrial Chemicals in 2018 Revenue Contribution Gross Profit Contribution 2018/2017 2018/2017 compared to 2017. 2,500 900 73 2,400 84 55 782 • Higher sales volumes of iodine and
Slide 5: Strong Financial Position
Strong Financial Position Accounts Receivables Inventory (Months of Sales) (Months of Sales) 4.0 16.0 3.0 12.0 7.8 7.4 7.1 7.4 2.0 2.4 8.0 2.4 2.1 2.3 1.0 4.0 Debt Maturity Dec 17 Jun 18 Sep 18 Dec 18 Dec 17 Jun 18 Sep 18 Dec 18 450 Liquidity (Current Assets/Current Liabilities) Cash / Short-Term Fi
Slide 6: Market Outlook: 2019
Market Outlook: 2019 • Lithium Market: Strong market growth is expected in 2019 (over 20%), new supply putting pressure on price premium, diverse product quality and specifications resulting in price differentiation among suppliers. SQM´s sales volumes are expected to be slightly higher than in 2018
Slide 7: CAPEX
CAPEX Sustainable organic growth and M&A Historical Maintenance CAPEX: ~US$100 million 2017-2019: Potassium Nitrate Expansions: ~US$70 million 2019-2021: Lithium Carbonate Expansion 70k to 180kMT: ~US$450 million 2019 CAPEX: ~US$360 million Annual D&A expenses: ~US$250 million 7
Slide 8: Other Relevant Information
Other Relevant Information Ownership Structure1 Bank of New York Mellon (ADRS) 14% 23% Tianqi 2018 Daily average trading volume Pampa Group New York Stock Exchange: US$40 million Santiago Stock Exchange: US$25 million 5% 24% 2% Kowa Group Chilean Pension Funds 32% Others Chile Dividend Policy2 2018
Slide 9: Contact information
• Gerardo Illanes: CFO & VP of Corporate Finance gerardo.illanes@sqm.com • Kelly O’Brien: Contact information Head of Investor Relations kelly.obrien@sqm.com • Irina Axenova: Investor Relations irina.axenova@sqm.com 9