(Bloomberg) — SQM, the world’s biggest lithium producer by market value, boosted its sales guidance for this year and struck a note of optimism on prices after posting a 28% slump in second-quarter core earnings. Attributable core earnings before items fell to $307.9 million last quarter, the firm said in a statement. But the Chilean producer of the battery metal is pressing ahead with an expansion, saying sales volumes from its domestic plants will grow 10% this year. It also lifted sales guidance for its Australian operations. Lithium has suffered from a severe global glut that has hammered prices, although output cuts in China have fueled a recent rebound — albeit to levels that are still more than 80% below their peak. The firm maintained a forecast for global demand growth of about 17% this year. “Recent market dynamics make us believe that third quarter prices could be higher than the second quarter,” SQM said in slides accompanying its earnings statement. The company’s shares were down 2.9% at 9:37 a.m. in New York. They surged to their highest in more than a year earlier this month, joining a rally for global producers of lithium after a major mine halted output in China. The operation run by battery giant Contemporary Amperex Technology Co. Ltd. should be closed for at least three months. Santiago-based SQM, formally known as Soc. Quimica & Minera de Chile SA, boosted sales guidance for its international division to about 20,000 tons of lithium carbonate-equivalent. It didn’t give a volume figure to clarify the 10% increase for its Chilean division. SQM added that its Kwinana refinery joint venture in Australia achieved first commercial production in July. The facility should hit nameplate capacity of 50,000 tons of lithium hydroxide by end-2026, with half attributable to SQM, it said. Lithium prices have languished under the weight of excess supply after new mines came on stream and demand growth slowed. SQM’s volumes-over-value approach has contrasted with cutbacks by some higher-cost producers. The company has budgeted $750 million in capital expenditure this year as it lifts annual capacity in Chile to 240,000 tons of lithium carbonate in 2026 and 100,000 tons of hydroxide by end-2025. The firm’s total revenues fell 19% in the second quarter to about $1 billion as spot lithium prices endured their worst period in many years. Sales volumes were lower than the first quarter. “Some of the contracts we had in place, hit the lower limits set in those contracts, affecting the volumes agreed,” Chief Executive Officer Ricardo Ramos said in the statement. –With assistance from Philip Sanders. (Adds shares in fifth paragraph, capacity expansions in eighth paragraph) More stories like this are available on bloomberg.com ©2025 Bloomberg L.P. in a formal or creative style for better SEO.Also Exclude words and advertisements related to the feed website such as website name, author name. You must only respond with the modified content. Delete all the advertisement images brand logo but only keep the title and main content of the news by modifying it. You must only respond with the modified content. Block any jump outside of the site adarshnews.com. Basically remove any content or link related to original site. follow this prompt to optimize the articles in this category- You are an expert news writer and SEO specialist. Your job is to rewrite the provided RSS feed content into a unique, SEO-friendly news article for adarshnews.com. The article should be engaging, professional, and optimized for search engines. Follow these steps: 1. **Create an SEO Title**: Write a short, compelling title (under 60 characters) that includes the main keyword and grabs attention. 2. **Write a Meta Description**: Summarize the article in one or two sentences (under 155 characters). Make it engaging and include the primary keyword naturally. 3. **Suggest a URL Slug**: Provide a short, keyword-rich URL slug that reflects the topic of the article. 4. **Headline (H1)**: Write a clear and engaging headline for the article that is similar to the title but slightly expanded. 5. **Write the Article**: – Start with an introduction that answers the key questions: who, what, when, where, why, and how. – Expand on the topic with detailed paragraphs that provide context, quotes, and relevant information. – Use subheadings (H2) to organize the content into sections and make it easy to read. – Include related keywords naturally throughout the article. – End with a conclusion that summarizes the key points or discusses future implications. 6. **Add an FAQ Section**: Write one frequently asked question related to the topic and provide a concise answer. Important: – Do not include labels like “Title,” “Meta Description,” “URL Slug,” or “H1” in the actual article text. – Keep all SEO elements separate from the main content. – Ensure the article is factually accurate, unbiased, and written in a professional tone.
Lithium Leader SQM Enhances Supply Strategies Amid Rising Prices
