Arcadium Lithium Releases Fourth Quarter and Full Year 2024 Results
Arcadium Lithium (NYSE: ALTM) reported its Q4 and full-year 2024 results, with Q4 revenue at $289.0 million and a reported GAAP net loss of $14.2 million. Q4 Adjusted EBITDA reached $73.7 million, driven by higher volumes across lithium products and reduced costs, despite lower pricing.
Fourth quarter volumes increased 56% on an LCE basis versus Q3. Average pricing was $15,700 per metric ton for combined lithium hydroxide and carbonate, down from $16,200 in Q3. Full-year 2024 results showed revenue of $1,007.8 million, with net income of $103.2 million.
The company's pending acquisition by Rio Tinto for $5.85 per share, announced October 9, 2024, has received all required pre-closing regulatory approvals. The transaction is targeted to close on March 6, 2025, subject to Court Order by the Royal Court of Jersey and other conditions.
Arcadium Lithium (NYSE: ALTM) ha riportato i risultati del quarto trimestre e dell'intero anno 2024, con un fatturato del quarto trimestre di 289,0 milioni di dollari e una perdita netta GAAP riportata di 14,2 milioni di dollari. L'EBITDA rettificato del quarto trimestre ha raggiunto 73,7 milioni di dollari, sostenuto da volumi più elevati nei prodotti a base di litio e da costi ridotti, nonostante i prezzi più bassi.
I volumi del quarto trimestre sono aumentati del 56% in base al LCE rispetto al terzo trimestre. Il prezzo medio era di 15.700 dollari per tonnellata metrica di idrossido e carbonato di litio combinati, in calo rispetto ai 16.200 dollari del terzo trimestre. I risultati dell'intero anno 2024 hanno mostrato un fatturato di 1.007,8 milioni di dollari, con un reddito netto di 103,2 milioni di dollari.
La prevista acquisizione dell'azienda da parte di Rio Tinto per 5,85 dollari per azione, annunciata il 9 ottobre 2024, ha ricevuto tutte le approvazioni normative necessarie prima della chiusura. La transazione è prevista per la chiusura il 6 marzo 2025, soggetta a ordinanza del Tribunale della Royal Court di Jersey e ad altre condizioni.
Arcadium Lithium (NYSE: ALTM) reportó sus resultados del cuarto trimestre y del año completo 2024, con ingresos del cuarto trimestre de 289,0 millones de dólares y una pérdida neta GAAP reportada de 14,2 millones de dólares. El EBITDA ajustado del cuarto trimestre alcanzó 73,7 millones de dólares, impulsado por mayores volúmenes en productos de litio y costos reducidos, a pesar de los precios más bajos.
Los volúmenes del cuarto trimestre aumentaron un 56% en términos de LCE en comparación con el tercer trimestre. El precio promedio fue de 15,700 dólares por tonelada métrica de hidróxido y carbonato de litio combinados, por debajo de los 16,200 dólares del tercer trimestre. Los resultados del año completo 2024 mostraron ingresos de 1,007.8 millones de dólares, con un ingreso neto de 103.2 millones de dólares.
La adquisición pendiente de la empresa por parte de Rio Tinto por 5.85 dólares por acción, anunciada el 9 de octubre de 2024, ha recibido todas las aprobaciones regulatorias requeridas antes del cierre. Se espera que la transacción se cierre el 6 de marzo de 2025, sujeta a orden del Tribunal de la Royal Court de Jersey y a otras condiciones.
아카디움 리튬 (NYSE: ALTM)은 2024년 4분기 및 연간 실적을 보고했으며, 4분기 매출은 2억 8,900만 달러이고, 보고된 GAAP 순손실은 1,420만 달러입니다. 4분기 조정 EBITDA는 7,370만 달러에 도달했으며, 이는 리튬 제품의 높은 판매량과 비용 절감 덕분입니다. 가격은 낮아졌지만 말입니다.
4분기 판매량은 3분기 대비 LCE 기준으로 56% 증가했습니다. 평균 가격은 리튬 수산화물과 탄산염을 합쳐 15,700 달러로, 3분기의 16,200 달러에서 하락했습니다. 2024년 전체 실적은 10억 78만 달러의 매출과 1억 320만 달러의 순이익을 기록했습니다.
2024년 10월 9일 발표된 리오 틴토에 의한 주당 5.85 달러의 인수는 모든 필요한 규제 승인을 받았습니다. 이 거래는 2025년 3월 6일에 종료될 예정이며, 저지 왕립 법원의 법원 명령 및 기타 조건에 따라 진행됩니다.
Arcadium Lithium (NYSE: ALTM) a annoncé ses résultats pour le quatrième trimestre et l'année complète 2024, avec un chiffre d'affaires du quatrième trimestre de 289,0 millions de dollars et une perte nette GAAP rapportée de 14,2 millions de dollars. L'EBITDA ajusté du quatrième trimestre a atteint 73,7 millions de dollars, soutenu par des volumes plus élevés de produits à base de lithium et des coûts réduits, malgré des prix plus bas.
Les volumes du quatrième trimestre ont augmenté de 56 % en base LCE par rapport au troisième trimestre. Le prix moyen était de 15 700 dollars par tonne métrique pour l'hydroxyde et le carbonate de lithium combinés, en baisse par rapport à 16 200 dollars au troisième trimestre. Les résultats de l'année complète 2024 ont montré un chiffre d'affaires de 1 007,8 millions de dollars, avec un revenu net de 103,2 millions de dollars.
L'acquisition en attente de l'entreprise par Rio Tinto pour 5,85 dollars par action, annoncée le 9 octobre 2024, a reçu toutes les approbations réglementaires requises avant la clôture. La transaction devrait être finalisée le 6 mars 2025, sous réserve d'une ordonnance du tribunal de la Royal Court de Jersey et d'autres conditions.
Arcadium Lithium (NYSE: ALTM) hat seine Ergebnisse für das vierte Quartal und das Gesamtjahr 2024 veröffentlicht, mit einem Umsatz im vierten Quartal von 289,0 Millionen Dollar und einem ausgewiesenen GAAP-Nettoverlust von 14,2 Millionen Dollar. Das bereinigte EBITDA im vierten Quartal erreichte 73,7 Millionen Dollar, unterstützt durch höhere Volumina bei Lithiumprodukten und reduzierte Kosten, trotz niedrigerer Preise.
Die Volumina im vierten Quartal stiegen im Vergleich zum dritten Quartal um 56% auf LCE-Basis. Der Durchschnittspreis lag bei 15.700 Dollar pro metrischer Tonne für kombiniertes Lithiumhydroxid und -carbonat, ein Rückgang von 16.200 Dollar im dritten Quartal. Die Ergebnisse für das Gesamtjahr 2024 zeigten einen Umsatz von 1.007,8 Millionen Dollar und ein Nettoeinkommen von 103,2 Millionen Dollar.
Die bevorstehende Übernahme des Unternehmens durch Rio Tinto zu 5,85 Dollar pro Aktie, die am 9. Oktober 2024 angekündigt wurde, hat alle erforderlichen regulatorischen Genehmigungen vor dem Abschluss erhalten. Die Transaktion soll am 6. März 2025 abgeschlossen werden, vorbehaltlich einer gerichtlichen Anordnung des Royal Court von Jersey und anderer Bedingungen.
- Q4 volumes increased 56% quarter-over-quarter
- Q4 Adjusted EBITDA improved due to higher volumes and reduced costs
- Full-year revenue exceeded $1 billion
- Lithium hydroxide pricing remained stable quarter-over-quarter
- Q4 GAAP net loss of $14.2 million
- Average realized pricing declined across most lithium products
- Full-year volumes decreased year-over-year
- Weaker market environment compared to 2023
Insights
Arcadium Lithium's Q4 and full-year 2024 results reveal a company navigating significant market headwinds while positioning for future growth through its pending acquisition by Rio Tinto. The fourth quarter showed operational resilience with adjusted EBITDA improving to
The full-year performance—
The Rio Tinto acquisition at
Most notably, Arcadium has demonstrated commercial agility through this challenging period. While average realized pricing declined across most products year-over-year, the company's ability to maintain relatively stable hydroxide pricing through customer mix optimization and contract structures highlights effective commercial strategy in a volatile commodity environment.
As a result of its pending acquisition by Rio Tinto, announced on October 9, 2024 (the "Transaction"), and as is customary during such transactions, Arcadium Lithium will not hold an earnings conference call in connection with its fourth quarter and full year financial results. For the same reason, the Company withdrew its prior operating and financial guidance and will not be introducing guidance for 2025.
For further detail and discussion of Arcadium Lithium's results for the fourth quarter and full year of 2024, please refer to Arcadium Lithium's Annual Report on Form 10-K for the year ended December 31, 2024, being filed today with the Securities and Exchange Commission (the "SEC").
Fourth Quarter and Full Year Highlights
Fourth quarter revenue was
Fourth quarter total volumes sold were
The Company realized average pricing of
Q4 2024 | Revenue (M) | Volume | Unit | Price |
Lithium Hydroxide and Lithium Carbonate4 | ~13,4505 | product metric ton | ||
Butyllithium & Other Lithium Specialties | ~470 | LCE3 | ||
Spodumene Concentrate | ~54,100 | dry metric ton | ( |
For the full year, Arcadium Lithium reported revenue of
FY 2024 | Revenue (M) | Volume | Unit | Price |
Lithium Hydroxide and Lithium Carbonate4 | ~42,3005 | product metric ton | ||
Butyllithium & Other Lithium Specialties | ~1,860 | LCE3 | ||
Spodumene Concentrate | ~140,000 | dry metric ton | ( |
"2024 was highlighted by a focus on executing key initiatives within our control while navigating challenging broader market conditions. This included exercising cost and operational discipline while maintaining the flexibility to adapt to a quickly changing market environment," said Paul Graves, president and chief executive officer of Arcadium Lithium. "Our strong customer relationships and commercial strategy of securing long term contracts helped us to achieve higher realized pricing during the year than we would have under a fully market-based pricing approach. Additionally, at our Investor Day in September we outlined an attractive plan to deliver significant growth over the coming years, leveraging the size and quality of our portfolio of assets and expansion projects. We believe the pending combination with Rio Tinto will give us the ability to accelerate and expand this growth opportunity for the benefit of our customers, our employees, and the communities in which we operate."
_______________________ |
1 Reconciliation of Adjusted EBITDA, a non-GAAP measure, to net income attributable to Arcadium Lithium plc, the most directly comparable financial measure presented in accordance with GAAP, is set forth in the reconciliation table accompanying this release. |
2 Corresponds to Diluted adjusted after-tax earnings per share in the accompanying financial tables. Reconciliation of Diluted adjusted after-tax earnings per share, a non-GAAP measure, to Diluted earnings per ordinary share (GAAP), the most directly comparable financial measure presented in accordance with GAAP, is set forth in the reconciliation table accompanying this release. |
3 Lithium Carbonate Equivalents. |
4 Includes |
5 Excludes lithium carbonate by-product. |
Rio Tinto Transaction Timeline
On October 9, 2024, a definitive agreement (the "Transaction Agreement") was announced under which Rio Tinto will acquire Arcadium Lithium in an all-cash transaction for
Requisite Arcadium Lithium shareholder approval for the Transaction was obtained at special meetings held on December 23, 2024.
As announced on February 13, 2025, the Company has received all required pre-closing regulatory approvals in connection with the proposed acquisition. This includes merger control clearance being satisfied or waived in
Arcadium Lithium and Rio Tinto are now targeting closing of the Transaction on March 6, 2025. The Transaction remains subject to Court Order by the Royal Court of Jersey and other customary closing conditions. Arcadium Lithium cannot assure completion of the Transaction by any particular date, if at all, or that if completed, it will be completed on the terms set forth in the Transaction Agreement.
Full details of the terms and conditions of the Transaction are set out in the Transaction Agreement, which may be obtained, free of charge, on the SEC's website (http://www.sec.gov).
Arcadium Lithium Contacts
Investors:
Daniel Rosen +1 215 299 6208
daniel.rosen@arcadiumlithium.com
Phoebe Lee +61 413 557 780
phoebe.lee@arcadiumlithium.com
Media:
Karen Vizental +54 9 114 414 4702
karen.vizental@arcadiumlithium.com
Supplemental Information
In this press release, Arcadium Lithium uses the financial measures Adjusted EBITDA and Diluted adjusted after-tax earnings per share. These terms are not calculated in accordance with generally accepted accounting principles (GAAP). Definitions of these terms, as well as a reconciliation to the most directly comparable financial measure calculated and presented in accordance with GAAP, are provided on our website: ir.arcadiumlithium.com and elsewhere in this press release or the financial tables that accompany this press release.
About Arcadium Lithium
Arcadium Lithium is a leading global lithium chemicals producer committed to safely and responsibly harnessing the power of lithium to improve people's lives and accelerate the transition to a clean energy future. We collaborate with our customers to drive innovation and power a more sustainable world in which lithium enables exciting possibilities for renewable energy, electric transportation and modern life. Arcadium Lithium is vertically integrated, with industry-leading capabilities across lithium extraction processes, including hard-rock mining, conventional brine extraction and direct lithium extraction (DLE), and in lithium chemicals manufacturing for high performance applications. We have operations around the world, with facilities and projects in
Important Information and Legal Disclaimer:
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Certain statements in this news release are forward-looking statements. In some cases, we have identified forward-looking statements by such words or phrases as "will likely result," "is confident that," "expect," "expects," "should," "could," "may," "will continue to," "believe," "believes," "anticipates," "predicts," "forecasts," "estimates," "projects," "potential," "intends" or similar expressions identifying "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including the negative of those words and phrases. Such forward-looking statements are based on our current views and assumptions regarding future events, future business conditions and the outlook for Arcadium Lithium based on currently available information. There are important factors that could cause Arcadium Lithium's actual results, level of activity, performance or achievements to differ materially from the results, level of activity, performance or achievements expressed or implied by the forward-looking statements, including the completion of the Transaction on anticipated terms and timing, including obtaining required shareholder and regulatory approvals, and the satisfaction of other conditions to the completion of the Transaction; potential litigation relating to the Transaction that could be instituted by or against Arcadium Lithium or its affiliates, directors or officers, including the effects of any outcomes related thereto; the risk that disruptions from the Transaction will harm Arcadium Lithium's business, including current plans and operations; the ability of Arcadium Lithium to retain and hire key personnel; potential adverse reactions or changes to business or governmental relationships resulting from the announcement or completion of the Transaction; certain restrictions during the pendency of the Transaction that may impact Arcadium Lithium's ability to pursue certain business opportunities or strategic transactions; significant transaction costs associated with the Transaction; the possibility that the Transaction may be more expensive to complete than anticipated, including as a result of unexpected factors or events; the occurrence of any event, change or other circumstance that could give rise to the termination of the Transaction, including in circumstances requiring Arcadium Lithium to pay a termination fee or other expenses; competitive responses to the Transaction; the supply and demand in the market for our products as well as pricing for lithium and high-performance lithium compounds; our ability to realize the anticipated benefits of the integration of the businesses of Livent and Allkem or of any future acquisitions; our ability to acquire or develop additional reserves that are economically viable; the existence, availability and profitability of mineral resources and mineral and ore reserves; the success of our production expansion efforts, research and development efforts and the development of our facilities; our ability to retain existing customers; the competition that we face in our business; the development and adoption of new battery technologies; additional funding or capital that may be required for our operations and expansion plans; political, financial and operational risks that our lithium extraction and production operations, particularly in
ARCADIUM LITHIUM PLC CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited, in millions, except per share data) | |||||||
Three Months Ended | Twelve Months Ended | ||||||
December 31, | December 31, | ||||||
2024 | 2023 (1) | 2024 | 2023 (1) | ||||
Revenue | $ 289.0 | $ 181.8 | $ 1,007.8 | $ 882.5 | |||
Cost of sales | 243.4 | 85.7 | 719.2 | 344.1 | |||
Gross margin | 45.6 | 96.1 | 288.6 | 538.4 | |||
Impairment charges | — | — | 51.7 | — | |||
Selling, general and administrative expenses | 31.7 | 16.1 | 126.8 | 63.2 | |||
Research and development expenses | 2.6 | 2.5 | 6.4 | 5.8 | |||
Restructuring and other charges | 45.8 | 21.9 | 157.2 | 56.9 | |||
Total costs and expenses | 323.5 | 126.2 | 1,061.3 | 470.0 | |||
(Loss)/income from operations before equity in net loss of unconsolidated affiliates, interest income, net, loss on debt extinguishment and other (gains)/losses | (34.5) | 55.6 | (53.5) | 412.5 | |||
Equity in net loss of unconsolidated affiliates | 1.6 | 1.1 | 7.5 | 23.1 | |||
Interest income, net | (1.5) | — | (20.3) | — | |||
Loss on debt extinguishment | — | — | 1.1 | — | |||
Other (gains)/losses | (50.4) | 5.7 | (252.4) | 0.4 | |||
Income from operations before income taxes | 15.8 | 48.8 | 210.6 | 389.0 | |||
Income tax expense | 23.2 | 11.1 | 78.9 | 58.9 | |||
Net (loss)/income | $ (7.4) | $ 37.7 | $ 131.7 | $ 330.1 | |||
Net income attributable to noncontrolling interests | 6.8 | — | 28.5 | — | |||
Net (loss)/income attributable to Arcadium Lithium plc | $ (14.2) | $ 37.7 | $ 103.2 | $ 330.1 | |||
Basic (loss)/earnings per ordinary share | $ (0.01) | $ 0.09 | $ 0.10 | $ 0.76 | |||
Diluted (loss)/earnings per ordinary share | $ (0.01) | $ 0.07 | $ 0.09 | $ 0.66 | |||
Weighted average ordinary shares outstanding - basic | 1,075.5 | 432.6 | 1,069.8 | 432.4 | |||
Weighted average ordinary shares outstanding - diluted | 1,075.5 | 503.0 | 1,138.7 | 503.4 | |||
_______________________ | |
1. | For the three and twelve months ended December 31, 2023, basic and diluted earnings per ordinary share and weighted average ordinary shares outstanding - basic and diluted amounts represent predecessor Livent and have been adjusted to reflect the 2.406 Exchange Ratio. Represents the results of predecessor Livent's operations for three and twelve months ended December 31, 2023 which do not include the operations of Allkem. |
ARCADIUM LITHIUM PLC RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
RECONCILIATION OF NET (LOSS)/ INCOME ATTRIBUTABLE TO ARCADIUM LITHIUM PLC TO ADJUSTED EBITDA (NON-GAAP) (Unaudited) | |||||||
Three Months Ended | Twelve Months Ended | ||||||
December 31, | December 31, | ||||||
(In Millions) | 2024 | 2023 (1) | 2024 | 2023 (1) | |||
Net (loss)/income attributable to Arcadium Lithium plc | $ (14.2) | $ 37.7 | $ 103.2 | $ 330.1 | |||
Add back: | |||||||
Net income attributable to noncontrolling interests | 6.8 | — | 28.5 | — | |||
Interest income, net | (1.5) | — | (20.3) | — | |||
Income tax expense | 23.2 | 11.1 | 78.9 | 58.9 | |||
Depreciation and amortization | 45.9 | 8.1 | 113.7 | 29.6 | |||
EBITDA (Non-GAAP) (2) | 60.2 | 56.9 | 304.0 | 418.6 | |||
Add back: | |||||||
(44.7) | 53.4 | (171.0) | 73.9 | ||||
Impairment charges (b) | — | — | 51.7 | — | |||
Restructuring and other charges (c) | 45.8 | 21.9 | 157.2 | 56.9 | |||
Loss on debt extinguishment (d) | — | — | 1.1 | — | |||
Inventory step-up, Allkem Livent Merger (e) | 11.0 | — | 32.0 | — | |||
Other losses/(gains) (f) | 1.4 | 0.9 | (5.0) | 16.7 | |||
Subtract: | |||||||
Blue Chip Swap gain (g) | — | (42.2) | (45.2) | (63.6) | |||
— | — | (0.3) | — | ||||
Adjusted EBITDA (Non-GAAP) (2) | $ 73.7 | $ 90.9 | $ 324.5 | $ 502.5 | |||
___________________ | |
1. | Represents the results of predecessor Livent's operations for three and twelve months ended December 31, 2023 which do not include the operations of Allkem. |
2. | We evaluate operating performance using certain Non-GAAP measures such as EBITDA, which we define as net income attributable to Arcadium Lithium plc plus noncontrolling interests, interest expense, net, income tax expense and depreciation and amortization; and Adjusted EBITDA, which we define as EBITDA adjusted for |
a. | Represents impact of currency fluctuations primarily on deferred income tax assets and liabilities. Also includes impact of currency fluctuations on other tax assets and liabilities and on long-term monetary assets associated with our capital expansion as well as foreign currency devaluations. The remeasurement (gains)/losses are included within Other (gains)/losses in our consolidated statements of operations but are excluded from our calculation of Adjusted EBITDA because of: i.) their nature as income tax related; ii.) their association with long-term capital projects which will not be operational until future periods; or iii.) the severity of the devaluations and their immediate impact on our operations in the country. |
b. | In the third quarter of 2024, the Company's plan to place its Mt Cattlin spodumene operation in |
c. | We continually perform strategic reviews and assess the return on our business. This sometimes results in management changes or in a plan to restructure the operations of our business. As part of these restructuring plans, demolition costs and write-downs of long-lived assets may occur. The three months ended December 31, 2024 and 2023 include costs related to the Allkem Livent Merger of |
d. | The twelve months ended December 31, 2024 includes a |
e. | Relates to the step-up in inventory recorded for Allkem Livent Merger for the twelve months ended December 31, 2024 as a result of purchase accounting, excluded from Adjusted EBITDA as the step-up is considered a one-time, non-recurring cost. |
f. | The three and twelve months ended December 31, 2024 primarily represents foreign currency remeasurement gains related to |
g. | Represents non-recurring gain from the sale in |
h. | Represents interest income received from the |
RECONCILIATION OF NET (LOSS)/INCOME ATTRIBUTABLE TO ARCADIUM LITHIUM PLC (GAAP) TO ADJUSTED AFTER-TAX EARNINGS (NON-GAAP) (Unaudited) | |||||||
Three Months Ended | Twelve Months Ended | ||||||
December 31, | December 31, | ||||||
(In Millions, except per share amounts) | 2024 | 2023 (1) | 2024 | 2023 (1) | |||
Net (loss)/income attributable to Arcadium Lithium plc | $ (14.2) | $ 37.7 | $ 103.2 | $ 330.1 | |||
Add back: | |||||||
Net income attributable to noncontrolling interests | 6.8 | — | 28.5 | — | |||
Special charges: | |||||||
(44.7) | 53.4 | (171.0) | 73.9 | ||||
Impairment charges (b) | — | — | 51.7 | — | |||
Restructuring and other charges (c) | 45.8 | 21.9 | 157.2 | 56.9 | |||
Loss on debt extinguishment (d) | — | — | 1.1 | — | |||
Inventory step-up, Allkem Livent Merger (e) | 11.0 | — | 32.0 | — | |||
Other losses/(gains) (f) | 1.4 | 0.9 | (5.0) | 16.7 | |||
Blue Chip Swap gain (g) | — | (42.2) | (45.2) | (63.6) | |||
— | — | (0.3) | — | ||||
Non-GAAP tax adjustments (i) | 6.4 | (0.9) | 10.0 | (18.0) | |||
Adjusted after-tax earnings (Non-GAAP) (2) | $ 12.5 | $ 70.8 | $ 162.2 | $ 396.0 | |||
Diluted (loss)/earnings per ordinary share (GAAP) | $ (0.01) | $ 0.07 | $ 0.09 | $ 0.66 | |||
Net income attributable to noncontrolling interests, per diluted share | 0.01 | — | 0.03 | — | |||
Special charges per diluted share, before tax: | |||||||
(0.04) | 0.11 | (0.16) | 0.15 | ||||
Impairment charges, per diluted share | — | — | 0.04 | — | |||
Restructuring and other charges, per diluted share | 0.04 | 0.04 | 0.14 | 0.11 | |||
Inventory step-up, Allkem Livent Merger, per diluted share | 0.01 | — | 0.03 | — | |||
Other losses, per diluted share | — | — | — | 0.03 | |||
Blue Chip Swap gain, per diluted share | — | (0.08) | (0.04) | (0.12) | |||
Non-GAAP tax adjustments per diluted share | — | — | 0.01 | (0.04) | |||
Diluted adjusted after-tax earnings per share (Non-GAAP) (2) | $ 0.01 | $ 0.14 | $ 0.14 | $ 0.79 | |||
Weighted average number of shares outstanding used in diluted adjusted after-tax earnings per share computations (Non-GAAP) | 1,145.6 | 503.0 | 1,138.7 | 503.4 | |||
____________________ | |
1. | For the three and twelve months ended December 31, 2023, diluted earnings per ordinary share (GAAP), weighted average ordinary shares outstanding - diluted (Non-GAAP) and all per diluted share amounts represent predecessor Livent and have been adjusted to reflect the 2.406 Exchange Ratio. Represents the results of predecessor Livent's operations for three and twelve months ended December 31, 2023 which do not include the operations of Allkem. |
2. | The Company believes that the Non-GAAP financial measures "Adjusted after-tax earnings" and "Diluted adjusted after-tax earnings per share" provide useful information about the Company's operating results to management, investors and securities analysts. Adjusted after-tax earnings excludes the effects of nonrecurring charges/(income) and tax-related adjustments. The Company also believes that excluding the effects of these items from operating results allows management and investors to compare more easily the financial performance of its underlying business from period to period. Diluted adjusted after-tax earnings per share (Non-GAAP) is calculated using weighted average common shares outstanding - diluted. |
a. | Represents impact of currency fluctuations primarily on deferred income tax assets and liabilities. Also includes impact of currency fluctuations on other tax assets and liabilities and on long-term monetary assets associated with our capital expansion as well as foreign currency devaluations. The remeasurement (gains)/losses are included within Other (gains)/losses in our consolidated statements of operations but are excluded from our calculation of Adjusted EBITDA because of: i.) their nature as income tax related; ii.) their association with long-term capital projects which will not be operational until future periods; or iii.) the severity of the devaluations and their immediate impact on our operations in the country. |
b. | In the third quarter of 2024, the Company's plan to place its Mt Cattlin spodumene operation in |
c. | We continually perform strategic reviews and assess the return on our business. This sometimes results in management changes or in a plan to restructure the operations of our business. As part of these restructuring plans, demolition costs and write-downs of long-lived assets may occur. The three months ended December 31, 2024 and 2023 include costs related to the Allkem Livent Merger of |
d. | The twelve months ended December 31, 2024 includes a |
e. | Relates to the step-up in inventory recorded for Allkem Livent Merger for the twelve months ended December 31, 2024 as a result of purchase accounting, excluded from Adjusted EBITDA as the step-up is considered a one-time, non-recurring cost. |
f. | The three and twelve months ended December 31, 2024 primarily represents foreign currency remeasurement gains related to |
g. | Represents non-recurring gain from the sale in |
h. | Represents interest income received from the |
i. | The Company excludes the GAAP tax provision, including discrete items, from the Non-GAAP measure Diluted adjusted after-tax earnings per share, and instead includes a Non-GAAP tax provision based upon the annual Non-GAAP effective tax rate. The GAAP tax provision includes certain discrete tax items including, but not limited to: income tax expenses or benefits that are not related to operating results in the current year; tax adjustments associated with fluctuations in foreign currency remeasurement of certain foreign operations; certain changes in estimates of tax matters related to prior fiscal years; certain changes in the realizability of deferred tax assets and related accounting impacts; and changes in tax law. Management believes excluding these discrete tax items assists investors and securities analysts in understanding the tax provision and the effective tax rate related to operating results thereby providing investors with useful supplemental information about the Company's operational performance. The income tax expense/(benefit) on special charges/(income) is determined using the applicable rates in the taxing jurisdictions in which the special charge or income occurred and includes both current and deferred income tax expense/(benefit) based on the nature of the Non-GAAP performance measure. |
Three Months Ended | Twelve Months Ended | ||||||
December 31, | December 31, | ||||||
(in Millions) | 2024 | 2023 | 2024 | 2023 | |||
Non-GAAP tax adjustments: | |||||||
Income tax benefit on restructuring and other charges and other corporate costs | $ (8.0) | $ (3.4) | $ (34.9) | $ (7.0) | |||
Revisions to our tax liabilities due to finalization of prior year tax returns | 2.4 | — | (1.7) | (0.4) | |||
Foreign currency remeasurement (net of valuation allowance) and other discrete items | 7.1 | (1.1) | 45.5 | (16.2) | |||
Blue Chip Swap gain | (0.2) | 4.5 | 10.3 | 6.7 | |||
Tax effect of impairment charges | — | — | (15.5) | — | |||
Other discrete items | 5.1 | (0.9) | 6.3 | (1.1) | |||
Total Non-GAAP tax adjustments | $ 6.4 | $ (0.9) | $ 10.0 | $ (18.0) | |||
RECONCILIATION OF CASH (USED IN)/PROVIDED BY OPERATING ACTIVITIES (GAAP) TO ADJUSTED (Unaudited) | |||
Twelve Months Ended | |||
December 31, | |||
(In Millions) | 2024 | 2023 (1) | |
Cash (used in)/provided by operating activities (GAAP) | $ (176.0) | $ 297.3 | |
Restructuring and other charges | 192.1 | 28.7 | |
| (1.5) | — | |
Adjusted cash provided by operations (Non-GAAP) (2) | $ 14.6 | $ 326.0 | |
___________________ | |
1. | Represents the results of predecessor Livent's operations for twelve months ended December 31, 2023 which do not include the operations of Allkem. |
2. | The Company believes that the Non-GAAP financial measure Adjusted cash provided by operations provides useful information about the Company's cash flows to investors and securities analysts. Adjusted cash provided by operations excludes the effects of transaction-related cash flows. The Company also believes that excluding the effects of these items from cash (used in)/provided by operating activities allows management and investors to compare more easily the cash flows from period to period. |
RECONCILIATION OF LONG-TERM DEBT (GAAP) AND CASH AND CASH EQUIVALENTS (GAAP) TO NET DEBT (NON-GAAP) (Unaudited) | |||
(In Millions) | December 31, 2024 | December 31, 2023 (1) | |
Long-term debt (including current maturities) (GAAP) (a) | $ 960.6 | $ 302.0 | |
Less: Cash and cash equivalents (GAAP) | (93.2) | (237.6) | |
Net debt (Non-GAAP) (2) | $ 867.4 | $ 64.4 | |
___________________ | |
1. | Represents the financial position of predecessor Livent as of December 31, 2023, which does not include the financial position of Allkem. |
2. | The Company believes that the non-GAAP financial measure "Net debt" provides useful information about the Company's cash flows and liquidity to investors and securities analysts. |
a. | Presented net of unamortized transaction costs and discounts of |
RECONCILIATION OF CASH AND CASH EQUIVALENTS (GAAP) TO ADJUSTED CASH AND DEPOSITS (NON-GAAP)
The following table provides a reconciliation of Arcadium Lithium's Cash and cash equivalents (GAAP) to Adjusted cash and deposits (Non-GAAP), on an unaudited basis for illustrative purposes. We define Adjusted cash and deposits (Non-GAAP) as Cash and cash equivalents, plus restricted cash in Other non-current assets, less Nemaska Lithium Cash and cash equivalents consolidated by Arcadium on a one-quarter lag, plus Nemaska Lithium Cash and cash equivalents not on a one-quarter lag. Our management believes that this measure provides useful information about the Company's balances and liquidity to investors and securities analysts. Such measure may not be comparable to similar measures disclosed by other companies because of differing methods used by other companies in calculating Adjusted cash and deposits. These measures should not be considered as a substitute for Cash and cash equivalents or other measures of liquidity reported in accordance with
December 31, | |||
2024 | 2023 (1) | ||
(in Millions) | |||
Arcadium Lithium Cash and cash equivalents (GAAP) | $ 93.2 | $ 237.6 | |
Allkem Cash and cash equivalents | — | 681.4 | |
Add: | |||
Restricted cash in Other non-current assets: | |||
Project Loan Facility guarantee - Stage 2 of Olaroz Plant (SDJ) | 18.1 | 24.6 | |
Project Financing Facility guarantee - Sal de Vida (SDV) (2) | — | 32.5 | |
Other | 5.3 | 5.0 | |
Less: | |||
Nemaska Lithium Cash and cash equivalents as of Sept. 30, 2024 and October 18, 2023, respectively, consolidated by Arcadium on a one-quarter lag | (11.4) | (133.5) | |
Arcadium Lithium, excluding Nemaska Lithium | 105.2 | 847.6 | |
Nemaska Lithium Cash and cash equivalents not on a one-quarter lag (3) | 28.2 | 44.2 | |
Adjusted cash and deposits (Non-GAAP) (4) | 133.4 | 891.8 | |
_________________ | |
1. | This unaudited information of the combined company as of December 31, 2023 is for illustrative purposes and was derived from the historical consolidated financial information of Livent, Allkem and Nemaska Lithium. |
2. | On May 30, 2024, SDV paid the outstanding principal balance of |
3. | The presentation reflects NLI's actual balance at that date, not on a one-quarter lag. This differs from Nemaska Lithium cash and cash equivalents included in Arcadium Lithium's consolidated balance sheet as of December 31, 2024 of |
4. | |
ARCADIUM LITHIUM PLC CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
| |||
(In Millions) | December 31, 2024 | December 31, 2023 (1) | |
Cash and cash equivalents | $ 93.2 | $ 237.6 | |
Trade receivables, net of allowance of less than | 130.3 | 106.7 | |
Inventories, net | 417.6 | 217.5 | |
Prepaid and other current assets | 218.7 | 86.4 | |
Total current assets | 859.8 | 648.2 | |
Investments | 36.9 | 34.8 | |
Property, plant and equipment, net of accumulated depreciation of | 7,371.2 | 2,237.1 | |
Goodwill | 1,362.9 | 120.7 | |
Other intangibles, net | 62.2 | 53.4 | |
Deferred income taxes | 37.8 | 1.4 | |
Right of use assets - operating leases, net | 47.0 | 6.8 | |
Other assets | 412.3 | 127.7 | |
Total assets | $ 10,190.1 | $ 3,230.1 | |
Total current liabilities | 789.0 | 268.6 | |
Long-term debt | 671.7 | 299.6 | |
Contract liability - long-term | 238.1 | 217.8 | |
Other long-term liabilities | 1,310.5 | 160.3 | |
Equity | 7,180.8 | 2,283.8 | |
Total liabilities and equity | $ 10,190.1 | $ 3,230.1 | |
_________________ | |
1. | Represents the financial position of predecessor Livent as of December 31, 2023, which does not include the financial position of Allkem. |
ARCADIUM LITHIUM PLC CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) | |||
Twelve Months Ended December 31, | |||
(In Millions) | 2024 | 2023 (1) | |
Cash (used in)/provided by operating activities | $ (176.0) | $ 297.3 | |
Cash used in investing activities | (445.3) | (228.3) | |
Cash provided by/(used in) financing activities | 492.4 | (20.4) | |
Effect of exchange rate changes on cash | (15.5) | — | |
(Decrease)/increase in cash and cash equivalents | (144.4) | 48.6 | |
Cash and cash equivalents, beginning of period | 237.6 | 189.0 | |
Cash and cash equivalents, end of period | $ 93.2 | $ 237.6 | |
___________________ | |
1. | Represents the results of predecessor Livent's operations for the twelve months ended December 31, 2023 which do not include the operations of Allkem. |
ARCADIUM LITHIUM PLC LONG-TERM DEBT (Unaudited) | |||||||||||
Interest Rate Percentage | Maturity Date | December 31, | December 31, | ||||||||
(in Millions) | SOFR | Base rate | |||||||||
Revolving Credit Facility (1) | 6.18 % | 8.25 % | 2027 | $ 344.0 | $ — | ||||||
4.125 % | 2025 | 245.8 | 245.8 | ||||||||
Transaction costs - 2025 Notes | (0.9) | (2.4) | |||||||||
Nemaska - Prepayment agreement (2) | 8.9 % | 75.0 | 75.0 | ||||||||
Discount - Prepayment agreement | (20.1) | (19.8) | |||||||||
Nemaska - Prepayment agreement - tranche 2 (2) | 9.4 % | 150.0 | — | ||||||||
Discount - Prepayment agreement | (52.8) | — | |||||||||
Nemaska - Other | 0.6 | 3.4 | |||||||||
Debt assumed in Allkem Livent Merger (3) | |||||||||||
Project Loan Facility - Stage 2 of Olaroz Plant | 2.61 % | 2029 | 135.0 | — | |||||||
Affiliate Loans with TTC | 14.30 % | 2030 | 81.5 | — | |||||||
Affiliate Loan with TLP | 10.03 % | 2026 | 2.5 | — | |||||||
Total debt assumed in Allkem Livent Merger | 219.0 | — | |||||||||
Subtotal long-term debt (including current maturities) | 960.6 | 302.0 | |||||||||
Less current maturities | (288.9) | (2.4) | |||||||||
Total long-term debt | $ 671.7 | $ 299.6 | |||||||||
________________________ | |
1. | Represents the financial position of predecessor Livent as of December 31, 2023, which does not include the financial position of Allkem. |
2. | Represents advance payments in connection with customer supply agreement which do not have a contractual interest rate or bear any actual interest and are repayable in equal quarterly installments beginning in January 2027 and ending in October 2031. Represents |
3. | On September 10, 2024, SDJ paid the outstanding principal balance of |
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SOURCE Arcadium Lithium PLC
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