May 2016 First Quarter Earnings Presentation / 2016
Important Notice Statements in this presentation concerning the Company’s business outlook or future economic performances, anticipated profitability, revenues, expenses, or other financial items, anticipated cost synergies and product or service line growth, together with other statements that are not historical facts, are “forward - looking statements” as that term is defined under Federal Securities Laws. Any forward-looking statements are estimates, reflecting the best judgment of SQM based on currently available information and involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements. Risks, uncertainties, and factors that could affect the accuracy of such forward-looking statements are identified in the public filing made with the Securities and Exchange Commission, and forward-looking statements should be considered in light of those factors. 2 First Quarter Earnings Presentation / 2016
Results Net Income Revenues 3.000 700 649 2.429 600 2.500 543 2.203 2.145 2.014 467 500 2.000 US$ Million 1.728 1.733 US Million 400 1.500 296 300 213 200 1.000 200 500 100 0 0 2011 2012 2013 2014 2015 LTM Mar 2011 2012 2013 2014 2015 LTM Mar 16 16 Lower prices in iodine and potassium businesses Volume recovery in 2016 helps to stabilize revenues, but margins under pressure Net income for 2015 and LTM March 2016 includes one-time charge of US$57.7 million related to restructuring iodine and nitrates facilities 3 First Quarter Earnings Presentation / 2016
Results Revenue Contribution Gross Profit Contribution 1Q2016/1Q2015 1Q2016/1Q2015 420 150 392 388 30 22 400 2 140 -8 US$ Million 1 380 -4 -2 131 -2 130 360 -15 120 340 114 -12 -25 -1 320 110 300 100 SPN Iodine Lithium I. Chem. Potassium P Q ~ ~ Cost savings initiatives remain a priority 4 First Quarter Earnings Presentation / 2016
Market Outlook Potash Market: Global demand estimates higher in 2016 than in 2015; prices under pressure. Potassium Nitrate: Strong growth seen in value-added water soluble segment; prices more stable than potash prices. Iodine Market: Demand growth ~2% in 2016; prices remain under pressure Lithium Market: Strong market growth (~10%) and higher prices Solar Salts: SQM expects sales of >70,000 MT in 2016 5 First Quarter Earnings Presentation / 2016
Contact Information: Gerardo Illanes: VP of Finance and IR, gerardo.illanes@sqm.com Kelly O’Brien: Head of Investor Relations, kelly.obrien@sqm.com Carolyn McKenzie: Investor Relations, carolyn.mckenzie@sqm.com
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