Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
ALB (Albemarle) posted FY2025 revenue of $5.14B (down 4.4% YoY) but dramatically improved its gross margin to 13.0% from 1.2% a year ago, while narrowing its net loss to $510.6M as cost reductions and operational efficiencies partially offset continued lithium market headwinds.
Revenue
$5.14B
-4.37% YoY
EPS (Diluted)
-$5.76
+48.57% YoY
Gross Margin
13.0%
+11.8 pts YoY
Operating Income
-$367.08M
+79.34% YoY
Source: SEC XBRL
Albemarle (ALB) reported FY2025 revenue of $5.14B, down 4.4% year over year. Operating margin was -7.1%, against -33.0% a year earlier. Operating cash flow was $1.28B, up 86.4% year over year.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 3.75 | 3.27 | Beat +14.7% |
| Mar 2026 | 2.95 | 1.11 | Beat +166.8% |
| Dec 2025This filing | -0.53 | -0.41 | Miss -28.5% |
| Sep 2025 | -0.19 | -0.79 | Beat +75.9% |
Reported EPS of -$0.53 versus the -$0.41 analyst consensus — a -28.5% miss for Dec 2025.
Compiled by AI from this SEC filing
Revenue fell 4.4% YoY to $5.14B in FY2025 from $5.38B in the prior year, reflecting continued weakness in lithium pricing that has weighed on Albemarle's top line for multiple consecutive periods.
Source: 10-K Income Statement (XBRL Financial Data)
Gross profit surged 969.3% YoY to $668.7M, pushing gross margin from a near-breakeven 1.2% to 13.0%, driven primarily by a 15.8% reduction in cost of revenue ($4.47B vs. $5.31B prior year), indicating significant progress in cost management and operational efficiency.
Source: 10-K Income Statement (XBRL Financial Data)
Operating loss improved 79.3% YoY to -$367.1M from -$1.78B, reflecting the combined benefit of lower cost of revenue, reduced SG&A (down 11.0% to $550.0M), and sharply lower R&D spending (down 40.7% to $51.4M), signaling aggressive cost discipline.
Source: 10-K Income Statement (XBRL Financial Data)
Operating cash flow nearly doubled to $1.28B in FY2025 from $687.9M in the prior year (+86.4%), supported by $658.7M in D&A, demonstrating that despite reported net losses, the business continues to generate meaningful cash from operations.
Source: 10-K Cash Flow Statement (XBRL Financial Data)
Long-term debt declined 9.2% to $3.19B and investing cash outflows fell sharply to -$146.0M from -$1.58B, reflecting a pivot away from heavy capital expenditure and toward balance sheet preservation, while the current ratio of 2.23 indicates adequate near-term liquidity.
Source: 10-K Balance Sheet & Cash Flow Statement (XBRL Financial Data)
Compiled by AI from this SEC filing · 2 high, 3 medium, 0 low
Albemarle's revenue and profitability are highly sensitive to global lithium market prices, which have experienced severe downturns. The 4.4% revenue decline in FY2025 despite operational improvements illustrates how pricing pressure can overwhelm cost-reduction efforts, and any further deterioration in lithium prices could push margins back toward breakeven or worse.
Source: 10-K Income Statement (XBRL Financial Data)
The company reported a net loss of $510.6M in FY2025 (improved from -$1.18B but still substantial), and stockholders' equity declined 4.3% to $9.53B. Continued losses risk further erosion of the equity base and could constrain the company's ability to invest in growth or service its debt obligations.
Source: 10-K Income Statement & Balance Sheet (XBRL Financial Data)
Despite a 9.2% reduction, long-term debt remains elevated at $3.19B. With negative operating margins and net losses, the company's ability to service this debt depends heavily on its operating cash flow generation, which could be impaired if lithium prices weaken further.
Source: 10-K Balance Sheet (XBRL Financial Data)
R&D spending was cut 40.7% to $51.4M and SG&A fell 11.0% to $550.0M in FY2025. While these reductions improved near-term profitability metrics, sustained underinvestment in research and development could impair Albemarle's ability to maintain its competitive position in next-generation lithium technologies and processing capabilities.
Source: 10-K Income Statement (XBRL Financial Data)
Investing cash outflows dropped dramatically from -$1.58B to -$146.0M YoY, suggesting a near-halt in major capital projects. While this preserves cash in the short term, it may delay capacity expansions needed to capitalize on a future lithium demand recovery, potentially ceding market share to competitors who continue investing.
Source: 10-K Cash Flow Statement (XBRL Financial Data)
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 5.14 $B | 5.38 $B | -4.37% |
Cost of Revenue $B | 4.47 $B | 5.31 $B | -15.82% |
Gross Profit $M | 668.72 $M | 62.54 $M | +969.28% |
Operating Income $B | -0.37 $B | -1.78 $B | +79.34% |
Net Income $B | -0.51 $B | -1.18 $B | +56.71% |
EPS (Basic) $ | -5.76 $ | -11.20 $ | +48.57% |
EPS (Diluted) $ | -5.76 $ | -11.20 $ | +48.57% |
R&D Expense $M | 51.40 $M | 86.72 $M | -40.73% |
SG&A Expense $M | 550.04 $M | 618.05 $M | -11.00% |
Answers draw on this SEC filing and the data on this page
Albemarle Corporation delivered a standout Q2 FY2026 with revenue up 31% and net income turning sharply positive on a 42% pricing gain in lithium, while executing a major balance-sheet deleveraging through divestitures.
ALB delivered a strong Q1 FY2026 with revenue surging 32.7% YoY to $1.43B and operating income jumping over 10x to $233.5M, driven by dramatically improved gross margins and a significant reduction in long-term debt.
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