v3.25.1
Segment Information (Tables)
 3 Months Ended
Mar. 31, 2025
Segment Reporting [Abstract]  
Reportable Segments Summarized Financial Information
See below for a reconciliation of segment Net sales to adjusted EBITDA by segment showing significant segment expenses regularly reviewed by the CODM for the three-month periods ended March 31, 2025 and 2024 (in thousands):
Energy StorageSpecialtiesKetjenTotal Segments
Three Months Ended March 31, 2025
Net sales(a)
$524,565 $321,014 $231,302 $1,076,881 
Cost of goods sold(b)
(365,521)(231,226)(173,477)(770,224)
Selling, general and administrative expenses(b)
(44,535)(20,379)(22,025)(86,939)
Other segment items(c)
(2,550)(2,793)(6,512)(11,855)
Equity in net income of unconsolidated investments(d)
74,396 — 9,300 83,696 
Net income attributable to noncontrolling interests— (7,950)— (7,950)
Adjusted EBITDA by segment$186,355 $58,666 $38,588 $283,609 
Three Months Ended March 31, 2024
Net sales(a)
$800,898 $316,065 $243,773 $1,360,736 
Cost of goods sold(b)
(776,582)(225,163)(202,417)(1,204,162)
Selling, general and administrative expenses(b)
(64,414)(24,970)(19,926)(109,310)
Other segment items(c)
(6,638)(7,634)(7,272)(21,544)
Equity in net income of unconsolidated investments(d)
244,732 — 7,821 252,553 
Net income attributable to noncontrolling interests— (13,117)— (13,117)
Adjusted EBITDA by segment$197,996 $45,181 $21,979 $265,156 
(a)Intersegment sales are not considered material.
(b)The significant expense categories and amounts align with the segment information that is regularly provided to the CODM. Excludes depreciation and amortization, and non-operating, non-recurring or unusual items as described in the reconciliation of total segment adjusted EBITDA to consolidated Net income attributable to Albemarle Corporation below.
(c)Other segment items are comprised of Research and development expenses excluding depreciation and amortization.
(d)Excludes Albemarle’s 49% ownership interest in the income tax expense of the Windfield joint venture.
The Company reconciles the total segment adjusted EBITDA to the consolidated Net income attributable to Albemarle Corporation given the impact of equity in net income from unconsolidated investments, the majority of which relates to the Windfield joint venture. This reconciliation reflects the strategic and operational significance of the Company’s joint ventures and aligns with our allocation of equity in net income from unconsolidated investments at the segment level, representing each segment's contribution to the Company's overall financial performance. See below for a reconciliation of total segment adjusted EBITDA to consolidated Net income attributable to Albemarle Corporation (in thousands):
Three Months Ended
March 31,
20252024
Total segment adjusted EBITDA$283,609 $265,156 
Corporate expenses, net(16,465)26,080 
Depreciation and amortization(161,754)(123,751)
Interest and financing expenses(48,977)(37,969)
Income tax benefit3,978 3,721 
Proportionate share of Windfield income tax expense(a)
(25,326)(73,689)
Acquisition and integration related costs(b)
(1,440)(1,907)
Restructuring charges and asset write-offs(c)
833 (36,285)
Non-operating pension and OPEB items(275)325 
Loss in fair value of public equity securities(d)
(5,022)(43,159)
Other(e)
12,187 23,926 
Net income attributable to Albemarle Corporation$41,348 $2,448 
(a)Albemarle’s 49% ownership interest in the reported income tax expense of the Windfield joint venture.
(b)Costs related to the acquisition, integration and potential divestitures for various significant projects, recorded in Selling, general and administrative expenses (“SG&A”).
(c)See Note 9, “Restructuring Charges and Asset Write-offs,” for further details.
(d)Represents the net change in fair value of investments in public equity securities for the three-month period ended March 31, 2025, recorded in Other income, net. The three-month period ended March 31, 2024 included losses of $9.4 million and $33.7 million, recorded in Other income, net, resulting from the net change in fair value of investments in public equity securities and the sale of investments in public equity securities, respectively.
(e)Included amounts for the three months ended March 31, 2025 recorded in:
•SG&A - $3.2 million of gains from the sale of assets at a site not part of our production operations, partially offset by $0.6 million of expenses related to certain historical legal matters.
•Other income, net - $9.8 million of income from PIK dividends of preferred equity in a Grace subsidiary and a $1.9 million gain primarily resulting from the adjustment of indemnification related to previously disposed businesses, partially offset by $1.9 million of charges for asset retirement obligations at a site not part of our operations.
Included amounts for the three months ended March 31, 2024 recorded in:
•Cost of goods sold - $1.4 million of expenses related to non-routine labor and compensation related costs that are outside normal compensation arrangements.
•SG&A - $0.1 million of expenses related to certain historical legal matters.
•Other income, net - $17.3 million gain primarily from the sale of assets at a site not part of our operations, $8.7 million of income from PIK dividends of preferred equity in a Grace subsidiary and a $2.4 million gain primarily resulting from the adjustment of indemnification related to previously disposed businesses, partially offset by $2.9 million of charges for asset retirement obligations at a site not part of our operations.
Total assets and investments in equity method investees by segment at March 31, 2025 and December 31, 2024 were as follows (in thousands):
March 31,December 31,
20252024
Assets:
Energy Storage$11,360,332 $11,285,847 
Specialties1,856,357 1,843,564 
Ketjen1,449,129 1,426,189 
Total segment assets14,665,818 14,555,600 
Corporate2,333,440 2,054,049 
Total assets$16,999,258 $16,609,649 
Investments in equity method investees:
Energy Storage$585,648 $585,569 
Ketjen150,119 140,915 
Total investments in equity method investees$735,767 $726,484 
Additional segment information for the three-month periods ended March 31, 2025 and 2024 was as follows (in thousands):
Three Months Ended
March 31,
20252024
Depreciation and amortization:
Energy Storage$120,348 $87,274 
Specialties25,733 22,437 
Ketjen13,430 12,357 
Total segment depreciation and amortization159,511 122,068 
Corporate2,243 1,683 
Total depreciation and amortization$161,754 $123,751 
Equity in net income of unconsolidated investments (net of tax):
Energy Storage$50,845 $171,534 
Ketjen9,300 7,821 
Total segment equity in net income of unconsolidated investments (net of tax)60,145 179,355 
Corporate(a)
4,141 1,145 
Total equity in net income of unconsolidated investments (net of tax)$64,286 $180,500 
Capital expenditures:
Energy Storage$94,443 $445,313 
Specialties62,225 89,145 
Ketjen22,371 35,183 
Total segment capital expenditures179,039 569,641 
Corporate3,585 9,681 
Total capital expenditures$182,624 $579,322 
(a)Corporate equity in net income of unconsolidated investments (net of tax) relates to foreign exchange gains or losses from the Windfield joint venture.