Albemarle misses by $1.11, reports revs in-line; provides update on operating structure review; announces a 6-7% workforce reduction (96.60 -3.13)
- Reports Q3 (Sep) loss of $(1.55) per share, excluding non-recurring items, $1.11 worse than the FactSet Consensus of ($0.44); revenues fell 41.4% year/year to $1.35 bln vs the $1.37 bln FactSet Consensus.
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Additional Actions in Connection with Comprehensive Review of Cost and Operating Structure: During Q3, co progressed on its previously announced comprehensive review of its cost and operating structure.
- Effective November 1, 2024, Albemarle implemented a new operating structure, which included transitioning to an integrated functional model designed to increase agility, deliver significant cost savings and maintain long-term competitiveness.
- Co is also announcing today a global workforce reduction expected to impact 6-7% of total headcount to drive significant cost-out and productivity actions.
- The annual run-rate cost savings of actions in connection with the comprehensive review is expected to be in the range of $300 million to $400 million driven by elimination of redundancies, reduced management layers, productivity benefits and optimized manufacturing costs. These savings are in addition to cost savings of over $100 million announced and executed this year.
- During Q4, co expects to record a charge primarily related to severance and related benefit costs.