Posted 1/18/2024, 4:15:00 PM
Albemarle Slashes 2024 Spending by Up to $600 Million, Defers Some Projects to Cut Costs Amid Market Downturn
- Albemarle Corporation implementing measures to cut 2024 capital expenditures by $500M-$600M from 2023 level of $2.1B, prioritizing near-complete projects
- Company deferring some lithium investments like North Carolina facility while advancing others like Australia mine
- Implementing cost reductions like headcount cuts and less contracting to save $95M annually, $50M+ in 2024
- Actions will position company to capture growth when markets improve, though taking charges in Q1 2024 for severance etc.
- Stock down 49.5% last year vs 13.3% industry drop, though long-term prospects remain positive