Shares of Sociedad Quimica Y Minera De Chile SA (SQM) are soaring 6.87% in Wednesday's trading session, driven by a trifecta of positive developments: impressive Q3 2025 earnings, an optimistic lithium market outlook, and regulatory approval for a key joint venture.
The Chilean lithium giant reported stellar Q3 2025 results, with revenue reaching $1.173 billion, up 8.9% year-over-year. Net profit surged an impressive 35.8% to $178 million, propelled by a 21.4% increase in lithium and derivatives sales. The company's lithium sales volume climbed to a record high, up 43% compared to the same period last year. SQM CEO Ricardo Ramos expressed confidence in the continued upward trend, citing robust demand from the electric vehicle (EV) and energy storage sectors.
Adding to the positive sentiment, Chinese regulators have given the green light to SQM's joint venture with Codelco for lithium extraction in the Atacama Salt Flat. This regulatory approval is viewed as a significant milestone for SQM's expansion plans. Furthermore, the recent rebound in lithium carbonate prices, particularly in China, has bolstered investor optimism. Industry analysts project strong growth in lithium demand, with Ganfeng Lithium's chairman forecasting a 30% increase in 2026. SQM's critical role in Tesla's battery supply chain and its recent momentum ranking increase have also attracted investor attention, underlining the company's strong position in the growing EV market.
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