(Reuters) – Albemarle Corp, the world’s largest lithium producer, reported a lower fourth-quarter profit on Wednesday and forecast a decline in current year earnings as it struggles with lower demand due to the COVID-19 pandemic’s hit to economic activity.
Albemarle said it sees adjusted profit in the range of $3.25 to $3.65 per share in 2021. It earned a profit of $4.12 per share last year.
The COVID-19 pandemic had stalled the electric vehicle revolution and dented global automobile sales last year, forcing producers of battery metal lithium into survival mode with output cuts, expansion delays and sales of major assets.
In lithium, the company’s largest division, sales fell 12.8%primarily due to lower contract and market pricing.
Net income attributable to the company fell to $84.6 million, or 79 cents per share, in the quarter ended Dec. 31, from $90.4 million, or 85 cents per share, a year earlier.
(Reporting by Arundhati Sarkar in Bengaluru; Editing by Maju Samuel, Bernard Orr)
