雅保公司 (ALB) 2021 Q1 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the First Quarter 2021 Albemarle Corporation Earnings Conference Call. (Operator Instructions) Please be advised that today's conference is being recorded. (Operator Instructions)

各位女士、先生，感謝您稍候，歡迎參加雅保公司（Albemarle Corporation）2021 年第一季財報電話會議。（接線員指示）請注意，今天的會議將被錄音。（接線員指示）

I would now like to hand the conference over to your speaker host, Meredith Bandy, Vice President of Investor Relations and Sustainability. Please go ahead.

現在我想把會議交給今天的主持人——投資人關係與永續發展副總裁 Meredith Bandy。請開始。

All right. Thank you, Olivia, and welcome to Albemarle's First Quarter Earnings Conference Call. Our earnings were released after the close of the market yesterday, and you'll find our press release, presentation and non-GAAP reconciliations posted to our website under the Investors section at albemarle.com.

好的。謝謝你，Olivia，也歡迎各位參加雅保第一季財報電話會議。我們的財報已於昨日收盤後發布，您可在 albemarle.com 網站「投資人」專區找到新聞稿、簡報以及非 GAAP 調節表。

Joining me on the call today are Kent Masters, Chief Executive Officer; Scott Tozier, Chief Financial Officer. Raphael Crawford, President, Catalysts; Netha Johnson, President, Bromine Specialties; and Eric Norris, President, Lithium, are also available for Q&A.

今天與我一同參與電話會議的有：執行長 Kent Masters；財務長 Scott Tozier。催化劑事業群總裁 Raphael Crawford、溴系特殊產品事業群總裁 Netha Johnson，以及鋰事業群總裁 Eric Norris 也將出席並可在問答環節回應提問。

As a reminder, some of the statements made during this call, including our outlook, guidance, expected company performance and proposed divestitures and expansion projects may constitute forward-looking statements within the meaning of federal securities laws. Please note the cautionary language about forward-looking statements contained in our press release and presentation. That same language applies to this call.

提醒各位，本次電話會議中的部分陳述，包括我們的展望、指引、預期公司表現，以及擬議的資產剝離與擴建專案，可能構成聯邦證券法所定義的前瞻性陳述。請留意我們新聞稿與簡報中關於前瞻性陳述的警示性語言；同樣的語言亦適用於本次電話會議。

Please also note that some of our comments today refer to financial measures that are not prepared in accordance with GAAP. A reconciliation of these measures to GAAP financial measures can be found in our earnings release and the appendix of our presentation, both of which are posted to our website.

另外也請注意，我們今天的部分評論提及未依 GAAP 編製的財務衡量指標。這些指標與 GAAP 財務衡量指標之調節，可在我們的財報新聞稿及簡報附錄中找到，兩者皆已發布於我們的網站。

And with that, I'll turn the call over to Kent.

那麼，我把電話會議交給 Kent。

Okay. Thanks, Meredith. Good morning, and thanks to you all for joining us today. On today's call, I will highlight our recent accomplishments and discuss our strategy as it relates to accelerating growth and creating a more sustainable business. Scott will give us more detail on our results, outlook and capital allocation.

好的。謝謝你，Meredith。各位早安，感謝大家今天加入我們的電話會議。在今天的會議中，我將重點說明我們近期的成果，並討論與加速成長及打造更永續企業相關的策略。Scott 會更詳細說明我們的業績、展望與資本配置。

This was another strong quarter for Albemarle with solid financial results. We generated net income of $96 million and adjusted EBITDA of $230 million, up 17% from last year. We benefited in part from several lithium customers that accelerated orders under long-term agreements as well as favorable volume and customer mix in our Bromine business.

對雅保而言，這又是一個強勁的季度，財務表現穩健。我們創造了 9,600 萬美元的淨利，以及 2.30 億美元的調整後 EBITDA，較去年成長 17%。部分受惠於若干鋰客戶在長期合約下提前拉貨，以及我們溴業務在銷量與客戶組合方面的有利表現。

We continue to see strong market demand for lithium, especially from EVs. First quarter EV sales were up 135% versus last year, led by China. European and North American sales were also up significantly. All that said, remember that we are sold out in bromine and lithium. Therefore, we are maintaining our previously reported company guidance for the full year. Scott will provide additional detail on this in just a few minutes. We are advancing our growth plans with the progress being made at our Wave II lithium projects. These 2 projects, La Negra III and IV and Kemerton I and II are expected to add volume beginning next year.

我們持續看到鋰的市場需求強勁，尤其來自電動車（EV）。第一季 EV 銷量較去年成長 135%，以中國為首；歐洲與北美的銷量也大幅上升。儘管如此，請記得我們的溴與鋰產品目前皆已滿載售罄。因此，我們維持先前公布的全年公司指引。Scott 稍後會就此提供更多細節。我們正推進成長計畫，Wave II 鋰專案進展順利。這兩個專案——La Negra III 與 IV，以及 Kemerton I 與 II——預期將自明年起開始增加出貨量。

As you are probably aware, during the first quarter, we successfully completed a $1.5 billion equity offering and then subsequently reduced our debt. This enabled us to achieve 2 strategic goals. First, we are now well positioned to execute on our high-return Wave III growth projects for lithium and bromine. And second, we have maintained our investment-grade credit rating, which was recently upgraded to a BBB rating by S&P Global. I'm also proud to say that we have signed the U.N. Global Compact, joining the efforts of corporations and stakeholders worldwide to advance sustainability.

如各位可能已知，在第一季期間，我們成功完成 15 億美元的股權募資，並隨後降低負債。這使我們達成兩項策略目標。第一，我們現在已具備良好條件，得以執行鋰與溴的高報酬 Wave III 成長專案。第二，我們維持了投資等級信用評等，且近期已由 S&P Global 上調至 BBB 評等。我也很自豪地宣布，我們已簽署聯合國全球盟約（U.N. Global Compact），加入全球企業與利害關係人推動永續發展的行列。

On Slide 5, I want to update you on those 2 projects at La Negra and Kemerton, our 2 ongoing projects to increase lithium production from our world-class resources. These conversion facilities are in the final stages of construction and when complete, are expected to double our nameplate capacity to 175,000 metric tons per year. This added capacity will provide much needed volumes to support our customers' growth ambitions and will enhance our ability to drive further earnings expansion. Construction is on track for completion later this year. We are watching the Western Australia labor situation closely, but currently, we do not expect any impact to our schedule. Once complete, we move into final commissioning and customer qualification, which typically takes about 6 months. We expect to begin producing commercial volume from both projects in 2022.

在第 5 張投影片，我想向各位更新 La Negra 與 Kemerton 這兩個專案的進度；這是我們兩項正在進行的專案，旨在利用世界級資源提升鋰產量。這些轉換（conversion）設施已進入施工最後階段，完工後預期可將我們的名目產能倍增至每年 175,000 公噸。新增產能將提供急需的供應量，以支持客戶的成長企圖，並提升我們進一步擴大獲利的能力。工程進度仍按計畫，預計今年稍晚完工。我們正密切關注西澳洲的勞動力情勢，但目前預期不會影響時程。完工後將進入最終試車與客戶認證，通常約需 6 個月。我們預期兩個專案皆將於 2022 年開始生產商業化出貨量。

These 2 sites will complete our Wave II lithium projects and enable our team to focus on the execution of Wave III, which represents a further 150,000 metric tons of conversion capacity. We expect to make investment decisions on the first projects from Wave III as early as the middle of this year. This includes a greenfield site in China and potentially the acquisition of a Chinese conversion plant.

這兩個基地將完成我們的 Wave II 鋰專案，並使團隊能專注於 Wave III 的執行；Wave III 代表進一步新增 150,000 公噸的轉換產能。我們預期最快在今年年中就 Wave III 的首批專案做出投資決策，其中包括在中國的新建（greenfield）基地，以及可能收購一家中國的轉換工廠。

I would like to mention that the Chilean Nuclear Energy Commission, or CCHEN, has confirmed that our resource and reserves report is in full compliance following the additional data we provided in January. We are committed to complying with our regulatory obligations around the world, and we are pleased to reach a satisfactory and collaborative resolution with CCHEN. Finally, in bromine, we are accelerating our growth projects and expect to see the benefit of these projects beginning in 2022.

我也想提到，智利核能委員會（Chilean Nuclear Energy Commission，CCHEN）已確認，在我們於一月提供額外資料後，我們的資源與儲量報告完全符合規定。我們致力於在全球遵循各項監管義務，並很高興能與 CCHEN 達成令人滿意且具合作性的解決方案。最後，在溴業務方面，我們正加速推進成長專案，並預期自 2022 年起開始看到這些專案帶來的效益。

I'll now turn the call over to Scott to review the first quarter results.

接下來我把電話會議交給 Scott，請他回顧第一季業績。

Thanks, Kent. I'll begin on Slide 6, and I'm happy to report on a strong start to the year. For the first quarter, we generated net sales of $829 million, a 12% increase from last year. This was driven by increased volumes across our 3 core businesses as well as a favorable customer mix within our bromine unit.

謝謝你，Kent。我將從第 6 張投影片開始，很高興向各位報告今年強勁的開局。第一季我們的淨銷售額為 8.29 億美元，較去年成長 12%。成長動能來自三大核心事業的出貨量增加，以及溴事業單位中較有利的客戶組合。

GAAP net income was $96 million. Adjusted EPS of $1.10 excludes the cost of early debt repayment that we incurred when we delevered in March following our equity raise. Our sales growth enabled us to generate adjusted EBITDA of $230 million, up 17% from last year, giving us an early start to meeting our guidance for the full year.

GAAP 淨利為 9,600 萬美元。調整後每股盈餘（Adjusted EPS）為 1.10 美元，已排除我們在 2 月股權募資後、於 3 月去槓桿時提前償還債務所產生的成本。銷售成長使我們創造 2.30 億美元的調整後 EBITDA，較去年成長 17%，讓我們在達成全年指引方面取得良好開端。

Now turning to Slide 7 for a look at adjusted EBITDA by business. Adjusted EBITDA in total was up $34 million over last year, thanks to stronger lithium and bromine results and a foreign exchange tailwind. Lithium's adjusted EBITDA increased $30 million versus the prior year as some customers accelerated orders for battery-grade carbonate and hydroxide into the first quarter. To meet this demand, we drew down lower cost inventories resulting in Q1 margin expansion. Average realized pricing was down 10% as expected due to lower carbonate and technical-grade pricing. However, increased volumes more than offset the lower price. Market demand remains very strong, but our plants are sold out, which limits our ability to increase volumes in 2021.

接著看第 7 張投影片，了解各事業別的調整後 EBITDA。整體調整後 EBITDA 較去年增加 3,400 萬美元，主要受惠於鋰與溴業績轉強，以及匯率帶來的順風。鋰的調整後 EBITDA 較去年增加 3,000 萬美元，原因是部分客戶將電池級碳酸鋰與氫氧化鋰的訂單提前至第一季。為滿足此需求，我們降低了較低成本庫存，使第一季毛利率擴張。平均實現售價如預期下滑 10%，係因碳酸鋰與技術級產品價格較低。然而，出貨量增加已足以抵銷價格下滑。市場需求仍非常強勁，但我們的工廠已滿載售罄，限制了我們在 2021 年提高出貨量的能力。

Bromine's adjusted EBITDA grew by about $8 million compared to the first quarter of 2020, an increase of 9%. The strong quarter was due primarily to higher sales volumes across the product portfolio. Pricing was also higher, in large part related to a favorable customer mix. The U.S. Gulf Coast winter storm reduced production and increased cost by about $6 million in the quarter. And just like lithium, we drew down inventory in Q1 and our bromine plants are sold out for the year, making it difficult to offset the production losses from the storm. We expect to see the impact from lost production in the Q2 and Q3 time frame.

溴的調整後 EBITDA 較 2020 年第一季約增加 800 萬美元，增幅 9%。本季強勁表現主要來自產品組合各項產品的銷售量提升。價格也有所上升，主要與較有利的客戶組合相關。美國墨西哥灣沿岸的冬季風暴使本季產量下降並增加成本，影響約 600 萬美元。且與鋰相同，我們在第一季也動用了庫存，而我們的溴工廠今年同樣已滿載售罄，使得難以彌補風暴造成的產量損失。我們預期失去的產量影響將在第二季與第三季期間顯現。

Catalysts' adjusted EBITDA declined $23 million, primarily due to the U.S. Gulf Coast winter storm, which impacted production in Bayport and Pasadena, Texas. These sites incurred increased electric and natural gas costs, production downtime and repair expenses that totaled $26 million. Our Q1 catalyst results from last year included $12 million of income that was later corrected as an out-of-period adjustment, which further complicates the year-over-year comparison for this quarter. Without this and the storm impact, our Catalysts EBITDA would have been up 31%.

催化劑事業的調整後 EBITDA 下滑 2,300 萬美元，主要因美國墨西哥灣沿岸冬季風暴影響德州 Bayport 與 Pasadena 的生產。這些廠區承擔了更高的電力與天然氣成本、停工時間以及維修費用，合計 2,600 萬美元。去年第一季的催化劑業績包含 1,200 萬美元的收益，之後因跨期調整（out-of-period adjustment）而更正，進一步使本季的年對年比較更為複雜。若排除該項因素與風暴影響，我們的催化劑 EBITDA 將成長 31%。

Our corporate and other category adjusted EBITDA increased by $4 million, primarily due to lower corporate costs.

公司本部及其他類別的調整後 EBITDA 增加 400 萬美元，主要因公司本部成本降低。

Slide 8 highlights the company's financial strength. With the proceeds from our $1.5 billion equity offering in February, we repaid debt. By deleveraging in the short term, instead of holding the proceeds as cash, we were able to reduce interest expense and create the debt capacity that will allow us to accelerate our growth for the lithium and bromine businesses, funding investments as they are approved. You can see how we are executing on our commitment to grow our dividend and maintain our investment-grade credit rating. We increased our dividend for the 27th consecutive year, which speaks to our ongoing success and a track record of shareholder returns, which we are proud to maintain.

第 8 張投影片凸顯公司的財務實力。我們在 2 月完成 15 億美元股權募資後，運用所得償還債務。透過短期去槓桿、而非將資金以現金形式持有，我們得以降低利息費用，並建立債務承擔能力，使我們能加速鋰與溴業務的成長，並在投資案獲核准後即時提供資金。各位可看到我們正落實承諾：提高股利並維持投資等級信用評等。我們已連續第 27 年提高股利，這反映我們持續的成功與股東報酬的長期紀錄，我們也以能維持此紀錄為榮。

On Slide 9, we provide a look at our guidance for the year. I would like to note that our company guidance for the year includes a full year of Fine Chemistry Services results. In February, we entered into an agreement to sell the FCS business for proceeds of approximately $570 million. The transaction is expected to close in the second quarter of 2021. We've also given a breakout of second half guidance for FCS for modeling purposes.

在第 9 張投影片中，我們提供了對本年度財測指引的概覽。我想特別說明，我們公司本年度的指引包含 Fine Chemistry Services（FCS）全年度的業績。2 月，我們已簽署協議出售 FCS 業務，預計交易對價約為 5.7 億美元。該交易預計將於 2021 年第二季完成。為便於建模，我們也提供了 FCS 下半年指引的拆分資訊。

As we've discussed, our lithium and bromine businesses outperformed expectations for the quarter, primarily driven by accelerated customer orders and a favorable customer mix. We do not expect to see the same upside over the next 3 quarters, mostly because our lithium and bromine businesses are effectively sold out and we don't have excess inventory to meet increased demand. Timing of orders can shift from quarter-to-quarter but the outlook for full year volumes is mostly unchanged, except for modest increases in lithium.

如同我們先前討論的，本季鋰與溴業務表現優於預期，主要受客戶訂單加速以及有利的客戶組合所帶動。我們不預期未來 3 個季度會出現同樣的上行空間，主要因為我們的鋰與溴業務基本上已售罄，且沒有多餘庫存可用以滿足增加的需求。訂單時點可能在季度間移轉，但全年出貨量展望大致不變，僅鋰的出貨量有小幅上調。

We continue to monitor the chip shortage at automotive manufacturers for impacts to lithium and bromine. And so far, we've not seen an impact. This may be due to our position in the supply chain. In May, IHS revised their forecast for 2021 EV production, down 3% from prior forecasts related to microchip shortages and supply chain issues. EV production is still though expected to be up 70% year-over-year.

我們持續關注汽車製造商的晶片短缺對鋰與溴的影響。截至目前，我們尚未看到影響。這可能與我們在供應鏈中的位置有關。5 月，IHS 因微晶片短缺與供應鏈問題，下修其 2021 年電動車（EV）產量預測，較先前預測下調 3%。不過，EV 產量仍預期將年增 70%。

We are maintaining our company guidance for the full year and continue to expect net sales to be in the $3.2 billion to $3.3 billion range, which is slightly higher than last year. The demand we saw during the first quarter and sold out volumes speak to the importance of investing in our lithium and bromine businesses to add to our future earnings potential.

我們維持公司全年指引不變，仍預期淨銷售額將落在 32 億至 33 億美元區間，略高於去年。我們在第一季看到的需求以及售罄的出貨量，凸顯了投資鋰與溴業務、以提升未來獲利潛力的重要性。

Our 2021 guidance for adjusted EBITDA remains between $810 million and $860 million. We continue to expect CapEx to be around $850 million to $950 million for the year as we complete our Wave II lithium projects and begin focusing our efforts on Wave III. Net cash from operations are also tracking on plan. As the year progresses, we expect higher inventories as we start to commission the 2 new lithium plants, and higher cash taxes. Expectations for adjusted diluted EPS of $3.25 to $3.65 are on track, reflecting higher taxes, depreciation and increased share count and lower interest expense.

我們 2021 年調整後 EBITDA 指引仍維持在 8.10 億至 8.60 億美元之間。隨著我們完成鋰 Wave II 專案並開始將重心轉向 Wave III，我們仍預期全年資本支出（CapEx）約為 8.50 億至 9.50 億美元。營運活動淨現金流也按計畫推進。隨著年度進展，我們預期在兩座新鋰工廠開始試車投產時，庫存將提高，現金稅負也將增加。調整後稀釋每股盈餘（EPS）3.25 至 3.65 美元的預期仍在軌道上，反映較高的稅負、折舊與股數增加，以及較低的利息費用。

While our total company guidance has not changed, the outlook for our lithium and catalyst businesses has, as shown on Slide 10. Our outlook for the lithium business has improved due to higher lithium volumes driven by plant productivity improvements, and we have added some tolling of lithium carbonate. We expect lithium prices to improve sequentially through the remainder of the year due to tightening market conditions. Overall, average realized pricing for the year will be flat compared to last year. We continue to expect higher costs in 2021 related to project startups, but this will be partially offset by efficiency improvements. In total, Lithium EBITDA is now expected to be up high single digits on a percentage basis.

雖然公司整體指引未變，但如第 10 張投影片所示，我們對鋰與催化劑業務的展望已有所調整。由於工廠生產力改善帶動鋰出貨量提高，且我們新增部分碳酸鋰代工（tolling），因此鋰業務展望上修。我們預期在市場供需趨緊下，鋰價將在今年剩餘期間逐季改善。整體而言，全年平均實現價格將與去年持平。我們仍預期 2021 年因專案啟動而成本較高，但將部分由效率提升所抵銷。總體來看，鋰業務 EBITDA 目前預期將以百分比計呈現高個位數成長。

The outlook for our catalyst business is lower than we had originally planned, offsetting the upside we expect from lithium. On a year-over-year basis, total catalyst results are projected to be down about 30% to 40%. This is primarily due to the impact of the U.S. Gulf Coast winter storm and delays in customer FCC units.

我們對催化劑業務的展望低於原先規劃，抵銷了我們預期來自鋰的上行空間。以年對年來看，催化劑整體業績預估將下滑約 30% 至 40%。主要原因是美國墨西哥灣沿岸冬季風暴的影響，以及客戶 FCC 裝置延遲所致。

Our outlook for the bromine business has not changed. While we had a very strong first quarter, we do not expect the favorable customer mix to continue in future quarters and we will not be able to make up the lost production in the first quarter. In addition, raw material costs are moving higher. We continue to expect results to be modestly higher than last year due to continued economic recovery and improvements in certain end markets, including electronics and building and construction, along with ongoing cost savings and improved pricing.

我們對溴業務的展望沒有改變。儘管第一季表現非常強勁，但我們不預期有利的客戶組合會在未來季度延續，且第一季損失的產量也無法補回。此外，原物料成本正在上升。由於經濟持續復甦、部分終端市場（包括電子與建築營造）改善，加上持續的成本節省與價格改善，我們仍預期業績將較去年小幅提升。

Finally, as to our quarterly progression for the full company, we expect Q2 to have modest growth in EBITDA and the second half to have a modest decline. We continue to expect that 2022 results will benefit from accelerated growth plans in bromine, recovery in catalyst and the initial lithium sales from La Negra III and IV and Kemerton I and II.

最後，就公司整體的季度走勢而言，我們預期第二季 EBITDA 將小幅成長，而下半年將小幅下滑。我們仍預期 2022 年業績將受惠於溴業務加速成長計畫、催化劑復甦，以及 La Negra III 與 IV、Kemerton I 與 II 的初期鋰銷售。

And with that, I'll hand it back to Kent.

接下來，我把時間交還給 Kent。

Thanks, Scott. As I mentioned earlier, in April, we signed the U.N. Global Compact, a voluntary leadership platform for the development, implementation and disclosure of responsible business practices. In addition to supporting the UNGC principles, we are aligning our sustainability framework to the U.N. Sustainable Development Goals, the largest corporate sustainability initiative in the world.

謝謝，Scott。如我先前提到的，我們在 4 月簽署了聯合國全球盟約（U.N. Global Compact），這是一個自願性的領導平台，用於推動負責任商業實務的發展、落實與揭露。除了支持 UNGC 原則外，我們也正將永續發展架構與聯合國永續發展目標（U.N. Sustainable Development Goals）對齊，這是全球規模最大的企業永續倡議。

Over the past year, we've increased ESG disclosure, published updated sustainability policies and made public commitments to advance sustainability. Sustainability is, by its nature, a long-term commitment. But I'm pleased to report that we are beginning to see the benefits of our efforts. For example, Albemarle was recently recognized and added to the S&P 500 ESG Index. You can expect more details on these and other sustainability-related initiatives in our 2020 Annual Sustainability report due to be issued in June.

過去一年，我們增加了 ESG 資訊揭露、發布更新的永續政策，並公開承諾推動永續發展。永續本質上是一項長期承諾，但我很高興報告，我們已開始看到努力帶來的效益。例如，Albemarle 近期獲得肯定並被納入 S&P 500 ESG 指數。關於這些及其他永續相關倡議的更多細節，您可在預計於 6 月發布的《2020 年年度永續報告》中看到。

Now on Slide 12, I'd like to reiterate our corporate strategy. We have started 2021 with a strong quarter and continue to make progress on our 4 strategic pillars. We are completing our Wave II projects and plan for those to deliver commercial volumes and generate sales in 2022. We are making plans to execute on our Wave III lithium projects as well as expand our bromine resources to align with growing customer demand. And we are laser-focused on operational discipline to drive maximum productivity across our businesses. We continue to expect around $75 million of productivity improvements this year, and we will continuously work to improve efficiencies within our operations.

接著看第 12 張投影片，我想重申我們的公司策略。我們以強勁的一季開啟 2021 年，並持續在四大策略支柱上取得進展。我們正在完成 Wave II 專案，並計畫讓其於 2022 年提供商業化出貨量並創造銷售。我們也在規劃執行 Wave III 鋰專案，同時擴充溴資源，以配合客戶需求成長。我們高度聚焦於營運紀律，以推動各業務達到最大生產力。我們仍預期今年約可帶來 7,500 萬美元的生產力改善，並將持續努力提升營運效率。

With a revitalized balance sheet, we are well positioned to invest in high-return growth maintain our investment-grade credit rating and support our dividend. Finally, sustainability remains a top priority and key component of our value proposition to our customers, and we are dedicated to exploring opportunities such as the U.N. Sustainable Development Goals to help us implement these efforts.

在資產負債表重整後，我們具備良好條件投入高報酬成長、維持投資級信用評等，並支持股利發放。最後，永續仍是最優先事項，也是我們對客戶價值主張的關鍵組成；我們致力於探索如聯合國永續發展目標等機會，以協助我們落實這些努力。

With that, I'd like to open the call for questions, and we'll hand over to Olivia.

接下來，我想開放提問，我們將把時間交給 Olivia。

(Operator Instructions) And our first question coming from the line of David Deckelbaum with Cowen.

（接線員指示）我們的第一個問題來自 Cowen 的 David Deckelbaum。

I wanted to follow up on your questions around potentially looking at acquiring a Chinese hydroxide conversion facility. Can you just expand upon that a bit and just help us understand what sort of metrics are you using to weigh acquisition right now? We've seen a lot of your peers looking to expand conversion capacity in the Western Hemisphere. How should we think about the scale of this? And what sort of things you'd be looking for before making an acquisition like that?

我想追問一下你們先前提到、可能考慮收購一家中國氫氧化鋰轉換工廠的議題。你們能否再多談一些，幫助我們理解目前用哪些指標來衡量是否進行收購？我們看到不少同業正尋求在西半球擴充轉換產能。我們應該如何看待這件事的規模？以及在做出這類收購之前，你們會希望看到哪些條件？

Yes. So we've -- and I'll make a few comments, and then Eric can give you some detail if I don't get there. But we've -- and we've looked at China very much, we're very familiar with the operators there, and we've been kind of looking at these opportunities for some time. We've made acquisitions in the past so we feel pretty comfortable with this, with the assets that are on the ground and what we would need to do to move them to our standards. So we did that at Xinyu. We bought an asset and we've expanded, and we consider that to be very successful. So we like the model. We're comfortable. We've got people on the ground in China. So we're able to do good due diligence. We have -- we'd be able to staff a new facility with -- partially from people from our existing plants. So we feel very comfortable with the strategy.

好的。我先做幾點說明，如果我沒有涵蓋到的部分，Eric 可以再補充細節。我們一直非常關注中國市場，對當地營運商也很熟悉，並且已經觀察這些機會一段時間。我們過去做過收購，因此對此相當有把握；對於現有資產狀況以及需要採取哪些措施把它們提升到我們的標準，我們也很清楚。我們在新余（Xinyu）就做過：我們收購了一項資產並進行擴建，我們認為那非常成功。因此我們喜歡這個模式，也很有信心。我們在中國有在地團隊，因此能做充分的盡職調查。我們也能夠為新設施配置人力，部分可由現有工廠的人員支援。所以我們對這項策略非常有信心。

And then I think it seemed like part of your question was about people looking at different geographies. So -- and we're looking at different geographies as well, but we still see growth in Asia as being a big part of the growth coming forward. And ultimately, we'll be moving in other locations around the world. But we still see growth in Asia, which is why we're looking at this as a strategy.

另外，我認為你問題的一部分是關於大家在看不同地理區域。因此——我們也在看不同地區，但我們仍認為未來成長中，亞洲將占很大一部分。最終我們也會在全球其他地點推進布局，但我們仍看好亞洲的成長，這也是我們把這作為策略來評估的原因。

I appreciate that. And then just perhaps on my follow-up, you talked about just pricing this quarter, obviously driven by increased volumes of a greater mix of carbonate and industrial grade. As we think about growth coming online from Wave II, when do you think we should think -- as we think about pricing with contracts rolling, at what point do we see battery grade making up a greater component of the overall mix? Is that really like a late 2023 dynamic just given sort of delays around qualification? Or how should we think about that as you guys increase capacity into the market?

了解，謝謝。再追問一下：你們提到本季的價格表現，顯然是由出貨量增加，以及碳酸鋰與工業級產品占比提高所帶動。當我們思考 Wave II 的新增產能上線時，若以合約逐步到期／續約來看，在什麼時間點會看到電池級產品在整體組合中的占比提高？考量到認證（qualification）可能延遲，這是否更像是 2023 年下半年才會出現的變化？或者當你們把產能逐步投放市場時，我們應該如何看待這件事？

Yes. I think that means a big piece is already battery-grade material and both carbonate and hydroxide. So -- but I'll let Eric get into the details, maybe around timing as they layer in.

是的。我想那表示其中很大一部分已經是電池級材料，且同時涵蓋碳酸鋰與氫氧化鋰。所以——不過我會讓 Eric 來說明細節，可能也會談到他們分階段導入的時間點。

Yes. So the volume -- just to build on what Kent said, 60% of our business today is energy storage. And that's split between carbonate and hydroxide relatively evenly as we sit here today. With the expansions coming on, we have -- it will still be split because we have a large expansion in Kemerton in hydroxide and, similarly, one in La Negra on carbonate. So that's where our growth is. As we bring that capacity on, that's where the volume will go. So that 60% of sales will grow larger on a volume basis.

是的。就量的部分——延續 Kent 的說法，我們目前業務的 60% 來自儲能。而以我們現在的情況來看，碳酸鋰與氫氧化鋰大致各半。隨著擴產陸續投產，我們仍會維持這樣的分布，因為我們在 Kemerton 有一個大型的氫氧化鋰擴產，同樣地，在 La Negra 也有一個碳酸鋰擴產。這就是我們的成長所在。當我們把這些產能帶上來，量就會往那裡走。因此，這 60% 的銷售在出貨量基礎上會變得更大。

Now in terms of pricing, that's an evolution that we're going through now in our contracts. We've had, as you may know, concessions we made to fixed-price contracts we've done in the past. And while that's given us security of supply to run our plants and strong margins at the bottom of the cycle, we're now evolving those pricing mechanisms to give us more exposure to the market as it recovers. And that will benefit this volume as well. We bring on volume under new terms that will allow us to benefit from a rising market.

至於定價方面，這是我們目前在合約中正在經歷的一個演進。你可能知道，我們過去在固定價格合約上做過一些讓步。雖然那讓我們在景氣循環底部時，能確保供應以維持工廠運轉，並在底部仍有強勁的利潤，但我們現在正在調整那些定價機制，讓我們在市場復甦時能有更多市場曝險。這也會讓這些出貨量受益。我們會在新條款下導入新增量，使我們能在市場上行時受惠。

Does that answer your question?

這有回答到你的問題嗎？

Yes, for the most part.

是的，大致上有。

Our next question coming from the line of Joel Jackson with BMO Capital Markets.

我們下一個問題來自 BMO Capital Markets 的 Joel Jackson 專線。

This is Robin on for Joel. You talked about being limited on lithium inventories to meet your own demand. How much offline conversion in spodumene capacity do you see re-ramping in the industry this year to meet total industry demand? And how quickly do you see industry inventories rebuilding? Or maybe you can talk about overall tightness and what that could mean for pricing.

我是代 Joel 提問的 Robin。你提到鋰庫存有限，只能滿足你們自身需求。今年你認為產業內有多少離線的鋰輝石轉換產能會重新爬坡以滿足整體產業需求？你又認為產業庫存會多快重建？或者你也可以談談整體供需緊俏程度，以及這對價格可能意味著什麼。

So Robin, it's Eric here again. I think the short answer to your question is while mines are restarting, there are still some that went into the bankruptcy phase in Australia that still haven't come back. They are -- it takes some time, particularly in Western Australia right now given the labor crisis and the rising iron ore prices, to mobilize both equipment and labor personnel to restart a plant. So what we foresee going forward, given the strong demand that's starting to develop -- or has been under development in China and is now ramping around the world, that it's going to remain short in China. That spodumene is going to be a constraint. That is why you're seeing carbonate prices rise so quickly in China, where there is a high demand, in particular for carbonate for some of the recovering industries in China postpandemic, but also because of the growth of LFP chemistry, specifically in China.

Robin，我是 Eric。我想你這個問題的簡短答案是：雖然礦山正在重啟，但澳洲仍有一些進入破產程序的礦場至今尚未回來。它們——重啟需要一些時間，特別是目前西澳在勞動力短缺、以及鐵礦石價格上漲的情況下，要動員設備與人力來重啟工廠都不容易。因此我們往前看，在強勁需求開始形成——或說在中國已經在發展、現在也正在全球加速爬坡——的背景下，中國市場仍會維持短缺。鋰輝石將成為限制因素。這也是為什麼你會看到中國的碳酸鋰價格上漲得這麼快：一方面需求很高，特別是中國一些疫情後復甦產業對碳酸鋰的需求；另一方面也是因為 LFP（磷酸鐵鋰）化學體系的成長，尤其是在中國。

And inventories are a bare minimum in the Chinese market and have come back to normal levels worldwide, which is why we were in a position during the first quarter to otherwise thought, like as in prior quarters, would not be a strong quarter, where it was quite the opposite. We had to pull volumes forward into that to drive the growth that you saw. We're limited in what we can do, but we'll benefit greatly when we bring on that new capacity and be well positioned into 2022.

而且中國市場的庫存幾乎是最低水位，全球其他地區則已回到正常水準。這也是為什麼我們在第一季能處於那樣的位置：原本像以往季度一樣，可能不會是強勁的一季，但結果恰恰相反。我們必須把部分出貨量提前到第一季，以帶動你看到的成長。我們能做的有限，但當我們新增產能投產時將大幅受益，並在 2022 年具備很好的布局。

That's really helpful. And just a quick follow-up. So I assume the rationale to reinstate tolling is to meet that market tightness. So is that strategy temporary then? Maybe you can discuss the amount of volume from tolling and what the margin impact from that is, because I think the previous long-term target for lithium margins was closer to 40%. Obviously, things are trending sub-35 right now. Maybe you can just elaborate on those points.

這很有幫助。再追問一個很快的問題：所以我假設恢復代工（tolling）的理由是為了因應市場緊俏。那這個策略是暫時性的嗎？你能否談談代工帶來的量大概有多少，以及對毛利的影響？因為我記得先前鋰業務的長期毛利目標比較接近 40%。顯然目前趨勢在 35% 以下。能否就這些點再多說一些。

Tolling has always been a bridging strategy for us, and it's only ever done in carbonate because we feel that there's adequate carbonate capacity out there that can meet the standards for that product, and hydroxide is something we view as different and more proprietary. The bridging strategy, in this case, is to get us revamped in relationships with Chinese customers that we've supplied in the past such that when we bring on La Negra III and IV next year, we have a ready customer base to take that on.

代工對我們一直都是一種過渡性的策略，而且只會用在碳酸鋰，因為我們認為外部有足夠的碳酸鋰產能可以達到該產品的標準；而氫氧化鋰我們則視為不同、且更具專有性的產品。這次的過渡策略，是為了讓我們重新建立與過去供應過的中國客戶之間的合作關係，如此一來，當我們明年 La Negra III 與 IV 投產時，就有現成的客戶基礎可以承接。

So I would think of it as ad hoc or bridging. It's not a sustained strategy. It is something -- we're not -- I can't get into the details of volumes per se. But it is to, as you point out, not as lucrative, not as high a margin of business for us because we're paying somebody to convert for us. So it moves us to the right on the cost curve, whereas we're normally on the left side, you're moving more towards the right, so that impacts margins. But it does provide incremental EBITDA, and it does set us up for a successful ramp next year.

所以我會把它視為臨時性或過渡性安排，而不是長期持續的策略。這是——我們不——我無法具體談論量的細節。但如你所說，這對我們而言並不是那麼有利、也不是那麼高毛利的業務，因為我們需要付費請別人替我們轉換加工。因此在成本曲線上會往右移；我們通常在左側，現在會更往右側一些，這會影響毛利。不過它確實能帶來增量 EBITDA，也能讓我們為明年的順利爬坡做好準備。

And our next question coming from the line of David Begleiter with Deutsche Bank.

我們下一個問題來自 Deutsche Bank 的 David Begleiter 專線。

First, in Lithium, what was the benefit of the acceleration of customer orders into Q1 on EBITDA?

首先，在鋰業務方面，客戶訂單加速提前到第一季，對 EBITDA 的貢獻是多少？

David, I'm going to have to -- let me just take a quick look. But I think it's meaningful in terms of the volume. So it's probably in the 30s -- $30 million range, something like that.

David，我得——讓我快速看一下。不過我認為就出貨量而言是有意義的。所以大概是在 3,000 多萬美元——約 3,000 萬美元的區間，類似這樣。

Another way of think about it, David, is that you may have had -- I don't know your model, but you may have had -- to get to guidance, you may have had a much stronger second half than first half. And because of the robust demand, whatever we make, we're selling. There's not very little going to inventory. So the quarters are going to be a lot more even or similar this year than they were last year for the Lithium business.

David，換個方式想，你可能——我不知道你的模型，但你可能——為了達到指引，你可能假設下半年會比上半年強很多。而由於需求強勁，我們生產多少就賣多少，幾乎沒有什麼會進到庫存。因此，今年鋰業務各季的表現會比去年更平均、更相近。

Got it. Got it. And Eric, just on La Negra and Kemerton following the commissioning qualification processes, how should we think about volume ramp-up for these 2 new assets?

了解。了解。Eric，再請教 La Negra 與 Kemerton 在完成試車與驗證（commissioning qualification）流程之後，我們應該如何看待這兩項新資產的出貨量爬坡？

Yes. So we've kind of -- we've said those will ramp up over a period of time. So from, we first turn it on, nothing, to getting us to expect to get to a full ramp of say, 18 months, and some of that depends on demand and customers. But -- so over that first year per line, you -- probably 40% or 50% of capacity in the first 12 months. That's probably the best way to think about it. And some of that will depend on demand, but we think we expect demand to be there.

是的。我們大致——我們說過它們會在一段時間內逐步爬坡。也就是從首次開車時幾乎為零，到我們預期達到完全爬坡大約需要 18 個月，其中一部分取決於需求與客戶。不過——所以以每一條產線來看，在前 12 個月，你可能會達到約 40% 或 50% 的產能。這大概是最好的理解方式。其中一些會取決於需求，但我們預期需求會在。

And our next question is coming from the line of Jeff Zekauskas with JPMorgan.

我們下一個問題來自 JPMorgan 的 Jeff Zekauskas 專線。

When you bring on your new capacity in 2022, '23 in lithium, how might you compare the pricing structures that will be negotiated versus the current pricing structures that you have today? That is, how has the market changed? And how has Albemarle changed in the way that you charge your customers or contemplate charging your customers?

當你們在 2022、2023 年投放新的鋰產能時，你會如何比較未來談判的定價結構與你們目前的定價結構？也就是說，市場如何改變了？而 Albemarle 在向客戶收費、或考慮如何向客戶收費的方式上，又有哪些改變？

Right. So we've been talking about kind of the shift in our commercial strategy in lithium for some time. We kind of delayed -- intentionally delayed the conversion from kind of a strict long-term fixed-price contract to one that is more indicative of the market, that moves more with the market. And we'd have different types of customers we'd contract slightly different ways. We delayed the conversion of that a little bit because the market was so far down. We didn't think it was the right time to negotiate at the bottom of the market, so we held off on that. So that strategy hasn't changed and the new volume doesn't change that.

好的。我們談鋰業務商業策略的轉變已經有一段時間了。我們有點延後——刻意延後——從嚴格的長期固定價格合約，轉向更能反映市場、會隨市場變動的合約。不同類型的客戶，我們會用略有不同的方式簽約。我們之所以把這個轉換稍微延後，是因為市場跌得太深。我們認為在市場底部談判不是合適的時機，所以先按兵不動。因此這個策略沒有改變，新增量也不會改變這點。

So I think we're moving into that dynamic as we go through the next 12 months or that the contracts we'll be negotiating will be on that new basis. So portfolio of customers with -- kind of customers who really want security of supply will be more of a fixed price, but it will still move with the markets and then contract with other people that look more like market prices. Not spot prices contracted, but prices that move with the market. And that's what we've been talking about for the, I would say, almost the last year. And we did delay the implementation intentionally because we felt like we didn't want to negotiate at the bottom of the market.

所以我認為在接下來 12 個月，我們會逐步進入那樣的動態，也就是我們將要談的合約會以那個新基礎來進行。就客戶組合而言——某種程度上，真正想要供應安全的客戶會更偏固定價格，但仍會隨市場變動；而與其他客戶的合約則會更接近市場價格。不是以現貨價簽約，但會是會隨市場變動的價格。這就是我們在——我想幾乎過去一年——一直在談的方向。而我們確實刻意延後了落地，因為我們覺得不想在市場底部談判。

And our next question coming from the line of Colin Rusch with Oppenheimer.

我們的下一個問題來自 Oppenheimer 的 Colin Rusch。

It's Joe on for Colin. Can you speak a little bit to how challenging hiring is at this point as you get ready to bring capacity on early next year?

我是代 Colin 提問的 Joe。隨著你們準備在明年初導入產能，目前招募人員有多具挑戰性？能否談談？

Challenging hiring next year.

明年的招募很具挑戰。

Okay. All right. Sorry, I missed that. So yes, hiring. So yes, so I mean there were 2 locations. So Chile and Kemerton, so Western Australia, and a different dynamic because we've got a significant operation in Chile already. So I don't -- it's not such a challenge in that location. A bigger issue in Chile at the moment is COVID. But we're able to bring people on there, and we've been bringing them on, training them with the existing staff. And Australia is a little different because it's a true greenfield facility.

好的。好，抱歉我剛剛漏聽了。所以是招募。是的——我的意思是有兩個地點：智利與 Kemerton（西澳）。由於我們在智利已經有相當規模的營運，因此那邊的情況不太一樣。我不——那個地點並沒有那麼具挑戰性。智利目前更大的問題是 COVID。但我們仍能在那邊補進人力，而且一直在補，並由既有員工帶著訓練。澳洲則有點不同，因為那是一座真正的綠地（greenfield）新建廠。

So -- but we've been hiring. We've been -- we're happy with the plan. We've been doing well. In the labor market, it's a different -- a little different dynamic in the construction market than it is in the chemical operating market. So we've been able to hire according to our plans and ramp up staff that would operate the facility according to our plan. So that hasn't impacted us. What's been more of a challenge is in the construction labor market and getting the staff that we need to complete construction. And we were actually trying to accelerate it, but we're not able to do that. We're just kind of treading water with our original plan.

所以——但我們一直在招募。我們——對這個計畫感到滿意，進展也不錯。在勞動市場方面，營建市場的動態與化工營運市場有些——有點不同。因此我們能依照計畫招募，並按計畫逐步擴編將來負責廠區營運的人員，所以這部分沒有影響我們。更具挑戰的是營建勞動市場，以及取得我們完成施工所需的人力。我們其實想加速，但做不到；我們大致只能維持原先計畫的進度。

Okay. That's helpful. And then switching gears a little bit. Beyond pricing, can you speak to any other elements of your long-term contracts that you're working to improve, given what seems like a better negotiating position?

好的，這很有幫助。接著稍微換個話題。除了定價之外，鑑於你們似乎有更好的談判地位，能否談談你們正在努力改善的長期合約其他條款要素？

Well, I would -- I mean I guess it's several elements, but it's really about the guaranteed supply, the profile of that supply. Pricing is a big part of that and liabilities. Eric, you have...

嗯，我會——我的意思是我想有好幾個要素，但核心其實是保證供應、供應的配置（profile）。定價是其中很大一部分，還有責任條款。Eric，你有……

I would say that the big -- the evolution of the dialogue, where we feel we have a lot of value to offer now is location of supply as well as the localization. And we've referenced in our expansion strategies down the road how we can play to that. And it's -- for many of our customers, that's a down the road consideration because the vast majority of the business today is still Asia-based. And then the other is sustainability. Sustainability has been key. As OEMs become more involved and have thought through their value proposition, which is based on lower CO2 and other sustainable factors, they want suppliers who are differentiated in that regard. And what we are doing, what Kent described in the call, has real value. We talk in these calls very much about what it means to shareholders of being part of the S&P 500 ESG Index. For me, it's about driving a value proposition with our customers and getting paid for it. So that's become a big part of our proposition as well.

我會說，對話演進中很大的——我們現在覺得能提供很多價值的一點，是供應地點以及在地化。我們也在談到未來的擴張策略時提過，我們如何在這方面發揮。而且——對許多客戶而言，這是較長期的考量，因為目前絕大多數業務仍以亞洲為主。另一個是永續性。永續性一直是關鍵。隨著 OEM 更深入參與並思考其價值主張（基於更低的 CO2 與其他永續因素），他們希望供應商在這方面具差異化。我們正在做的、Kent 在電話會議中描述的內容，確實有實質價值。我們在這些電話會議中常談到，成為 S&P 500 ESG 指數成分股對股東意味著什麼。對我而言，重點是以此驅動我們對客戶的價值主張，並為此取得合理報酬。因此，這也成為我們主張中的一大部分。

Our next question coming from the line of Vincent Andrews with Morgan Stanley.

我們的下一個問題來自 Morgan Stanley 的 Vincent Andrews。

This is Angel on for Vincent. Just curious on your Wave III, what are the key gating factors that you kind of see for both capacity and lithium and bromine before you actually announce FID?

我是代 Vincent 提問的 Angel。想請教你們的 Wave III，在你們正式宣布 FID 之前，對於產能以及鋰與溴，有哪些你們認為的關鍵門檻因素（gating factors）？

I'm sorry, you said the key?

抱歉，你說關鍵的什麼？

The key gating factors or what are the primary, I guess, checkpoints sort of things that you want to see before you actually make the FID decision?

關鍵門檻因素，或主要——我想是一些檢核點（checkpoints）之類的，你們在真正做出 FID 決策前希望看到哪些條件？

Yes. So I mean we're looking -- right. So we're -- I mean we're looking at projects, identifying them, designing in the plans for that. So I guess it's anything you would expect to see in a normal investment program. So we're getting -- making sure that we've got designs, the process chemistry that we like. We've lined up -- we have the resources. That's not an issue. But a lot of it's about location, about permitting, workforce. I mean of all the things that you would see that we would line up. But we're relatively advanced at looking at that. And then obviously, when you get to that decision point, the returns are a big deal.

是的。所以我的意思是我們在看——對。所以我們——我的意思是我們在看各個專案、辨識它們，並規劃設計方案。我想這就是你在一般投資計畫中會期待看到的那些事項。我們正在——確保我們有設計、我們喜歡的製程化學。我們已經把——資源也到位；那不是問題。但很多是關於地點、許可（permitting）、人力。我是說，所有你會看到我們需要逐一到位的事項。但我們在這些評估上已經相對進展很深。然後顯然，到了做決策的時間點，報酬率（returns）是很重要的。

Got it. And then switching, I guess, to bromine a little bit. You talked about the favorable mix, customer, I guess, not repeating going forward. One, I guess, could you give us a little bit more color on that and why it won't repeat? And then as we think about kind of the second half or kind of 2Q and beyond, should we expect higher pricing in bromine to kind of offset both the shorter supply because of lost production because of (inaudible) and also the raw materials headwind that you mentioned?

了解。接著我想稍微轉到溴。你們提到有利的產品組合、客戶因素，我想是說未來不會重複。第一，能否再多給一些細節，為什麼不會重複？第二，當我們看下半年或第 2 季之後，溴的價格是否有望上升，以抵銷因（聽不清）造成的減產而使供應更短缺，以及你們提到的原物料逆風？

Yes. This is Scott. I would start, and maybe Netha can add some additional color. But in the first quarter, the bromine market overall was relatively short. So it gave us some nice opportunities in the spot market to take advantage of that and get some upside. We're not expecting that kind of condition to continue through the rest of the year. But maybe, Netha, you have more specifics?

是的，我是 Scott。我先說，之後也許 Netha 可以補充一些細節。第一季整體溴市場相對偏緊，因此我們在現貨市場有一些不錯的機會可以把握，取得一些上行空間。我們不預期這種狀況會在今年剩餘時間持續。不過，Netha，你是否有更具體的說明？

Yes. Just as Scott described, we had a chance to go sell some volume out of inventory to our noncontracted customers that increased demand based on market recovery. That's a unique opportunity and at very good pricing. We don't expect that to continue through the second half of the year. But just like the other industrial businesses, as you look forward, to the second part of your question, freight and raw materials are going up. And they'll do the same for us and that will impact our business in Q2 and beyond for the rest of the year.

是的。正如 Scott 所描述，我們有機會把庫存中的部分量賣給非合約客戶；隨著市場復甦，他們的需求增加。這是一次性的機會，而且價格非常好。我們不預期這會在今年下半年持續。不過就像其他工業業務一樣，回到你問題的第二部分，運費與原物料成本正在上升；我們也一樣，這會在第 2 季以及今年剩餘時間影響我們的業務。

And our next question coming from the line of Matthew DeYoe with Bank of America.

我們的下一個問題來自 Bank of America 的 Matthew DeYoe。

Can we talk a little bit about the puts and takes on Lithium EBITDA as we move sequentially through the year? I kind of understand the transition from 1Q to 2Q, but it seems like you're guiding for price to improve sequentially as we move through the year, but also costs are up. So perhaps like how much cost do you expect to incur with these new plant start-ups? And when would that roll off?

我們能否談談今年鋰業務 EBITDA 逐季變動的利多與利空因素？我大致理解從第 1 季到第 2 季的轉換，但看起來你們指引顯示價格會隨著年度推進而逐季改善，同時成本也在上升。所以例如：這些新工廠啟動會帶來多少成本？以及這些成本何時會消退？

Yes. This is Scott. So in the second half, we just have something in the range of $10 million to $15 million of incremental costs from those plants. It all depends on the timing of when those come in. But that's the kind of range that we're looking at ultimately. So as you look at the puts and takes, obviously, there's a limit in terms of our ability to supply additional volume. We're getting some out of tolling. Of course, that comes at a lower margin ultimately for us. So that's a bit of a drag from a margin perspective as well.

是的，我是 Scott。所以下半年，這些工廠帶來的增量成本大約在 1,000 萬到 1,500 萬美元之間，取決於它們投產的時間點。但我們最終看的大致就是這個區間。所以當你看利多與利空因素時，顯然我們在供應額外量的能力上有一定限制。我們會透過代工（tolling）取得一些供應；當然，對我們而言那最終是較低毛利，因此從毛利角度看也會有一些拖累。

Okay. And then on Catalysts, you made a comment that you don't expect to get back to pre-COVID levels before late 2022, 2023. So can you just walk through your assumptions there? Is that just all miles driven? Or is there something else that's happening?

好的。接著關於觸媒（Catalysts），你們提到預期要到 2022 年底、2023 年才會回到 COVID 前水準。能否說明你們的假設？這只是行駛里程（miles driven）的因素嗎？還是還有其他事情在發生？

Ultimately, it's coming from our customers and what our customers are telling them. But maybe, Raphael, you can provide some additional color as to the specific parts of the market that are slower than others.

最終這是來自我們的客戶，以及客戶告訴我們的內容。不過 Raphael，也許你可以就哪些市場區塊復甦較慢提供一些補充說明。

Sure, Scott. So I think there's a few different pieces that come into play. I mean one of them is miles driven is a big driver of recovery in refining utilization. I think we're already starting to see an improvement in refining utilization, and you'll see that throughout the year and into next year. That's going to have -- will have a big effect on FCC usage at the refineries. And our business, about 60% of our business is FCC, so we'll see that recovery.

當然，Scott。我認為有幾個不同因素在起作用。其中之一是行駛里程是帶動煉油廠開工率復甦的重要驅動因素。我想我們已經開始看到煉油廠開工率改善，而且你會在今年以及明年持續看到。這將對煉油廠的 FCC 使用量產生——會產生很大影響。我們的業務大約 60% 是 FCC，因此我們會看到那樣的復甦。

On the CFT or HPC business, that business is timed with turnarounds at refineries. A lot of that's been pushed out until 2022, and that's when we'll start to see an uptick in that business. The portfolio we have in our business is very much geared towards high performance. When refiners are running near capacity, that's really when the value of our business -- of our products kicks in because we help them maximize on yield, maximize on the throughput through their assets. So as it recovers, we'll start to see that leverage effect in the return of our business.

在 CFT 或 HPC 業務方面，該業務與煉油廠的歲修（turnarounds）時點相關。很多歲修已被延後到 2022 年，屆時我們才會開始看到該業務回升。我們的產品組合非常偏向高性能。當煉油商接近滿載運轉時，我們業務——我們產品的價值才真正顯現，因為我們能幫助他們最大化收率、最大化其資產的處理量（throughput）。因此隨著復甦，我們會開始看到業務回升所帶來的槓桿效應。

Okay. And so just right now, you're seeing mix just mixing down across some of the catalyst because people don't need their utilization through the refineries?

好的。所以就目前來看，你們看到的是因為人們不需要透過煉油廠的產能利用率，導致部分觸媒產品的組合正在下滑、整體組合在往下混合嗎？

Yes. I think that's a fair statement. We have a -- we see a mix impact and a volume impact, but we expect both of those to reverse as the world recovers.

是的。我認為這樣說很公平。我們看到有一個——我們看到組合影響以及銷量影響，但我們預期隨著全球復甦，這兩者都會反轉回升。

And our next question coming from the line of Arun Viswanathan with RBC Capital Markets.

下一個問題來自 RBC Capital Markets 的 Arun Viswanathan。

I'm just curious what you're seeing, I guess, in China? There's been obviously some robust recovery in lithium markets in there, as well as in Europe. Do you expect that to kind of continue into next year? Is there an environment or scenario where you see prices kind of getting back to, say, the $12,000 to $14,000 per ton range? Maybe you can just comment on what your outlook for pricing is for hydroxide.

我只是好奇你們在中國看到什麼情況？顯然那邊的鋰市場復甦相當強勁，歐洲也是如此。你們預期這種態勢會延續到明年嗎？是否存在某種環境或情境，讓你們看到價格可能回到例如每噸 12,000 到 14,000 美元的區間？也許你可以談談你們對氫氧化鋰價格的展望。

Yes. It's hard to comment too much on price. I mean those are the -- that's the magic question. But the market is clearly moving in that direction. And you're seeing the demand growth. So the demand growth we expect to continue. I mean what we're seeing is kind of -- it's extraordinary, but it may not be 135%, but it's going to be 70%, 80% for the year around EV levels, and lithium is going to follow that. So demand growth is going to be there. And pricing has moved very quickly in China because that's mostly a spot market, so it would move quicker. That hasn't translated into the contract market fully yet. So it has started to, we think, and we see that moving in that direction over time. It's hard to predict what's going to happen out into the future, but we see prices moving up. And that what's happening in the spot market will translate into the contract prices. And that will be a positive for Albemarle.

是的。價格方面很難評論太多。我的意思是，那些——那是最關鍵的問題。但市場顯然正在朝那個方向走，而且你也看到需求在成長。因此，我們預期需求成長會持續。我的意思是，我們看到的有點——非常驚人，可能不會是 135%，但就今年而言，在電動車水準附近可能會是 70%、80%，而鋰也會跟著走。所以需求成長會在那裡。中國的價格上漲非常快，因為那裡主要是現貨市場，所以反應更快。這還沒有完全反映到合約市場。我們認為已經開始反映了，並且我們看到它會隨時間朝那個方向發展。很難預測未來會發生什麼，但我們看到價格在上升。而現貨市場發生的事情會轉化到合約價格上。這對 Albemarle 會是正面因素。

And just as a quick follow-up then. A couple of years ago, you were discussing contracts with term lengths of maybe 7, 10 years at times. Have you seen your customers kind of come back to you now with requests to kind of elongate their contracts? Or -- yes, maybe you can just comment on the customer environment from a contracting perspective.

那再快速追問一下。幾年前你們曾討論過期限可能是 7 年、10 年的合約。你們是否看到客戶現在回來要求把合約期限拉長？或者——是的，也許你可以從簽約的角度談談目前的客戶環境。

Let me start, Eric can add some detail to that. So -- but I would say, I mean, our philosophy hasn't really changed. We've adjusted a bit on the kind of the nature. I would say we've evolved in our contracting structure, but it's really still the same philosophy. And I think our customers are kind of coming around to that way of thinking a bit. And I think it's changing because some of it's with OEMs now. Several years ago, we were talking to cathode makers, then battery makers and now it's OEMs and still talking across that -- all 3 of those areas, but the OEMs are getting more involved, and they have a longer-term view. So I don't know about 10-year contracts, but 3-year, 5-year, maybe 7 on the longest term. But those are the kind of -- that's the nature of the contracts that we're discussing. I don't know anyone's pushing us further than that.

我先說，Eric 可以再補充一些細節。——我會說，我們的理念其實沒有真正改變。我們在性質上做了一些調整。我會說我們在合約架構上有所演進，但核心理念仍然相同。我認為我們的客戶也有點逐漸接受這種思維。而且我覺得這正在改變，因為其中一部分現在是與 OEM 合作。幾年前我們在跟正極材料製造商談，接著是電池製造商，現在則是 OEM；當然我們仍在這——這三個領域都在談，但 OEM 的參與度更高，而且他們的視角更長期。所以我不確定會不會有 10 年合約，但 3 年、5 年，也許最長到 7 年。但這就是——我們正在討論的合約性質。我不知道有誰在推我們超過那個期限。

And our next question coming from the line of Aleksey Yefremov with KeyBanc.

下一個問題來自 KeyBanc 的 Aleksey Yefremov。

This is Paul on for Aleksey. Could you update us on any lithium recycling initiatives currently so far?

我是代 Aleksey 提問的 Paul。你們能否更新一下目前為止任何鋰回收的倡議／計畫進展？

Thank you. So yes, Paul, Eric here. Recycling is a key part of -- a quick key platform for us going forward from a growth standpoint, both because our customers who, as Kent just indicated, are increasingly OEMs, value that as part of their partnership with us. And because a good amount of the know-how we have from processing lithium is going to be replicable in the streams that will come from a recycled process. We've got investments we've made in start-ups we're looking at, making through some relationships we have. We've got technology initiatives underway, with some business development activities underway to partner. We have 1 joint development agreement, which we're currently doing with a customer. All these are all confidential at this stage, so I can't divulge names. But it's a pretty comprehensive effort and a critical one for our growth going forward. We aim to -- we view this as a future resource that we would like to play prominently in.

謝謝。是的，Paul，我是 Eric。回收是——從成長角度來看，是我們未來一個關鍵的平台，原因有二：第一，我們的客戶——如 Kent 剛才所說——越來越多是 OEM，他們把回收視為與我們合作夥伴關係的一部分價值；第二，我們在鋰加工方面累積的相當多專業技術，將可複製到回收流程所產生的物料流中。我們已經對一些新創做了投資，也透過既有關係在評估其他投資。我們也在推動技術計畫，同時進行一些業務開發活動以尋求合作。我們目前有 1 份聯合開發協議，正在與一位客戶進行。這些在現階段都屬機密，所以我不能透露名稱。但這是一項相當全面的投入，也是我們未來成長的關鍵。我們的目標是——我們把這視為一個未來資源，希望能在其中扮演重要角色。

And our next question coming from the line of John Roberts from UBS.

下一個問題來自 UBS 的 John Roberts。

This is Matt Skowronski on for John. Going off of Jeff's question earlier, you mentioned that you're restructuring some of your lithium contracts. And I believe on the last call, you mentioned the majority of these contracts will eventually have some sort of variable-based pricing tied to an index. When do you expect the majority of your contracts be based on this variable price mechanism? And how frequently does a typical contract allow for price adjustments?

我是代 John 提問的 Matt Skowronski。延續 Jeff 先前的問題，你提到你們正在重整部分鋰合約。我記得在上一通電話會議中，你們提到這些合約的大多數最終會採用某種與指數掛鉤的變動式定價。你們預期何時大多數合約會以這種變動價格機制為基礎？以及一般合約允許多頻繁進行價格調整？

Right. So it's Eric here. We -- you're right. Our legacy contracts had, as Kent described in the past, a fixed price mechanism. And during the crisis of the past year plus, we've -- we gave some relief on that. That relief clause expires during the course of this year. Some in the middle of this year, all by the end of the year. So that's -- for our legacy contracts, that's the time frame we'll be looking to move to the new structure that we'd earlier described and that will give us that upside to rise -- have price rise with the market more freely than it would have under the fixed-price constructs. And it's the basis for any new contracts we've struck. We've struck several new contracts, both with battery and automotive OEM producers in the past 3 to 6 months. And they are in that same construct.

好的。我是 Eric。你說得對。我們的既有合約過去如 Kent 所描述，採用固定價格機制。在過去一年多的危機期間，我們——我們在那方面提供了一些讓利／紓困。該讓利條款會在今年期間到期：有些在今年年中到期，全部會在年底前到期。所以——就我們的既有合約而言，那就是我們將轉向先前所描述的新架構的時間點；這會讓我們在市場上行時，價格能更自由地隨市場上升，而不像固定價格架構那樣受限。而且這也是我們任何新簽合約的基礎。過去 3 到 6 個月，我們已經簽了幾份新合約，對象包括電池與汽車 OEM 生產商，它們也採用相同的架構。

Now it's important to note, it's not one structure. We have some customers who actually value more consistency. And obviously, that's a higher price point from a fixed price standpoint, so we can get our returns over the cycle. And there are certain commitments we'll make to go along with them on volume. On the other hand, those who are more fixated on price, we'll have a component of our mix there. We will be a little more -- just exercise more discretion about how long we go on some of those contracts. And so there's going to be a mix there, there's going to be mix that we see. But the underlying message is exposure to a rising market.

現在要強調的是，這不是單一架構。有些客戶其實更重視穩定性。顯然，從固定價格的角度來看，那會是較高的價格水準，這樣我們才能在景氣循環中取得回報。同時，我們也會做出某些承諾，在供應量方面配合他們。另一方面，對價格更在意的客戶，我們的組合中也會有一部分是這樣。我們會更——在某些合約的期限長短上行使更多裁量。所以會有一個組合——我們會看到一個組合。但核心訊息是：能夠曝險於上行市場。

And our next question coming from the line of Ben Kallo with Baird.

下一個問題來自 Baird 的 Ben Kallo。

Just on bromine, I know it's not the top of du jour, but the chip shortage that we see, everyone sees out there, can you talk about how your visibility is on that? Or what you could gain if there's semiconductor new builds and how -- if that benefits you? And then just on the lithium side, Scott, I back when the worry was around not enough batteries being produced, and from our EV coverage, I think that's a worry too, but what do you guys see on that side as far as new capacity being built? And how you guys are modeling that yourselves and the visibility on that?

關於溴素，我知道這不是當下最熱門的話題，但我們看到、大家也都看到的晶片短缺，你能談談你們對此的能見度嗎？或者如果有半導體新建產能，你們能獲得什麼，以及——這會如何讓你們受益？另外在鋰方面，Scott，我記得之前市場擔心的是電池產量不足；從我們對電動車的追蹤來看，這也是個擔憂。你們在新產能建置方面看到什麼？你們自己如何建模，以及對此的能見度如何？

So yes, so on -- let me start with the second part first with the battery. I mean we're focused on making sure we get the lithium that goes with the market. And we model that from the vehicle backwards to the battery, and then to the cathodes, and it's -- there's a lot of plans and capacity being added. I don't know that we -- we're not going to put an opinion out there about capacity for batteries. We're very focused on making sure that we've got the -- our part of the lithium market and we're building out -- somewhat all of our growth plans are about. Those investments and executing on those investments so we've got lithium to provide that market. So I don't think we should comment about the capacity in the battery market, but we see a lot of projects and a lot of capability in executing those projects.

是的——我先從第二部分、電池那邊開始。我們的重點是確保我們能提供與市場相匹配的鋰。我們是從車輛端往回推建模到電池，再到正極材料——而且——有很多計畫與產能正在增加。我不知道我們——我們不會對電池產能是否足夠發表意見。我們非常專注於確保我們在鋰市場的——我們的那一部分，並且在擴建——我們所有的成長計畫某種程度上都是圍繞這點。也就是投資以及執行這些投資，確保我們有鋰可以供應那個市場。所以我認為我們不應評論電池市場的產能，但我們看到很多專案，以及執行這些專案的能力。

On the -- maybe Netha could talk a little bit about the chip shortage and how that impacts bromine from a -- I guess, that would be across all the electronics space.

至於——也許 Netha 可以談談晶片短缺，以及它如何從——我想，這會橫跨整個電子產業領域——影響溴素。

Yes. Ben, we see the electronics market is really strong. But as Scott mentioned, we're not seeing the chip shortage impact us. A strong semiconductor chip electronics market is definitely good for us. But with us being sold out, we have very limited additional capacity to leverage that in the rest of the year. So we do have contracted volumes in those markets. Those volumes are being ordered as we expect. And so we don't really see that as an issue right now. Now things could always change. But from where we sit in the supply chain, we're not seeing an impact right now with the chip shortage.

是的。Ben，我們看到電子市場確實很強勁。但如 Scott 提到的，我們沒有看到晶片短缺對我們造成影響。強勁的半導體晶片電子市場對我們絕對是利多。但由於我們的產能已滿載，今年剩餘時間可用來承接額外需求的新增產能非常有限。因此，我們在這些市場確實有簽約的合約量。這些數量的下單情況符合我們的預期。所以我們目前不太認為這會是個問題。當然情況隨時可能改變。但就我們在供應鏈中的位置而言，目前沒有看到晶片短缺帶來的影響。

And I think it's a little bit -- Ben, part of your question was just about an advantage we might see coming forward. I think that's really just going to be about demand of those electronics. So what -- they build -- they need more chips, those underlying applications where we play, whether it's in automotive or just call it, the Internet of Things, proliferation of chips. And that's an advantage for us, so they -- but they have to be able to keep up with it for it to be an advantage for us.

我想再補充一點——Ben，你的問題其中一部分是關於我們未來可能看到的優勢。我認為那主要會取決於這些電子產品的需求。也就是說——他們在製造——他們需要更多晶片；在我們參與的那些底層應用上，無論是汽車領域，或是所謂的物聯網（Internet of Things），晶片的普及都在增加。這對我們是優勢；但他們必須能跟上這個需求增長，這才會成為我們的優勢。

And if I can sneak one more in. Just -- what about just the overall flexibility of the 3 businesses? I know you guys have done a lot and -- but just overall, 80% of the questions are about lithium here. And so how do you think about the portfolio altogether?

如果我可以再插問一題。就是——關於三大業務整體的彈性？我知道你們做了很多——但整體來看，這裡 80% 的問題都在談鋰。所以你們如何看待整個投資組合？

Yes. So look, we've got 3 core businesses and it's a portfolio. So Catalysts is struggling a little bit. Their market is not as strong because the miles driven and the issues we saw from COVID there. Bromine held up very well during the pandemic. And then really, EVs and then part of that, the lithium market was accelerated through COVID because of, really, the European response to the COVID was really about clean energy and electric vehicles. So I think the portfolio effect is working for us. I mean we'd love for all 3 businesses to be striking on all cylinders. But that's part of the portfolio. We think they're key businesses. They all fit into the sustainability angle that we're pushing. There's a sustainability piece for all 3 of those businesses, and that's kind of what ties them all together, and we like that portfolio. And it's working because we -- when business is down, the other 2 are doing quite well, and that will probably cycle.

是的。你看，我們有三個核心業務，這是一個投資組合。因此，催化劑（Catalysts）目前有點吃力。由於行駛里程下降，以及我們在 COVID 期間看到的那些影響，他們的市場不如以往強勁。溴素（Bromine）在疫情期間表現非常穩健。然後真正的亮點是電動車（EVs），以及其中一部分——鋰市場在 COVID 期間反而加速，因為歐洲對 COVID 的回應其實很大一部分聚焦在潔淨能源與電動車。我認為投資組合效應正在為我們發揮作用。我的意思是，我們當然希望三個業務都能火力全開。但這就是投資組合的一部分。我們認為它們都是關鍵業務，且都符合我們推動的永續發展主軸。這三個業務各自都有永續面向，這也是把它們串在一起的核心，我們喜歡這樣的組合。而且它確實在運作，因為當某個業務走弱時，另外兩個表現相當不錯，而這種情況可能會隨景氣循環。

And our next question coming from the line of Chris Kapsch with Loop Capital.

下一個問題來自 Loop Capital 的 Chris Kapsch。

So my question relates to lithium business in the industry and focused on your visibility more specifically. So the industry at this point is still pretty China-centric. And in the materials space, China has been notoriously sort of double ordered or build excess inventories during periods of rising commodity prices. And on the flip side, as this industry has witnessed, the pain can be pretty acute when prices are coming in with destocking and the supply chain exacerbating the downward pricing pressures.

我的問題與產業中的鋰業務有關，並更聚焦在你們的能見度。就目前而言，這個產業仍相當以中國為中心。而在材料領域，中國在大宗商品價格上漲期間，向來以重複下單或建立過多庫存而聞名。反過來，如同這個產業所見，當價格回落、去庫存發生時，痛感可能相當劇烈，而供應鏈也會加劇價格下行壓力。

Granted this lithium chemicals for the battery application are not as commodity-oriented as, say, copper or iron ore or something, but I'm just wondering if you could comment on the ability right now for the industry to build back inventories or safety stocks or buffer stocks? And maybe also speaking to your visibility, how is this changing along with the procurement strategies, which are migrating maybe away from cathode producers simply to cathode plus battery and in some cases, OEs. So just if you could speak to visibility on that, what the dynamic is currently and how you see that evolving.

當然，用於電池應用的鋰化學品不像銅或鐵礦石之類那麼偏向大宗商品，但我想請你們評論一下：目前產業是否有能力回補庫存、建立安全庫存或緩衝庫存？另外也想談談你們的能見度：隨著採購策略的變化——可能從僅向正極材料（cathode）製造商採購，轉向正極材料加電池，甚至在某些情況下轉向 OEM（原始設備製造商）——這對能見度有何影響？也請談談目前的動態，以及你們如何看待其演變。

Okay. So I mean, I guess, a bit about China. I'm not sure we have a ton more visibility, but there's not -- I mean we're fighting to keep up with demand. I think the industry is doing the same. So I don't think they're building -- anybody's building inventory in this supply chain. Everyone -- and that probably goes from batteries to cathodes to materials as well. I mean from my perspective, we're not building inventories, we actually sold down inventories to take advantage or to satisfy demand in the first quarter. And I don't know, Eric, if you have any more visibility around that?

好的。關於中國，我想我們未必有更多的能見度，但目前——我的意思是——我們正努力跟上需求，我認為整個產業也是如此。所以我不認為在這條供應鏈上有人在建立庫存。每個人——而且這可能從電池、正極材料到材料端都是一樣。就我這邊的觀察，我們沒有在建立庫存；事實上，我們在第一季為了把握機會或滿足需求，還降低了庫存。我不確定 Eric 你是否對此有更多能見度？

No. I mean the industry is tight. I can -- up and down, not just in China, around the world, and it's a consequence, in some regards, of just how bad it got last year from a value standpoint. A lot of capacity went out of the market, a lot of projects slowed down. So it's going to take a while to catch up and yet demand is accelerating. So it's -- we don't see a let up in the situation, which is one reason why we won't give a specific number. We see price rising going forward for the foreseeable future. China is still very important to the industry. If there's a delay anywhere in building out capacity downstream for batteries, it's outside of China. So Asia continues to be an important point going forward, which certainly in the near term, suits where we're bringing on capacity. So we're very optimistic about being able to place that capacity we're bringing on next year.

沒有。我的意思是，整個產業都很吃緊。我可以說，不只是中國，全球上下都是如此；某種程度上，這是去年價值面惡化得很嚴重所造成的結果。很多產能退出市場，很多專案放緩。因此要追上來需要一段時間，但需求卻在加速。所以——我們看不到這種情況有緩解的跡象，這也是我們不會給出具體數字的原因之一。我們預期在可預見的未來，價格將持續上升。中國仍然對這個產業非常重要。如果下游電池產能擴建有任何延遲，那會發生在中國以外。因此，亞洲未來仍將是重要的重點區域；就短期而言，這也正好符合我們正在導入產能的地理布局。所以我們對於明年新增產能能夠順利被市場吸收非常樂觀。

And I would just say one thing that's a little different than some of the other industries that, kind of mining industries, iron ore, ferrous materials, I mean, we are integrated into the resource and into the conversion as well. So we -- and that's not all China. That's -- the resources are really not in China. A lot of the conversion capacity and the customer demand today is in China. But it's -- and we spent a lot of effort making sure we have a diverse resource base from a resource standpoint and also from a conversion specific. So we're not too heavy in China. It's why you see us building in Western Australia, and we're doing conversion capacity in Chile as well. So we focus on that diversification from a resource standpoint and from a conversion basis as well. And in some cases, it's more expensive for us to do that, but we think it's important.

我還想補充一點：這與一些其他產業——像礦業、鐵礦石、黑色金屬材料——有些不同。我們在資源端以及轉換（conversion）端都是垂直整合的。所以我們——而且這不全在中國。資源其實不在中國；但目前大量的轉換產能與客戶需求在中國。不過——我們投入很多努力，確保在資源端有多元化的資源基礎，也在轉換端做多元化布局。因此我們不會在中國過度集中。這也是為什麼你會看到我們在西澳建設，並且也在智利建置轉換產能。所以我們同時從資源面與轉換面推動多元化。在某些情況下，這樣做對我們而言成本更高，但我們認為這很重要。

And I'm not showing any further questions at this time. I would now like to turn the call back over to Mr. Kent Masters for closing remarks.

目前我這邊沒有顯示其他提問。我現在想把電話會議交回給 Kent Masters 先生作結語。

Okay. Thank you, Olivia. And again, thank you all for joining us today. All the efforts and opportunities we discussed today require execution, and we have the capabilities, the resources and most importantly, the people to execute on our strategy. We expect to achieve accelerated growth with lower capital intensity, which should enable us to achieve higher returns. We will continue to work on our sustainability throughout the value chain, not only within Albemarle's operations but by continuing to support our customers. Thank you, and we look forward to speaking to you on our next call.

好的。謝謝你，Olivia。也再次感謝各位今天加入我們。我們今天討論的所有努力與機會都需要落實執行，而我們具備能力、資源，最重要的是具備能夠執行我們策略的人才。我們預期在較低的資本密集度下實現加速成長，這應能使我們達成更高的報酬。我們將持續在整個價值鏈上推動永續發展，不僅在 Albemarle 的營運內部，也會透過持續支持我們的客戶來實現。謝謝各位，我們期待在下一次電話會議再與各位交流。

Ladies and gentlemen, that does conclude our conference for today. Thank you for your participation. You may now disconnect.

各位女士、先生，今天的電話會議到此結束。感謝各位的參與。您現在可以掛線。