Income Statement
The income statement presents information on the financial results of a company business activities over a period of time. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue.
Albemarle Corp., consolidated income statement
US$ in thousands
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).
The data over the five-year period shows meaningful fluctuations and an overall upward trend in key financial metrics, particularly in the latest year.
- Net Sales
- Net sales experienced moderate growth from 2018 to 2019, followed by a decline in 2020 and a slight recovery in 2021. However, 2022 shows a strong surge, more than doubling compared to the previous year, indicating significant business expansion or increased market demand.
- Cost of Goods Sold (COGS)
- COGS followed a similar pattern to net sales, with incremental increases in 2019, a dip in 2020, and a rise again in 2021. The substantial increase in 2022 corresponds with the rise in sales, though the proportionate increase suggests stable or slightly improved cost management relative to sales volume.
- Gross Profit
- Gross profit was stable in 2018 and 2019, declined notably in 2020 and 2021, and then surged significantly in 2022, in line with the jump in sales. This indicates improved profitability at the gross margin level during the latest year.
- Selling, General and Administrative Expenses (SG&A)
- SG&A expenses rose from 2018 to 2019, decreased in 2020 and 2021, and then increased again in 2022, though the rise in 2022 is less pronounced compared to the jump in sales, suggesting operational leverage or better expense control relative to revenue growth.
- Research and Development (R&D) Expenses
- R&D expenses have been relatively stable across the five years, with minor fluctuations but no strong upward or downward trend. The firm appears to maintain consistent investment in innovation regardless of sales volatility.
- Gain (Loss) on Sale of Business/Interest in Properties
- The gains recognized in 2018 and 2021 are significant, while 2019 and 2020 show missing data, and 2022 recorded a small loss. These non-recurring items have impacted operating results unevenly across years.
- Operating Profit
- Operating profit decreased from 2018 to 2020, with a moderate recovery in 2021 and a dramatic increase in 2022—tripling the figure from 2021. This recovery aligns with sales and gross profit patterns, reflecting stronger operational performance.
- Interest and Financing Expenses
- Interest expenses remained relatively stable through 2018 to 2021 but nearly doubled in 2022, which could indicate increased borrowing or higher financing costs associated with business expansion.
- Other Income (Expenses), Net
- Other income/expenses fluctuated significantly, with moderate negative values from 2018 to 2020, a large negative impact in 2021, and a positive amount in 2022. This volatility suggests variable non-operating influences affecting net results.
- Income Before Income Taxes and Equity in Net Income of Unconsolidated Investments
- This figure followed a downtrend from 2018 to 2021 but saw substantial growth in 2022, mirroring operating profit and net sales growth, signaling a favorable turnaround in pre-tax earnings capacity.
- Income Tax Expense
- Income tax expense decreased steadily from 2018 to 2021, reflecting lower taxable income, but spiked in 2022, consistent with the significant rise in pre-tax income.
- Income Before Equity in Net Income of Unconsolidated Investments
- The declining trend through 2021 was reversed in 2022 with a sharp increase, aligning with the other profitability metrics.
- Equity in Net Income of Unconsolidated Investments
- Equity income from investments was relatively stable from 2018 to 2020, decreased in 2021, and then increased substantially in 2022, contributing significantly to overall net income growth.
- Net Income
- Net income showed a downward trajectory from 2018 to 2021, with a steep rebound in 2022, more than doubling the 2018 level. This sharp increase reflects improvements in core operations, equity earnings, and other income components.
- Net Income Attributable to Noncontrolling Interests
- Noncontrolling interests' share of net income grew in absolute value over time, indicating a larger portion of earnings attributed outside the core shareholders, consistent with business expansion or changes in ownership structures.
- Net Income Attributable to Albemarle Corporation
- The net income attributable to the company mirrors the overall net income trend, declining steadily until 2021 and then surging in 2022, highlighting robust profitability for shareholders in the last year reported.