Albemarle Corporation (NYSE:ALB) Q3 2019 Earnings Conference Call - Final Transcript
Nov 07, 2019 • 09:00 am ET
Ladies and gentlemen, thank you for standing by and welcome to the Third Quarter 2019 Albemarle Corporation Earnings Conference Call. At this time all participants lines are in a listen-only mode. After the speaker presentation there will be a question-and-answer session. [Operator Instructions]. Please be advised that today's conference is being recorded. [Operator Instructions]
I would now like to hand the conference over to your speaker today, Mr. Dave Ryan, Vice President Corporate Strategy, Investor Relations. Sir, you may begin.
Thank you and welcome to Albemarle's third quarter 2019 earnings conference call. Our earnings were released after the close of the market yesterday and you'll find our press release, earnings presentation and non-GAAP reconciliations posted on our website under the Investors section at www.albemarle.com.
Joining me on the call today are Luke Kissan, Chief Executive Officer; Scott Tozier, Chief Financial Officer; Raphael Crawford, President, Catalysts; Netha Johnson, President, Bromine Specialties; and Eric Norris, President, Lithium. As a reminder, some of the statements made during this conference call about our outlook, expected company performance, production volumes and commitments as well as lithium demand 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, that same language applies to this call. Please also note that some of our comments today refer to financial measures that are not prepared in accordance with GAAP. A GAAP reconciliation can be found in our earnings release and the appendix of our earnings presentation, both of which are posted on our website.
Now I will turn the call over to Luke.
Hey, thanks Dave. Good morning, everybody. On today's call, I'm going to provide a quick recap on quarterly performance, but want to spend the bulk of my time on the long-term position we're taking and how the recent strategic decisions we've made support that view. Scott will provide more detail into our third quarter and full-year performance. Excluding currency impacts, third quarter revenue grew by 14%, adjusted EBITDA by 12% and adjusted diluted earnings per share by 22% year-over-year, excluding currency impact, each of our GBU delivered year-on-year EBITDA growth. Increased volume across all of our businesses and favorable year-over-year pricing in Lithium and Bromine contributed to that growth. With that, let me take a step back and set the stage for where we are today.
As you know the lithium market is dynamic. It offers a very strong future growth opportunity and the long-term secular growth trends remain fully intact. However, we are -- and we will be dealing with the challenging market conditions for the next 12 months to 18 months. Since late July, we have announced several significant strategic actions to successfully position our business for the long term. Last quarter we announced the decision to defer work on a price only 125,000 metric tons of conversion capacity, freeing up about $1.5 billion of our $5 billion five-year capital investment plan. This will enable us to generate free cash in