Arcadium Lithium swings to Q4 loss as lithium prices decline

The news: Arcadium Lithium swung to a fourth-quarter loss of USD14.2 million ($22.8 million) as the lithium miner reported lower pricing across the majority of its products.

The numbers: The Rio Tinto acquisition target said that fourth-quarter sales volumes were 56% higher versus the third quarter, but roughly flat year on year, as customers closed out their contractual commitments and demand tracked typical end-of-year increases.

The company realised average pricing of USD15,700 per metric ton for combined lithium hydroxide and carbonate volumes in the fourth quarter, down from USD16,200 in the previous quarter.

Shares in the company were up 0.5% to $9.30 at 10:40am AEDT.

The context: Arcadium Lithium said average realised pricing declined across most lithium products. President and CEO Paul Graves noted the pending combination with Rio Tinto will help the company accelerate growth in its assets and expansion projects. The two companies are now targeting closing the transaction on 6 March.