Tianqi Lithium Corporation Issues Substantial Profit Alert for Q1 2026

Key Financial Highlights and Implications for Investors

Tianqi Lithium Corporation has issued a profit alert announcing an exceptional increase in profitability for the three months ended 31 March 2026. The company’s preliminary estimates, based on Chinese Accounting Standards for Business Enterprises, indicate a remarkable turnaround compared to the same period last year.

Summary of Financial Estimates

• Net Profit Attributable to Shareholders:
  Estimated to range from RMB 1,700 million to RMB 2,000 million (unaudited), representing a surge of approximately 1,530.31% to 1,818.01% compared to RMB 104.27 million in Q1 2025.
• Net Profit After Deducting Non-Recurring Items:
  Estimated to range from RMB 1,600 million to RMB 1,960 million (unaudited), an increase of around 3,501.54% to 4,311.88% from RMB 44.43 million in Q1 2025.
• Basic Earnings Per Share (EPS):
  Projected between RMB 1.01 and RMB 1.19, compared to RMB 0.06 in the corresponding period last year.

Drivers Behind the Exceptional Performance

1. Revenue Growth:
   The company expects a significant increase in revenue for the reporting period, mainly attributed to the expansion of the new energy sector and rising downstream demand. These factors have led to a substantial year-on-year rise in the average selling prices of Tianqi Lithium’s major lithium products.
2. Investment Income from SQM:
   Tianqi Lithium holds a significant stake in Sociedad Química y Minera de Chile S.A. (SQM), a key associate. Although SQM has not yet released its Q1 2026 results, Tianqi has relied on Bloomberg’s forecast for SQM’s earnings per share and other market information to estimate its investment income. SQM is expected to post significant year-on-year growth, which should substantially boost Tianqi’s reported investment income for the quarter.

Risk Warnings and Important Shareholder Information

• Preliminary Data: The figures disclosed are preliminary estimates and unaudited. Final results may differ from those published in the company’s official Q1 2026 report. Investors should be aware of the potential for revisions.
• SQM Results Not Yet Released: As SQM is listed on both the Santiago Stock Exchange and the New York Stock Exchange, it will release its quarterly results after this Tianqi announcement. Tianqi’s estimated investment income from SQM is based on forecasts, not SQM’s actual reported results. Discrepancies may arise once SQM’s official numbers are available, potentially impacting Tianqi’s final reported profits.
• Disclosure Compliance: Tianqi will adjust and disclose any necessary changes to its financials in accordance with accounting standards and disclosure rules once SQM’s actual results are published.

Board Composition

As of the date of the announcement, the board of Tianqi Lithium Corporation comprises:

• Ms. Jiang Anqi (Chairlady of the Board and Executive Director),
• Mr. Jiang Weiping,
• Mr. Ha, Frank Chun Shing (Executive Directors),
• Mr. Xiang Chuan,
• Ms. Tang Guoqiong,
• Ms. Huang Wei,
• Ms. Wu Changhua (Independent Non-Executive Directors).

Potential Share Price Impact

This profit alert signals a dramatic improvement in Tianqi Lithium’s financial performance, driven by both core business growth and increased contributions from its strategic investment in SQM. Such a large year-on-year profit increase, if confirmed by audited results, could be highly price-sensitive and may materially affect the company’s share price. Investors should, however, remain aware of the risks related to the preliminary nature of the data and the pending official results from SQM.

Investor Caution

Shareholders and potential investors are urged to exercise caution when dealing in Tianqi Lithium Corporation’s securities. The official Q1 2026 quarterly report will provide final, audited figures and may differ from these preliminary estimates.

Disclaimer: This article is based on unaudited, preliminary estimates and forward-looking statements provided by Tianqi Lithium Corporation. Actual financial results may differ following the release of audited data and SQM’s official earnings. Investors should refer to the final quarterly report and remain mindful of all investment risks.

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