ebitda
1600–1800 $million
FY 2023
official guidance
| Revenue | ₪1.9B |
|---|---|
| Operating income | ₪226.0M |
| Net income | ₪125.0M |
| Operating margin | 12.2% |
| Net margin | 6.7% |
| Return on equity | 1.8% |
| Period | 2025 |
OpenFilings analyst
Agentic read of the latest earnings call — recommendation updates when we process a new transcript. Research synthesis, not investment advice.
Strong balance sheet and yield support the shares, but near-term earnings visibility and recovery timing are insufficient for a clean buy.
Latest call · Q2 2023Hold: ICL generated solid Q2 cash flow despite the downturn—$1.83 billion revenue, $441 million adjusted EBITDA, $221 million free cash flow and net debt/EBITDA of 0.72x—but earnings remain exposed to collapsing potash and bromine prices. FY2023 adjusted EBITDA guidance is $1.6-$1.8 billion, with specialties contributing $0.8-$0.9 billion; the key recovery thesis is delayed, with flame-retardant normalization now more likely in early 2024 and Growing Solutions only gradually improving.
Potash volumes should remain broadly similar to Q2, while management expects second-half average pricing of approximately $340 per ton; China, Brazil and supply curtailments are the main pricing indicators.
Growing Solutions should improve in Q3, particularly in Brazil, but high-cost inventory is still flowing through and destocking has lasted nearly three quarters.
Industrial Products is unlikely to see significant normalization in Q3; Q4 remains uncertain and construction demand is likely to recover more slowly than electronics.
The $200 million reduction attributed to the bromine business is already embedded in guidance, limiting another immediate estimate reset but leaving downside if destocking persists.
Potash remains the earnings anchor, supported by first-quartile costs, improved supply-demand balance and a planned 2023 production level of approximately 4.7 million tons.
The specialties strategy could reduce cyclicality over time, but Phosphate Solutions, Industrial Products and Growing Solutions are still experiencing meaningful price, volume and competitive pressure.
ICL is investing in U.S. lithium iron phosphate materials capacity, including a St. Louis plant supported by a $197 million Department of Energy grant; execution and demand ramp remain material long-term variables.
The company’s stated expectation that electronics demand recovers with replacement cycles and AI/EV adoption is plausible but unquantified, and does not yet offset current weakness in flame retardants.
High dividend capacity and a 7.4% trailing dividend yield are supported by low leverage, but the payout remains exposed to the commodity cycle.
Management acknowledged that its first-half decision not to match lower flame-retardant pricing failed because the downturn lasted longer than expected; it is now preserving market share with long-term customers, potentially sacrificing pricing discipline.
Flame-retardant prices are at roughly 15-year lows, with weak electronics and construction demand, abundant supply and low-priced Chinese product still pressuring margins.
The recovery timeline has repeatedly slipped: expected second-half 2023 improvement did not materialize, and management now points to early 2024 for more significant normalization.
Polysulphate profitability has fallen from more than 20% EBITDA last year to barely double digits expected in 2023, especially in China and Brazil where customers treat it too much like a commodity.
The battery-materials project is strategically attractive but remains a future growth investment rather than a current earnings contributor.
ebitda
1600–1800 $million
FY 2023
official guidance
ebitda
800–900 $million
FY 2023
official guidance
OpenFilings analyst view from primary-source filings and earnings calls — not investment advice.
ICL Group Ltd.
ICL Group Ltd.
ICL Group Ltd.
ICL Group Ltd.
ICL Group Ltd.
ICL Group Ltd.