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Mar 31, 2022
LyondellBasell Q1 2022 Earnings Report
LyondellBasell reported strong first quarter results driven by robust demand and strong margins.
Key Takeaways
LyondellBasell reported a net income of $1.3 billion and EBITDA of $2.0 billion for the first quarter of 2022. The company saw robust demand across its portfolio, particularly in the Intermediates & Derivatives segment. They also returned $0.6 billion to shareholders through dividends and share repurchases.
Net Income: $1.3 billion
Diluted earnings per share: $4.00
EBITDA: $2.0 billion; strongest first quarter since 2015 and record first quarter for I&D segment
Robust cash from operating activities: $1.5 billion
LyondellBasell
LyondellBasell
Forward Guidance
LyondellBasell anticipates typical improvements in summer seasonal demand will extend market strength. Margins are expected to improve as product prices catch up with increased feedstock and energy costs. Reductions in European and Asian industry operating rates are expected to tighten market supply.
Positive Outlook
- Continued demand for consumer packaging.
- Improving volumes for automotive polymer compounds.
- Seasonal demand for durable goods used in building and construction markets.
- Strong markets for oxyfuels products.
- Favorable outlook for refining segment.
Challenges Ahead
- Global economy continues to navigate geopolitical uncertainty.
- Volatile costs for energy and feedstocks.
- Risks on supply chains.
- Inflation.
- Unsustainable production economics in China.