Group 1: Earnings Performance - LyondellBasell reported quarterly earnings of $0.75 per share, matching the Zacks Consensus Estimate, but down from $1.26 per share a year ago [1] - The company had expected earnings of $2.03 per share a quarter ago but reported $1.88, resulting in a surprise of -7.39% [1] - Over the last four quarters, LyondellBasell has surpassed consensus EPS estimates two times [1] Group 2: Revenue Performance - The company posted revenues of $9.5 billion for the quarter ended December 2024, exceeding the Zacks Consensus Estimate by 1.41%, but down from $9.93 billion year-over-year [2] - LyondellBasell has topped consensus revenue estimates three times over the last four quarters [2] Group 3: Stock Performance and Outlook - LyondellBasell shares have increased by about 2.5% since the beginning of the year, compared to the S&P 500's gain of 3.2% [3] - The company's earnings outlook will be crucial for future stock movements, with current consensus EPS estimates at $1.36 on $7.65 billion in revenues for the coming quarter and $7.40 on $31.79 billion in revenues for the current fiscal year [7] Group 4: Industry Context - The Chemical - Diversified industry, to which LyondellBasell belongs, is currently in the bottom 8% of the Zacks industries, indicating potential challenges ahead [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact LyondellBasell's stock performance [5]

[Financial Performance Overview](index=1&type=section&id=Financial%20Performance%20Overview) LyondellBasell reported a Q4 2024 net loss of $603 million and full-year net income of $1.37 billion, driven by asset write-downs, while generating $3.8 billion in cash from operations and achieving 65% CLCS volume growth Full Year and Fourth Quarter 2024 Earnings Summary | | Three Months Ended | Year Ended | | :--- | :--- | :--- | | **Millions of U.S. dollars (except share data)** | **Dec 31, 2024** | **Dec 31, 2024** | | Sales and other operating revenues | $9,497 | $40,302 | | Net (loss) income | ($603) | $1,367 | | Diluted (loss) earnings per share | ($1.87) | $4.15 | | EBITDA | ($409) | $3,456 | Full Year and Fourth Quarter 2024 Earnings Summary (Excluding Identified Items) | | Three Months Ended | Year Ended | | :--- | :--- | :--- | | **Millions of U.S. dollars (except share data)** | **Dec 31, 2024** | **Dec 31, 2024** | | Net income excluding identified items | $249 | $2,101 | | Diluted earnings per share excluding identified items | $0.75 | $6.40 | | EBITDA excluding identified items | $689 | $4,336 | - For the full year 2024, the company generated **$3.8 billion** of cash from operating activities, achieving a **90% cash conversion rate**[4](index=4&type=chunk) - The Circular and Low Carbon Solutions (CLCS) business delivered a **65% year-over-year volume growth** in 2024[4](index=4&type=chunk) [Detailed Financial Results](index=3&type=section&id=Detailed%20Financial%20Results) This section analyzes quarterly and annual financial results, highlighting Q4's net loss from asset write-downs and the full year's strong cash generation despite challenging market conditions [Fourth Quarter 2024 Results](index=3&type=section&id=Fourth%20Quarter%202024%20Results) Q4 2024 saw a net loss of **$603 million**, primarily due to **$852 million** in identified non-cash asset write-downs and declining margins from rising feedstock costs and slower demand - The company reported a Q4 2024 net loss of **$603 million**, or **$1.87 per share**, which included **$852 million** (net of tax) of identified items[5](index=5&type=chunk) - Key identified items were non-cash asset write-downs related to the O&P Europe, Asia & International (O&P EAI) segment (**$769 million**) and the Advanced Polymer Solutions (APS) segment (**$42 million**)[5](index=5&type=chunk) - Margins were negatively impacted by rising costs for NGL feedstocks and natural gas, coupled with seasonally slower demand that limited product pricing power[6](index=6&type=chunk) [Full Year 2024 Results](index=3&type=section&id=Full%20Year%202024%20Results) Full year 2024 net income reached **$1.4 billion**, with **$3.8 billion** generated in cash from operations, supporting capital expenditures and shareholder returns, while maintaining a robust **$8.0 billion** in liquidity despite market headwinds - Full year 2024 net income was **$1.4 billion** (**$4.15 per share**), with identified items impacting earnings by **$2.25 per share**[7](index=7&type=chunk) - Generated **$3.8 billion** in cash from operating activities, reinvesting **$1.8 billion** in capital expenditures and returning **$1.9 billion** to shareholders through dividends and share repurchases[8](index=8&type=chunk) - Maintained a robust investment-grade balance sheet with **$8.0 billion** of available liquidity at year-end, including **$3.4 billion** in cash and cash equivalents[8](index=8&type=chunk) - Petrochemical markets faced headwinds from soft global demand for durable goods, rising raw material costs, and economic uncertainty throughout 2024[9](index=9&type=chunk) [Strategic Highlights & Outlook](index=4&type=section&id=Strategic%20Highlights%20%26%20Outlook) LyondellBasell is advancing its strategy, unlocking **$1.3 billion** towards its **$3 billion** EBITDA target, and anticipates 2025 market recovery, highlighted by the strategic cessation of refining operations in Q1 [Strategy Highlights](index=4&type=section&id=Strategy%20Highlights) The company is executing its strategy to generate **$3 billion** incremental Normalized EBITDA by 2027, having unlocked approximately **$1.3 billion** by end of 2024 through new capacity and value enhancement programs - The company's strategy aims to generate **$3 billion** of incremental Normalized EBITDA by 2027[11](index=11&type=chunk) - By the end of 2024, LYB unlocked approximately **$1.3 billion** of incremental Normalized EBITDA, primarily from new PO/TBA capacity and the Value Enhancement Program[11](index=11&type=chunk) - Despite navigating the longest and deepest market downturn in the CEO's career, the company is not wavering in its strategy execution, supported by a robust balance sheet and commitment to shareholder returns[10](index=10&type=chunk) [Outlook for 2025](index=4&type=section&id=Outlook%20for%202025) For 2025, LYB anticipates Q1 seasonal demand improvements and a gradual economic recovery, with a key strategic move being the cessation of refining operations in Q1 2025 - The company anticipates seasonal demand improvements in Q1 2025 and a gradual recovery in oxyfuels margins during the summer[12](index=12&type=chunk) - Refining operations will cease in the first quarter of 2025, a strategic milestone to advance growth in circular and low-carbon feedstocks and products[12](index=12&type=chunk) Planned Q1 2025 Operating Rates | Segment | Planned Operating Rate | | :--- | :--- | | Olefins & Polyolefins Americas | ~80% | | Olefins & Polyolefins EAI | ~75% | | Intermediates & Derivatives | ~80% | [Financial Reconciliations and Non-GAAP Measures](index=6&type=section&id=Financial%20Reconciliations%20and%20Non-GAAP%20Measures) This section details the company's use of non-GAAP financial measures like EBITDA and adjusted net income, providing reconciliations and calculations for cash conversion and incremental Normalized EBITDA - The company uses non-GAAP financial measures like EBITDA, and results excluding identified items, to provide investors with a clearer view of underlying business trends and for period-over-period comparisons[20](index=20&type=chunk) FY 2024 Reconciliation of Net Income to EBITDA (Millions USD) | Metric | Amount | | :--- | :--- | | Net income | $1,367 | | Provision for income taxes | $240 | | Depreciation and amortization | $1,522 | | Interest expense, net | $331 | | **EBITDA** | **$3,456** | FY 2024 Cash Conversion Calculation | Metric | Amount (Millions USD) | | :--- | :--- | | Net cash provided by operating activities | $3,819 | | EBITDA excluding certain items | $4,237 | | **Cash conversion** | **90%** | - For FY 2024, total identified items impacting net income included a **$284 million** pre-tax gain on the sale of the EO&D business, **$1,065 million** in pre-tax asset write-downs, and **$179 million** in pre-tax refinery exit costs[29](index=29&type=chunk)

LYB remained sharply focused on executing its three-pillar strategyGenerated $3.8 billion of cash from operating activities with 90% cash conversion1Cash from operating activities funded $1.8 billion of capital expenditures and $1.9 billion in shareholder returns through dividends (with 14th consecutive year of annual dividend growth) and share repurchasesDelivered 65% year-over-year volume growth2 in the company's Circular and Low Carbon Solutions (CLCS) businessAnnounced Agustin Izquierdo to succeed Micha ...

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LyondellBasell Industries N.V. (LYB) is scheduled to report fourth-quarter 2024 earnings on Jan. 31, before the opening bell.See the Zacks Earnings Calendar to stay ahead of market-making news.The company surpassed the Zacks Consensus Estimate in two of the last four quarters and missed twice, with the average earnings surprise being 0.4%. LYB stock has lost 18.1% in the past year compared with the Zacks Chemicals Diversified industry’s 1.5% decline.Image Source: Zacks Investment ResearchLet’s see how thing ...

Core Insights - LyondellBasell (LYB) has signed two significant power purchase agreements (PPAs) in Europe to enhance its commitment to reducing greenhouse gas emissions and stabilizing energy costs [1][4] - The agreements are expected to increase the use of renewable energy, supporting both LYB's operations and its customers' CO2 reduction goals [2][4] Group 1: Power Purchase Agreements - The 15-year agreement with Vattenfall will secure 450 gigawatt-hours (GWh) annually of offshore wind energy for LYB's operations in Germany, including the MoReTec-1 plant [2] - The MoReTec-1 plant is designed to recycle plastic packaging waste generated by over 1.2 million German citizens annually using proprietary technology [2] - A 10-year PPA with wpd will provide 79 GWh annually of onshore wind power from the Licata project in Sicily, Italy, starting in 2026 [3] Group 2: Impact on Operations - The agreements will help integrate renewable energy into the grid, improving infrastructure and reliability [4] - The Ferrara site in Italy, which will benefit from the onshore wind power agreement, is the world's largest for Ziegler-Natta catalyst development and production [3] Group 3: Company Overview - LyondellBasell is a leader in the global chemical industry, focusing on creating sustainable solutions and enabling a circular and low-carbon economy [5] - The company develops high-quality products for various applications, including sustainable transportation, food safety, clean water, and healthcare [5]

LyondellBasell (LYB) is expected to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended December 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The earnings report, which is expected to be released on January 31, 2025, might help the stock move higher if these key numbers are better tha ...

If you enjoyed this, consider Ian's Insider Corner to enjoy access to similar initiation reports for all the new stocks that we buy. Membership also includes an active chat room, weekly updates, and my responses to your questions.LyondellBasell Industries N.V. (NYSE: LYB ) is one of the world's largest petrochemical producers. With a vast array of operations, primarily in North America and Europe, LyondellBasell is a major player in the plastics space and generates close to $40 billion inIan leads the inves ...

HOUSTON and LONDON, Jan. 07, 2025 (GLOBE NEWSWIRE) -- LyondellBasell (NYSE:LYB), a leader in the global chemical industry, will announce its fourth-quarter 2024 financial results before the U.S. market opens Friday, Jan. 31, followed by a webcast and teleconference to discuss the results at 11 a.m. EST. Teleconference and webcast detailsFriday, Jan. 31, 202511 a.m. ESTHosted by David Kinney, head of investor relationsAccess the webcast 10 to 15 minutes prior to the start of the call at www.lyondellbasell.co ...

In case you didn't know, Value investing is out of favor. You don't need me to tell you what's been working best in this market. Given that there's a lot of managers out there with potential big bonuses available after 12/31/24, it makesMy experience stems from the hedge fund industry beginning in the mid-90's, working as a Portfolio Manager, Domestic Equity Analyst and Trader. I was the Portfolio Manager of a domestic Long/Short Equity product with gross assets that peaked over 1 Billion dollars. I am a fu ...