At Cash Flow Club , we focus on businesses with strong cash generation, ideally with a wide moat and significant durability. When these companies are bought at the right time, that can be highly rewarding for us. If you are interested in joining our community, start right here !LyondellBasell Industries N.V. ( LYB ) reported its most recent quarterly earnings results on Friday morning. The company generated net losses during the period, but operating cash generation held up better. LyondellBasell's high 11% ...

Core Viewpoint - LyondellBasell reported a quarterly loss of $0.26 per share, missing the Zacks Consensus Estimate of $0.18, and a significant decline from earnings of $0.75 per share a year ago, indicating an earnings surprise of -244.44% [1] Financial Performance - The company posted revenues of $7.09 billion for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.53%, but down from $9.5 billion in the same quarter last year [2] - Over the last four quarters, LyondellBasell has exceeded consensus revenue estimates four times, but has only surpassed consensus EPS estimates once [2] Stock Performance - LyondellBasell shares have increased by approximately 15.4% since the beginning of the year, outperforming the S&P 500's gain of 1.8% [3] - The stock's immediate price movement will largely depend on management's commentary during the earnings call [3] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.67 on revenues of $7.56 billion, and for the current fiscal year, it is $3.46 on revenues of $29.74 billion [7] - The estimate revisions trend for LyondellBasell was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Chemical - Diversified industry, to which LyondellBasell belongs, is currently ranked in the bottom 14% of over 250 Zacks industries, suggesting that the industry outlook may negatively impact stock performance [8]

Petrochemicals maker LyondellBasell on Friday posted a surprise loss for the fourth quarter and said it aims to save $1.3 billion by the end of 2026, as it continues to keep a tight lid on costs amid volatility in feedstock and energy prices. ...

Financial Performance - Q4 2025 net loss was $140 million, or $(0.45) per diluted share, with EBITDA of $345 million, or $417 million excluding identified items[7] - Full year 2025 net loss totaled $738 million, or $(2.34) per diluted share, with EBITDA of $1.1 billion, or $2.5 billion excluding identified items[9] - For the year ended December 31, 2025, the company reported a net loss of $738 million, compared to a net income of $1,367 million for the year ended December 31, 2024[29] - EBITDA for the year ended December 31, 2025, was $1,126 million, a significant decrease from $3,460 million in 2024[29] - Net income excluding identified items for the year ended December 31, 2025, was $563 million, compared to $2,038 million in 2024[29] - Diluted earnings per share excluding identified items for the year ended December 31, 2025, was $1.70, down from $6.22 in 2024[35] Cash Flow and Liquidity - Generated $2.3 billion in cash from operating activities with a cash conversion rate of 95%[5] - Cash conversion for the year ended December 31, 2025, was 95%, calculated as net cash provided by operating activities of $2,262 million divided by EBITDA excluding certain identified items[38] - Total liquidity as of December 31, 2025, is $8,099 million, comprising $3,449 million in cash and liquid investments and $4,650 million in available credit facilities[39] Capital Expenditures and Investments - The company plans to invest $1.2 billion in capital expenditures for 2026, focusing on safe operations and ongoing projects like MoReTec-1[13] - In 2025, the company reinvested $1.9 billion through capital expenditures and returned $2.0 billion to shareholders via dividends and share repurchases[10] Dividends and Share Repurchases - Dividends paid on common stock for the year ended December 31, 2025, amounted to $1,764 million, with an additional $201 million spent on share repurchases[40] - The total of dividends and share repurchases for the year reached $1,965 million[40] Operational Challenges - North American polyethylene margins compressed due to higher feedstock costs and lower seasonal demand, impacting overall performance[8] - The company is aligning first quarter operating rates with global demand, planning to operate at approximately 85% for Olefins & Polyolefins Americas assets[14] Strategic Initiatives - LyondellBasell's strategy includes optimizing its business portfolio while maintaining a focus on safety and operational excellence[12] - The Cash Improvement Plan exceeded its $600 million target for 2025 by $200 million, raising the cumulative target to $1.3 billion by the end of 2026[6] - The Cash Improvement Plan announced in April 2025 resulted in employee-related charges across all segments, contributing to the financial performance focus[31] - The company announced plans to sell select olefins and polyolefins assets in Europe in June 2025, leading to associated transaction costs[33] Asset Management - LyondellBasell divested four European assets, expected to complete in Q2 2026[5] - The permanent closure of the Dutch PO joint venture asset in March 2025 resulted in shutdown-related charges of $126 million in the Intermediates & Derivatives segment[32] - The company ceased operations at its Houston refinery in February 2025, with the refining business reported as a discontinued operation[34] Non-Cash Charges - The company recognized non-cash asset write-downs of $1,251 million for the year ended December 31, 2025, including goodwill impairment charges of $400 million and $572 million in the Advanced Polymer Solutions segment[30]

Core Insights - LyondellBasell reported a net loss of $738 million for the full year 2025, with diluted earnings per share of $(2.34), and a fourth quarter net loss of $140 million, or $(0.45) per diluted share [5][9][7] - The company achieved $800 million in cash improvements in 2025, exceeding its target of $600 million, and is targeting an additional $500 million by the end of 2026 [4][6] - EBITDA for 2025 was $1.1 billion, or $2.5 billion excluding identified items, reflecting the impact of challenging market conditions [9][5] Financial Performance - Sales and other operating revenues for Q4 2025 were $7.091 billion, down from $7.727 billion in Q3 2025 and $7.808 billion in Q4 2024 [1] - Full year 2025 net income excluding identified items was $563 million, with diluted earnings per share of $1.70 [4][9] - The company generated $2.3 billion in cash from operating activities with a cash conversion rate of 95% [5][32] Market Conditions - The petrochemical markets faced significant challenges in 2025, including global trade disruptions, falling oil prices, and increased capacity that outpaced demand growth [11] - North American polyethylene margins were compressed due to higher feedstock costs and trade issues, while European margins declined due to competition from imports [11][8] Strategic Initiatives - The company is focusing on operational excellence and safety, with record safety performance reported [6][12] - LyondellBasell plans to invest $1.2 billion in capital expenditures for 2026, emphasizing safe operations and ongoing projects like MoReTec-1 [13] - The Cash Improvement Plan has been expanded to target $1.3 billion by the end of 2026, reflecting a commitment to financial performance [16][4] Outlook - The company anticipates continued volatility in feedstock and energy prices entering Q1 2026, with expectations for improved polyethylene demand as seasonal trends unfold [14][15] - Operating rates are being aligned with global demand, with plans to operate various assets at approximately 75-85% capacity [15]

Core Viewpoint - LyondellBasell Industries N.V. (LYB) is expected to report its fourth-quarter 2025 results on January 30, 2026, with anticipated challenges due to seasonality, reduced operating rates, and increased feedstock costs [1][7]. Revenue Estimates - The Zacks Consensus Estimate for LYB's fourth-quarter consolidated revenues is $6,984.4 million, indicating a year-over-year decline of 26.5% [4]. - For the Olefins and Polyolefins – Americas division, the revenue estimate is $2,536 million, reflecting a 7.9% decrease year-over-year [4]. - The Olefins and Polyolefins – Europe, Asia & International division is estimated at $2,378 million, suggesting a 3.8% decline from the previous year [4]. - The Advanced Polymer Solutions segment is expected to generate $837 million in revenue, representing a 1.5% increase year-over-year [5]. - The Intermediaries and Derivatives segment's revenue estimate is $2,203 million, indicating a 6.5% decrease from last year [8]. - The Technology segment's revenue is pegged at $137 million, reflecting a 21.3% decline year-over-year [8]. Factors Impacting Performance - Lower operating rates and seasonal factors are anticipated to negatively affect volumes and margins, with North American olefins and polyolefins assets expected to operate at 80% capacity, European facilities at 60%, and Intermediates & Derivatives assets at 75% [9]. - The company plans to idle one of its PO/SM units in Channelview and one of its crackers in Germany, which is likely to impact production volumes and margins [10]. - Year-end seasonality, reduced demand, and customer inventory reductions are expected to weigh on volumes in the Olefins and Polyolefins – Americas unit, with weak industrial and consumer demand in Europe [10]. - Higher natural gas and feedstock costs are likely to exert pressure on margins in both North America and Europe [11]. - The Advanced Polymer Solutions segment is facing challenges due to lower demand in the automotive sector, which is expected to continue affecting this segment [12]. Earnings Prediction - The model does not predict a definitive earnings beat for LyondellBasell this quarter, as the combination of a positive Earnings ESP of +1.85% and a Zacks Rank of 4 (Sell) does not support an earnings beat [13][14].

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Core Viewpoint - LyondellBasell (LYB) shares experienced a significant increase of 6.8% to $52, driven by rising oil prices and concerns over supply disruptions in Iran, enhancing the company's competitive cost advantage [1]. Group 1: Stock Performance - LYB's stock has gained 13.2% over the past four weeks, indicating a positive trend in its market performance [1]. - The stock's recent rally occurred with a higher-than-average trading volume, suggesting strong investor interest [1]. Group 2: Earnings Expectations - LyondellBasell is projected to report quarterly earnings of $0.13 per share, reflecting a substantial year-over-year decline of 82.7% [2]. - Revenue expectations for the upcoming quarter are set at $6.98 billion, which is a decrease of 26.5% compared to the same quarter last year [2]. Group 3: Earnings Estimate Revisions - The consensus EPS estimate for LyondellBasell has been revised down by 6.2% over the last 30 days, indicating a negative trend in earnings estimate revisions [3]. - Historically, a negative trend in earnings estimate revisions is associated with limited price appreciation potential [3]. Group 4: Industry Context - LyondellBasell holds a Zacks Rank of 3 (Hold), suggesting a neutral outlook compared to other stocks in the market [4]. - The company is part of the Zacks Chemical - Diversified industry, which includes other stocks like Tronox (TROX), which has shown a 25.9% return over the past month [4].

分组1 - LyondelBasell's forward dividend yield exceeds 12%, initially attracting interest for potential investment [1] - After thorough analysis of the company's fundamentals, it is concluded that the high yield may not be sustainable [1] 分组2 - The article reflects a strong background in finance, particularly in oilfield and real estate industries, with over a decade of experience [1] - The author has provided equity research services for a Dubai-based family office managing over $20 million in assets [1] - Emphasis is placed on the ability to analyze financial statements, evaluate market trends, and identify growth drivers across various industries [1]

Core Viewpoint - LyondellBasell is set to announce its fourth-quarter 2025 financial results on January 30, 2026, before the U.S. market opens, followed by a webcast and teleconference to discuss the results [1]. Group 1: Financial Results Announcement - The financial results will be announced before the U.S. market opens on January 30, 2026 [1]. - A webcast and teleconference will take place at 11 a.m. EST on the same day [1]. Group 2: Teleconference and Webcast Details - The teleconference will be hosted by David Kinney, head of investor relations [2]. - Participants can access the webcast 10 to 15 minutes prior to the start of the call at www.lyb.com/earnings [2]. Group 3: Toll-Free Teleconference Information - Toll-free dial-in number for participants is 877-407-8029, and the toll number is 201-689-8029 [3]. - Presentation slides will be available during and after the teleconference at www.lyb.com/earnings [3]. Group 4: Replay Information - A replay of the call will be available from 1 p.m. EST on January 30 until March 2, 2026 [4]. - Replay dial-in numbers include a toll-free option at 877-660-6853 and a toll number at 201-612-7415, with an access ID of 13746215 [4]. Group 5: Company Overview - LyondellBasell is a leader in the global chemical industry, focusing on sustainable living solutions [4]. - The company aims to enable a circular and low carbon economy through advanced technology and investments [4]. - LyondellBasell is one of the world's largest producers of polymers and a leader in polyolefin technologies, providing innovative products for various applications [4].