LyondellBasell Industries posted gains in both sales and profit in the second quarter of 2024.
Houston-based LYB saw first-quarter sales grow almost 3 percent to almost $10.6 billion vs. the same quarter in 2023. Second-quarter profit jumped more than 29 percent to $924 million in the same comparison.
In an Aug. 2 news release, CEO Peter Vanacker said increased production from LYB's assets, higher integrated margins and rising seasonal demand drove sequential improvements in second quarter profitability.
Sales at the firm's Olefins & Polyolefins-Americas unit grew more than 7 percent for the quarter to $2.93 billion, with operating profit essentially flat at $519 million. The firm is a major supplier of polyethylene and polypropylene resins.
O&P-Americas' second-quarter polyethylene sales volume was up almost 3 percent to nearly 1.7 billion pounds, while its polypropylene sales volume jumped 6.5 percent to almost 615 million pounds.
LYB's Advanced Polymer Solutions unit, which includes North America's largest compounding business, saw second-quarter sales decline more than 1 percent to $948 million as operating income grew 67 percent to $15 million. That unit's second-quarter sales volume grew 3 percent to almost 840 million pounds.
Looking ahead, Vanacker said that LYB "is reshaping our portfolio to serve our customers' needs for more sustainable products while continuing to deliver leading returns for our shareholders."
Earlier in 2024, LYB acquired a 35 percent stake in Saudi Arabia-based National Petrochemical Industrial Co. (NATPET) from Alujain Corp. for $500 million. LYB officials said the deal positions their firm to grow and upgrade its PP resin business through access to advantaged feedstocks, plus additional product marketing capacity in a strategic region.
LYB also recently announced a strategic review of its European assets. Many firms have been impacted by rising energy costs in that region.
On Wall Street, LYB's share price began 2024 around $95 and reached close to $106 in early April, but was near $96 in early trading Aug. 2 for an increase of 1 percent since Jan. 1.