The second quarter of 2022 brought mixed results for materials supplier LyondellBasell Industries, with sales growing as profit declined vs. the same quarter last year.
Overall sales for the quarter at Houston-based LBI grew 28 percent to $14.8 billion. Profit was down 20 percent to a little more than $1.6 billion.
"LyondellBasell's global portfolio of businesses delivered strong earnings and cash generation, driven by record results from our Intermediates & Derivatives segment and exceptional refining margins," said CEO Peter Vanacker. "In addition, [the firm] is making tangible progress toward our goals to help address the global challenges of climate change and plastic waste."
LBI's olefins and polyolefins Americas unit posted second-quarter sales growth of 9 percent to almost $4.1 billion, even as operating income slumped 45 percent to $768 million. The unit's polyethylene resin sales volume in pounds grew 6 percent to 1.75 billion pounds for the quarter. Sales volume in pounds for polypropylene resin for the unit declined 11 percent to 475 million pounds.
In LBI's Advanced Polymer Solutions unit, North America's largest compounding business, second-quarter sales were up almost 7 percent to more than $1.4 billion, as operating income essentially was flat at $100 million. The unit's sales volume in pounds was down 3 percent to about 1.1 billion pounds.
Looking ahead, Vanacker said that the power of LBI's business portfolio "is providing resilience during the third quarter with continued strength in demand from packaging markets and favorable margins for our oxyfuels and refined products."
"As consumers' needs move from durables toward service industries and mobility, LyondellBasell's diverse businesses are well positioned to serve evolving trends in global demand," he added.
On Wall Street, LBI's per-share stock price essentially was flat near $88.70 in early trading July 29. That price is down about 5 percent from the start of the year.