Specialty chemicals maker LyondellBasell Industries (LYB), Friday reported a 44 percent jump in first-quarter profit, helped by improved margins that offset a decline in revenues. Earnings for the quarter came in above Wall Street estimates, while revenues missed expectations, due mainly to lower sales at Intermediates & Derivatives and Refining businesses.
Moving forward, LyondellBasell expects the global macroeconomic outlook to be uncertain.
The Netherlands-based company said the quarter benefited from improved operating results across all segments, other than Refining, which had a planned maintenance turnaround.
LyondellBasell makes chemicals and polymers, refines crude oil, produces gasoline blending components, and develops and licenses technologies for the production of polymers.
The company reported quarterly net income to common shares of $901 million or $1.55 per share, compared to $600 million or $1.04 per share last year.
On average, 18 analysts polled by Thomson Reuters expected earnings of $1.45 per share for the quarter. Analysts' estimates typically exclude special items.
Sales and other operating revenues for the quarter were lower at $10.67 billion, compared to $11.73 billion in the prior year.
Analysts on consensus estimated revenues of $11.14 billion for the quarter.
"While the U.S. olefins business set new records during the quarter, the situation in European olefins and polyolefins continued to be difficult. Although our results improved from recent quarters, underlying economic and industry conditions have not," said CEO Jim Gallogly.
LyondellBasell stock is trading at $59.24, down $1.68 or 2.76%, on a volume of about 2.4 million shares on the NYSE.
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