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LYB US S&P 500Russell 1000 Earnings call

LyondellBasell (LYB) · Q2 2026 results and valuation

Share price: $62.58 · 2026-11-11

Results Q2 2026 vs Q1 2026 · previous quarter · published 31 Jul 2026 and 1 May 2026

Net income up 347.2% on the previous quarter. Management sounded about as positive as a typical company call, in its script and in answers to analysts.

Only a basic analysis is available for this company at the moment.

1 · Numbers

+347.2%

Net income vs Q1 2026

Outlook given

Net income 559.0M vs 125.0M

Revenue +27.5%

Against the same quarter last year (Q2 2025) it is +386.1%, so it is not just seasonal.

Why LYB delivered an EBITDA margin of 23% due to the value enhancement program, which led to substantially improved earnings performance in the second quarter.

2 · How management spoke

Typical

Less upbeat than 56% of company calls

Answers to analysts: cautious, in line with the script.

Similar to last call.

3 · What stood out

Figure

Chinese polyethylene inventories declined by roughly 30% versus pre-conflict levels due to local operating rates.

Valuation

Is LyondellBasell undervalued?

Reverse DCF. Free cash flow from the last full fiscal year (2025-12-31), grown for 10 years, discounted back, plus a terminal value. “Implied growth” is the rate the current price assumes.

The projected cash flow doesn't cover the debt, so the price is far above the model's fair value.

Current price

$62.58

close of 2026-11-11

Market implies growth of iThe yearly free-cash-flow growth, for the next 10 years, that today’s share price already assumes. If you believe the company grows faster than this, the stock is cheap under this model; slower, and it is expensive.

+26.6% for 10 yrs

Fair value / share

$-27.08

Buy below

$-20.31

Price vs fair value

n/a

Price vs buy-below price

n/a

Official channels

The company's own website and social media accounts.

Read between the lines

  1. Key theme

    LYB delivered an EBITDA margin of 23% due to the value enhancement program, which led to substantially improved earnings performance in the second quarter.

    Source quote
    “The LYB team delivered an impressive EBITDA margin of 23%, which clearly demonstrates the power of our value enhancement program... It also led to substantially improved earnings performance for LYB in the second quarter. We continue to believe that market normalization will be a long process extending beyond this year.”
  2. Guidance

    LYB expects to operate the segment at approximately 70% utilization during the third quarter as it aligns production with market demand.

    Source quote
    “As we align production with market demand we expect to operate the segment at approximately 70% utilization during the third quarter.”
  3. Fading

    The company noted that a steeper global cost curve can persist even after a resolution because the market may retain a higher risk premium for crude.

    Source quote
    “Steeper global cost curve can persist also versus the pre-war conditions. And even after a resolution, the market may retain a higher risk premium for crude. As you know, physical damage is not something that can be recovered very quickly.”

Tone

How upbeat the language was, compared with other companiesiTone counts positive minus negative finance words, adjusted for length. Executives mostly speak positively, so the labels compare each call with every company's latest call: “typical” is the middle third, “very upbeat” the top tenth, “cautious” the bottom tenth.. Dot: Q2 2026. Ring: Q1 2026.

Prepared remarks Typical (was restrained)
Answers to analysts Cautious (was cautious)

Script and answers carried a similar tone, so the script's message held up under questioning.

Sentences that drove the tone
“During the second quarter, segment EBITDA sequentially increased to $386 million, driven by stronger margins across several businesses supported by improving market conditions despite unplanned downtime at our Bayport PO/TBA...”
“Profitability improved over the quarter driven by licensing revenue milestones and improved catalyst demand.”
“The successful restart reflects the dedication of our operation and maintenance teams and positions us to capture improved market opportunities moving forward.”

Full figures

USD · SEC EDGAR XBRL (10-Q, period end 2026-06-30)

Metric Q2 2026period end 2026-06-30 Q1 2026period end 2026-03-31 Change Q2 2025 YoY
Revenue 9.18B 7.20B +27.5% 7.66B +19.8%
Gross profit 2.04B 701.0M +190.7% 787.0M +159.0%
Operating income 1.54B 239.0M +545.6% 285.0M +441.4%
Net income 559.0M 125.0M +347.2% 115.0M +386.1%
EPS 1.71 0.38 +350.0% 0.34 +402.9%
P/E 12-mo loss 12-mo loss — 74.2 —

Topics

Most discussed now

  • Adding to that rule of thumb, gasoline crack spreads are near record levels as the conflict in the Middle East...
  • New With plastic and plastic waste regulation as well as a mass balancing regulation the so-called SUPD, so LyondellBasell is very confident...
  • These strategic actions are along with LyondellBasell's disciplined capital allocation support its ability to create long-term value for…
  • Capital allocation remained balanced as LyondellBasell funded $270 million of capital investments and returned $224 million to shareholders…
  • This performance reflects LyondellBasell's disciplined approach to optimizing working capital while capturing favorable market…

Faded since Q1 2026

  • Fading Its view that LyondellBasell continues to have is that there will be a sustained geopolitical risk premium that will continue...
  • Dropped LyondellBasell took proactive steps during the first quarter to protect its investment-grade balance sheet.
  • Fading LyondellBasell is focused on maximizing operating rates to meet the gap in global supply and expect 90% utilization of its...
  • Fading It also reflects the very low inventory levels LyondellBasell accomplished at the end of 2025 and its intentions to profitably...

Latest announcements

Official filings, newest first.

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