LyondellBasell Industries N.V. (LYB) announced a reduction in its quarterly dividend to $0.69 per share, a cut of $0.68 from the $1.37 dividend paid in the fourth quarter of 2025. The dividend will be paid on March 9, 2026, with an ex‑dividend and record date of March 2, 2026.
The dividend cut comes after a year in which the company reported a net loss of $738 million, or $1.70 per diluted share excluding identified items, for 2025, compared with earnings of $6.40 per share in 2024. Adjusted earnings per share for Q4 2025 were a loss of 26 cents, versus a consensus estimate of 13 cents. EBITDA for the full year 2025 was $1.1 billion, down from previous periods.
CEO Peter Vanacker said, “Despite one of the longest downturns in our industry, LYB was able to return approximately $2 billion to our shareholders from existing cash and operations in 2025. With markets expected to remain challenged, we have made the decision to recalibrate the dividend to better position the company to thrive once markets recover.” He added, “In 2026, we are prioritizing safety and reliability while driving additional cost reductions and finding new opportunities to enhance profitability. We remain committed to our target of returning 70% of free cash flow to shareholders through the cycle.”
The company’s decision reflects a broader petrochemical downturn that began in late 2022 and is projected to continue through 2028. Oversupply, weak demand in key end markets such as housing and autos, and fluctuating feedstock prices have pressured margins and earnings across the industry.
LyondellBasell is pursuing a Cash Improvement Plan that delivered $800 million in 2025, exceeding its $600 million target, and has set a cumulative target of $1.3 billion by the end of 2026. The company is also divesting four European assets, investing in circular and low‑carbon solutions, and focusing on safety, reliability, and cost discipline to build resilience for the next cycle.
Analysts have noted concerns about the company’s credit rating, with S&P Global Ratings placing LyondellBasell on CreditWatch, and have highlighted the dividend cut as a signal of the company’s cautious stance amid persistent headwinds.
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