LyondellBasell to Pay Special Dividend Despite Decline in Profit
Chemical maker and refiner LyondellBasell Industries posted a lower-than-expected quarterly profit on Friday, due in part to high costs for crude oil-derived chemicals in European operations.
For the third quarter, the company reported net income fell to $846 million, or $1.46 per share, from $895 million, or $1.33 per share, in the year-ago period.
Excluding one-time items, the company earned $1.36 per share. On that basis, analysts expected $1.45, according to Thomson Reuters I/B/E/S.
Revenue declined 10% to $11.27 billion. Analysts expected $11.37 billion.
LyondellBasell has seen margins squeezed in Europe, where crude oil-derived naphtha is the primary feedstock to make many chemicals. In the United States, shale-derived natural gas has been relatively cheap, helping hold down the company's costs.
LyondellBasell, which is based in the Netherlands but run out of Houston, said it would pay a special, one-time dividend of $2.75 a share. It will be paid Dec. 11 to shareholders of record Nov. 19. The payout will be in addition to the company's current quarterly dividend of 40 cents a share.