29 October 2010 11:51 [Source: ICIS news]
LONDON (ICIS)--LyondellBasell's net income surged to $467m (€336m) during the third quarter, compared with a net loss of $651m in the same period of last year, on the back of increased demand for polyolefins and higher ethylene sales prices, the polyolefins producer said on Friday.
Sales came in at $10.3bn, up 20% from $8.61bn in the July-September period in 2009. Earnings before interest, tax, depreciation and amortisation (EBITDA) soared 53% to $1.20bn.
"We achieved excellent results in the third quarter as most of our segments performed very well," said CEO Jim Gallogly.
"Globally, our olefins and polyolefins results were approximately equal to the strong results of the second quarter. As a result, we again generated significant cash during the quarter and further improved our liquidity,” he added.
In the US, LyondellBasell’s olefins and polyolefins results improved significantly compared with the third quarter last year, as the average ethylene sales price increased and polyolefins results rose based on an improved sales mix favouring domestic sales.
Volume growth in polypropylene (PP) and PP compounding, due in large part to increased demand from the automotive sector, also contributed to the improvement.
Gallogly said that industry conditions had held up reasonably well during October.
“However, we expect to see the typical seasonal impacts in the Refining and Oxyfuels area as well as end-of-year holiday reduced sales to some customers,” he said.
“With these anticipated impacts, our outlook for the quarter is somewhat tempered compared to the strong second and third quarters."
In early October, LyondellBasell completed its listing on the New York Stock Exchange.
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