LyondellBasell Industries (NYSE:LYB) shares are down during Friday’s premarket session following the company’s announcement of a significant dividend reduction.

LYB Dividend Cut to 69 Cents Per Share

LyondellBasell’s board declared a quarterly dividend of 69 cents per share, a substantial decrease from the previous quarter’s dividend of $1.37 per share.

The dividend is payable on March 9, 2026, to shareholders of record date as of March 2, 2026.

This decision reflects the company’s strategy to recalibrate its financial commitments in light of ongoing market challenges.

The company aims to return 70% of its free cash flow to shareholders through the cycle, despite the current downturn in the industry.

During its fourth-quarter results release, the company said petrochemical markets faced headwinds in 2025 from global trade disruptions, falling oil prices, and capacity additions, which outpaced global demand growth.

Mixed Q4 Results

Last month, the company posted adjusted loss per share of 26 cents, which it said may not be comparable to consensus ...