BAKU, Azerbaijan, May 3. ExxonMobil’s chemical products segment reported first-quarter 2025 earnings of $273 million, a sequential improvement from the $120 million earned in the fourth quarter of 2024, Trend reports.
However, results were sharply lower compared to the $785 million earned in the same period a year ago, reflecting continued margin pressures and operational headwinds.
According to the company’s latest financial report, the decline versus first-quarter 2024 was driven by weaker industry margins, lower sales volumes, and higher expenses associated with turnaround activity and the start-up of new advantaged projects. Sales volumes for the chemical products segment totaled 4,776 kilotons in the first quarter, down from 5,054 kilotons a year earlier, though improving slightly from 4,635 kilotons in the prior quarter.
Breaking down the figures, U.S. operations remained a bright spot for ExxonMobil’s chemical business, generating $255 million in earnings for Q1 2025 - up from $230 million in the fourth quarter but down from $504 million in Q1 2024. Meanwhile, non-U.S. operations returned to profitability with $18 million in earnings, after posting a $110 million loss in the previous quarter, though this remained well below the $281 million earned a year earlier.
On a non-GAAP basis, excluding identified items, worldwide earnings mirrored these trends at $273 million for the quarter, compared to $215 million in Q4 2024 and $785 million in Q1 2024.
Despite current challenges, ExxonMobil highlighted key operational milestones that could bolster the segment’s future performance. Notably, the company recently commenced operations ahead of schedule and under budget at its China Chemical Complex. Once fully operational, the facility is expected to produce 1.7 million tons per year of polyethylene and 850,000 tons per year of polypropylene, with over 75% of its capacity dedicated to high-value products. Production ramp-up is slated to continue throughout 2025.
Additionally, ExxonMobil’s second advanced recycling unit in Baytown began operations in April, effectively doubling the company’s existing advanced recycling capacity to 160 million pounds per year of plastic waste processing.
