v3.25.2
Segment and Related Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment and Related Information Segment and Related Information
Our operations are managed by senior executives who report to our Chief Executive Officer, the chief operating decision maker. Discrete financial information is available for each of the segments. The Chief Executive Officer uses EBITDA as the primary measure for reviewing the profitability of our segments and allocating resources to the segments. We define EBITDA as net income before interest, income taxes, and depreciation and amortization. Our chief operating decision maker does not receive information about total assets by reportable segment.
The activities of each of our segments from which they earn revenues and incur expenses are described below: 
•Olefins and Polyolefins-Americas (“O&P-Americas”). Our O&P-Americas segment produces and markets olefins and co-products, polyethylene and polypropylene.
•Olefins and Polyolefins-Europe, Asia, International (“O&P-EAI”). Our O&P-EAI segment produces and markets olefins and co-products, polyethylene and polypropylene.
•Intermediates and Derivatives (“I&D”). Our I&D segment produces and markets propylene oxide and its derivatives; oxyfuels and related products; and intermediate chemicals such as styrene monomer and acetyls.
•Advanced Polymer Solutions (“APS”). Our APS segment produces and markets compounding and solutions, such as polypropylene compounds, engineered plastics, masterbatches, engineered composites, colors and powders.
•Technology. Our Technology segment develops and licenses chemical and polyolefin process technologies and manufactures and sells polyolefin catalysts.
“Other” includes intersegment eliminations and items that are not directly related or allocated to business operations, such as foreign exchange gains or losses and components of pension and other postretirement benefit costs other than service costs. Sales between segments are made at prices approximating prevailing market prices.
Summarized financial information concerning reportable segments is shown in the following tables for the periods presented:
 Three Months Ended June 30, 2025
Millions of dollars O&P–
Americas		O&P–
EAI		I&DAPSTechnologyOtherTotal
Sales and other operating revenues:
Customers$1,851 $2,537 $2,244 $913 $113 $— $7,658 
Intersegment526 167 31 4 24 (752)— 
2,377 2,704 2,275 917 137 (752)7,658 
Less:
Cost of sales2,108 2,575 2,048 807 82 (749)6,871 
Impairments— 32 — — — — 32 
Income from equity investments(4)(3)— — — — (7)
Other items124 136 40 98 33 10 441 
Add:
Depreciation and amortization expense164 38 99 20 11 — 332 
EBITDA$313 $2 $286 $32 $33 $(13)$653 
Capital expenditures$305 $115 $73 $19 $27 $— $539 
 Three Months Ended June 30, 2024
Millions of dollarsO&P–
Americas		O&P–
EAI		I&DAPSTechnologyOtherTotal
Sales and other operating revenues:
Customers$2,188 $2,659 $2,751 $943 $137 $— $8,678 
Intersegment738 183 44 5 22 (992)— 
2,926 2,842 2,795 948 159 (992)8,678 
Less:
Cost of sales2,297 2,693 2,344 844 57 (991)7,244 
Loss from equity investments1 16 2 — — — 19 
Gain on sale of business— — (293)— — — (293)
Other items110 117 51 86 28 6 398 
Add:
Depreciation and amortization expense152 54 103 22 10 — 341 
EBITDA$670 $70 $794 $40 $84 $(7)$1,651 
Capital expenditures$174 $107 $150 $25 $20 $2 $478 
Six Months Ended June 30, 2025
Millions of dollarsO&P-
Americas		O&P-
EAI		I&DAPSTechnologyOtherTotal
Sales and other operating revenues:
Customers$3,808 $4,972 $4,526 $1,817 $212 $— $15,335 
Intersegment1,050 332 47 8 45 (1,482)— 
4,858 5,304 4,573 1,825 257 (1,482)15,335 
Less:
Cost of sales4,381 5,085 4,281 1,607 126 (1,481)13,999 
Impairments— 32 — — — — 32 
(Income) loss from equity investments(11)3 — — — — (8)
Other items243 242 110 180 67 13 855 
Add:
Depreciation and amortization expense319 77 198 40 21 — 655 
EBITDA$564 $19 $380 $78 $85 $(14)$1,112 
Capital expenditures$521 $239 $164 $49 $49 $— $1,022 
Six Months Ended June 30, 2024
Millions of dollarsO&P–
Americas		O&P–
EAI		I&DAPSTechnologyOtherTotal
Sales and other operating revenues:
Customers$4,275 $5,221 $5,278 $1,903 $305 $— $16,982 
Intersegment1,522 366 103 10 46 (2,047)— 
5,797 5,587 5,381 1,913 351 (2,047)16,982 
Less:
Cost of sales4,697 5,336 4,644 1,705 109 (2,047)14,444 
(Income) loss from equity investments(8)48 6 — — — 46 
Gain on sale of business— — (293)— — — (293)
Other items220 225 121 175 61 15 817 
Add:
Depreciation and amortization expense303 106 203 42 21 — 675 
EBITDA$1,191 $84 $1,106 $75 $202 $(15)$2,643 
Capital expenditures$355 $194 $292 $48 $44 $3 $936 
Other items include Selling, general and administrative (“SG&A”) expenses, Research and development expenses, and Other income, net.
A reconciliation of EBITDA to Income from continuing operations before income taxes is shown in the following table for each of the periods presented. Indirect SG&A expense reallocation to continuing operations represents corporate SG&A expenses that were previously allocated to the refining segment:
 Three Months Ended
June 30,		Six Months Ended
June 30,
Millions of dollars2025202420252024
EBITDA:
Total segment EBITDA$666 $1,658 $1,126 $2,658 
Other EBITDA(13)(7)(14)(15)
Less:
Depreciation and amortization expense(332)(341)(655)(675)
Interest expense(118)(120)(225)(247)
Indirect SG&A expense reallocation to continuing operations— (28)— (57)
Add:
Interest income21 37 51 78 
Income from continuing operations before income taxes$224 $1,199 $283 $1,742 
Closure of European PO Joint Venture—In March 2025, we announced our plans to permanently close the Propylene Oxide Styrene Monomer (POSM) production unit at the Maasvlakte site in the Netherlands. The Maasvlakte site is a joint venture between us and Covestro (our “European PO Joint Venture”). The joint venture was formed solely for the benefit of the partners and does not manufacture for any other parties. We report the cost of our product off-take as Inventory and the equity loss as Cost of sales in our Consolidated Financial Statements.
As of December 31, 2024, the book value of the European PO Joint Venture was immaterial largely due to asset impairments recognized during 2023. We will carry out a process to safely shut down and prepare for the demolition of the asset. We estimate our portion of the total shutdown costs will be approximately $215 million and will be incurred through 2027. During the first quarter of 2025, we incurred $117 million of shutdown costs.
Disposition of Ethylene Oxide & Derivatives (“EO&D”) Business—In May 2024, we sold our U.S. Gulf Coast-based EO&D business along with the production facilities located in Bayport, TX. The EO&D business was included in our I&D segment. In connection with the sale, we received cash proceeds of $700 million and recognized a pre-tax gain of $293 million in the first six months of 2024.
Acquisition of Joint Venture—In May 2024, we acquired a 35% interest in Saudi Arabia-based National Petrochemical Industrial Company (“NATPET”) from Alujain Corporation for approximately $500 million. The joint venture is enabled by our Spheripol polypropylene (“PP”) technology and positions us to expand our core PP business by gaining access to advantaged feedstocks. The joint venture has the capacity to produce 0.4 million tons of PP per year. We market the majority of the off-take through our global sales team. The joint venture is included in our O&P-EAI segment and accounted for using the equity method of accounting.