LYB

LyondellBasell Industries N.V.

DOUBTFUL — SCREEN DOES NOT PASSstock

Is LYB Halal?

Chemical and polymer manufacturing is generally permissible, but LyondellBasell's current total-assets debt ratio is above the examined Sharia limits.

What You Should Know

LyondellBasell manufactures chemicals, polymers, plastics and catalysts and licenses polymer-processing technologies. Its March 31, 2026 Form 10-Q reports $33,958 million of total assets, $12,921 million of total debt, $2,635 million of cash, $3,257 million of receivables and $7,197 million of continuing-operations revenue. Those inputs produce debt/assets of 38.04%, liquidity of 7.76%, receivables plus cash/assets of 17.35% and disclosed interest income/revenue of 0.43%. Debt fails the examined FTSE Yasaar, MSCI and Malaysia asset-based limits, while the core industrial business is generally permissible and the prohibited-revenue numerator remains undisclosed. The Houston refinery ceased operations in February 2025 and is reported as discontinued operations.

⚠️ Concerns

  • Debt/assets of 38.04% exceed the examined 33% limits; cyclical chemical earnings and asset sales can move the ratio
  • The Houston refinery ceased operations in February 2025 and is reported as discontinued operations
  • Plastic production, petrochemicals, emissions, waste and circular-economy claims remain environmental-stewardship topics
  • The filing discloses $31 million of interest income but no scholar-approved purification percentage
  • Commodity prices, plant shutdowns and European asset sales can materially change the corporate perimeter and future screen

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-13.

USD · millions
Interest-bearing debt / assets
38.05%Above limit
Below 33.333% under FTSE Yasaar

12,921 / 33,958

Cash + interest-bearing securities / assets
7.76%Within limit
Below 33.333% under FTSE Yasaar

2,635 / 33,958

Receivables + cash / assets
17.35%Within limit
Below 50% under FTSE Yasaar

5,892 / 33,958

Non-compliant income / revenue
0.43%Within limit
No more than 5% under FTSE Yasaar

31 / 7,197

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets are 38.04%, above the examined FTSE 33.333% limit. Liquidity is 7.76%, receivables plus cash are 17.35%, and disclosed interest income/revenue is 0.43%; debt is the binding failure.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Debt/assets are 38.04%, above the examined MSCI 33.33% total-assets limit. Liquidity and receivables plus cash are below their limits; the financial result still fails on debt. This is a calculation against the named method, not an index-membership claim.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

Debt/assets are 38.04%, above the examined Malaysia SAC 33% limit. Liquidity is below the Malaysia limit, but the debt failure controls the financial result. This is a calculation against SAC ratios, not an official classification of a U.S.-listed security.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Not calculated

A properly licensed and reproducible historical market-cap series is not stored, so market-cap methods are not estimated from a current spot price.

Business-activity disclosure

LyondellBasell manufactures chemicals, polymers, plastics and catalysts and licenses polymer-processing technologies. Those core industrial activities are generally permissible at the activity level, while the discontinued Houston refining operation and environmental stewardship remain qualitative review topics.

Limitation: The filing does not allocate a universal prohibited-revenue numerator by end use, product formulation or customer activity, so no exact prohibited-revenue percentage is asserted.

Purification

LyondellBasell discloses interest income but does not provide a scholar-approved purification percentage. Investors should follow the qualified scholar or methodology they use rather than applying an invented fixed rate.

Inputs, assumptions and primary sources
  • Inputs use LyondellBasell's March 31, 2026 Form 10-Q; amounts are USD millions and revenue and interest income are for the three-month period.
  • Debt uses the filing's total debt including current maturities of $12,921 million: $1,467 million current maturities, $226 million short-term debt and $11,228 million long-term debt.
  • Cash uses $2,635 million of cash and cash equivalents. The filing identifies marketable securities inside cash and cash equivalents; no separate interest-bearing-securities balance is added to avoid double counting.
  • Receivables use $2,984 million of trade receivables plus $273 million of related-party receivables.
  • Continuing-operations sales and other operating revenues were $7,197 million and disclosed interest income was $31 million. The screen does not infer a fixed purification percentage.
  • LyondellBasell ceased Houston refinery operations in February 2025; refining is reported as discontinued operations in the current filing.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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