“Dow’s results this quarter demonstrate the acceleration and delivery of our cost reduction actions. We focused on execution and intervened to protect our prioritized growth path. Our low-cost feedstock advantage enabled us to deliver volume growth – despite weakening demand. And we have delivered improvements in operating cash flow through our disciplined approach. The purposeful actions we announced earlier this year are gaining momentum, and will be bolstered by our new, streamlined operating model. Further, with today’s restructuring announcement, we now have a full array of aggressive cash generation measures in place, with tight controls on working capital, and reductions in costs and capital expenditures – particularly in Europe – and by strict and firm prioritization of our growth projects. Moving forward, Dow is squarely focused on driving cost efficiencies, generating cash and earnings growth.”
|Three Months Ended|
|In millions, except per share amounts|| Sept. 30,
| Sept. 30,
|Net Income Available for Common Stockholders||$497||$815|
| Net Income Available for Common Stockholders,
excluding Certain Items
|Earnings per Common Share – diluted||$0.42||$0.69|
|Adjusted Earnings per Share||$0.42||$0.62|
Review of Third Quarter Results
The Dow Chemical Company (NYSE: DOW) reported sales of $13.6 billion, down 10 percent, or 7 percent on an adjusted sales basis. The decline was led by Europe, which decreased 10 percent on the same basis driven by adverse currency conditions totaling more than $520 million.
Volume declined 1 percent, or rose 2 percent on an adjusted basis. On the same basis, volume was up in all geographic areas, and increases were reported in Agricultural Sciences (up 7 percent), Performance Plastics (up 5 percent), Performance Materials (up 4 percent), and Coatings and Infrastructure Solutions (up 1 percent).