Dow Chemical Posts Disappointing Profit

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By Trey Thoelcke Published
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Dow Chemical (NYSE: DOW) has reported second-quarter earnings of $649 million, or $0.55 per share, and $14.5 billion in revenue. EPS were down from $0.84 in the same quarter of last year and revenue dropped 10 percent. Analysts polled by Thomson Reuters had expected the company to report earnings of $0.64 per share on $15.70 billion in sales for the quarter.

The company is struggling to boost earnings as contracting economies in Europe and slower Chinese growth curtail demand for products such as plastics. Profit in the plastics business, Dow’s largest unit, fell 21% as prices declined.

“Sustained uncertainty in the world economy continues to present a challenging operating environment,” said CEO Andrew N. Liveris. “This, coupled with an unusually high turnaround season for Dow and a large currency effect, pressured margins in the quarter.”

Shares are down about 3% in premarket trading to $29.35, and the 52-week trading range is $20.61 to $36.32. Thomson Reuters had a consensus analyst price target of $36.31 before this news.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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