Originally published at www.seclive.com
The Dow Chemical Company (NYSE:DOW) announced its financial results for the third quarter of fiscal 2013, reporting increases in revenue and earnings, but failed to meet analyst expectations. The largest chemical maker in the United States reported earnings that increased from $497M and $0.42 per share to $594M and $0.49 per share. Sales marginally improved from $13.6B to $13.7B, missing analyst projections of $14B. Dow is selling assets while also evaluating other segments of its business that it can shed in an effort to increase profitability. The performance-materials unit which includes epoxy and polyurethane foams, saw a 36% drop in earnings this quarter, as an example. Dow is building ethylene and propylene plants on the U.S. Gulf Coast to leverage low natural gas prices, in a move that costs the company $4B. Expanded ventures with partners in Saudi Arabia are due to start in 2015, a business Dow expects to be very profitable.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.