Dow Q1 Profit Drops - Quick Facts

(RTTNews) - Dow Inc. (DOW) reported that its first-quarter net income available for common stockholders dropped to $239 million or $0.32 per share from $556 million or $0.74 per share last year.

Earnings per share from continuing operations grew to $0.32 from $0.16 in the previous year.

Operating earnings per share for the latest-quarter were $0.59.Analysts polled by Thomson Reuters expected the company to report earnings of $0.59 per share for the quarter. Analysts' estimates typically exclude special items. Operating earnings per share excluded significant items in the quarter, totaling $0.27 per share, related to restructuring and asset related charges; early extinguishment of debt; and integration and separation costs.

Net sales for the quarter declined to $9.77 billion from $10.97 billion in the prior year. Analysts expected revenues of $9.73 billion for the quarter.

Net sales were down 11% versus pro forma results in the year-ago period, primarily driven by lower local prices in all operating segments due to a decline in global energy prices.

The company said it further reduces its capital expenditure target to $1.25 billion, representing a $750 million reduction versus 2019; trims operating expenses by $350 million; and unlocking another $500 million from working capital.

In addition, the company is temporarily idling select manufacturing units to balance production to demand across markets more severely affected by restrained economic activity.