Dow Agro Touts Sales Record
Indianapolis-based Dow AgroSciences LLC is reporting a lower profit, but record sales for the third quarter, compared to the same period a year earlier. The unit of the Dow Chemical Co. (NYSE: DOW) says the figures were lifted in part by growth in Latin American markets. October 24, 2013
From This Week's Dow Chemical Co. Earnings Release
Agricultural Sciences reported record third quarter sales of $1.4 billion, up 8 percent versus the year-ago period. Volume increased 5 percent and price rose 3 percent. Volume gains were driven by double-digit growth in Latin America.
Third quarter Crop Protection sales rose 10 percent, driven by higher sales of herbicides in North America and Latin America, and higher sales of insecticides in Latin America. Year to date, sales of new Crop Protection products are up 12 percent led by pyroxsulam herbicide.
Seeds, Traits and Oils (ST&O) sales were down 4 percent in the quarter versus the year-ago period with higher return activity in North America driven by a late, wet planting season more than offsetting double-digit gains in Latin America. Year to date, ST&O sales are up 18 percent driven by strong farmer demand for SmartStax corn hybrids and growth in most major crops.
EBITDA for the segment was $18 million, down from $63 million in the same quarter last year. Third quarter EBITDA margins reflect the impact of higher seed return activity in North America and increased spending on growth investments in the seasonally lowest sales quarter.
Source: Dow AgroSciences LLC