Midland, Michigan — Dow Chemical’s earnings before interest, tax, depreciation and amortisation (EBITDA) in Q2 2016 were a “record” for the company at $4.2 bn, according to its latest financial report.
Q2 2016 sales were almost $12 bn, a 7% drop on Q2 2016, the report said. This was “primarily driven by lower hydrocarbons and raw material prices" as well as the impact from divestiture, it added.
The performance materials and chemicals segment reported Q2 sales of $2.3 bn, down from $3.2 bn in Q2 2015 - a drop of 28% - "reflecting the impact of the split-off of Dow Chlorine Products and pricing declines" said the report.
“Polyurethanes delivered volume growth led by double-digit increases in demand for downstream, higher-margin system house applications, particularly in Asia Pacific,” the report added. It said sustainable urbanisation in the region “continues to drive consumer demand, which more than offset lower volumes due to planned turnaround activity.”
Volume increased across all geographic areas, according to the report, with Asia Pacific up 7%; Europe, Middle East, Africa and India up 4%; Latin America up 4% and North America up 3%.
Regional highlights included Greater China, which was up 7%, Europe which was up 6% and the US, up 4%.