Midland, Michigan -- Dow Chemical Co.'s performance plastics segment recorded a 12 percent increase in sales to $3880 milion in the third quarter of 2007, thanks to "robust sales" in polyurethanes and PU systems, said the company in a 25 Oct statement.
Dow said that the increase was "driven by continued healthy demand for both TDI (toluene diisocyanate) and MDI (methylene diphenyl diisocyanate) in a tight industry supply environment."
Year-over-year sales were also bolstered by the acquisition of Hyperlast Ltd in the UK, and the formation of Dow Izolan, which continues to successfully expand its customer base in Russia, said the group.
The company's overall sales for Q3 2007 rose by 10 percent to $13600 million compared to the same period in 2006.
Profit before tax for Q3 was $1100 million (including a $59 million pre-tax charges), an increase of $430 year-on-year.
Net income in Q3 was down to $403 million from $512 million, reflecting the impact of a $362 million charge to tax provision thanks to the change in German tax law and the charge for purchased in-process research and development.
"This was another sound quarter for Dow," said Andrew Liveris, Dow's chairman and chief executive officer, in the statement.
"We posted record quarterly sales with substantial growth in Europe, Asia Pacific and Latin America; we achieved solid price increases across every business and in every geographic region; we saw strong volume improvements in all but one of our operating segments; and our equity earnings were once again outstanding," he added.
Liveris said that Dow will continue to enhance its global footprint and will invest in organic growth opportunities and well-targeted acquisitions that strengthen its Performance business portfolio. (ss)
PIC: Doug Warner, global business director for Dow Polyols, and Dr Erin O' Driscoll, new business development manager with Dow Polyurethanes, launching Dow's Renuva natural-oil-based polyols at the recent CPI/UTECH North America meeting in Orlando, Florida.