LONDON (ICIS)--Dow Chemical’s net income for the first quarter of 2014 jumped 75% year on year to $964m on the back of expanded margins and strong sales for its performance plastics and coatings and infrastructure solutions divisions, the US-based chemicals company said on Wednesday.
Sales increased 1% year on year during the quarter to $14.5bn, while earnings before interest, taxes, depreciation and amortisation (EBITDA) were up 9% to $2.4bn, with improved performances noted for all divisions except feedstocks and energy.
CEO Andrew Liveris predicted a slow global economic recovery characterised by continued volatility, but affirmed the company’s short and medium-term economic targets. The company is still focused on realising $4.5bn-6.0bn of proceeds from non-core business divestments by the end of 2015, he added.
“As 2014 unfolds, our actions to generate margin improvement will gain further momentum - evidenced again by our sixth consecutive quarter of year-over-year earnings growth. All of our key investments remain on track - especially Sadara and our PDH [propane dehydrogenation] unit in Texas - and are expected to deliver increased earnings beginning in 2015,” Liveris said.