Dow reports a “strong year”
In spite of rising raw material, transportation and energy costs, multi-national chemical companies still managed to improve sales in 2007. Following on from Rohm and Haas Company posting a 16% rise in fourth quarter sales and an 8% increase in full year sales (see www.leatherbiz.com January 28), The Dow Chemical Company has posted strong growth, too, even achieving record sales.
Sales for the fourth quarter set a new record, rising 16% year-on-year to reach $14.2 billion as prices increased 12%, with gains in all operating segments and geographic areas. Volume was up 4%, again with improvements in all operating segments and in every geographic area outside of North America, and a particularly strong performance in the Asia-Pacific region where sales volume rose 10%.
Full-year sales increased 9% to $53.5 billion, another new record for the company.
Chairman and chief executive Andrew Liveris commented: “In 2007, we continued to face significant headwinds in purchased feedstock and energy costs, which increased to $24.6 billion for the full year… three times what we paid in 2002. However, despite these headwinds, 2007 was a strong year for the Company, as we recorded our third highest earnings ever. For 2008, there is some uncertainty in the economic outlook for the United States. With two-thirds of our sales outside the United States, our global footprint will allow us to continue to capture growth in key regions of the world, such as Brazil, Eastern Europe/Russia, India, and China.”
