Dow DuPont Results
DowDuPont -6% as Q4 sales finish flat, Q1 revs guided lower
DWDP says Q4 sales in the materials science business, its biggest revenue generator, fell 1% Y/Y to $11.8B while volumes rose 1%, as margin compression in materials science, lower equity earnings and currency effects all weighed on EBITDA.
CFO Howard Ungerleider says additional headwinds came from a decline in the price of Brent crude and resulted in lower profit margins for its isocyanates and polyethylene products, and the weaker demand for the company’s appliances and automotive products were “more than normal season slowdown.”
Ungerleider also says the company expects global economic expansion to continue in 2019 at a moderately slower pace than 2018.
In a separate slide presentation, DWDP forecasts Q1 revenues falling by mid single digits vs. analyst consensus of a 5% increase, and sees operating EBITDA down by the low teens percentages.