Dow Corning posts 22% higher net profit in Q3 2013

Oct 28, 2013 - US silicon-based materials maker Dow Corning on Friday said its third-quarter net profit had climbed by 22% on the year to USD 117 million (EUR 85m).

On an adjusted basis, the company's net profit stood at USD 28 million, down 64% as compared to the same period of 2012.

Dow Corning, a joint venture of Dow Chemical (NYSE:DOW) and glass group Corning (NYSE:GLW), saw its revenues in July-September shrink by 8% year-on-year to USD 1.43 billion.

The company closed the first nine months of 2013 with a net profit of USD 267 million, falling 8% on an annual basis. Adjusted net profit decreased by 25% to USD 201 million and revenues were 11% lower at USD 4.12 billion.

Dow Corning's silicones business “continues to sell high volumes while pricing pressure continues to challenge our margins,” said vice president and CFO J Donald Sheets. The performance of polycrystalline silicon and other silicon-based products supplier Hemlock Semiconductor Group, which is comprised of joint ventures formed by Dow Corning, Shin-Etsu Handotai and Mitsubishi Materials (TYO:5711) continued to “track positively” in spite of pricing and volume pressure in the solar segment, he added.

(USD 1.0 = EUR 0.724)

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