Dow reports a strong second quarter

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Dow reports a strong second quarter

July 28, 2026

RubberWorld

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Midland, MI – Dow Inc. reported second-quarter net income of $802 million, or 99 cents per share, a sharp turnaround from a year-earlier loss, as higher prices across its businesses more than offset slightly lower volumes.

The materials science company reported that net sales rose 20% to $12.1 billion in the three months ended June 30. Local prices increased 20%, led by gains in packaging and specialty plastics, while volume fell 1% and currency added 1%.

Operating earnings before interest and taxes, a non-GAAP measure, jumped to $1.65 billion from a loss of $21 million a year earlier. Operating earnings per share were $1.44, compared with a loss of 42 cents.

“Team Dow delivered strong second quarter results through disciplined and timely execution, reliably serving our customers, and accelerating our self-help actions,” CEO Karen S. Carter said in a statement.

“Market conditions were supportive this quarter, and our self-help initiatives delivered ahead of plan, further reinforcing the improvement in our earnings as we continue to strengthen Dow’s resilience and agility.”

Carter said the company now expects about $200 million more in benefits this year from its “Transform to Outperform” program, lifting total in-year self-help benefits above $1.3 billion.

Cash provided by operating activities from continuing operations was $1.3 billion, reversing a year-earlier use of cash. The company returned $253 million to shareholders through dividends in the quarter.

In packaging and specialty plastics, the largest segment, sales rose 27% to $6.4 billion and operating EBIT climbed to $1.3 billion from $71 million. Higher polyethylene prices drove the improvement, partially offset by lower volumes tied to planned maintenance.

Industrial intermediates and infrastructure sales increased 14% to $3.2 billion, with operating EBIT of $246 million versus a loss of $185 million. Performance materials and coatings sales grew 11% to $2.4 billion, though operating EBIT edged down to $133 million from $152 million amid higher fixed costs and a plant shutdown in the United Kingdom.

Looking to the second half of 2026, Carter said Dow will focus on growth and innovation in attractive markets, strengthening its portfolio and balanced capital allocation. The company expects the impact of its self-help efforts to increase through the rest of the year and into 2027.

*Source: Rubber World. For reference only.