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Dow AgroSciences grows sales, earnings to new heights

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Record sales of seeds and new crop protection products helped boost Dow AgroSciences LLC revenue 14 percent in the first quarter, leading to record profit.

The Indianapolis-based maker of agricultural products, a unit of Michigan-based Dow Chemical Co., brought in $2.1 billion in revenue compared with $1.7 billion a year earlier.

Profit in the latest quarter totaled $484 million before accounting for interest, taxes, depreciation and amortization. That was a 7-percent jump from $451 million a year earlier, Dow Chemical reported Thursday morning.

Sales of crop protection products swelled 7 percent, driven by gains in North America and Latin America. Sales of seeds, genetic traits and oils rocketed 37 percent, due in part to strong demand for the firm’s genetically modified SmartStax products.

On the whole, Dow Chemical Co., the largest U.S. chemical maker by sales, posted first-quarter profit that beat analysts’ estimates as lower prices for natural gas increased earnings from plastics.

Net income climbed 28 percent to $635 million, or 46 cents a share, from $497 million, or 35 cents, a year earlier, Dow reported.

Profit excluding a tax charge and other one-time items was 69 cents a share, topping the 61-cent average of 16 estimates compiled by Bloomberg News.

Company-wide sales declined to $14.4 billion from $14.7 billion in the first quarter of 2012, missing the $14.9 billion average of 12 estimates.

Chairman and CEO Andrew Liveris is selling Dow’s least profitable units, cutting jobs, closing plants and deferring investments to counter slower global economic growth.

Lower costs for raw materials derived from gas and oil helped increased profit in performance plastics, Dow’s largest business, Liveris said Thursday.

“They beat [estimates] primarily because of continuing trends in agriculture and performance plastics,” Hassan Ahmed, a New York-based analyst at Alembic Global Advisors, told Bloomberg News on Thursday. “There are some early signs of recovery in electronics as well.”

Dow shares rose more than 4 percent to $33.60 in early trading Thursday. The shares are little changed this year.
 

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  1. In reality, Lilly is maintaining profit by cutting costs such as Indiana/US citizen IT workers by a significant amount with their Tata Indian consulting connection, increasing Indian H1B's at Lillys Indiana locations significantly and offshoring to India high paying Indiana jobs to cut costs and increase profit at the expense of U.S. workers.

  2. I think perhaps there is legal precedence here in that the laws were intended for family farms, not pig processing plants on a huge scale. There has to be a way to squash this judges judgment and overrule her dumb judgement. Perhaps she should be required to live in one of those neighbors houses for a month next to the farm to see how she likes it. She is there to protect the people, not the corporations.

  3. http://www.omafra.gov.on.ca/english/engineer/facts/03-111.htm Corporate farms are not farms, they are indeed factories on a huge scale. The amount of waste and unhealthy smells are environmentally unsafe. If they want to do this, they should be forced to buy a boundary around their farm at a premium price to the homeowners and landowners that have to eat, sleep, and live in a cesspool of pig smells. Imagine living in a house that smells like a restroom all the time. Does the state really believe they should take the side of these corporate farms and not protect Indiana citizens. Perhaps justifiable they should force all the management of the farms to live on the farm itself and not live probably far away from there. Would be interesting to investigate the housing locations of those working at and managing the corporate farms.

  4. downtown in the same area as O'malia's. 350 E New York. Not sure that another one could survive. I agree a Target is needed d'town. Downtown Philly even had a 3 story Kmart for its downtown residents.

  5. Indy-area residents... most of you have no idea how AMAZING Aurelio's is. South of Chicago was a cool pizza place... but it pales in comparison to the heavenly thin crust Aurelio's pizza. Their deep dish is pretty good too. My waistline is expanding just thinking about this!

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