DowDuPont reported strong pro forma third quarter results for the merged companies
GAAP (Generally Accepted Accounting Principles) net sales were $15.4 billion; pro forma net sales were $18.3 billion, up 8 percent versus the year-ago period, with gains in both volume and price.
GAAP diluted earnings per share were $0.32. Pro forma adjusted earnings per share were $0.55, an increase of 10 percent compared to the same quarter last year.
According to a release the “expected results reflect robust consumer-led demand in most of DowDuPont’s core end-markets, as well as pricing gains and higher equity earnings, which more than offset higher feedstock costs, weak market conditions in agriculture (particularly due to expected lower corn area and a delayed start to the Brazil summer season) and the unfavorable impact of hurricanes.”
DowDuPont’s unaudited pro forma financial statements are based on the historical consolidated financial statements of Dow and DuPont, adjusted for activities that are directly attributable to the merger.
An earnings call is scheduled for early November.
Both companies had seen stronger sales and earnings in the months leading up to the merger.
DowDuPont will be spun off into three companies in the next year and a half – specialty products, materials science (to be known as Dow) and agriculture. The specialty products and agricultural businesses will be headquartered in Delaware.
The three companies will contain a mixture of former Dow and DuPont businesses.
