DOW REPORTS FIRST-QUARTER LOSS, EXPANDS EUROPEAN ASSETS REVIEW

(Reuters) -Chemicals firm Dow Inc reported a first-quarter loss on Thursday versus a year-ago profit, hurt by lower prices and higher energy and feedstock costs, and said it is expanding the review of its European assets.

Dow's shares, however, were up about 4% in premarket trading after the company posted a surprise profit of 2 cents on an adjusted basis. Analysts had expected an adjusted loss of 1 cent per share, according to data compiled by LSEG.

Dow, along with other chemicals firms, has been struggling with higher feedstock and energy costs as well as weak demand for its products, especially in markets such as Europe.

The company has undertaken a strategic review of some of its European assets to "address the persistently challenging demand dynamics and regulatory environment in the region".

It said on Thursday that it is expanding the scope of the review and has identified three initial assets - two in Germany and one in the UK - that it believes will require further action, including idling or complete shutdowns.

Dow expects to complete the review by the middle of the year.

Quarterly net sales from its packaging and specialty plastics segment, its largest by revenue, fell 2% to $5.3 billion from a year ago, primarily driven by lower chemical product prices.

Michigan-based Dow's net loss for the quarter ended March 31 was $290 million or 44 cents per share, compared to a net income of $538 million, or 73 cents per share, a year ago.

(Reporting by Mrinalika Roy in Bengaluru; Editing by Pooja Desai)

2025-04-24T10:51:27Z