Executive Summary
In Q2 2025, Dow Inc (LSE: 0A1S.L) reported significantly disappointing financial results, with revenue declining by 7.43% year-over-year to $10.10 billion, alongside a staggering net loss of $801 million, marking a 282.46% decrease from the previous year's profit. This poor performance can be attributed to adverse market conditions, supply chain disruptions, and rising operational costs within the Basic Materials sector. Despite an encouraging portfolio of materials science solutions, management acknowledged ongoing challenges, particularly in the pricing of raw materials and competitive pressures in Europe and Asia.
The situation has prompted management to recalibrate its strategy, emphasizing cost-cutting measures and innovation in product offerings to mitigate the impact of declining profits and bolster future performance. As a result, investors are advised to closely monitor developments surrounding these strategic adjustments, as the company navigates a complex market landscape
Key Performance Indicators
Revenue
10.10B
QoQ: -3.13% | YoY:-7.43%
Gross Profit
521.00M
5.16% margin
QoQ: -22.35% | YoY:-60.65%
Operating Income
-10.00M
QoQ: -107.25% | YoY:-101.51%
Net Income
-801.00M
QoQ: -160.91% | YoY:-282.46%
EPS
-1.18
QoQ: -168.18% | YoY:-290.32%
Revenue Trend
Margin Analysis
Key Insights
- **Quarterly Revenue**: $10.10 billion, down 3.13% from Q1 2025.
- **Year-over-Year Revenue Change**: Decreased by 7.43%. **Profitability**
- **Net Income**: $-801 million, resulting in an EPS of $-1.18.
- **Gross Profit Margin**: 5.16%, down from 12.13% in Q2 2024.
- **Operating Income**: $-10 million, representing an operating margin decline. **Balance Sheet Health**