Executive Summary
In Q4 2024, Dow Inc (0A1S.L) reported significant financial challenges, culminating in a net loss of $53 million, marking a sharp decline from both the previous quarter and the same quarter last year. Revenue decreased 4.36% quarter-over-quarter (QoQ) to $10.4 billion, driven by reduced demand across key markets, exacerbated by macroeconomic headwinds. The company's gross profit margin contracted to approximately 8.99%, reflecting increased raw material costs and lower product pricing pressures. This critical downturn, alongside a YoY decline in gross profit, prompts a reevaluation of Dowβs operational strategies and market positioning going into 2025.
Strategically, management underscored their commitment to preserving cash flow in a tightening economic environment, having concluded Q4 with cash reserves of $2.189 billion. They indicated a focus on optimizing cost structures and enhancing operational efficiencies to navigate potential volatility. This foresight positions the company to better adapt to evolving market demands.
Key Performance Indicators
Revenue
10.41B
QoQ: -4.36% | YoY:-2.03%
Gross Profit
935.00M
8.99% margin
QoQ: -12.62% | YoY:-4.10%
Operating Income
304.00M
QoQ: -22.05% | YoY:-64.86%
Net Income
-53.00M
QoQ: -124.77% | YoY:49.52%
EPS
-0.08
QoQ: -126.50% | YoY:47.00%
Revenue Trend
Margin Analysis
Key Insights
- **Revenue:** $10.40 billion (down 4.36% QoQ, down 2.03% YoY)
- **Net Income:** -$53 million (net income ratio: -0.51%)
- **Operating Income:** $304 million (down 22.05% QoQ, down 64.86% YoY)
- **EPS:** -$0.0795 (down 126.50% QoQ, up 47.00% YoY)
- **Total Assets:** $57.31 billion