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Volume Growth Drives Up Sales and Profits at Diversified Firms

8:50 AM MDT | August 6, 2010 | Nancy Seewald And Kerri Walsh

Most commodity and diversified chemical companies posted another consecutive quarter of big profit and revenue growth for the period ended June 30 (table). Producers are optimistic about the economy going forward, and several have lifted earnings guidance, but analysts warn that growth will likely moderate in the second half of the year due to normal seasonality, as well as margin compression in the ethylene chain. Dow Chemical reported second-quarter net income of $651 million (50 cts/share), compared with a loss of $344 million in the year-ago period. Sales...

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