Key Takeaways Dow beat Q4 adjusted earnings estimates but posted a wider loss and a 9% sales decline.DOW saw lower prices and volumes hit results, with volume down 2% and prices falling 8%.DOW launched Transform to Outperform, targeting at least $2B in near-term EBITDA gains.Dow Inc. (DOW) recorded a loss (on a reported basis) of $1,543 million or $2.15 per share for fourth-quarter 2025, wider than a loss of $53 million or 8 cents per share a year ago. The bottom line was hurt by lower prices and volumes.On ...

Dow (NYSE:DOW) Q4 2025 Earnings call January 29, 2026 08:00 AM ET Company ParticipantsAndrew Riker - VP of Investor RelationsDavid Begleiter - Managing DirectorFrank Mitsch - PresidentJeff Tate - CFOJim Fitterling - Chair and CEOKaren S. Carter - COOKevin McCarthy - PartnerMatthew Blair - Managing DirectorMike Sison - Managing DirectorVincent Andrews - Managing DirectorConference Call ParticipantsChris Parkinson - Senior Research Analyst of Chemicals, Agriculture and PackagingDuffy Fischer - Equity Research ...

Core Insights - The company reported a significant decline in net sales and increased losses in the fourth quarter of 2025, with net sales of $9.46 billion, down 9% year-over-year and 5% sequentially [5][40]. - The GAAP net loss for the quarter was $1.5 billion, compared to a loss of $35 million in the same quarter last year [5][34]. - The company is implementing a comprehensive cost reduction program, which is expected to yield significant savings and improve productivity [6]. Financial Performance - Net sales for the fourth quarter of 2025 were $9,460 million, down from $10,405 million in the fourth quarter of 2024 [2][34]. - GAAP income (loss) net of tax was $(1,477) million, compared to $(35) million in the previous year [2][34]. - Operating EBIT was $33 million, a decrease of $421 million year-over-year, primarily due to price declines and lower operating rates [5][34]. - Operating EBITDA was $741 million, down from $1,205 million in the same quarter last year [2][34]. - Cash provided by operating activities was $298 million, down from $811 million year-over-year [5][34]. Segment Performance - The Packaging & Specialty Plastics segment reported net sales of $4,744 million, down 11% year-over-year, driven by lower downstream polymer prices [7][40]. - The Industrial Intermediates & Infrastructure segment saw net sales of $2,688 million, a 9% decline compared to the previous year, with operating EBIT falling to $(201) million [12][40]. - The Performance Materials & Coatings segment had net sales of $1,852 million, down 6% year-over-year, with operating EBIT increasing to $25 million [18][40]. Outlook and Strategic Initiatives - The company is focused on delivering near-term cost savings and simplifying its operating model through the "Transform to Outperform" initiative, which aims to enhance productivity and shareholder returns [6][22]. - The CEO emphasized the importance of reducing complexity and adopting advanced technologies to improve operational efficiency [6][22]. - The company expects these efforts to generate at least $2 billion in additional near-term earnings [6]. Shareholder Returns - The company returned $251 million to shareholders in dividends during the fourth quarter [5][34]. - For the full year 2025, total returns to shareholders amounted to $1.5 billion in dividends [5]. Cash Flow and Capital Expenditures - Cash provided by operating activities for continuing operations was $1,062 million for the year, down from $2,903 million in 2024 [38]. - Capital expenditures for the year were $2,479 million, compared to $2,940 million in the previous year [38]. - The company ended the year with cash and cash equivalents of $3,816 million, up from $2,189 million in 2024 [38].