Agricultural Sciences reported third quarter sales of $1.4 billion, flat versus the year-ago period. On a year-to-date basis, the segment reported record sales of $5.4 billion.
Crop Protection sales declined 1 percent versus the same quarter last year, due to softening market conditions in North America. Year to date, sales of new crop protection products were up 18%, led by Isoclast insecticide.
Seeds delivered 5% sales gains versus the year-ago period, representing a record third quarter, led by soybeans and sunflower growth in North America and Latin America.
Equity earnings for the segment were $1 million. This compares with $3 million in the year-ago period. The segment reported EBITDA of $5 million, down from $18 million in the same quarter last year. Third quarter EBITDA margins reflect the impact of softer market conditions in a seasonally weak quarter weighing down Crop Protection results, coupled with increased spending on growth initiatives.
Research and Development (R&D) expenses were down 2% versus the same period last year, reflecting the Company’s execution against its strategy to prioritize R&D resources on high-return market sectors.
Selling, General and Administrative (SG&A) expenses increased 8% as compared with the year-ago period, driven primarily by growth initiatives – including commercial activities in Agricultural Sciences.
Cash flow from operations was $1.8 billion for the quarter, and $3.7 billion year to date. Dow rewarded shareholders with $1.3 billion in declared dividends and $3.1 billion in share repurchases year to date.