Union Carbide Profits More than Double
Union Carbide, which is being acquired by Dow Chemical, said today its second-quarter profits more than doubled, surpassing Wall Street estimates, despite rising costs for raw materials and energy.
The company said net income jumped to $130 million, or 94 cents per diluted share, from $63 million, or 46 cents, in the second quarter of 1999, including one-time gains in both quarters.
The 2000 second quarter profits included a gain of $11 million, or 8 cents per diluted share, from the demutualization of Metropolitan Life Insurance, which provides some of the company’s employee benefit programs. The 1999 profits included a gain of $9 million, or 6 cents per diluted share, from a licensing-related litigation settlement.
Revenues rose to $1.67 billion from $1.42 billion in the year-earlier period.
Profits came in above analysts’ consensus forecast of 85 cents a share, according to First Call/Thomson Financial.
Union Carbide said that while it was hurt by rising prices for crude oil and natural gas, key raw materials in the chemicals industry, it benefited from continued strong performance at its equity companies and improved performance at its basic chemicals and polymers segment. BACK TO TOP
Including the one-time items, EarthLink lost $63.7 million, or 52 cents a share, compared with a loss of $39.7 million, or 35 cents a share, in the same quarter last year.