DUPONT EARNINGS PLUMMET
Byline: Vicki M. Young
NEW YORK — DuPont Co. on Wednesday posted a staggering 75 percent drop in third-quarter income.
Income for the three-months ended Sept. 30 was $142 million, or 13 cents a diluted share, compared with $562 million, or 53 cents, in the year-ago quarter. Excluding one-time charges in both periods, earnings would have been 12 cents compared with 51 cents.
Revenue was down 16 percent to $5.8 billion from $6.9 billion, with sales of $5.6 billion contributing to the revenue pool versus $6.4 billion last year.
Polyester sales in the quarter were down 28 percent, or 19 percent excluding portfolio changes, as depressed conditions continued in worldwide markets, particularly in apparel. DuPont said that the quarter’s loss in the sector was $20 million. In comparison, sales of nylon were down 16 percent, reflecting mostly the lower demand in the commercial flooring market. On the specialty fibers side, sales were down 13 percent, with the sector hit by the weak U.S. apparel and textile manufacturing environment.
Charles O. Holliday, Jr., chairman and chief executive officer, said in a statement, “Clearly, we are experiencing one of the most challenging business environments the company has faced in decades. DuPont has the financial strength to face this challenge and to continue to invest in the future.”
Shares of DuPont on Wednesday were down 81 cents to close at $41.29 in Big Board trading.