Rohm and Haas Reports Higher-Than-Expected Earnings
October 26, 2008
PHILADELPHIA - Rohm and Haas Co. has reported higher-than-expected third-quarter 2008 sales of $2,471 million, a 12 percent increase over the same period in 2007. The increase was driven by timely pricing actions, favorable currencies, acquisitions and growth in rapidly developing economies. The increase was partially offset by decreased demand in North America and Western Europe. The company reported third-quarter 2008 earnings from continuing operations of $129 million, or $0.66 per share, compared to $129 million, or $0.61 per share, for the third quarter of 2007. This quarter's results include special items totaling $0.24 per share: $0.09 per share in costs associated with the proposed merger with The Dow Chemical Co. announced in July; $0.07 per share in costs resulting from the impact of hurricanes on the company’s operations in the quarter; and $0.08 per share in asset impairments and costs resulting from restructuring actions announced in June. Adjusted earnings per share, excluding the special items noted above, were $0.90, up 3 percent compared to $0.87 in the prior-year period.
“The economic and operating environment deteriorated further this quarter, yet we were able to deliver respectable financial performance in the face of these challenges,” said Raj L. Gupta, Chairman and Chief Executive Officer of Rohm and Haas Co. “Our coordinated and prompt response to rapidly changing conditions and our timely pricing and cost reduction actions gained significant traction in the quarter allowing us to largely offset rising raw material and energy costs.”