Dow Inc

Q2 headline performance & cash/earnings drivers (good): Dow reported Q2 net sales of $12.1B (+20% YoY) and operating EBITDA of $2.3B. Results were supported by pricing leadership, improved integrated margins, stronger cash generation, and self-help actions delivering $300M+ benefits in the quarter (including completing the $1B cost savings program and taking structural actions like the Barry, UK siloxanes shutdown).

Segment results: strong pricing/mitigation but mixed profitability (good + bad): - Packaging & Specialty Plastics (P&SP): $6.4B sales (+27% YoY); Operating EBIT ~$1.3B driven by polyethylene price lift (>40% local price) that more than offset volume declines (notably Europe/MEA/India/Asia Pacific). - Industrial Intermediates & Infrastructure (II&I): Sales +14% YoY (local price +~15%); Operating EBIT $246M (up YoY) helped by self-help, lower maintenance, and incremental earnings from a noncore land sale in Taiwan. - Performance Materials & Coatings (PM&C): Operating EBIT $133M, down YoY—largely due to planned maintenance and the Barry siloxanes shutdown, which offset price/volume gains and self-help.

Full-company self-help and competitiveness actions (surprising/positive): Dow emphasized that self-help is over-delivering versus earlier expectations. For 2026, Dow now expects >$1.3B total benefits from self-help (+ $200M vs prior target). Transform to Outperform is expected to deliver ~$700M in 2026 (upsized; confidence in $2B total opportunity by end of 2027). Reported execution milestones include ~55% of planned role reductions implemented and completion of site transformation playbooks at 6 largest sites.