The Dow Chemical Company’s (DOW) wholly owned subsidiary Dow AgroSciences LLC, entered into a drug profiling agreement with Dualsystems Biotech. As per the agreement, Dualsystems will use its technology to identify molecular targets in Dow AgroSciences’ agrochemical discovery program.
According to Dow AgroSciences, the deal will help the company expanding its technological footprint and enable it to provide more innovative solutions to its customers by speeding up the process of discovery. On the other hand, Dualsystems will be able to maintain its strategy of expanding its base by utilizing new technology and ameliorating it further by tying up with more and more companies internationally.
Dualsystems is a leading provider of screening services to the international research community in the pharmaceutical, biotech, agrochemical and cosmetic industries as well as in academia. Following the tie-up, Dow AgroSciences’ leading-edge crop protection and plant biotechnology solutions will be able to meet the challenges of the growing world.
In February 2012, Dow Chemical released its results for the fourth quarter of 2011. The company earned 25 cents per share in the quarter, missing the Zacks Consensus Estimate of 32 cents per share as well as earnings of 47 cents per share in the prior-year quarter.
For the full-year 2011, earnings were $2.54 per share, up 29% compared with $1.97 per share in 2010. Full-year earnings were also lower than the Zacks Consensus Estimate of $2.83 per share.
Though quarterly revenues inched up 2% to $14.1 billion, they were below the Zacks Consensus Estimate of $14.4 billion. Sales increased across all operating segments and geographic areas, except in the Electronic and Functional Materials segment. Dow AgroSciences posted record sales of $5.7 billion for 2011, driven by increased customer adoption of new products and successful growing seasons in all geographic areas.
DOW faces stiff competition from EI DuPont de Nemours & Co. (DD). Currently, the company has a Zacks #3 Rank on its shares which translates into a short-term (1 to 3 months) Hold rating, but we maintain a long-term (more than 6 months) recommendation of Neutral on the shares of the company.
More From Zacks.com