Corteva Q1 2022 Earnings Report
Key Takeaways
Corteva reported a solid start to 2022 with double-digit sales and Operating EBITDA growth in the first quarter. The company's strategic initiatives to accelerate performance and the business realignment are expected to enhance simplicity and speed of business. Healthy market fundamentals are expected to continue given record crop prices, strong farm income levels and demand for food globally.
First quarter 2022 net sales rose 10% versus prior year with gains in both segments. Organic sales increased 16% in the same period with double-digit gains in all regions.
Seed net sales grew 1% and organic sales increased 7% year over year, with notable gains in both EMEA and Latin America, partially offset by the seasonal timing of seed deliveries in North America. Price was up 8% globally.
Crop Protection net sales grew 23% and organic sales increased 29%, led by North America. Volume gains were driven by early demand and continued penetration of new products.
GAAP income and earnings per share (EPS) from continuing operations were $577 million and $0.79 per share for the first quarter 2022, respectively. Operating EBITDA was $1.04 billion, a 15% improvement over prior year.
Corteva
Corteva
Corteva Revenue by Segment
Corteva Revenue by Geographic Location
Forward Guidance
The Company affirmed its previously provided net sales and Operating EBITDA guidance for the full year 2022. Corteva expects net sales in the range of $16.7 billion to $17.0 billion and Operating EBITDA in the range of $2.8 billion to $3.0 billion. The Company adjusted its expectations for Operating EPS for 2022, which is now expected to be in the range of $2.35 to $2.55 per share, to reflect lower average share count.
Revenue & Expenses
Visualization of income flow from segment revenue to net income