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Jun 30, 2023

Corteva Q2 2023 Earnings Report

Corteva's financial results for Q2 2023 were reported, with net sales decreasing by 3% and mixed performance across segments.

Key Takeaways

Corteva reported a decrease in net sales by 3% for the second quarter of 2023. While the Seed segment showed strong performance, it was offset by headwinds in the Crop Protection segment. The company has updated its full-year net sales and earnings guidance.

Net sales decreased by 3% compared to the same period last year.

Organic sales declined by 4%.

Operating EBITDA increased by 2% compared to prior year.

The company updated its full-year net sales and earnings guidance.

Total Revenue
$6.05B
Previous year: $6.25B
-3.3%
EPS
$1.6
Previous year: $1.64
-2.4%
Gross Profit
$2.91B
Previous year: $2.93B
-0.7%
Cash and Equivalents
$2.56B
Previous year: $2.4B
+6.7%
Total Assets
$44.2B
Previous year: $40.9B
+8.0%

Corteva

Corteva

Corteva Revenue by Segment

Corteva Revenue by Geographic Location

Forward Guidance

Corteva expects net sales in the range of $17.9 billion to $18.2 billion, Operating EBITDA in the range of $3.50 billion to $3.65 billion and Operating EPS in the range of $2.75 to $2.90 per share.

Positive Outlook

  • High demand for grain and oilseeds.
  • Commodity prices are above historical averages.
  • Farm balance sheets and income levels remain healthy.
  • Growers prioritize technology to maximize return.

Challenges Ahead

  • Crop Protection order patterns are being influenced by product availability.
  • Higher interest rates.
  • Deferral of purchases until closer to usage.
  • Lowering sales expectations for this period.
  • Lowering earnings expectations for this period.