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Dec 31, 2019

DuPont Q4 2019 Earnings Report

DuPont's financial performance declined due to lower nylon pricing and reduced equity affiliate income, but was partially offset by higher pricing in segments outside of T&I and cost savings.

Key Takeaways

DuPont's Q4 2019 net sales were $5.2 billion, a 5% decrease compared to the same quarter last year, with organic sales down 2%. Adjusted EPS decreased by 34% to $0.95, driven by lower segment results and a higher tax rate. The company is planning a merger of its Nutrition & Biosciences business with IFF.

Net sales for the quarter totaled $5.2 billion, down 5 percent versus the same quarter last year.

GAAP EPS from continuing operations totaled $0.24 versus pro forma GAAP EPS from continuing operations in the year-ago period of $0.39.

Adjusted EPS decreased 34 percent to $0.95, compared with pro forma adjusted EPS in the year-ago period of $1.43.

The planned merger of DuPont's N&B business with IFF was announced.

Total Revenue
$5.2B
Previous year: $20.1B
-74.1%
EPS
$0.95
Previous year: $0.88
+8.0%
Operating EBITDA
$1.39B
Gross Profit
$1.8B
Previous year: $4.53B
-60.4%
Cash and Equivalents
$1.54B
Previous year: $8.55B
-82.0%
Total Assets
$69.4B
Previous year: $188B
-63.1%

DuPont

DuPont

DuPont Revenue by Segment

DuPont Revenue by Geographic Location

Forward Guidance

DuPont anticipates full year 2020 sales between $21.5 and $22.0 billion, resulting in organic sales slightly up versus prior year. Adjusted EPS is expected to be in the range of $3.70 - $3.90.

Positive Outlook

  • Full year sales between $21.5 and $22.0 billion.
  • Organic sales are expected to be slightly up versus prior year.
  • Adjusted EPS in the range of $3.70 - $3.90.
  • Strong organic growth across core segments.
  • Continued productivity and cost actions.

Challenges Ahead

  • Headwinds from prior year discrete benefits.
  • Nylon market pressures.
  • Nylon headwinds being most impactful at the start of the year.
  • Temporary manufacturing challenges in S&C.
  • First quarter net sales expected to be down mid-single digits.

Revenue & Expenses

Visualization of income flow from segment revenue to net income