Dupont De Nemours, Inc. · NYSE:DD
Dupont De Nemours — DowDuPont — Q1 2019 Earnings Presentation
15 slides from Dupont De Nemours's earnings presentation, May 2, 2019
Slide 1: DowDuPont 1Q 2019 Earnings Conference Call
DowDuPont 1Q 2019 Earnings Conference Call May 2, 2019
Slide 2: DowDuPont Transaction Highlights
DowDuPont Transaction Highlights 1Q Transaction Highlights o Separation of Dow completed on April 1 o Realized an additional $400 million of cost synergies in 1Q; $2.2B cumulative savings since Timing of merger close Separations o Repurchased $1.6B shares in 1Q, completing $3B program April 1, 2019
Slide 3: 1Q 2019 DowDuPont Financial Highlights
1Q 2019 DowDuPont Financial Highlights Financial Performance Snapshot 1Q19 1Q18 B / (W) Net Sales ($B) 19.6 21.5 (1.9) (9%) Operating EBITDA(1) ($B) 4.0 4.9 (0.9) (17%) GAAP EPS from Cont. Ops. ($/share) 0.23 0.47 (0.24) (51%) Adjusted EPS(1) ($/share) 0.84 1.12 (0.28) (25%) Adjusted EPS Variance Hi
Slide 4: 1Q 2019 Specialty Products Overview
1Q 2019 Specialty Products Overview Financial Performance Snapshot 1Q19 1Q18 B/(W) Net Sales ($MM) 5,414 5,597 (183) (3%) Op. EBITDA ($MM) 1,600 1,607 (7) Flat Op. EBITDA Margin (%) 29.6 28.7 +90 bps (3%) Flat $5,597 $1,607 Organic $5,414 $1,600 Sales Flat (1) COGS includes headwinds from increases
Slide 5: Specialty Products: 1Q 2019 Highlights
Specialty Products: 1Q 2019 Highlights Electronics & Imaging 1Q19 1Q18 • Double-digit volume growth in Display Technologies was more than offset by Net Sales ($MM) 1,078 1,153 declines in Interconnect Solutions and Photovoltaic and Advanced Materials. Op. EBITDA ($MM) 385 398 Interconnect Solutions
Slide 6: Creation of a Non-core segment for DowDuPont (new DuPont)
Creation of a Non-core segment for DowDuPont (new DuPont) Moving ~$2B of revenue to Non-core reporting segment starting with 2Q 2019 reporting ✓ Photovoltaic and Advanced Electronics & Imaging Electronics & Imaging Materials (E&I) $4.7B ✓ Biomaterials (N&B) $3.6B ✓ Clean Technologies (N&B) Nutrition
Slide 7: 2Q and Full-Year 2019 Guidance
2Q and Full-Year 2019 Guidance Refer to slide 13 in Appendix for additional commentary on segment outlooks Specialty Products Division: o Expecting similar market conditions as 1Q 2019 in 2Q 2019 o Confirming full-year net sales and operating EBITDA guidance Net Sales Op. EBITDA (incl. Equity Earnin
Slide 8: 1Q 2019 Agriculture Overview
1Q 2019 Agriculture Overview Financial Performance Snapshot 1Q19 1Q18 B/(W) Net Sales ($MM) 3,397 3,808 (411) (11%) Op. EBITDA (MM) 667 891 (224) (25%) Op. EBITDA Margin (%) 20% 23% (~380bps) YoY Sales Change: Local Price +1%, Vol -7%, Currency -5%, Port./Other – Division Highlights U.S. Daily Seed
Slide 9: Agriculture: 1Q Net Sales Highlights
Agriculture: 1Q Net Sales Highlights Reported Organic Crop Protection 5% 1%1 • Net sales decreased 5 percent. All regions outside North America delivered strong Crop Protection 1Q19 1Q18 volume gains. Severe weather-related disruptions in North America drove an overall Net Sales ($MM) $1.4B $1.5B ne
Slide 10: 1H and Full-Year 2019 Guidance
1H and Full-Year 2019 Guidance Refer to slide 13 in Appendix for additional commentary on 2Q segment outlook Agriculture Division: o Confirming full-year operating EBITDA guidance, net sales and organic net sales Net Sales Operating EBITDA First Half 2019 As reported: Down low-single digits percent
Slide 11: Slide 11
Slide 12: Appendix
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Slide 13: Segment Expectations
Segment Expectations Refer in conjunction with slides 7 and 10 Agriculture Division Segments Key Sales and Operating EBITDA Outlook Drivers 2Q sales and Operating EBITDA are expected to be up low single digits, driven by the shift of Q1 sales into Q2 due to weather, offset by currency and less favor
Slide 14: Safe Harbor Statement
Safe Harbor Statement Cautionary Statement Regarding Forward Looking Statements This communication contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act
Slide 15: Safe Harbor Statement, continued
Safe Harbor Statement, continued Non-GAAP Financial Measures This earnings release includes information that does not conform to U.S. GAAP and are considered non-GAAP measures. Management uses these measures internally for planning, forecasting and evaluating the performance of the Company's segment