Corteva, Inc. · NYSE:CTVA
Corteva — Corteva Agriscience — BMO Capital Markets Farm to Market Conference 2019
18 slides from Corteva's conference presentation, May 15, 2019
Slide 1: BMO Capital Markets Farm to Market Conference
BMO Capital Markets Farm to Market Conference Jim Collins Chief Executive Officer – Elect Corteva Agriscience™, Agriculture Division of DowDuPont May 15, 2019 Insert Risk Classification Agriculture Division of DowDuPont
Slide 2: Safe Harbor Regarding Forward-Looking Statements
Safe Harbor Regarding Forward-Looking Statements 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 of 1
Slide 3: A Reminder About Non-GAAP Statements and Pro Forma Financial Information
A Reminder About Non-GAAP Statements and Pro Forma Financial Information These risks are and will be more fully discussed in the current, quarterly and annual reports and preliminary registration st atement on Form 10 filed with the U. S. Securities and Exchange Commission by DowDuPont, DuPont or th
Slide 4: Creating a Pure-Play, U.S.-Based, Agriculture Company
Creating a Pure-Play, U.S.-Based, Agriculture Company Crop Crop Seeds Crop Seeds Seeds Protection & Traits Protection Protection & Traits ~70% ~44% ~56% ~30% ~80% ~20% Portfolio › Leading germplasm › Germplasm diversification › Complete solution for farmers › Digital portfolio › Herbicide and insect
Slide 5: Delivering Financial Results Against Current Market Backdrop
Delivering Financial Results Against Current Market Backdrop Standalone Net Sales Standalone Operating EBITDA(1) $14.2B $14.3B ~$14.3B $14.0B $2.2-2.3B $2.0B $2.1B $1.7B 2016 2017 2018 2019E 2016 2017 2018 2019E 2019 Full Year Indications Expected organic net sales growth of 1-2%, offset by Accelera
Slide 6: 2019 Corteva Net Sales Guidance
2019 Corteva Net Sales Guidance Above market organic sales growth driven by product launches Above market organic sales growth driven by new ($ in billions) products; new seed genetics and new crop protection products including Arylex™, Vessarya®, Rinskor™, Pyraxalt™, Isoclast™ and Zorvec™ ~$14.6B P
Slide 7: 2019 Corteva Operating EBITDA Guidance
2019 Corteva Operating EBITDA* Guidance Margin expansion driven by synergies and product launches ($ in billions) Margin Expansion New product launches Pricing on high demand crop protection products Accelerated synergy delivery +$50 million in 2H’19 Increased productivity to improve margins
Slide 8: Mid-term Financial Targets
Mid-term Financial Targets1 Sales Expected to Exceed Market Growth Operating EBITDA Growth Expected ~2x Sales by 1-2% Corteva Total Revenue Growth2: Operating EBITDA Margin Expansion: 50-150bps Seed 3-5% Corteva Operating EBITDA Growth: 6-10% Crop 3.5-6.5% Total 3-5% Market Growth1: 2-4% Strong Free
Slide 9: Progress on Five Priorities for Shareholder Value Creation
Progress on Five Priorities for Shareholder Value Creation Corteva Indications 01 02 03 04 05 Instill a strong Drive disciplined Develop innovative Attain best-in-class Deliver above- culture capital allocation solutions cost structure market growth Engaged Finalized capital Launched new Delivered y
Slide 10: Optimizing Capital Allocation for Growth and Shareholder Value
Optimizing Capital Allocation for Growth and Shareholder Value Establish Capital Structure Define Financial Policies Deliver ROIC Improvement JUNE 1, 2019 | Expected Spin Priorities › Maintain financial flexibility to support › Committed to growing cash flow in a › Deliver merger cost synergies busi
Slide 11: New Products Launched After the Merger Close
New Products Launched After the Merger Close Seed Crop Protection Digital COTTON SOYBEANS SEED APPLIED INSECT MGMT. TECHNOLOGY SOLUTIONS Quick insights into financial and agronomic performance CORN DISEASE HERBICIDE SOLUTIONS SOLUTIONS Enlist E3™ soybean trait co-developed with MS Technologies Agric
Slide 12: Getting to Best-in-Class Cost Structure and Improved Return
Getting to Best-in-Class Cost Structure and Improved Return Seed Production Commercial Headcount R&D Sites CP Manufacturing Sites Offices MERGER CLOSE SEPTEMBER ~25,000 90 287 233 2 site 2017 shutdowns and $1.2 billion 15+ site Cost Synergy SEPTEMBER optimization Run Rate 2018 ~23,000 74 220 196 Ach
Slide 13: Digital Transformation to Enable Margin Expansion
Digital Transformation to Enable Margin Expansion Internal External Pipeline Customer Enterprise Innovation Software › Automation, data science and › Enterprise strategy & applications › SaaS1 through Granular digital tools in R&D ›Process automation Customer experience Reduced Costs ›Data-driven de
Slide 14: Corteva is Positioned to Deliver Shareholder Value
Corteva is Positioned to Deliver Shareholder Value Market and Innovative pipeline channel presence Margin expansion Balanced portfolio Above market Best team growth Agriculture Division of DowDuPont 14
Slide 15: Important Notices
Important Notices DO NOT APPLY DICAMBA HERBICIDE IN-CROP TO SOYBEANS WITH Roundup Ready 2 Xtend® technology unless you use a dicamba herbicide Agrisure® and Agrisure Viptera®are registered trademarks of, and used under license from, a Syngenta Group Company. Agrisure® technology incorporated into pr
Slide 16: Reconciliation of non-GAAP financial measures
Corteva Agriscience ("Corteva" or the "Company") Reconciliation of non-GAAP financial measures Some Corteva communications or presentations to investors contain certain financial measures that are not defined under accounting principles generally accepted in the United States of America ("GAAP"). No
Slide 17: Selected Segment Information and Pro Forma Operating EBITDA
Corteva Corteva Selected Segment Information Selected Non-GAAP Calculation of Corteva Pro Forma Operating EBITDA In millions YTD 2018 YTD 2017 YTD 2016 Pro forma net sales by segment 1 Pro forma (loss) income from continuing operations, net of tax (GAAP) $ (4,962) $ 2,569 $ 528 In millions YTD 2018
Slide 18: Jim Collins
James C. Collins, Jr. will be the chief executive officer of Corteva. He was previously chief operating officer for the Agriculture Division of DowDuPont. Prior to the DowDuPont merger, he was an executive vice president at DuPont responsible for the company’s Agriculture segment, including DuPont C
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