DuPont announced higher third-quarter earnings with a slight decline in revenue while narrowing the forecast range of pro forma adjusted earnings per share to $3.77 to $3.82 versus the prior range of $3.75 to $3.85.
“Amid ongoing challenged market conditions and currency headwinds, we delivered earnings per share growth and expanded margins through continued price improvement, cost discipline and portfolio actions,” said Marc Doyle, DuPont CEO. “We saw continued strength in high-growth areas such as Water Solutions, where we recently announced agreements to make two strategic acquisitions and are encouraged by a second consecutive quarter of improving China sales and a strong start to the second half in our electronics business.”
“We are confident that our ongoing investments in innovation and the actions we are taking to set up each of our businesses with a best-in-class cost structure will allow for significant growth acceleration over the long term,” Doyle stated.
Net sales for the quarter totaled $5.4 billion, down five percent versus the same quarter last year. Net sales were down two percent with one percent higher price being more than offset by three percent lower volume. Currency and portfolio headwinds decreased sales by two percent and one percent, respectively.
Generally Accepted Accounting Principales (GAAP) income from continuing operations totaled $372 million, versus pro forma GAAP Income from continuing operations of $88 million in the year-ago period.
Adjusted earnings per share increased two percent to $0.96, compared with pro forma adjusted EPS in the year-ago period of $0.94 primarily driven by lower depreciation and amortization and a lower share count partially offset by currency headwinds and slightly lower segment results.
“I remain impressed with our team’s ability to deliver in a tough macro environment,” said Ed Breen, executive chairman of DuPont. “With the entire organization aligned and focused on our strategic priorities, I am confident that we will continue to unlock the value-creating opportunities this portfolio offers.”
DuPont is reportedly weighing offers for its industrial biosciences unit, which comprises about a quarter of the company’s sales.
You can view the entire DuPont third quarter earnings release here.