- Cost Reductions and Productivity Continue to Contribute to Operating Margin Improvement in Most Segments
- Reaffirms Outlook for Full-Year Operating Earnings of about $2.75 Per Share
United Arab Emirates: DuPont (NYSE: DD), a science company that brings world-class, innovative products, materials, and services to the global marketplace, today announced third-quarter 2015 operating earnings of $0.13 per share compared with $0.39 per share in the prior year. GAAP1 earnings were $0.14 per share, compared with $0.36 per share in the prior year.
Third-quarter sales were $4.9 billion, down 17 percent versus prior year due to negative impacts from currency (8 percent), portfolio (1 percent), volume (7 percent) and local price and product mix (1 percent). Year-to-date sales were $19.8 billion, down 12 percent versus prior year due to negative impacts from currency (7 percent), portfolio (2 percent) and volume (3 percent).
“While our bottom line continues to benefit from the positive effects of our operational redesign and productivity improvements, we are not pleased with our results this quarter,” said Nick Fanandakis, Executive Vice President and CFO. “We saw significant negative impacts from currency as well as market weakness in agriculture, emerging market industrial production, and oil and gas. We remain on track with our revised annual guidance of operating earnings per share of about $2.75, an increase from the prior year of 3 percent excluding currency.”
“Amid the current challenging macro environment, our priority is to aggressively manage what is within our control, including taking a fresh look at DuPont’s cost structure and capital allocation strategy to identify ways to further improve shareholder return,” said Ed Breen, DuPont Interim Chair and CEO. “Addressing these areas even more intensely will put DuPont in a stronger position to capitalize over the long term on our unique science and leading positions in attractive growth markets while generating appropriate returns for shareholders in the near term.”
Third-Quarter Highlights
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Year-to-Date Highlights
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Outlook
The company reaffirms its recently updated outlook for full-year 2015 operating earnings of about $2.75 per share. The outlook reflects continued strengthening of the U.S. dollar versus currencies in emerging markets, particularly the Brazilian Real; a further weakening of agricultural markets, primarily in Brazil; and continued weakness in emerging markets. Negative currency impact is expected to be $0.72 per share. Excluding the impact of currency, the guidance for full-year operating earnings per share, including expected benefits from share repurchases and cost savings, represents an approximate 3-percent increase year over year.
About DuPont:
DuPont (NYSE: DD) has been bringing world-class science and engineering to the global marketplace in the form of innovative products, materials, and services since 1802. The company believes that by collaborating with customers, governments, NGOs, and thought leaders we can help find solutions to such global challenges as providing enough healthy food for people everywhere, decreasing dependence on fossil fuels, and protecting life and the environment.