Summary
E.I. du Pont de Nemours and Company (DuPont) reported strong performance for the fiscal year ending December 31, 2007, with net sales increasing by 7% to $29.4 billion. This growth was primarily driven by international sales, which rose 11%, and was supported by a 2% increase in both worldwide volumes and local selling prices. The company's strategic focus on growth in emerging markets, new product commercialization (over 1,200 new products), and cost productivity initiatives contributed to net income of $2.99 billion, or $3.25 per share (basic). Despite challenges in the U.S. housing and automotive markets, DuPont's diversified segments, particularly Safety & Protection and Agriculture & Nutrition, demonstrated robust performance. The company also continued its commitment to returning value to shareholders through dividends, maintaining its long history of consistent payouts. Looking ahead, DuPont outlined goals for 2008-2010, anticipating double-digit earnings growth driven by advancements in agriculture, increased demand for safety and protection products, expansion in emerging markets, and continued cost productivity. The company's balance sheet remains strong, with significant cash flow generation from operations and ample access to credit markets, providing a solid foundation for future investments and shareholder returns.
Key Highlights
- 1Net sales increased 7% to $29.4 billion in fiscal year 2007, driven by international growth and higher volumes/prices.
- 2Net income was $2.99 billion, or $3.25 per share (basic), reflecting strong operational performance and strategic initiatives.
- 3Over 1,200 new products were commercialized in 2007, with over a third of sales from products introduced in the last five years.
- 4The Safety & Protection segment showed strong PTOI growth (11%), driven by demand for Kevlar® and Nomex®.
- 5The Agriculture & Nutrition segment sales grew 14%, supported by strong Pioneer® brand seed sales and crop protection products.
- 6The company continued its commitment to shareholder returns, paying consistent quarterly dividends since 1904.
- 7DuPont is focused on future growth with a plan targeting double-digit earnings growth through 2010, driven by innovation and emerging market expansion.