What was the primary driver of the revenue increase in the first quarter of 2011?

The primary driver of the 18% increase in net sales to $10.0 billion was a combination of factors: a 9% increase in sales volume and an 8% rise in local selling prices. This growth was observed across most segments and regions, with particular strength noted in developing markets.

How is the planned acquisition of Danisco A/S being financed, and what is its expected impact?

The acquisition of Danisco is being financed through a combination of debt instruments, including senior notes and commercial paper, totaling $6 billion. DuPont has also secured bridge loan facilities. While the acquisition is expected to close in the second quarter of 2011, it is projected to reduce 2011 earnings by $0.30 to $0.45 per share. The announcement of this acquisition led to credit rating agencies placing DuPont's ratings under review or on negative watch.

What is the company's current financial liquidity and cash flow situation?

As of March 31, 2011, DuPont had $4.8 billion in cash and cash equivalents and marketable securities, providing significant liquidity. However, cash used for operating activities was $(1.5) billion for the quarter, resulting in a negative free cash flow of $(1.8) billion. This was largely due to changes in operating assets and liabilities, partly offset by higher earnings. The company also has access to approximately $4.3 billion in unused credit lines.

What significant litigation or environmental matters are highlighted in the report?

The report details ongoing litigation and environmental matters, most notably concerning PFOA contamination, with $23 million in accruals as of March 31, 2011. The company is also involved in litigation related to the Benlate® fungicide and environmental proceedings at various plant locations. While management believes these matters will not materially affect the company's consolidated financial position or liquidity, the ultimate liabilities could be significant to future operating results.

CTA-PB/CTA-PA 10-Q Quarterly Report Q1 FY2011

Summary

E. I. du Pont de Nemours and Company (DuPont) reported strong financial performance for the first quarter of 2011, with net sales increasing 18% year-over-year to $10.0 billion. This growth was driven by a combination of higher sales volume (9%) and increased selling prices (8%), reflecting broad economic recovery and robust demand across its diverse segments, particularly in developing markets. Net income attributable to DuPont rose significantly by 27% to $1.4 billion, or $1.52 per diluted share, compared to the prior year. The company is actively pursuing strategic growth initiatives, including the planned acquisition of Danisco A/S, which is expected to be completed in the second quarter of 2011. DuPont also raised its full-year 2011 earnings outlook to a range of $3.65 to $3.85 per share, excluding the impact of the Danisco acquisition. Despite this positive outlook, the company noted potential impacts on its credit ratings following the Danisco acquisition announcement. Significant litigation and environmental liabilities, particularly concerning PFOA and Benlate, continue to be disclosed, although management does not anticipate they will materially affect the company's consolidated financial position or liquidity.

Financial Highlights

47 data points

Beta

Revenue

$9.04B

Net Income

$1.44B

0.2% Net Margin

EPS (Diluted)

$1.52

Total Assets

$42.60B

Cash & Equivalents

$3.80B

Free Cash Flow

-$1.81B

Financial Statements

Beta

Revenue	$9.04B
R&D Expenses	$399.00M
SG&A Expenses	$1.03B
Operating Expenses	$8.36B
Operating Income	$2.13B
Interest Expense	$100.00M
Net Income	$1.44B
EPS (Basic)	$1.54
EPS (Diluted)	$1.52
Shares Outstanding (Basic)	924.90M
Shares Outstanding (Diluted)	940.91M

Key Highlights

1Net sales increased 18% to $10.0 billion, driven by a 9% rise in volume and an 8% increase in local selling prices.
2Net income attributable to DuPont grew 27% to $1.4 billion ($1.52 per diluted share) compared to the first quarter of 2010.
3The company raised its full-year 2011 earnings per share guidance to $3.65 - $3.85 (excluding Danisco acquisition impact).
4DuPont is progressing with the acquisition of Danisco A/S, with financing in place and expected completion in Q2 2011.
5Restricted cash increased significantly due to debt issuance for the Danisco acquisition financing.
6Operating cash flow was negative at $(1.5) billion, impacting free cash flow, largely due to changes in operating assets and liabilities.
7Several segments, including Agriculture & Nutrition, Performance Chemicals, and Electronics & Communications, showed substantial sales growth.

EIDP, Inc. Quarterly Report for Q1 Ended Mar 31, 2011

Summary

Financial Highlights

Key Highlights

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