Summary
E. I. du Pont de Nemours and Company (DuPont) reported strong results for the first quarter of 2013, significantly boosted by the sale of its Performance Coatings business. Net sales increased by 2% year-over-year, driven by volume growth in the Agriculture segment and higher pricing. Despite a decline in Performance Chemicals income, the company posted a net income of $3.35 billion, a substantial increase from $1.50 billion in the prior year, largely due to a significant gain from the sale of discontinued operations. The company also continued to return capital to shareholders through share repurchases and dividend payments. The company's strategic focus on growth areas like Agriculture, along with ongoing cost productivity and restructuring savings, positions it well for continued performance. However, investors should remain aware of ongoing litigation and environmental matters that could impact future results, as detailed in the filing.
Financial Highlights
48 data points| Revenue | $10.41B |
| Cost of Revenue | $6.19B |
| Gross Profit | $4.21B |
| R&D Expenses | $521.00M |
| SG&A Expenses | $983.00M |
| Operating Expenses | $8.73B |
| Operating Income | $2.24B |
| Interest Expense | $117.00M |
| Net Income | $3.35B |
| EPS (Basic) | $3.60 |
| EPS (Diluted) | $3.58 |
Key Highlights
- 1Net sales increased by 2% to $10.4 billion for the three months ended March 31, 2013.
- 2Net income available to common stockholders was $3.348 billion, a significant increase from $1.492 billion in the prior year, primarily due to a gain from the sale of discontinued operations.
- 3The company successfully divested its Performance Coatings business in February 2013, resulting in a pre-tax gain of $2.7 billion ($1.9 billion net of tax).
- 4The Agriculture segment showed strong performance with a 14% increase in sales and a 15% increase in pre-tax operating income.
- 5Cash used for operating activities was $2.67 billion, a significant increase from $1.88 billion in the prior year, impacted by operating changes and pension contributions.
- 6The company repurchased $1 billion worth of its common stock through an accelerated share repurchase (ASR) agreement, funded by proceeds from the Performance Coatings divestiture.
- 7The company declared a quarterly dividend of $0.43 per share, an increase from $0.41 per share in the prior year, marking its 435th consecutive quarterly dividend.