Summary
E.I. du Pont de Nemours and Company (DuPont), as a subsidiary of DowDuPont, reported net sales of $8.5 billion for the three months ended June 30, 2018, an increase from $7.0 billion in the prior year's quarter, primarily driven by higher sales in the U.S. & Canada due to weather-related recovery in agriculture. For the six-month period, net sales increased to $15.2 billion from $14.3 billion year-over-year, led by growth in EMEA and Asia Pacific. However, the company experienced a significant net loss of $1.4 billion attributable to DuPont for the quarter, a stark contrast to the $1.2 billion comprehensive income in the prior year, largely due to substantial foreign currency translation adjustments impacting other comprehensive income. Despite operational improvements, the company continues to navigate integration and separation costs related to the DowDuPont merger, with significant restructuring charges recorded. Financially, DuPont's liquidity remains a key focus, with cash, cash equivalents, and marketable securities decreasing to $4.8 billion from $8.2 billion, primarily due to funding seasonal working capital needs and distributions to DowDuPont. Total debt increased slightly to $13.4 billion. The company's balance sheet shows a substantial goodwill of $45.5 billion and other intangible assets of $26.9 billion, reflecting the impact of the merger. While the company operates in a complex environment shaped by the ongoing DowDuPont integration and pending business separations, its focus remains on core operations and managing integration costs.
Financial Highlights
23 data points| Cash & Equivalents | $4.42B |
| Short-term Investments | $374.00M |
| Inventory | $6.30B |
| Total Current Assets | $20.14B |
| Property, Plant & Equipment | $11.83B |
| Goodwill | $45.51B |
| Total Assets | $108.01B |
| Accounts Payable | $4.00B |
| Total Current Liabilities | $10.87B |
| Long-term Debt | $9.73B |
| Total Liabilities | $35.24B |
| Retained Earnings | -$1.20B |
| Stockholders' Equity | $72.54B |
Key Highlights
- 1Net sales increased by 22% to $8.5 billion for the three months ended June 30, 2018, compared to $7.0 billion in the prior year quarter, driven by strong performance in the U.S. & Canada.
- 2Comprehensive loss attributable to DuPont was $1.4 billion for the quarter, significantly impacted by foreign currency translation adjustments, compared to a comprehensive income of $1.2 billion in the prior year.
- 3Cash, cash equivalents, and marketable securities decreased by $3.4 billion to $4.8 billion, primarily due to working capital needs and distributions to DowDuPont.
- 4The company incurred significant integration and separation costs of $327 million in the quarter, reflecting ongoing efforts post-merger.
- 5Restructuring and asset-related charges amounted to $91 million for the quarter, primarily related to the DowDuPont Cost Synergy Program.
- 6Goodwill stands at $45.5 billion, and other intangible assets total $26.9 billion, reflecting the accounting impact of the DowDuPont merger.
- 7The company has adopted new revenue recognition standards (ASC 606) and made accounting presentation changes to align with DowDuPont's reporting.