FULL YEAR: DUPONT'S SALES UP 3%, EARNINGS DOWN 1%
Jan. 23, 2013
Source: DuPont news release
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*Fourth quarter 2012 earnings per share (EPS) from continuing operations, excluding significant items,
was $.11 versus prior year earnings of $.26. Reported fourth quarter 2012 EPS from continuing
operations was $.02 versus $.31 in the prior year.
*Sales of $7.3 billion equaled the prior year. Three percent higher volume was offset by 2 percent
negative currency impact and a 1 percent reduction from portfolio changes.
*Segment pre-tax operating income (PTOI) was down, primarily reflecting lower price and volume in
Performance Chemicals. Titanium dioxide pricing led the decline.
*2012 EPS from continuing operations, excluding significant items, was $3.33 versus $3.55 in 2011.
Currency was a $.27 per share headwind for the year. Reported EPS from continuing operations was
$2.61 versus $3.30 in 2011 (see Schedule B.)
*Sales were $34.8 billion, up 3 percent with a 6 percent increase in developing markets.
*Segment PTOI increased 3 percent to $5.7 billion, excluding Pharmaceuticals and significant items.
Agriculture PTOI increased 18 percent driven by volume and pricing growth for seed and crop protection
businesses in North America and Latin America. Performance Chemicals PTOI decreased 16 percent from
lower sales across the segment.
*Free cash flow was $3.1 billion versus $3.3 billion in the prior year. 2012 includes a $0.5 billion
contribution to the principal U.S. pension plan and lower net income, partly offset by improved working
*Fixed cost and working capital productivity benefits were each about $400 million, surpassing their
$300 million targets.
*Reflecting the change in reporting for the cost of non-operating pension and other post-employment
benefits and excluding significant items, 2012 operating earnings were $3.77 per share. On the same basis,
the 2013 outlook for operating earnings is $3.85 to $4.05 per share, an increase of 2 to 7 percent over the
"DuPont stands stronger today than it did a year ago. Our segments delivered innovation, productivity
and integration cost synergies. This, coupled with a record year in new product introductions, has strengthened our market position," said DuPont Chair and CEO Ellen Kullman.
"However, weakness in markets served by Performance
Chemicals and Electronics & Communications provided significant challenges in 2012. We've adjusted our plans to meet the changing market environment and grow our businesses in a slow-growth world economy."
Agriculture - Sales of $1.5 billion were up 18 percent on 11 percent higher volume and 7 percent higher prices despite the negative impact of currency. PTOI seasonal loss of ($92) million improved $24 million on higher volume in Latin America and stronger than expected pricing gains, partially offset by continued investment in commercial and R&D activities.
Full-year sales of $10.4 billion grew 14 percent on 8 percent higher volume and 6 percent higher prices. Pioneer seed sales increased from higher global volume and pricing gains in corn and soybeans. Crop Protection sales grew on strong demand for insecticides and herbicides in all regions. Full-year PTOI increased 18 percent as strong sales more than offset unfavorable currency and higher investments in commercial and R&D activities to support growth.