DuPont announced its financial results for the third quarter ended Sept. 30, 2024.
“Our results reflect continued strong quarterly financial performance with sequential improve-ment across all key financial metrics,” said Lori Koch, DuPont CEO. “Our ongoing innovation in-vestments have positioned us well for growth as key end-markets recover. We are benefiting from continued demand recovery in electronics while also seeing improvement in our water and medical packaging end-markets. In the third quarter, a return to year-over-year organic sales growth coupled with solid execution drove strong operating leverage, resulting in 150 ba-sis points of margin expansion.
“I am pleased with the progress our teams are making on the intended separations of our elec-tronics and water businesses,” Koch continued. “As we advance this plan, we remain excited about the tailored strategies each future company will implement to drive sustainable growth and deliver exceptional value to shareholders, customers and employees
Net sales increased 4% to $3.2 billion as organic sales growth of 3% and a favorable portfolio impact of 2% were partially offset by a 1% currency headwind. Organic sales growth reflected a 5% increase in volume partially offset by a 2% decrease in price. Higher volume was driven by continued strong growth in electronics end-markets coupled with a return to year-over-year growth in Water Solutions.
GAAP income increased to $480 million and GAAP EPS from continuing operations also in-creased as higher segment earnings, non-cash gains on interest rate swaps and benefits of a lower share count and tax rate were partially offset by higher transaction costs.
Operating EBITDA was $857 million, an increase as volume gains, the impact of higher produc-tion rates and savings from restructuring actions were partially offset by higher variable com-pensation and select growth investments. Cash provided by operating activities from continuing operations in the quarter was $737 million.
“We continue to build momentum and I am pleased with our third quarter financial perfor-mance, including another strong quarter of cash generation,” said Antonella Franzen, DuPont CFO. “For the fourth quarter, we estimate net sales of about $3.07 billion, operating EBITDA of about $790 million and adjusted EPS of $0.98 per share. On a year-over-year basis, our fourth quarter guidance reflects continued momentum including sales and earnings growth assump-tions for both E&I and W&P. Sequentially, our fourth quarter guidance assumes normal season-al declines in electronics and construction markets, partially offset by continued recovery in wa-ter and medical packaging end markets.
“On a full year basis, we are raising our earnings guidance and now expect operating EBITDA of about $3.125 billion and adjusted EPS of $3.90 per share with full year net sales now expected to be about $12.365 billion,” Franzen concluded.
