Corteva(US:CTVA)2024-07-31 20:41Financial Performance - Net sales for Q2 2024 reached $6,112 million, a slight increase from $6,045 million in Q2 2023, representing a growth of 1.1%[1] - Net income attributable to Corteva for Q2 2024 was $1,053 million, compared to $714 million in Q2 2023, marking a significant increase of 47.4%[1] - Basic earnings per share from continuing operations for Q2 2024 was $1.51, up from $1.23 in Q2 2023, an increase of 22.8%[1] - Net income for the six months ended June 30, 2024, was $1,479 million, compared to $1,316 million in the same period of 2023, representing a 12.4% increase[5] - Operating EBITDA for the second quarter of 2024 was $1,917 million, an increase from $1,746 million in 2023, reflecting a growth of 9.8%[11] - Operating earnings (Non-GAAP) for the second quarter of 2024 were $1,905 million, compared to $1,972 million in 2023[30] - Operating Earnings (Non-GAAP) for Q2 2024 reached $1,280 million, compared to $1,139 million in Q2 2023, an increase of 12.4%[33] - Operating Earnings Per Share (Non-GAAP) for Q2 2024 was $1.83, up from $1.60 in Q2 2023, reflecting a growth of 14.4%[33] Sales and Revenue Breakdown - Total net sales for the second quarter of 2024 were $6,112 million, with organic sales increasing to $6,172 million, reflecting a growth of 1% from the previous year[10] - Seed segment net sales for the first half of 2024 reached $7,082 million, up from $6,959 million in 2023, indicating a 1.8% increase[6] - Crop protection segment net sales for the first half of 2024 were $3,522 million, down from $3,970 million in 2023, showing a decrease of 11.3%[7] - North America net sales increased by $81 million, a 2% change compared to Q2 2023, with organic growth of $83 million, also a 2% increase[13] - EMEA region experienced a decline in net sales of $41 million, a 6% decrease, with organic growth of $7 million, a 1% increase[13] - Latin America saw a net sales increase of $42 million, a 7% growth, with organic change also at $41 million, a 7% increase[13] - Asia Pacific reported a net sales decline of $15 million, a 4% decrease, with an organic change of $(4) million, a decrease of 1%[13] - Total net sales for Corteva, Inc. increased by $67 million, a 1% change, with organic growth of $127 million, a 2% increase[13] Expenses and Costs - The cost of goods sold decreased to $2,918 million in Q2 2024 from $3,137 million in Q2 2023, a reduction of 7.0%[1] - Research and development expenses increased to $357 million in Q2 2024, up from $329 million in Q2 2023, reflecting an increase of 8.5%[1] - The company reported capital expenditures of $(262) million for the first half of 2024, slightly higher than $(250) million in the same period of 2023[5] - The company recognized significant restructuring and asset-related charges of $(92) million in the second quarter of 2024, compared to $(60) million in the same quarter of 2023[23] Assets and Liabilities - Total assets as of June 30, 2024, were $41,464 million, down from $42,996 million at the end of 2023, a decrease of 3.6%[2] - Cash and cash equivalents decreased to $1,839 million as of June 30, 2024, from $2,644 million at the end of 2023, a decline of 30.4%[2] - Total current liabilities decreased to $8,953 million as of June 30, 2024, from $10,409 million at the end of 2023, a reduction of 13.9%[3] - Total stockholders' equity increased to $25,421 million as of June 30, 2024, compared to $25,279 million at the end of 2023, an increase of 0.6%[4] Cash Flow and Financing - Cash provided by operating activities for continuing operations was $(1,999) million for the first half of 2024, compared to $(2,480) million in 2023, an improvement of 19.4%[5] - The net change in borrowings for the first half of 2024 was $628 million, compared to $885 million in the same period of 2023[5] - Cash, cash equivalents, and restricted cash equivalents at the end of the period were $2,141 million, down from $2,963 million at the end of the previous year[5] - Free Cash Flow for the first half of 2024 is projected to be between $1,500 million and $2,000 million, with capital expenditures estimated at $630 million[40] Tax and Exchange Losses - The base income tax rate from continuing operations (Non-GAAP) for Q2 2024 was 22.5%, compared to 21.3% in Q2 2023[33] - The company reported a net after-tax exchange loss of $48 million for Q2 2024, compared to a loss of $91 million in Q2 2023[37] - Income from continuing operations before income taxes (GAAP) for Q2 2024 was $1,338 million, up from $1,084 million in Q2 2023, indicating a growth of 23.5%[35] - The effective income tax rate (GAAP) for Q2 2024 was 21.1%, compared to 18.8% in Q2 2023[35] - The company experienced a pre-tax exchange loss of $78 million in Q2 2024, down from a loss of $104 million in Q2 2023[37]