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Corteva's Q3 2026 Financial Results and Future Outlook

Corteva, Inc. (NYSE: CTVA), a leading global crop protection company, released its financial results for the third quarter and the first nine months of 2026 on November 11, 2026. The financial report reveals a decrease in net sales compared to the previous year, primarily impacted by pricing pressures and challenging market conditions in key regions. Here are the critical highlights from the report:

Highlights from Q3 2026

The third quarter of 2026 showed a 9% decrease in Net Sales, totaling $1.59 billion, compared to Q3 2025. This decline can be attributed to various factors:

• - Organic Sales also took a hit, dropping 9% as the volume decreased 2% year-over-year, mainly due to poor performance in Brazil.
• - In North America, however, there was a silver lining with a reported 7% organic sales growth, supported by the successful introduction of new products, which drove a 19% increase in volume despite some pricing headwinds attributed to acetochlor.
• - Meanwhile, the EMEA region enjoyed a robust 14% organic sales growth, propelled by substantial demand for innovative and differentiated products while maintaining stable pricing.
• - Conversely, Latin America faced a steep decline of 31% in organic sales, reflecting market difficulties in Brazil characterized by high channel inventory and delayed purchasing decisions due to financial constraints faced by farmers.
• - Asia Pacific, on the other hand, reported a modest 5% growth in organic sales along with a 7% volume increase.

Despite the challenges, Corteva's adjusted Pro Forma Operating EBITDA for Q3 stood at $222 million, marking a 17% decline from the previous year, resulting in a notable 140 basis points erosion in margin.

Year-to-Date Overview

For the first nine months of 2026, Corteva's net sales totaled $5.36 billion, reflecting a decrease of 1% compared to YTD 2025. Organic sales for the same period also fell by 4%. Analyzing the performance by region:

• - North America experienced flat sales.
• - EMEA grew by 7% in net sales, while Latin America and Asia Pacific reported declines of 12% and 6%, respectively.

The overall Pro Forma GAAP income from continuing operations after taxes was recorded at $112 million, coming with a margin of 2.1%. This translated to earning $0.16 per share. The adjusted Pro Forma Operating EBITDA margin expanded slightly to 17.6%, up 30 basis points from the previous year.

Updated Guidance for FY 2026

Corteva updated its full-year guidance for 2026, reflecting softer than expected conditions in Brazil and overall apprehension in the Crop Protection market. The company expects Adjusted Pro Forma Operating EBITDA to be in the range of $1.1 billion to $1.125 billion, with Adjusted Pro Forma Operating EPS projected between $0.76 and $0.80 per share.

Corteva's CEO, Luke Kissam, emphasized that despite the challenges faced, the company effectively controlled factors within its purview, such as strong product performance and operational productivity, to achieve broad-based organic growth outside Latin America. He reiterated that the focus will remain on innovations, productivity enhancements, and disciplined execution.

Closing Thoughts

With its strong pipeline of innovative solutions, Corteva remains committed to addressing key customer needs despite presenting Gasping economic pressures. It continues to promote productivity and sustainability across global agriculture, despite the constraints many farmers are facing. The company will further discuss these results and outlines during an upcoming earnings conference call.

The path to recovery remains complex, but Corteva is poised for sustainability in the evolving agricultural landscape. Stakeholders and investors are being provided ample information to navigate the changing market dynamics that surround the agricultural sector.

For more information on Corteva's offerings and to stay updated on its performance, visit Corteva's official website.