Corteva shares drop 24.1% after Q3 profit misses estimates
Corteva's adjusted EPS of 6 cents missed the 10 cents consensus estimate, and revenue of $1.59 billion fell short of the $1.8 billion estimate. The company updated its 2026 guidance.
Key takeaways
- Corteva (CTVA) reported third-quarter adjusted earnings of 6 cents per share, missing the 10 cents consensus estimate, and revenue of $1.59 billion, below the $1.8 billion estimate. The company updated full-year 2026 guidance, citing weaker conditions in Brazil. Adjusted operating EBITDA was $222 million.
Corteva (CTVA) posted third-quarter adjusted earnings of 6 cents per share against 10 cents consensus, and revenue of $1.59 billion against $1.8 billion consensus. It also updated full-year 2026 guidance.
Shares fell 24.1% since the previous close, from a $12.14 close, last trading at $9.22 at 3:59 p.m. ET.
Net sales fell 9% from a year earlier. Volume declined 2%, and pricing fell 7%, driven by competitive pressure on late-lifecycle molecules in Brazil and on U.S. acetochlor.
Here's how the company did:
- Adjusted EPS: 6 cents vs. 14 cents a year earlier, against 10 cents expected
- Revenue: $1.59 billion vs. $1.74 billion a year earlier, against $1.8 billion expected
- Adjusted operating EBITDA: $222 million vs. $268 million a year earlier
Adjusted operating EBITDA fell 17% from a year earlier. The pro forma GAAP loss from continuing operations after taxes was $54 million, versus income of $60 million a year earlier.
Updated 2026 guidance
The company cited weaker market conditions than previously anticipated, mainly in Brazil. It now expects adjusted pro forma operating EBITDA of $1.1 billion to $1.125 billion, and adjusted pro forma operating EPS of 76 cents to 80 cents per share.
Farmer liquidity constraints, higher financing costs and just-in-time purchasing have weighed on Brazil.
"Brazil was materially weaker than anticipated." CEO Luke Kissam said.
Segment results
North America organic sales rose 7%, with volume up 19%, as new product growth and early demand more than offset pricing headwinds from U.S. acetochlor.
EMEA organic sales rose 14%, driven by new and differentiated products.
Latin America organic sales fell 31%, with volumes down 24% and price down 7% amid competitive pressure on mature molecules.
Asia Pacific organic sales rose 5%, led by new products, which supported 7% volume growth.
Restructuring charges
The company expects $130 million to $140 million in net pre-tax restructuring charges during 2026, tied to its Crop Protection network of manufacturing and external partners. That work is expected to be substantially complete in 2028.