EX-99.2 3 cortevaq12024enrschedules.htm EX-99.2 Document

A-1
Corteva, Inc.
Consolidated Statements of Operations
(Dollars in millions, except per share amounts)


Three Months Ended
March 31,
20242023
Net sales$4,492 $4,884 
Cost of goods sold2,550 2,771 
Research and development expense332 316 
Selling, general and administrative expenses736 726 
Amortization of intangibles177 160 
Restructuring and asset related charges - net75 33 
Other income (expense) - net(99)(71)
Interest expense41 31 
Income (loss) from continuing operations before income taxes482 776 
Provision for (benefit from) income taxes on continuing operations106 169 
Income (loss) from continuing operations after income taxes376 607 
Income (loss) from discontinued operations after income taxes47 (8)
Net income (loss)423 599 
Net income (loss) attributable to noncontrolling interests4 4 
Net income (loss) attributable to Corteva$419 $595 
Basic earnings (loss) per share of common stock:
Basic earnings (loss) per share of common stock from continuing operations$0.53 $0.85 
Basic earnings (loss) per share of common stock from discontinued operations0.07 (0.01)
Basic earnings (loss) per share of common stock$0.60 $0.84 
Diluted earnings (loss) per share of common stock:
Diluted earnings (loss) per share of common stock from continuing operations$0.53 $0.84 
Diluted earnings (loss) per share of common stock from discontinued operations0.07 (0.01)
Diluted earnings (loss) per share of common stock$0.60 $0.83 
Average number of shares outstanding used in earnings (loss) per share (EPS) calculation (in millions)
Basic700.4712.9
Diluted702.8716.2





A-2
Corteva, Inc.
Consolidated Balance Sheets
(Dollars in millions, except share amounts)
March 31, 2024December 31, 2023March 31, 2023
Assets
Current assets
Cash and cash equivalents$1,505 $2,644 $1,646 
Marketable securities153 98 85 
Accounts and notes receivable, net
7,906 5,488 8,678 
Inventories6,183 6,899 6,585 
Other current assets1,416 1,131 1,335 
Total current assets17,163 16,260 18,329 
Investment in nonconsolidated affiliates123 115 87 
Property, plant and equipment9,013 8,956 8,633 
Less: Accumulated depreciation4,807 4,669 4,362 
Net property, plant and equipment4,206 4,287 4,271 
Goodwill10,553 10,605 10,508 
Other intangible assets9,446 9,626 10,137 
Deferred income taxes551 584 508 
Other assets1,583 1,519 1,660 
Total Assets$43,625 $42,996 $45,500 
Liabilities and Equity
Current liabilities
Short-term borrowings and finance lease obligations$2,148 $198 $3,787 
Accounts payable3,606 4,280 3,957 
Income taxes payable311 174 298 
Deferred revenue2,694 3,406 2,712 
Accrued and other current liabilities2,573 2,351 2,477 
Total current liabilities11,332 10,409 13,231 
Long-term debt2,492 2,291 1,241 
Other noncurrent liabilities
Deferred income tax liabilities753 899 1,255 
Pension and other post employment benefits - noncurrent2,453 2,467 2,242 
Other noncurrent obligations1,587 1,651 1,692 
Total noncurrent liabilities7,285 7,308 6,430 
Commitments and contingent liabilities
Stockholders' equity
Common stock, $0.01 par value; 1,666,667,000 shares authorized; issued at March 31, 2024 - 697,800,000; December 31, 2023 - 701,260,000; and March 31, 2023 - 710,678,0007 7 7 
Additional paid-in capital27,468 27,748 27,844 
Retained earnings (accumulated deficit)302 (41)487 
Accumulated other comprehensive income (loss)(3,010)(2,677)(2,739)
Total Corteva stockholders' equity24,767 25,037 25,599 
Noncontrolling interests241 242 240 
Total equity25,008 25,279 25,839 
Total Liabilities and Equity$43,625 $42,996 $45,500 

A-3
Corteva, Inc.
Consolidated Statement of Cash Flows
(Dollars in millions, except per share amounts)

Three Months Ended
March 31,
20242023
Operating activities
Net income (loss)$423 $599 
(Income) loss from discontinued operations after income taxes(47)8 
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities:
Depreciation and amortization307 287 
Provision for (benefit from) deferred income tax(152)(85)
Net periodic pension and OPEB (credits) costs
41 36 
Pension and OPEB contributions(53)(50)
Net (gain) loss on sales of property, businesses, consolidated companies, and investments(5)1 
Restructuring and asset related charges - net75 33 
Other net loss141 48 
Changes in operating assets and liabilities, net
Accounts and notes receivable(2,546)(2,705)
Inventories618 324 
Accounts payable(615)(907)
Deferred revenue(700)(685)
Other assets and liabilities(93)(206)
Cash provided by (used for) operating activities - continuing operations(2,606)(3,302)
Cash provided by (used for) operating activities - discontinued operations(3)(9)
Cash provided by (used for) operating activities(2,609)(3,311)
Investing activities
Capital expenditures(148)(151)
Proceeds from sales of property, businesses, and consolidated companies - net of cash divested5 21 
Acquisitions of businesses - net of cash acquired— (1,463)
Investments in and loans to nonconsolidated affiliates— — 
Purchases of investments(132)— 
Proceeds from sales and maturities of investments7 40 
Proceeds from settlement of net investment hedge— 42 
Other investing activities, net(2)— 
Cash provided by (used for) investing activities(270)(1,511)
Financing activities
Net change in borrowings (less than 90 days) 656 3,084 
Proceeds from debt1,675 626 
Payments on debt(190)(56)
Repurchase of common stock(252)(252)
Proceeds from exercise of stock options8 7 
Dividends paid to stockholders(112)(107)
Other financing activities, net(19)(28)
Cash provided by (used for) financing activities1,766 3,274 
Effect of exchange rate changes on cash, cash equivalents and restricted cash equivalents(31)(2)
Increase (decrease) in cash, cash equivalents and restricted cash equivalents(1,144)(1,550)
Cash, cash equivalents and restricted cash equivalents at beginning of period3,158 3,618 
Cash, cash equivalents and restricted cash equivalents at end of period$2,014 $2,068 

A-4
Corteva, Inc.
Consolidated Segment Information
(Dollars in millions, except per share amounts)

Three Months Ended
March 31,
SEGMENT NET SALES - SEED20242023
    Corn$2,087 $1,979 
    Soybean292 269 
    Other oilseeds245 301 
    Other127 146 
Seed$2,751 $2,695 
Three Months Ended
March 31,
SEGMENT NET SALES - CROP PROTECTION20242023
    Herbicides$886 $1,242 
    Insecticides373 409 
    Fungicides295 359 
    Other187 179 
Crop Protection$1,741 $2,189 
Three Months Ended
March 31,
GEOGRAPHIC NET SALES - SEED20242023
North America 1
$1,471 $1,323 
EMEA 2
918 1,012 
Latin America
271 259 
Asia Pacific
91 101 
Rest of World 3
1,280 1,372 
Net Sales$2,751 $2,695 
Three Months Ended
March 31,
GEOGRAPHIC NET SALES - CROP PROTECTION20242023
North America 1
$616 $879 
EMEA 2
670 801 
Latin America
244 293 
Asia Pacific
211 216 
Rest of World 3
1,125 1,310 
Net Sales$1,741 $2,189 
1. Reflects U.S. & Canada
2. Reflects Europe, Middle East, and Africa
3. Reflects EMEA, Latin America, and Asia Pacific



A-5
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
Three Months Ended
March 31,
2024
Net Sales (GAAP)$4,492 
Add: Impacts from Currency and Portfolio84 
Organic Sales (Non-GAAP)$4,576 
Three Months Ended
March 31,
OPERATING EBITDA20242023
Seed$748 $652 
Crop Protection310 603 
Corporate Expenses(24)(24)
Operating EBITDA (Non-GAAP)$1,034 $1,231 
RECONCILIATION OF INCOME (LOSS) FROM CONTINUING OPERATIONS AFTER INCOME TAXES TO OPERATING EBITDAThree Months Ended
March 31,
20242023
Income (loss) from continuing operations after income taxes (GAAP)$376 $607 
Provision for (benefit from) income taxes on continuing operations106 169 
Income (loss) from continuing operations before income taxes (GAAP)482 776 
Depreciation and amortization307 287 
Interest income(35)(40)
Interest expense41 31 
Exchange (gains) losses1
59 36 
Non-operating (benefits) costs2
52 43 
Mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges1 15 
Significant items (benefit) charge3
127 83 
Operating EBITDA (Non-GAAP)$1,034 $1,231 

1.Refer to page A-12 for pre-tax and after tax impacts of exchange (gains) losses.
2.Non-operating (benefits) costs consists of non-operating pension and other post-employment benefit (OPEB) credits (costs), tax indemnification adjustments, and environmental remediation and legal costs associated with legacy businesses and sites of Historical DuPont. Tax indemnification adjustments relate to changes in indemnification balances, as a result of the application of the terms of the Tax Matters Agreement, between Corteva and Dow and/or DuPont that are recorded by the Company as pre-tax income or expense.
3.Refer to page A-8 for pre-tax and after tax impacts of significant items.

A-6
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
PRICE - VOLUME - CURRENCY ANALYSIS
REGION
Q1 2024 vs. Q1 2023Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$(115)(5)%$(119)(5)%— %(5)%— %— %
EMEA2
(225)(12)%(103)(6)%7 %(13)%(5)%(1)%
Latin America
(37)(7)%(81)(15)%(4)%(11)%4 %4 %
Asia Pacific
(15)(5)%(5)(2)%1 %(3)%(4)%1 %
Rest of World(277)(10)%(189)(7)%4 %(11)%(3)%— %
Total$(392)(8)%$(308)(6)%3 %(9)%(2)%— %
SEED
Q1 2024 vs. Q1 2023Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$148 11 %$147 11 %3 %8 %— %— %
EMEA2
(94)(9)%2 — %10 %(10)%(5)%(4)%
Latin America
12 5 %(2)(1)%6 %(7)%6 %— %
Asia Pacific
(10)(10)%(5)(5)%8 %(13)%(5)%— %
Rest of World(92)(7)%(5)(1)%9 %(10)%(3)%(3)%
Total$56 2 %$142 5 %6 %(1)%(2)%(1)%
CROP PROTECTION
Q1 2024 vs. Q1 2023Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$(263)(30)%$(266)(30)%(5)%(25)%— %— %
EMEA
(131)(16)%(105)(13)%4 %(17)%(4)%1 %
Latin America
(49)(17)%(79)(27)%(13)%(14)%3 %7 %
Asia Pacific
(5)(2)%— — %(2)%2 %(3)%1 %
Rest of World(185)(14)%(184)(14)%(1)%(13)%(2)%2 %
Total$(448)(20)%$(450)(21)%(3)%(18)%(1)%2 %

A-7
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
SEED PRODUCT LINE
Q1 2024 vs. Q1 2023Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
Corn2
$108 5 %$149 8 %7 %1 %(2)%(1)%
Soybeans23 9 %23 9 %2 %7 %— %— %
Other oilseeds2
(56)(19)%(9)(3)%10 %(13)%(7)%(9)%
Other(19)(13)%(21)(14)%(1)%(13)%1 %— %
Total $56 2 %$142 5 %6 %(1)%(2)%(1)%
CROP PROTECTION PRODUCT LINE
Q1 2024 vs. Q1 2023Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
Herbicides$(356)(29)%$(355)(29)%(4)%(25)%— %— %
Insecticides(36)(9)%(16)(4)%1 %(5)%(5)%— %
Fungicides(64)(18)%(57)(16)%(1)%(15)%(2)%— %
Other8 4 %(22)(12)%(4)%(8)%(2)%18 %
Total$(448)(20)%$(450)(21)%(3)%(18)%(1)%2 %

1.Organic sales is defined as price and volume and excludes currency and portfolio and other impacts, including significant items.
2.Other during the three months ended March 31, 2023 includes the revenue recognized relating to seed sales associated with the Russia Exit. Refer to schedule A-8 for further detail on significant items.


A-8
Corteva, Inc.
Significant Items
(Dollars in millions, except per share amounts)
SIGNIFICANT ITEMS BY SEGMENT (PRE-TAX)
Three Months Ended March 31,
20242023
Seed$(16)$(6)
Crop Protection(97)(71)
Corporate(14)(6)
Total significant items before income taxes$(127)$(83)
SIGNIFICANT ITEMS - PRE-TAX, AFTER TAX, AND EPS IMPACTS
Pre-tax
After tax5
($ Per Share)
202420232024202320242023
1st Quarter
Restructuring and asset related charges, net1
$(75)$(33)$(56)$(25)$(0.08)$(0.03)
Estimated settlement expense2
(54)(49)(41)(37)(0.06)(0.05)
Inventory write-offs3
— (4)— (4)— (0.01)
Gain (loss) on sale of assets and equity investments3
4 3 3 1 0.01 — 
Seed sale associated with Russia Exit3
— 19 — 14 — 0.02 
Acquisition-related costs4
(2)(19)(1)(17)— (0.02)
1st Quarter — Total
$(127)$(83)$(95)$(68)$(0.13)$(0.09)

1.First quarter 2024 includes restructuring and asset related benefits (charges) of $(75). The charges primarily relate to a $(55) charge associated with the Crop Protection Operations Strategy Restructuring Program and a $(20) charge related to non-cash accelerated prepaid royalty amortization expense related to Roundup Ready 2 Yield® and Roundup Ready 2 Xtend® herbicide tolerance traits.

First quarter 2023 includes restructuring and asset related benefits (charges) of $(33). The charges primarily relate to a $(11) charge associated with the 2022 Restructuring Actions and a $(16) charge related to non-cash accelerated prepaid royalty amortization expense related to Roundup Ready 2 Yield® and Roundup Ready 2 Xtend® herbicide tolerance traits.

2.First quarter 2024 and 2023 included estimated Lorsban® related charges of $(54) and $(49), respectively.

3.First quarter 2024 includes a benefit of $4 relating related to the 2022 Restructuring Actions consisting of a gain on the sale of assets. First quarter 2023 includes a benefit of $19 relating to the sale of seeds already under production in Russia when the decision to exit the country was made and that the Company was contractually required to purchase, which consisted of $41 of net sales and $22 of cost of goods sold. First quarter 2023 also includes a benefit (charge) of $(11) and $(4) associated with activities related to the 2022 Restructuring Actions consisting of a loss on the sale of the Company's interest in an equity investment and inventory write-offs.

4.First quarter 2024 and 2023 includes acquisition-related costs relating to third-party integration costs associated with the completed acquisitions of Stoller and Symborg. The first quarter 2023 also includes transaction costs and the recognition of the inventory fair value step-up.

5.Unless specifically addressed in the notes above, the income tax effect on significant items was calculated based upon the enacted laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment.

A-9
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
Operating Earnings (Loss) Per Share (Non-GAAP)
Operating earnings (loss) per share is defined as earnings (loss) per share from continuing operations – diluted, excluding non-operating (benefits) costs, amortization of intangibles (existing as of Separation), net unrealized gain or loss from mark-to-market activity on certain foreign currency derivative instruments that do not qualify for hedge accounting, and significant items.
Three Months Ended March,
2024202320242023
$$EPS (diluted)EPS (diluted)
Net income (loss) from continuing operations attributable to Corteva (GAAP)$372 $603 $0.53 $0.84 
Less: Non-operating benefits (costs), after tax 1
(40)(33)(0.06)(0.05)
Less: Amortization of intangibles (existing as of Separation), after tax(117)(118)(0.17)(0.16)
Less: Mark-to-market gains (losses) on certain foreign currency contracts not designated as hedges, after tax(1)(11)— (0.02)
Less: Significant items benefit (charge), after tax(95)(68)(0.13)(0.09)
Operating Earnings (Loss) (Non-GAAP)2
$625 $833 $0.89 $1.16 

1.Non-operating benefits (costs) consists of non-operating pension and other post-employment benefit (OPEB) credits (costs), tax indemnification adjustments, and environmental remediation and legal costs associated with legacy businesses and sites of Historical DuPont. Tax indemnification adjustments relate to changes in indemnification balances, as a result of the application of the terms of the Tax Matters Agreement, between Corteva and Dow and/or DuPont that are recorded by the Company as pre-tax income or expense.

2.Refer to page A-10 for the Non-GAAP reconciliation of operating EBITDA to operating earnings (loss) per share.



A-10
Corteva, Inc.
Operating EBITDA to Operating Earnings (Loss) Per Share
(Dollars in millions, except per share amounts)

Operating EBITDA to Operating Earnings (Loss) Per Share
Three Months Ended
March 31,
20242023
Operating EBITDA (Non-GAAP)1
$1,034 $1,231 
Depreciation(130)(127)
Amortization of intangibles (post Separation)(23)(6)
Interest Income35 40 
Interest Expense(41)(31)
(Provision for) benefit from income taxes on continuing operations before significant items, non-operating benefits (costs), amortization of intangibles (existing as of Separation), mark-to-market gains (losses) on certain foreign currency contracts not designated as hedges, and exchange gains (losses) (Non-GAAP)1
(194)(245)
Base income tax rate from continuing operations (Non-GAAP)1
22.1 %22.1 %
Exchange gains (losses), after tax2
(52)(25)
Net (income) loss attributable to non-controlling interests(4)(4)
Operating Earnings (Loss) (Non-GAAP)1
$625 $833 
Diluted Shares (in millions)702.8 716.2 
Operating Earnings (Loss) Per Share (Non-GAAP)1
$0.89 $1.16 

1.Refer to pages A-5 through A-7, A-9 and A-11 for Non-GAAP reconciliations.
2.Refer to page A-12 for pre-tax and after tax impacts of exchange gains (losses).





A-11
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)

Reconciliation of Base Income Tax Rate to Effective Income Tax Rate
Base income tax rate is defined as the effective income tax rate less the effect of exchange gains (losses), significant items, amortization of intangibles (existing as of Separation), mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges, and non-operating (benefits) costs.
Three Months Ended
March 31,
20242023
Income (loss) from continuing operations before income taxes (GAAP)
$482 $776 
Add: Significant items (benefit) charge 1
127 83 
           Non-operating (benefits) costs52 43 
           Amortization of intangibles (existing as of Separation)154 154 
  Mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges1 15 
Less: Exchange gains (losses)2
(59)(36)
Income (loss) from continuing operations before income taxes, significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges, and exchange gains (losses) (Non-GAAP)
$875 $1,107 
Provision for (benefit from) income taxes on continuing operations (GAAP)
$106 $169 
Add: Tax benefits on significant items (benefit) charge1
32 15 
          Tax expenses on non-operating (benefits) costs12 10 
          Tax benefits on amortization of intangibles (existing as of Separation)37 36 
 Tax benefits on mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges— 4 
          Tax benefits on exchange gains (losses)2
7 11 
Provision for (benefit from) income taxes on continuing operations before significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges, and exchange gains (losses) (Non-GAAP)
$194 $245 
Effective income tax rate (GAAP)
22.0 %21.8 %
Significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), and mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges effect0.9 %— %
Tax rate from continuing operations before significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), and mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges22.9 %21.8 %
Exchange gains (losses), net effect2
(0.8)%0.4 %
Base income tax rate from continuing operations (Non-GAAP)
22.1 %22.1 %
1. See page A-8 for further detail on the Significant Items.
2. See page A-12 for further details of exchange gains (losses).



A-12
Corteva, Inc.
(Dollars in millions, except per share amounts)
Exchange Gains (Losses)
The Company routinely uses foreign currency exchange contracts to offset its net exposures, by currency, related to the foreign currency-denominated monetary assets and liabilities. The objective of this program is to maintain an approximately balanced position in foreign currencies in order to minimize, on an after-tax basis, the effects of exchange rate changes on net monetary asset positions. The hedging program gains (losses) are largely taxable (tax deductible) in the United States (U.S.), whereas the offsetting exchange gains (losses) on the remeasurement of the net monetary asset positions are often not taxable (tax deductible) in their local jurisdictions. The net pre-tax exchange gains (losses) are recorded in other income (expense) - net and the related tax impact is recorded in provision for (benefit from) income taxes on continuing operations in the Consolidated Statements of Operations.
Three Months Ended
March 31,
20242023
Subsidiary Monetary Position Gain (Loss)
Pre-tax exchange gains (losses)$23 $(30)
Local tax (expenses) benefits(10)9 
Net after tax impact from subsidiary exchange gains (losses)$13 $(21)
Hedging Program Gain (Loss)
Pre-tax exchange gains (losses)$(82)$(6)
Tax (expenses) benefits17 2 
Net after tax impact from hedging program exchange gains (losses) $(65)$(4)
Total Exchange Gain (Loss)
Pre-tax exchange gains (losses) $(59)$(36)
Tax (expenses) benefits7 11 
Net after tax exchange gains (losses)$(52)$(25)
Non-Controlling Interest Adjustment$1 $— 
Net after-tax exchange gain (loss) attributable to Corteva$(51)$(25)
As shown above, the "Total Exchange Gain (Loss)" is the sum of the "Subsidiary Monetary Position Gain (Loss)" and the "Hedging Program Gain (Loss)."


A-13
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)



Free Cash Flow (Non-GAAP)
Free Cash Flow is defined as cash provided by (used for) operating activities – continuing operations, less capital expenditures.
Twelve Months Ended
December 31, 2023
Cash provided by (used for) operating activities - continuing operations (GAAP)$1,809 
    Less: Capital expenditures(595)
Free Cash Flow (Non-GAAP)$1,214 

Twelve Months Ended
December 31, 20241
Low EndHigh End
Cash provided by (used for) operating activities - continuing operations (GAAP)$2,130 $2,630 
    Less: Capital expenditures(630)(630)
Free Cash Flow (Non-GAAP)$1,500 $2,000 

1.This represents the reconciliation of the Company's range provided for its forward-looking non-GAAP financial measure relating to Free Cash Flow.