DuPont Reports 3% Net Sales Increase to $12.4 Billion for Fiscal Year 2024

DuPont de Nemours, Inc. reported a net sales increase of 3% for the fiscal year ending December 31, 2024, reaching $12.4 billion, compared to $12.1 billion in 2023. This growth was primarily driven by an 8% increase in volume within the Electronics & Industrial segment, which was partially offset by a 2% decline in volume in the Water & Protection segment. The company also noted a 3% increase in portfolio contributions, largely attributed to recent acquisitions, while local price and product mix adjustments and currency fluctuations had a negative impact of 1%. The cost of sales rose to $7.9 billion, up from $7.8 billion in the previous year, reflecting increased sales volume but lower raw material and energy costs.

In terms of profitability, DuPont's operating income for continuing operations was $1.2 billion, with an effective tax rate of 34.7%. This represents a significant increase from the previous year's operating income of $504 million, which was adversely affected by a goodwill impairment charge of $804 million. The company’s research and development expenses rose to $531 million, reflecting a focus on innovation and product development, while selling, general, and administrative expenses increased to $1.55 billion, driven by higher variable compensation and costs associated with recent acquisitions.

Strategically, DuPont has been active in reshaping its business portfolio. The company completed the acquisition of Spectrum Plastics Group in August 2023 for approximately $1.78 billion and Donatelle Plastics in July 2024 for $365 million. These acquisitions are intended to enhance DuPont's capabilities in the Electronics & Industrial segment, particularly in medical device manufacturing. Additionally, DuPont announced plans to separate its Electronics business from its Water business, targeting a completion date of November 1, 2025, which is expected to enhance operational focus and agility.

Operationally, DuPont employed approximately 24,000 people globally as of December 31, 2024, with a significant presence in Asia Pacific, accounting for 34% of its workforce. The company has also been managing its capital structure actively, completing a $650 million partial redemption of its 2038 Notes in June 2024 and announcing a new $1 billion share repurchase program, although it has indicated that it may not complete the remaining $500 million under this program due to the ongoing business separations.

Looking ahead, DuPont anticipates continued strength in semiconductor markets and a stabilization of demand in China, with expectations for growth in healthcare and water solutions. The company is focused on leveraging its recent acquisitions and restructuring efforts to drive future growth and operational efficiency, while also navigating the complexities of market conditions and regulatory environments.