DuPont De Nemours (DD) Q4 2025 earnings summary

Executive summary

• Fourth quarter and full-year 2025 results exceeded guidance, driven by strong operational discipline, productivity, and portfolio transformation, including the separation of Qnity Electronics and divestiture of the Aramids business.

• Organic sales growth in FY25 was led by healthcare and water end-markets, offsetting construction softness.

• Executed $500 million accelerated share repurchase in Q4 2025 and set clear medium-term financial targets.

• Q4 2025 GAAP loss from continuing operations was $(108) million; full year GAAP income was $98 million.

• Strategic priorities for 2026 focus on above-market organic growth, business system enhancement, and balanced capital allocation.

Financial highlights

• Full-year 2025 net sales were $6.8 billion, up 2% year-over-year; operating EBITDA was $1.63 billion (margin 23.8%), up 6%; adjusted EPS was $1.68, up 16% year-over-year.

• Q4 2025 net sales were $1.7 billion (flat YoY); operating EBITDA was $409 million (margin 24.2%), up 4%; adjusted EPS was $0.46, up 18%.

• Transaction-adjusted free cash flow for FY25 was $689 million (98% conversion); Q4 2025 was $228 million (118% conversion).

• Q4 2025 cash provided by operating activities was $87 million; full year was $560 million.

• Significant non-recurring items in 2025 included $203 million in acquisition, integration, and separation costs, $151 million in restructuring charges, and $114 million in debt extinguishment losses.

Outlook and guidance

• 2026 guidance: net sales $7.08–$7.14 billion, organic sales growth of ~3%, operating margin expansion of 60–80 basis points, adjusted EPS of $2.25–$2.30.

• Free cash flow conversion expected to exceed 90%.

• Q1 2026 guidance: net sales ~$1.67 billion, operating EBITDA ~$395 million, adjusted EPS ~$0.48.

• Medium-term (FY25–FY28): 3–4% CAGR organic net sales, 150–200bps EBITDA margin improvement, 8–10% adjusted EPS CAGR.

• Healthcare and Water expected to grow mid-single digits; Diversified Industrials to grow low single digits in 2026.