Corteva Q3 revenue misses estimates as Brazil weakness prompts guidance cut
Corteva's third quarter revenue fell 9% to $1.59 billion, missing Wall Street estimates of $1.77 billion, while shares plunged more than 20% after the company lowered its annual profit outlook.
The agricultural company reported adjusted earnings of $0.06 per share, below analyst estimates of $0.10. The company recorded a GAAP loss from continuing operations of $54 million, compared with a $60 million profit a year earlier. Adjusted operating EBITDA declined 17% to $222 million, with margins falling 140 basis points to 14%.
Brazil Market Deterioration
Latin American organic sales fell 31%, driven by lower demand in Brazil as elevated financing costs, tight farmer liquidity and excess inventories delayed purchasing decisions. The decline offset organic sales growth of 7% in North America, 14% in Europe, the Middle East and Africa, and 5% in Asia Pacific.
Conditions in Brazil deteriorated faster and more severely than anticipated, with elevated inventories expected to reduce 2026 operating profit by approximately $100 million.
Reduced Guidance
Corteva lowered its full year adjusted operating EBITDA forecast to between $1.1 billion and $1.125 billion, down from approximately $1.3 billion previously. The company now expects adjusted earnings of $0.76 to $0.80 per share. Corteva shares fell more than 20% on Thursday, reaching their lowest level in more than a year following the earnings release.
Business Restructuring
The results mark Corteva's first quarterly report since separating its seed and genetics business into Vylor on October 1, leaving the company focused on crop protection products.
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