Corteva strong 4Q driven by record crop demand, disciplined execution

• Full-year 2024 results in-line with expectations on technology demand and controllable levers

• Strong 4Q volume gains across both businesses, notably in Brazil, reflects growing momentum

• Full-year 2025 guidance3 refined for currency impact from the strengthening U.S. dollar

Corteva, Inc. (NYSE: CTVA) ("Corteva" or the "Company") reported financial results for the fourth quarter and full-year ended December 31, 2024.

Full-Year 2024 Highlights

• Net sales declined 2% versus prior year. Organic¹ sales increased 1% in the same period with gains in North America², Latin America and Asia Pacific offset by declines in EMEA².

  
  

• Seed net sales increased 1% and organic¹ sales increased 4%. Price was up 3% led by North America² and EMEA² with continued execution on the Company's price for value strategy. Volume increased 1%, primarily reflecting the expected increase in Safrinha corn planted area in Brazil and market share gains in North America².

  
  

• Crop Protection net sales decreased 5% and organic¹ sales decreased 2%. Price declined 5% primarily due to the market dynamics in Latin America. Volume increased 3%, driven by growth in Latin America on demand for new products and spinosyns, partially offset by weather and destocking impacts in EMEA², as well as just-in-time purchasing behavior in North America².

  
  

• GAAP income and earnings per share (EPS) from continuing operations were $863 million and $1.22 per share, respectively.

  
  

• Operating EBITDA¹ and Operating EPS¹ were $3.4 billion, and $2.57 per share, respectively.

  
  

• Cash provided by operating activities – continuing operations was $2.3 billion, up 27% compared to prior year. Free cash flow1 was $1.7 billion, a 40% improvement over prior year. Strong cash performance supported total cash returned to shareholders of $1.5 billion.

  
  

• The Company refined full-year 2025 guidance³ and expects net sales in the range of $17.2 to $17.6 billion. Operating EBITDA¹ is expected to be $3.6 to $3.8 billion. Operating EPS¹ is expected to be $2.70 to $2.95 per share.

  
  

• The Company expects to repurchase approximately $1 billion of shares during 2025.

"Our results for full year 2024 reflect our focus on disciplined execution: despite less-than-ideal market conditions, Corteva was able to generate strong cash from operations for the year and deliver record results in the fourth quarter.

As we look ahead to 2025, we acknowledge the fluid macro environment but still see ag market fundamentals improving – specifically, we see continued record demand for core crops and recovering grain prices and farm margins.

Against this backdrop, we anticipate another year of growth and value creation, driven once again by Corteva's groundbreaking technology and the return it provides to farmers worldwide."

Chuck Magro

Chief Executive Officer

Summary of Fourth Quarter 2024

For the fourth quarter ended December 31, 2024, net sales increased 7% versus the same period last year. Organic1 sales increased 13%.

Volume was up 17% versus the prior-year period on growth in both Crop Protection and Seed. Crop Protection volume increased 16% over the prior year driven primarily by Latin America on demand for new products, spinosyns, and biologicals.  Seed volume increased 19% versus prior year due to the expected increase in Safrinha corn planted area in Brazil.

Price declined 4% versus prior year, reflecting expected lower Seed pricing in Brazil, as well as competitive price dynamics in Crop Protection, primarily in Latin America.

GAAP income from continuing operations after income taxes was a loss of $50 million in fourth quarter of 2024 compared to a loss of $231 million in fourth quarter of 2023. Operating EBITDA1 for the fourth quarter of 2024 was $525 million, up 36% compared to prior year, translating into approximately 280 basis points of Operating EBITDA¹ margin improvement.

Seed Summary

Seed net sales were $1.8 billion in the fourth quarter of 2024, up from $1.6 billion in the fourth quarter of 2023. The sales increase reflects a 19% increase in volume, a 3% decline in price and an 8% unfavorable impact from currency.

Volume growth in the quarter reflects the expected increase in Safrinha corn planted area in Brazil, while the decline in price is due primarily to competitive pressure in Latin America.  Unfavorable currency impacts were led by the Brazilian Real.

Segment operating EBITDA was $93 million in the fourth quarter of 2024, down 36% from the fourth quarter of 2023. Higher commodity and other cost of sales, price declines, and continued investment in R&D more than offset volume growth and ongoing cost and productivity actions. Segment operating EBITDA margin contracted by about 360 basis points versus the prior-year period.

Seed net sales were $9.5 billion for the full year of 2024, up 1% from the same period of 2023. The sales increase reflects a 3% increase in price and a 1% increase in volume, partially offset by a 2% unfavorable currency impact and a 1% unfavorable portfolio impact.

The increase in Seed price was driven by strong demand for top technology offerings and operational execution globally, with both global corn and soybean prices up 2%. Pricing actions more than offset currency impacts in EMEA2. Volume growth was driven primarily by the expected increase in Safrinha corn planted area in Brazil and share gains in North America, partially offset by reduced corn planted area in Argentina and unfavorable weather and reduced planted area in EMEA2.  Unfavorable currency impacts were led by the Brazilian Real and the Turkish Lira.

Segment operating EBITDA was $2.2 billion for the full year of 2024, up 5% from the same period of 2023. Price execution and market share gains in North America, reduction of net royalty expense, and ongoing cost and productivity actions more than offset the investment in R&D, higher commodity costs, and the unfavorable impact of currency. Segment operating EBITDA margin improved by 90 basis points versus the prior-year period.

Crop Protection Summary

Crop Protection net sales were approximately $2.2 billion in the fourth quarter of 2024 compared to approximately $2.1 billion in the fourth quarter of 2023. The sales increase over the prior period reflects a 16% increase in volume, partially offset by a 5% price decline and a 5% unfavorable impact from currency.

The increase in volume was driven primarily by Latin America on demand for new products, spinosyns, and biologicals. The price decline was primarily due to the competitive pricing environment in Latin America.  Unfavorable currency impacts were led by the Brazilian Real.

Segment operating EBITDA was $461 million in the fourth quarter of 2024, up 73% from the fourth quarter of 2023. Raw material deflation, productivity savings, and volume growth more than offset price pressure. Segment operating EBITDA margin improved by approximately 800 basis points versus the prior-year period.

Crop Protection net sales were approximately $7.4 billion for the full year of 2024 compared to approximately $7.8 billion in the same period of 2023. The sales decrease reflects a 5% decline in price and a 3% unfavorable impact from currency, partially offset by a 3% increase in volume.

The price decline was primarily due to market dynamics in Latin America.  Unfavorable currency impacts were led by the Brazilian Real and the Turkish Lira.

The increase in volume was driven by volume growth in Latin America on demand for new products and spinosyns, partially offset by residual destocking and unfavorable weather impacts in EMEA2, as well as just-in-time purchasing behavior globally.

Segment operating EBITDA was $1.3 billion for the full year of 2024, down 7% from the same period last year. Pricing pressure and the unfavorable impact of currency, more than offset productivity savings, raw material deflation, and volume growth.  Segment operating EBITDA margin contracted by approximately 45 basis points versus the prior-year period.

2025 Guidance

Overall agriculture fundamentals remain constructive as record global consumption of corn and soybeans coupled with strong production in 2024 supported farm sector income levels.  Global grain prices are recovering, and global stocks-to-use levels of corn are the tightest they have been in over a decade.  On-farm demand remains strong as farmers continue to prioritize the need for top-tier technology to maximize their yields.  We are beginning to see stabilization in the Crop Protection industry, with continued volume gains in the fourth quarter, yet we expect price pressure will persist.  Finally, we expect the strong USD will impact the agricultural economy throughout 2025.

As a result, for full-year 2025, Corteva now expects net sales in the range of $17.2 billion to $17.6 billion, growth of 3% at the mid-point. Operating EBITDA¹ is expected to be $3.6 billion to $3.8 billion, growth of 10% at the mid-point. Operating EPS¹ is expected to be $2.70 to $2.95 per share, growth of 10% at the mid-point. The Company expects to repurchase approximately $1.0 billion of shares in 2025.

The Company is not able to reconcile its forward-looking non-GAAP financial measures, to its most comparable U.S. GAAP financial measures, as it is unable to predict with reasonable certainty items outside of its control, such as Significant Items, without unreasonable effort.

Fourth Quarter Conference Call

The Company will host a live webcast of its fourth quarter 2024 earnings conference call with investors to discuss its results and outlook tomorrow, February 6, 2025, at 9:00 a.m. ET. The slide presentation that accompanies the conference call is posted on the Company's Investor Events and Presentations page. A replay of the webcast will also be available on the Investor Events and Presentations page.

1. Organic Sales, Operating EPS, Operating EBITDA, and Free Cash Flow are non-GAAP measures. See page 7 for further discussion. 2. North America is defined as U.S. and Canada. EMEA is defined as Europe, Middle East and Africa. 3. The Company

does not provide the most comparable GAAP measure on a forward-looking basis. See page 5 for further discussion.