Corteva raises FY 2026 outlook to $3.80 as seed demand drives growth

Corteva reported first-half operating EPS of $3.80, up 14%, and raised its full-year guidance on strong seed technology demand.

"The strong first half was fueled by demand for next-gen Seed technologies and differentiated Crop Protection products," Chief Executive Officer Chuck Magro said.

First-half net sales rose 4% to $11.28 billion, with Seed revenue up 4% to $7.56 billion and Crop Protection up 3% to $3.73 billion. Operating EBITDA reached $3.70 billion, up 10% from a year earlier. The company now expects full-year operating EPS of $3.60 to $3.80, up from a prior range of $3.45 to $3.70, and operating EBITDA of $4.1 billion to $4.3 billion.

The guidance raise reflects management's confidence in sustained demand for advanced seed genetics and differentiated crop protection products. Corteva confirmed it remains on track to spin off Vylor on Oct. 1, a separation that will create two publicly traded agriculture companies.

Seed operating EBITDA rose 11% in the first half to $3.00 billion, with margin improving by more than 235 basis points. Price/mix gains of 3% were led by North America, reflecting demand for top technology and increased out-licensing income. Volume was flat as higher soybean area in North America offset lower corn area.

Crop Protection operating EBITDA rose 9% to $776 million, with margin improving by more than 120 basis points. Volume increased 2%, driven by demand for new products, while price declined 3% primarily due to competitive dynamics in Latin America.

Corteva said it expects to complete the Vylor spin-off on Oct. 1, with key milestones including board approval of final capital structures and an investor day at the New York Stock Exchange on Sept. 15. The separation will position Corteva and Vylor as independent pure-play agriculture companies competing with peers including Bayer's crop science division and FMC Corp.

The raised guidance signals that management expects seed technology adoption to continue accelerating as farmers prioritize yield-enhancing investments. Investors will watch the Sept. 15 investor day for details on both companies' capital structures and growth strategies.

This article is for informational purposes only and does not constitute investment advice.