Corteva’s Third-Quarter Sales Fall 9% on Brazil Weakness

Corteva swung to a pro forma loss of $56 million, or 8 cents a share, compared with a year-earlier profit of $58 million, or 9 cents a share. Adjusted pro forma earnings were 6 cents a share.

The company said its Latin America unit faced pricing pressure from competition on molecules late in their lifecycle. In Brazil, farmer liquidity constraints, elevated financing costs, just-in-time purchasing and increased pricing pressure weakened crop-protection markets. Volume was flat overall, with growth in every region except Latin America. In North America, pricing for the herbicide acetochlor weighed on results.

Corteva now expects pro forma adjusted operating earnings per share of 76 cents to 80 cents. FactSet-polled analysts had expected 60 cents a share. The guidance reflects the company’s expectations after Vylor became an independent company on Oct. 1; Corteva has since focused exclusively on crop protection.

Corteva shares fell 6.6% to $11.34 in post-market trading Wednesday. The company and its subsidiary EIDP said Tuesday that they would delay their quarterly filing, citing the need for more time to complete processes related to the spinoff.