Research Analyst at Deutsche Bank
Emily Fusco is a Senior Advisor specializing in Specialty Formulary Product Development, bringing over four years of advisory experience in the sector. She has been involved in product strategy and development, but there is currently no publicly available information linking her to Deutsche Bank or indicating coverage of specific companies or tracked performance metrics such as success rates or rankings. Her career history indicates advisory roles, yet detailed credentials such as FINRA registration or securities licenses, as well as notable recognitions, are not found in public sources. Without direct evidence of her analyst position at Deutsche Bank or comprehensive track record data, a full professional profile with quantitative performance metrics cannot be established.
Emily Fusco asked for more details regarding the reduction in H.B. Fuller's cash flow guidance.
CFO John Corkrean explained that the reduction in cash flow guidance is primarily due to higher inventory levels, which are a temporary measure taken in preparation for manufacturing footprint consolidation actions.
Emily Fusco asked for more details regarding the reduction in H.B. Fuller's cash flow guidance for fiscal year 2025.
John Corkrean, Executive Vice President and Chief Financial Officer, explained that the reduction in cash flow guidance is primarily due to higher inventory levels in preparation for manufacturing footprint optimization, which temporarily increases working capital. He noted these higher inventory levels are temporary.
Emily Fusco asked for more details regarding the reduction in H.B. Fuller's cash flow guidance.
John Corkrean, Executive Vice President and Chief Financial Officer, explained that the reduction was primarily due to increased inventory levels held in preparation for manufacturing footprint optimization, noting these higher inventory levels are temporary.
Emily Fusco, on for Dave Begleiter, asked how Corteva is positioned for a potential shift in Chinese soybean imports from the U.S. to Brazil and about the profitability difference between U.S. and Brazilian soybean sales.
CEO Chuck Magro stated that U.S. soybean production is essential for global supply as Brazil and Argentina cannot meet total demand alone. Judd O'Connor, EVP, Seed business unit, addressed profitability by noting that current economics favor corn in both regions. He added that for Corteva, a one-million-acre shift from soybeans to corn typically adds $10-15 million in EBITDA, and current order books support this shift.
On behalf of Dave Begleiter, Emily Fusco asked for an early preview of where the recently doubled cost savings target of $100 million would be sourced from.
CEO Peter Huntsman stated that while the company is confident in achieving the new $100 million target, he preferred not to announce specific details until they are finalized. He did, however, hint that the actions would involve calibrating the cost structure to market realities, particularly in Europe, and promised more color on the initiatives as the quarter progresses.
Speaking on behalf of David Begleiter, Emily Fusco asked if the weakness in the North American DIY market was worsening and what the outlook was for the remainder of the year.
Executive Heidi Petz responded that the DIY segment is not getting worse but remains 'under pressure and bumping around a bit.' She affirmed its importance to the long-term strategy. Executive James Jaye added that an uptick in existing home sales would be a key catalyst for improving DIY demand.
Emily Fusco, on behalf of David Begleiter, asked about IFF's expectations for input cost inflation in the coming year and how net pricing is anticipated to evolve throughout 2025.
CFO Michael DeVeau stated that input costs remain at historically high levels. He noted modest inflation in Taste and Scent (driven by naturals), some deflation in Food & Ingredients, and generally flat costs in Health & Biosciences. On a consolidated basis, the input cost basket is expected to be flat to slightly up. DeVeau added that IFF will collaborate with customers on mitigation strategies, including reformulation and price discussions, and expects the pricing contribution to be relatively consistent across all four quarters of 2025.