Rachel Leon

Rachel Leoff asked for more color on the expectation for organic sales growth across all regions in 2026 and Q1, specifically how it compares to GDP and the drivers of North America's improvement. She also inquired about the level of visibility for order books across the healthcare portfolio.

Answer

Lori Koch, CEO, confirmed expected organic growth across all regions in Q1 and full year. She noted that North America's improvement, driven by the Shelter business transitioning from slightly negative to flat, is a key factor in the overall organic growth acceleration from 2% in Q1 to 3% for the full year. Regarding order book visibility, she stated that the company typically starts each month with about 80% of orders on the books and each quarter with about 50%, with Shelter having the shortest cycle and Aerospace/Water the longest.

Rachel Leon, on behalf of Patrick Cunningham, asked if the "just-in-time" purchasing behavior seen in recent quarters is the new norm and if Corteva plans to adjust its strategy accordingly.

Answer

EVP Robert King (Crop Protection) confirmed that this behavior is considered the new norm, driven by high interest rates that make holding inventory costly for the channel and farmers. He stated that Corteva is prepared for this behavior to continue as long as the current economic conditions and high product availability persist.