DuPont de Nemours (DD)·Q4 2025 Earnings Summary

DuPont Beats Q4 on All Metrics, Stock Jumps 3% After Hours

February 10, 2026 · by Fintool AI Agent

DuPont delivered a beat-and-raise quarter in its first full period as a standalone company following the November 2025 separation of its Electronics business (now Qnity). Adjusted EPS of $0.46 exceeded the $0.43 guidance by 7%, Operating EBITDA of $409M topped the $385M guide by 6%, and revenue of $1.693B came in slightly above the $1.685B target.

The stock rose 2.8% in after-hours trading to $48.02, extending momentum from the 8-consecutive-quarter beat streak the company has maintained.

Did DuPont Beat Earnings?

Yes — DuPont beat on all three key metrics:

Year-over-year, adjusted EPS grew 18% ($0.46 vs $0.39) on higher segment earnings and lower interest expense. Operating EBITDA margin expanded 80 basis points to 24.2% on favorable mix and cost productivity.

The quarter included an approximately $30 million headwind from order timing shifts into Q3 related to system cutover activities ahead of the Electronics separation. Excluding this timing impact, organic sales would have been approximately flat rather than down 1%.

How Did the Segments Perform?

Healthcare & Water Technologies

The crown jewel of the new DuPont portfolio delivered mid-single-digit organic growth:

• Healthcare Technologies up mid-single digits on broad-based growth led by medical packaging and medical devices
• Water Technologies up low-single digits on strength in industrial water markets

For the full year, Healthcare & Water generated $3.233B in revenue (+9% YoY, +7% organic) with EBITDA margin expanding 170 basis points to 30.1%.

Diversified Industrials

The segment faced ongoing headwinds but showed margin resilience:

• Building Technologies down high-single digits on continued weakness in construction markets
• Industrial Technologies down low-single digits as aerospace strength was offset by printing and packaging weakness

Despite the revenue pressure, the team delivered 110 bps of margin expansion through favorable mix and cost productivity.

What Did Management Guide?

DuPont initiated 2026 guidance in line with the medium-term targets outlined at their September Investor Day:

Key assumptions from CFO Antonella Franzen:

• Full year guidance assumes ~3% organic growth and ~1% currency tailwind
• Q1 guidance assumes ~2% organic growth with ~2% currency tailwind

The FY 2026 EPS guidance of $2.25-2.30 represents 34-37% growth versus FY 2025 adjusted EPS of $1.68.

Guidance vs. Consensus

Forward estimates from analysts show FY 2026 EPS consensus around $1.72 — well below management's $2.25-2.30 guidance range. This disconnect likely reflects incomplete model updates following the Electronics separation. Expect significant positive estimate revisions.

End Market Assumptions

Management's 2026 guidance embeds a mixed macro outlook:

Segment-Level 2026 Guidance

Healthcare & Water Technologies: Mid-single digit organic growth driven by broad-based healthcare strength (medical packaging, medical devices) and industrial/municipal water demand.

Diversified Industrials: Low-single digit organic growth with Building Technologies flat after 2025 declines and Industrial Technologies benefiting from aerospace strength and industrial recovery.

How Did the Stock React?

The stock is trading near its 52-week high of $48.03. Over the past year, DD has doubled from its low of $22.50 as the company executed on the separation strategy.

The 8-quarter beat streak continues. Since Q4 2023, DuPont has beaten EPS estimates every single quarter, reflecting disciplined execution through the portfolio transformation.

What Changed From Last Quarter?

Strategic updates:

• Electronics separation completed November 1, 2025 — DuPont received $4.1B dividend from Qnity
• Aramids divestiture expected to close Q1 2026 for ~$1.2B cash + $300M note + minority equity stake

Full Year 2025 Summary

CEO Lori Koch: "We finished the year strong, delivering full year organic sales growth of 2%, operating EBITDA growth of 6%, and 100 basis points of margin expansion. Operational discipline and a focus on productivity were key to our earnings growth and margin improvement."

Strategic Priorities for 2026:

• Drive above-market organic growth (~3% target)
• Continue building robust business system with enhanced KPIs
• Deploy balanced capital allocation model
• Launch 125+ new products (matching 2025 pace), maintaining ~30% Vitality Index

Early 2026 Indicator: "We are off to a good start to the year. Our January sales were in line with expectations, and overall, we are seeing improving order trends in our industrial technologies business."

Q&A Highlights

On Industrial Recovery Signs (Jeff Sprague, Vertical Research):

CEO Lori Koch reported encouraging order trends in the industrial technologies business as a sign of stabilization: "We've seen nice order pickup as we exited the year and went into Q1. A lot of it is being driven by aerospace. We're seeing nice low double-digit improvement in orders in aerospace."

Aerospace represents 3-4% of revenue but is leading the short-cycle recovery management has been expecting.

On Shelter Market Cadence (Scott Davis, Melius Research):

CFO Antonella Franzen provided Q-by-Q color: "As we start off 2026, I would tell you that we expect it to be slightly down as we start the year... So we do expect slight improvement as we go through the course of the year. If we start out slightly negative, getting a little bit better, that gets you to the overall flat for the year."

Within U.S. construction, management expects non-res and R&R to grow low-single digits, offset by low-to-mid single digit declines in residential.

On Innovation and Vitality Index (Scott Davis, Melius Research):

Koch provided margin context on new product economics: "In the Vitality Index in the 30%, we have about 145 basis points of margin lift from those products that are introduced in the past five years."

Key product highlights include enhanced Tyvek garments with best-in-class breathability and protection, and Gen 4 reverse osmosis technology launching in 2027.

On China Water Market Slowdown (Josh Spector, UBS):

Koch explained the dynamics: "We are seeing a slower start in China with respect to overall growth within the water business. And it's primarily stemming from just the reduced industrial production in the region... About half of our water is used in the industrial wastewater treatment or industrial utility water space."

Expect low-single digit growth in China water to start, ramping to mid-single digits in the back half.

On M&A Pipeline (Chigusa Katoku, J.P. Morgan):

Regarding deployment of Aramids proceeds: "We have mentioned that we would like to continue to add to the top line through M&A. So we've got some opportunities that we're looking at primarily in the healthcare side right now... similar to what we did with Spectrum and Donatelle."

The healthcare M&A pipeline is described as "more robust" than water due to sector fragmentation and more attractive valuations.

On Order Book Visibility (Rachel Leoff, Citi):

Koch disclosed the company's visibility levels: "We start each month with about 80% of the orders on the books, and we start each quarter with about 50% of the orders on the books, and then we build from there."

Aerospace and water businesses have the longest lead times; shelter is the shortest cycle.

On GICS Reclassification (Michael Sison, Wells Fargo):

Franzen acknowledged the portfolio mismatch with current classification: "Our portfolio is not a chemical company portfolio. And to your point, when you look at our performance, our performance is not mirroring that of a specialty chemical company either... we continue to make some progress in terms of the GICS classification."

Key Risks and Watchpoints

1. Construction Market Recovery — Building Technologies (~25% of Diversified Industrials) remains weak. Management expects Q1 to start "slightly negative" before improving through the year to flat.

2. China Industrial Slowdown — Water segment seeing slower growth in China due to reduced industrial production; expecting low-single digits to start ramping to mid-single digits.

3. Tariff/Trade Exposure — Risk disclosures highlight potential impact from trade disputes and export controls, particularly for China operations.

4. PFAS Liabilities — DuPont shares future eligible PFAS costs with Corteva and Chemours under a cost-sharing arrangement. Litigation outcomes remain uncertain.

5. M&A Execution — Healthcare M&A pipeline is active; execution risk on future deals as management targets returns above cost of capital by year five.

The Bottom Line

DuPont delivered a clean beat-and-raise in its debut quarter as a standalone company. The 7% EPS beat, 110 bps margin expansion in Diversified Industrials, and FY 2026 guidance implying 35%+ EPS growth all signal strong execution on the post-separation playbook.

The key debate is whether the market will re-rate DD toward multi-industrial peers (trading at premiums to specialty chemicals) as the simplified portfolio demonstrates consistent performance. With an 8-quarter beat streak and management targeting 3-4% organic growth through 2028, the setup appears favorable.

Transcript: View Full Transcript

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Data sourced from DuPont Q4 2025 earnings call transcript and 8-K filed February 10, 2026.