DuPont de Nemours Inc. ( DD ) shares are trading lower despite the company’s first-quarter 2025 results beating Wall Street estimates.

The company reported sales growth of 5% year-over-year to $3.07 billion, beating the consensus of $3.04 billion. Organic sales increased by +6% YoY, with an 8% volume boost offset by 2% lower prices. Electronics, healthcare and water drove volume gains.

Organic sales by region, Asia Pacific rose 13%, EMEA 4%, while the U.S. and Canada were flat. ElectronicsCo grew 14%, IndustrialsCo by 2%.       

DuPont’s operating EBITDA rose 16% YoY to $788 million, and its margin expanded by 240 bps to 25.7%. Adjusted EPS for the quarter was $1.03 (+30% YoY), beating the consensus of $0.79.

Electronics sales totaled $1.12 billion (+14% YoY), and the operating EBITDA margin expanded by 340 bps to 33.4%. IndustrialsCo sales totaled $1.95 billion (+2% YoY), and the operating EBITDA margin expanded by 130 bps to 23.8%.

“We continue to benefit from ongoing strength in electronics markets as well as strong demand in healthcare and water end-markets. Through April, we continued to see strong order patterns consistent with our expectations,” said Lori Koch, DuPont’s CEO.

“Our global manufacturing footprint and flexible supply chain network serves us well as we manage through the impact of tariffs,” Koch continued. “Our teams are actively engaged with customers and suppliers as we work to further mitigate the impact.”

The company generated $382 million in operating cash, spent $249 million on capital projects, and paid $79 million in separation costs, yielding $212 million in adjusted free cash flow with a 49% conversion rate.

DuPont ( DD ) reported a GAAP loss due to a $768 million non-cash goodwill impairment tied to its Aramids unit (Nomex® and Kevlar®) following a 2025 segment realignment and revaluation of assets from the Dow-DuPont merger.

Q2 Outlook: DuPont ( DD ) expects net sales of ~$3.20 billion versus the consensus of $3.25 billion and Adjusted EPS of ~$1.05 versus the consensus of $1.08.

“Our full year 2025 guidance remains unchanged from our prior outlook. Further, full year guidance does not include a net cost impact of announced tariffs currently estimated at $60 million, or about $0.10 per share,” said Antonella Franzen, DuPont CFO.

2025 Outlook, reaffirmed: DuPont ( DD ) sees adjusted EPS of $4.30–$4.40 versus the $4.34 consensus and expects revenue of $12.8 billion-$12.9 billion versus the $12.92 billion consensus.

The company expects Operating EBITDA of $3.325 billion–$3.375 billion.   

The company confirmed it remains on schedule for the planned Nov. 1, 2025, spin-off of its Electronics business, recently named Qnity. It continues to meet key milestones for the separation, including executive and board appointments and last week’s filing of the initial Form 10 registration statement with the SEC.

DD Price Action: DuPont ( DD ) shares are trading up 0.98% at $67.70 at publication on Friday.

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