Corteva Misses Q3 2026 on Brazil Collapse, Cuts Full-Year Outlook

Corteva's third quarter ended a five-quarter run of beating analyst expectations, with adjusted EPS of $0.06 missing expectations and revenue of $1.59 billion falling short of the $1.77 billion Wall Street had penciled in. The quarter also marked the first full reporting period since the company separated its seed business into Vylor, leaving Corteva as a standalone crop protection operation.

The damage was concentrated almost entirely in Latin America, where organic sales fell 31% and volumes dropped 24%. Farmer liquidity constraints, elevated financing costs, and channel inventory buildup drove buyers toward just-in-time purchasing and created pricing pressure on older molecules, with Latin America revenue down 28% overall to $570 million.

North America posted 7% revenue growth to $574 million, with volume up 19% on new product demand. EMEA grew 12% to $239 million on the back of differentiated products holding price flat, and Asia Pacific added 3% to $208 million. CEO Luke Kissam noted that Brazil was "materially weaker than anticipated" but that the company's strategy has not changed.

On a GAAP basis, Corteva swung to a loss from continuing operations of $54 million, compared with income of $60 million a year earlier. The company also expects $130 million to $140 million in net pre-tax restructuring charges in 2026 tied to optimizing its crop protection manufacturing network, with that program expected to be substantially complete in 2028.

Management trimmed full-year guidance in response to Brazil's deterioration, now targeting Adjusted Pro Forma Operating EBITDA of $1.10 billion to $1.125 billion and Adjusted Pro Forma Operating EPS of $0.76 to $0.80 per share. The board also authorized the company's first common dividend since the Vylor spin-off, though the amount was not disclosed in the release.