DuPont de Nemours, Inc.

What they do

DuPont makes advanced materials and solutions used in healthcare, water, construction and industrial end markets, with subsidiaries in about 50 countries and manufacturing in about 20. Following the M&M Divestitures, the Aramids Divestiture agreement and the November 1, 2025 Electronics Separation (Qnity), the company reports two segments: Healthcare & Water Technologies and Diversified Industrials. Annual revenue was $6.85B in 2025 versus $13.02B in 2022, reflecting businesses moved to discontinued operations.

Revenue drivers

• Healthcare & Water Technologies — Largest segment at $856M of second-quarter 2026 net sales, up 5% with 4% organic growth. Includes Healthcare Technologies (personal protection, biopharma) and Water Technologies (industrial water, semiconductor). Second-quarter operating EBITDA was $258M at a 30.1% margin.
• Diversified Industrials — Second segment, with 3% organic sales growth in the second quarter of 2026. Contains the remaining industrial businesses after Qnity and Aramids were separated.
• Aramids (pending divestiture) — Agreed in August 2025 to sell to Arclin for about $1.2B pre-tax cash, a $300M note receivable and a $325M non-controlling equity interest in the future Arclin holding company. Results are reported as discontinued operations pending an expected close around the end of the first quarter of 2026.
• Qnity Electronics (separated) — The semiconductor and interconnect solutions business was distributed to DuPont stockholders on November 1, 2025 and is now an independent public company. Its historical results are reflected in discontinued operations.

Recent performance

Second-quarter 2026 net sales were $1,819M, up 4% with 4% organic growth versus $1,749M a year earlier. GAAP income from continuing operations was $191M and GAAP EPS from continuing operations was $1.37, versus $24M and $0.17 in the prior-year quarter. Operating EBITDA rose 6% to $448M at a 24.6% margin, and adjusted EPS of $1.88 was up 48%. Cash from continuing operations was $400M, with transaction-adjusted free cash flow of $326M (127% conversion). Full-year 2025 net income was $88M and diluted EPS was negative $1.86, reflecting separation and divestiture impacts.

Strategy

DuPont has moved from a diversified specialty company toward a focused advanced solutions provider, executing the N&B sale to IFF (2021), the M&M Divestitures (2022 and 2023), the Aramids sale agreement (2025) and the Qnity Electronics separation (November 1, 2025). The company realigned reporting into Healthcare & Water Technologies and Diversified Industrials starting in the fourth quarter of 2025. Management emphasizes consistent execution, productivity and margin expansion, and announced intent to repurchase $250 million of shares in the third quarter of 2026. The GICS classification changed to Industrials effective July 31, 2026. In May 2026 DuPont entered a new $750M 364-day revolver and a new $2B five-year revolver, neither drawn.

Risks

• Tax treatment of the Qnity Distribution — DuPont received a tax opinion, but if the Qnity Distribution and related transactions fail to qualify for non-recognition treatment, DuPont could incur significant tax liabilities.
• Legacy PFAS and environmental liabilities — In August 2025 DuPont, Chemours and Corteva agreed to a proposed Judicial Consent Order with New Jersey over legacy substances including PFAS, payable over 25 years and subject to court approval.
• Portfolio in transition — The Aramids Divestiture is still subject to closing conditions and regulatory approvals, and the segment structure was realigned twice, so reported results reflect discontinued operations rather than a stable base.
• Macroeconomic and end-market uncertainty — Management states it cannot predict the extent of macroeconomic impacts, and second-quarter water results were partly offset by weakness in the Middle East.

Outlook

Management raised full-year 2026 guidance after the second quarter, citing mid-single-digit organic growth, margin expansion and adjusted EPS growth. The Aramids sale to Arclin is expected to close around the end of the first quarter of 2026, subject to regulatory approvals. DuPont announced intent to repurchase $250 million of shares in the third quarter of 2026, and its S&P long-term rating was BBB+ with a stable outlook at July 31, 2026.