杜邦 (DD) 2019 Q1 法說會逐字稿

Good day, and welcome to the DowDuPont First Quarter Earnings Call.

大家好，歡迎參加陶氏杜邦第一季財報電話會議。

At this time, I would like to turn the conference over to Lori Koch. Please go ahead, ma'am.

此時，我謹將會議交給洛里·科赫主持。請便，女士。

Good morning, everyone. Thank you for joining us for DowDuPont's First Quarter 2019 Earnings Conference Call. We are making this call available to investors and media via webcast.

各位早安。感謝您參加陶氏杜邦2019年第一季財報電話會議。我們將透過網路直播向投資者和媒體提供本次電話會議的收聽服務。

We have prepared slides to supplement our comments during this conference call. These slides are posted on the Investor Relations section of DowDuPont's website and through the link to our webcast.

我們準備了幻燈片，以補充我們在本次電話會議中的演講。這些幻燈片已發佈在陶氏杜邦公司網站的投資者關係部分，也可透過我們網路直播的連結查看。

Speaking on the call today are Ed Breen, Chief Executive Officer; Jim Collins and Marc Doyle, Chief Operating Officers for DowDuPont's Agriculture and Specialty Products divisions; and myself and Megan Britt, who will lead IR for DuPont and Corteva. In addition, Jean Desmond and Greg Friedman, CFO-elects for DuPont and Corteva will join in the Q&A session.

今天參加電話會議的有：執行長 Ed Breen；陶氏杜邦農業和特種產品部門首席營運長 Jim Collins 和 Marc Doyle；以及我和 Megan Britt，我們將領導杜邦和科迪華的投資者關係工作。此外，杜邦公司候任財務長 Jean Desmond 和科迪華公司候任財務長 Greg Friedman 也將參加問答環節。

Please read the forward-looking statement disclaimer contained in the news release and slides. During our call, we will make forward-looking statements regarding our expectations or predictions about the future. Because these statements are based on current assumptions and factors that involve risk and uncertainty, our actual performance and results may differ materially from our forward-looking statements. Our Form 10-K and DuPont's Form 10-K as well as Corteva's Form 10 include detailed discussion of principal risks and uncertainties, which may cause such differences.

請閱讀新聞稿和幻燈片中包含的前瞻性聲明免責聲明。在電話會議中，我們將就我們對未來的預期或預測發表前瞻性聲明。由於這些聲明是基於目前的假設和涉及風險和不確定性的因素，我們的實際表現和結果可能與我們的前瞻性聲明有重大差異。我們的 10-K 表格、杜邦公司的 10-K 表格以及科迪華公司的 10 表格都詳細討論了可能導致此類差異的主要風險和不確定性。

Also, we will comment on segment results on a divisional basis, so please take note of the divisional disclaimer in our earnings release and slides.

此外，我們將按部門對各業務板塊的業績進行評論，因此請注意我們在盈利報告和簡報中的部門免責聲明。

Unless otherwise specified, all historical financial measures presented today exclude significant items. We will also refer to non-GAAP measures. A reconciliation to the most directly comparable GAAP financial measure and other associated disclosures are contained in our earnings release and on our website.

除非另有說明，今天列出的所有歷史財務指標均不包括重大項目。我們也會參考非GAAP指標。與最直接可比較的 GAAP 財務指標的調節表及其他相關披露信息，請參閱我們的盈利報告和網站。

Before I turn it over to Ed, I'd like to remind you that our comments will be primarily related to the future DuPont and Corteva companies. Dow will be holding their own call starting at 9:00 a.m. this morning.

在把發言權交給 Ed 之前，我想提醒各位，我們的評論將主要與杜邦和科迪華公司的未來有關。陶氏化學將於上午9點開始舉行電話會議。今晨。

I will now turn the call over to Ed.

現在我將把通話轉給艾德。

Thanks, Lori, and good morning, everyone. Today, we reported the final quarter results for DowDuPont. Our teams aggressively managed the levers within their control to deliver results in line with our revised expectations. They addressed challenges including unprecedented bad weather, currency fluctuations and macro factors driving difficult conditions in select markets. This demonstrates the ability of each of our businesses to respond effectively to challenges due to their market alignment, rigorous cost control and emphasis on innovative products that enable disciplined pricing and margin expansion.

謝謝Lori，大家早安。今天，我們公佈了陶氏杜邦的第四季業績。我們的團隊積極運用自身可控的資源，實現了符合我們修訂後預期目標的結果。他們應對了前所未有的惡劣天氣、貨幣波動以及導致特定市場情況嚴峻的宏觀因素等挑戰。這證明了我們每個業務部門都有能力有效應對挑戰，這得益於它們的市場定位、嚴格的成本控制以及對創新產品的重視，從而實現了合理的定價和利潤率的提升。

Our teams also stayed focused on our longer-term goals and accomplished several important milestones in the quarter. We completed the first phase of our commitment to create 3 transformative companies, each leaders in the markets they serve. As you know, we spun the Dow business on April 1, and they are off to a great start. And we are in the final phases of the separation of DuPont and Corteva. We have finalized all the board seats for both Dow and DuPont and have one remaining spot to fill for Corteva. Their respective boards provide them with a strong and diverse set of members that will ensure a continued dedication to driving high returns. Over the next few weeks, we intend to complete the final milestones leading up to the June 1 separation including filing of the final Form 10 for Corteva and holding a shareholder meeting to approve a reverse split of DowDuPont shares.

我們的團隊也始終專注於長期目標，並在本季完成了幾個重要的里程碑。我們完成了創建 3 家變革性公司的第一階段承諾，每家公司都將成為其所服務市場的領導者。如您所知，我們在 4 月 1 日分拆了陶氏業務，而且他們開局非常順利。杜邦和科迪華的分拆已進入最後階段。我們已經確定了陶氏和杜邦的所有董事會席位，科迪華還有一個席位需要填補。各自的董事會都擁有強大而多元化的成員隊伍，這將確保公司持續致力於實現高回報。在接下來的幾周里，我們計劃完成 6 月 1 日分拆前的最後幾個里程碑，包括提交 Corteva 的最終 10 號表格，以及召開股東大會批准 DowDuPont 股票的反向拆股。

Additionally, we completed the $3 billion share buyback program bringing the total share buyback under DowDuPont to $7 billion.

此外，我們完成了 30 億美元的股票回購計劃，使陶氏杜邦的股票回購總額達到 70 億美元。

I am truly amazed when I think back on what has been accomplished and the value that stands to be created from these leading organizations. Each one has demonstrated a shareholder value mindset. I couldn't be more excited about the future of these 3 companies, and I look forward to their ability to continue to deliver against their commitments and drive shareholder returns.

每當我回想起這些領先組織所取得的成就以及它們將創造的價值，我都感到無比驚嘆。他們都展現了以股東價值為導向的思維模式。我對這三家公司的未來感到無比興奮，並期待它們能繼續履行承諾，為股東帶來回報。

Moving to Slide 3, I'll now touch on the first quarter results and my view of the macro environment before turning it over to Marc to discuss the results for new DuPont. For total DowDuPont, we delivered revenue of $19.6 billion, down 9% versus prior year and adjusted EPS of $0.84 year-over-year decline of 25% driven primarily by margin pressure in the Dow business, weather-related impacts in Corteva and the effects of slowing auto and smartphone markets in DuPont, which more than offset the benefits of cost synergies and pricing strength in DuPont and Corteva.

接下來是投影片 3，我將簡要介紹第一季業績以及我對宏觀環境的看法，然後把發言權交給 Marc，讓他討論杜邦公司的新業績。陶氏杜邦總營收為 196 億美元，年減 9%；調整後每股收益為 0.84 美元，年減 25%，主要原因是陶氏業務的利潤率承壓、科迪華受天氣影響以及杜邦汽車和智慧型手機市場放緩的影響，這些因素抵消了杜邦和科迪華的成本協同效應和定價優勢的好處。

We continue to have confidence that the global economy will grow in 2019, albeit at a slower pace than 2018. Regionally, we continue to keep an eye on all markets, but are keeping a closer watch on China and Europe. China has started to stimulate, which should help increase their consumer spending and spur the recovery expected in the second half in addition to an expected tariff resolution. We are also encouraged by the increase in consumer lending. Additionally, the large export market from Europe into China, any green shoots should induce favorable economic activity in Europe.

我們仍然相信，2019年全球經濟將持續成長，儘管成長速度會低於2018年。從區域層面來看，我們持續關注所有市場，但會更密切關注中國和歐洲市場。中國已開始實施刺激措施，這應該有助於增加其消費支出，並刺激下半年預期的經濟復甦，此外，關稅問題也有望得到解決。消費信貸的成長也令我們感到鼓舞。此外，歐洲對中國有著龐大的出口市場，任何經濟復甦的跡像都應促進歐洲的良好經濟活動。

In agriculture, we expect to overcome the weather-related effects of reduced planted acres, acreage shifts and continued delays in the start of the planting season through our focus on higher sales of new and high-value products, accelerated cost synergy delivery and continuous productivity efforts.

在農業方面，我們期望透過專注於提高新產品和高價值產品的銷售額、加快成本協同效應的實現以及持續提高生產力的努力，來克服因天氣原因導致的種植面積減少、種植面積轉移和種植季節開始時間持續延遲等問題。

Each new company will be benchmarking against best-in-class peers. After working closely with these teams over the past 3 years, I am confident that you can expect them to manage aggressively to deliver against those targets.

每家新公司都會以業界最佳同行為標竿。在過去三年裡，我一直與這些團隊密切合作，我相信他們能夠積極主動地實現這些目標。

With that, I'll now turn it over to Marc.

接下來，我將把麥克風交給馬克。

Thanks, Ed. Turning to Slide 4. Heading into the quarter, we spoke about the weakness we were seeing in about 25% of our portfolio primarily encompassing our auto and smartphone businesses. In general, these markets performed as we expected. The rest of our portfolio in total was also in line with expectations with stronger results in our industrial businesses within Safety & Construction offsetting weakness in North America energy markets negatively impacting our Industrial Biosciences business. All in, I'm pleased with how the businesses are navigating this period of soft demand and inventory destocking in a few of our end markets with a commitment to staying focused on the levers within our control specifically price, aggressive cost management as well as plant productivity actions, which are starting to show up in our results.

謝謝你，艾德。翻到第 4 張投影片。在進入本季時，我們談到了我們投資組合中約 25% 的業務表現疲軟，這些業務主要包括我們的汽車和智慧型手機業務。整體而言，這些市場的表現符合我們的預期。我們其餘投資組合的整體表現也符合預期，其中安全與建築領域的工業業務表現強勁，抵消了北美能源市場疲軟對我們工業生物科學業務的負面影響。總而言之，我對公司在部分終端市場需求疲軟和庫存減少的情況下，如何應對這段時期感到滿意。公司致力於專注於我們可控的因素，特別是價格、積極的成本管理以及工廠生產力提升措施，這些措施已經開始在我們的業績中顯現出來。

Our emphasis on value-added innovation supported continued disciplined pricing actions. Together with our diverse portfolio, this enabled us to meet our sales commitment for the quarter and exceed our expectations on earnings driving a 3% increase in the quarter excluding currency. We continued to deliver on our synergy plans to enable sustained earnings growth and strong operating leverage. As anticipated, we did see raw material and freight cost headwinds in the quarter, primarily from escalation in 2018, which we were mostly able to offset with pricing gains. These actions enabled us to expand gross margins by 20 basis points and operating EBITDA margins by 90 basis points bringing our operating EBITDA margin to 30% for the quarter.

我們對增值創新的重視，為持續採取審慎的定價策略提供了支持。憑藉我們多元化的產品組合，我們實現了本季的銷售目標，並在盈利方面超出了預期，不計匯率因素，本季度盈利增長了 3%。我們繼續推進協同效應計劃，以實現持續的獲利成長和強勁的經營槓桿作用。正如預期的那樣，本季度我們確實面臨原材料和運費成本的不利影響，主要是由於 2018 年的成本上漲，但我們基本上能夠透過價格上漲來抵消這些影響。這些措施使我們的毛利率提高了 20 個基點，營業 EBITDA 利潤率提高了 90 個基點，使本季的營業 EBITDA 利潤率達到 30%。

Turning now to the segments on Slide 5. Let me begin with Electronics & Imaging. Organic sales declined 6% driven primarily by soft smartphone demand and destocking, which impacted both Interconnect Solutions and Semiconductor Technologies, and by lower sales in photovoltaics. In total, smartphones comprise approximately 25% of E&I sales, and while we sell to all smartphone providers, our portfolio is more exposed to premium models, which are anticipated to have declined in the high teens for the quarter. We continue to expect a rebound in the second half driven by the seasonal introduction of new models with upgraded features and offerings, including higher penetration of OLED screens and initial models with 5G capability, both benefiting our sales.

現在就來看看投影片 5 上的各個部分。首先是電子與成像部分。有機銷售額下降 6%，主要原因是智慧型手機需求疲軟和去庫存，影響了互連解決方案和半導體技術，以及光伏銷售額下降。智慧型手機總銷售額約佔 E&I 銷售額的 25%，雖然我們向所有智慧型手機供應商銷售產品，但我們的產品組合更依賴高階機型，預計本季高階機型的銷售額將下降 10% 以上。我們繼續預計下半年將反彈，這主要得益於季節性推出的新款機型，這些機型配備了升級的功能和產品，包括OLED螢幕的更高普及率和具備5G功能的首批機型，這兩方面都將有利於我們的銷售。

We anticipate lapping the PV weakness this quarter resulting from the May 2018 reduction of China FIT incentives. Photovoltaic sales comprise approximately 15% of the segment.

我們預計本季將克服 2018 年 5 月中國上網電價補貼減少而導致的光電市場疲軟局面。光電銷售額約佔該細分市場的 15%。

A bright spot in the portfolio continues to be Display Technologies, which again posted double-digit volume growth driven by strong demand in China for OLED materials.

投資組合中的亮點依然是顯示技術，該業務再次實現了兩位數的銷售成長，這主要得益於中國對 OLED 材料的強勁需求。

Operating EBITDA for the segment decreased 3% from the year ago period as a gain on an asset sale and cost synergies were more than offset by lower volumes, higher raw material and freight costs and lower equity affiliate income.

該業務部門的經營性 EBITDA 較上年同期下降 3%，原因是資產出售收益和成本協同效應被銷售下降、原材料和運費上漲以及權益關聯公司收入下降所抵消。

Moving to Nutrition & Biosciences. Organic sales were flat as a 2% gain in local price was offset by volume declines of 2%. Our Nutrition & Health business continues to perform well with organic growth in line with our medium-term expectations of 3% to 5%. This portfolio of businesses in the food and beverage, health and pharma end markets addresses several strong megatrends including healthy living as well as a growing and aging population. Our probiotics expansion is complete with the additional capacity now online, which will support the double-digit probiotics growth we expect for the year.

轉入營養與生物科學領域。有機產品的銷售額持平，儘管本地價格上漲了 2%，但銷售量下降了 2%。我們的營養與健康業務持續表現良好，有機成長符合我們3%至5%的中期預期。該業務組合涵蓋食品飲料、健康和製藥等終端市場，旨在應對健康生活以及人口增長和老化等幾個強勁的大趨勢。我們的益生菌擴建工程已經完成，新增產能現已投入使用，這將支持我們預計今年益生菌產量將達到兩位數的成長。

Demand for our Industrial Biosciences products was down in the quarter, primarily driven by a challenging North America energy market impacting both bioethanol enzyme sales and microbial control, which comprise approximately 25% of IB sales.

本季度，我們工業生物科學產品的需求有所下降，主要原因是北美能源市場充滿挑戰，影響了生物乙醇酶銷售和微生物控制產品，而這兩項產品約佔 IB 銷售額的 25%。

Operating EBITDA for the segment was down 7% versus prior year as cost synergies, higher local price and increased volume in N&H was more than offset by lower IB volumes, higher raw material costs and currency headwinds.

由於成本協同效應、當地價格上漲以及N&H銷量增加，該業務部門的營業EBITDA較上年下降7%，但IB銷量下降、原材料成本上漲以及匯率不利因素抵消了這些增長。

Within Transportation & Advanced Polymers, organic sales were down 2% from the year ago period with growth in the U.S. and Canada and EMEA being more than offset by declines in Asia Pacific, primarily in China. We continue to feel the effects of lower auto builds and inventory destocking and expect a similar environment in 2Q.

在交通運輸和先進聚合物領域，有機銷售額比去年同期下降了 2%，美國、加拿大和歐洲、中東及非洲地區的成長被亞太地區（主要是中國）的下滑所抵銷。我們持續感受到汽車產量下降和庫存減少的影響，預計第二季情況也類似。

Beyond automotive, segment sales were also impacted by weakness in the electronic space, which accounts for nearly 20% of T&AP's revenue. Despite our expectations of sequential flat volumes in 2Q, we anticipate a stronger recovery will take place in the second half of the year. Lower inventory levels and an expected tariff resolution paired with China stimulus packages are potential catalysts to reignite growth. Looking ahead, we continue to be excited about the longer-term growth opportunity from lighweighting and the electrification of vehicles, and our portfolio is well positioned to deliver the second half growth as markets recover.

除了汽車產業外，電子產業的疲軟也影響了該產業的銷售，電子產業佔 T&AP 收入的近 20%。儘管我們預期第二季銷售量將與上季持平，但我們預計下半年將出現更強勁的復甦。庫存水準下降，關稅問題有望得到解決，再加上中國的刺激計劃，這些都可能成為重振經濟成長的催化劑。展望未來，我們依然對汽車輕量化和電氣化帶來的長期成長機會感到興奮，隨著市場復甦，我們的產品組合已做好充分準備，實現下半年的成長。

I continue to be very pleased with the pricing strength in our T&AP portfolio, which has enabled us to minimize the earnings impact of the market-driven volume declines we have been experiencing. Local price increased 7% and improved in all regions led by Asia Pacific and EMEA.

我對我們的 T&AP 產品組合的定價優勢感到非常滿意，這使我們能夠最大限度地減少市場驅動的銷售下降對獲利的影響。本地價格上漲 7%，所有地區均有所改善，其中亞太地區和歐洲、中東及非洲地區表現最為突出。

Operating EBITDA for the segment was down 5% as higher local price and cost synergies were more than offset by lower volume, higher raw material costs and currency headwinds.

該業務部門的營業 EBITDA 下降了 5%，因為當地價格上漲和成本協同效應被銷售下降、原材料成本上漲和匯率不利因素抵消。

Safety & Construction organic sales for the quarter increased 8% driven equally by local price gains and higher volumes on broad-based demand. Volume gains of 4% were driven by continued strength across industrial, life and personal protection and medical end markets. These gains resulted in stronger growth in the Water Solutions business, Tyvek protective garments and Kevlar high-strength materials, which more than offset continued softness in North America residential construction demand. Volume increased in all regions.

本季安全與建築業的有機銷售額成長了 8%，這主要得益於當地價格上漲和廣泛需求帶來的銷售成長。銷售量成長 4%，主要得益於工業、人壽和個人防護以及醫療終端市場的持續強勁成長。這些收益帶動了水處理解決方案業務、Tyvek 防護服和 Kevlar 高強度材料的強勁增長，足以抵消北美住宅建築需求的持續疲軟。所有地區的銷量均有所成長。

This was the fourth consecutive quarter of mid- to upper single-digit organic growth for the business. Over the same period, the Safety & Construction segment has improved operating EBITDA margins nearly 400 basis points driven by strong volume and price growth on the top line, synergy delivery, manufacturing productivity as well as portfolio actions, which alone have lifted the operating EBITDA margins of the segment by nearly 100 basis points.

這是該公司連續第四個季度實現個位數中高段位的有機成長。同期，安全與建築業務部門的營業 EBITDA 利潤率提高了近 400 個基點，這主要得益於營收的強勁增長、銷量和價格的上漲、協同效應的實現、生產效率的提高以及投資組合策略的調整，僅這些因素就使該部門的營業 EBITDA 利潤率提高了近 100 個基點。

Operating EBITDA for the segment was up 16% from the year ago period as cost synergies, higher local price and increased volumes more than offset raw material and currency headwinds.

該業務部門的營業 EBITDA 比上年同期成長 16%，成本綜效、當地價格上漲和銷售成長超過了原材料和匯率不利因素的影響。

Moving to Slide 6, we have been very transparent about our intent to diverse 10% of our current portfolio and have made great progress already on that front. This aspect of our commitment to aggressive portfolio management allows us to remain focused on aligning our portfolio with attractive high-growth market opportunities. Consistent with this, today we are announcing the creation of a new external non-core reporting segment, which will include the following businesses: photovoltaics and Advanced Materials, including the Hemlock joint venture; Clean Technologies; biomaterials; the DuPont Teijin Films joint venture; and Sustainable Solutions.

來到第 6 張投影片，我們已經非常坦誠地表明了我們打算將當前投資組合的 10% 進行多元化投資的意圖，並且在這方面已經取得了很大的進展。我們致力於積極進行投資組合管理，正是這種承諾使我們能夠始終專注於將我們的投資組合與具有吸引力的高成長市場機會相匹配。與此一致，我們今天宣佈設立一個新的外部非核心報告部門，該部門將包括以下業務：光伏和先進材料（包括 Hemlock 合資企業）；清潔技術；生物材料；杜邦帝人薄膜合資企業；以及可持續解決方案。

As you may recall, Sustainable Solutions and Teijin Films were previously identified for sale. We will consider the full range of strategic options for these businesses with the best interest of shareholders and key stakeholders in mind. We're confident that this new structure will enable us to intensify the impact of our innovation on growth while also bringing more visibility to the underlying performance of our core businesses.

您可能還記得，Sustainable Solutions 和 Teijin Films 之前已被確定出售。我們將充分考慮這些企業的各種策略選擇，並始終以股東和主要利害關係人的最大利益為出發點。我們相信，這項新架構將使我們能夠加強創新對成長的影響，同時也將使我們核心業務的潛在績效更加透明化。

This new segment accounts for about $2 billion of revenue and $0.5 billion of operating EBITDA in 2019. For financial reporting purposes, the new segment will be effective as of Q2 2019 and pro forma financial information will be available in June.

2019 年，這項新業務部門創造了約 20 億美元的收入和 5 億美元的營運 EBITDA。出於財務報告的目的，新業務分部將於 2019 年第二季生效，備考財務資訊將於 6 月公佈。

Turning to Slide 7. Earlier, Ed provided a perspective on our view of macroeconomic conditions for the balance of the year. Let me give some additional color on what that means for our second quarter and full year guidance.

翻到第 7 張投影片。此前，Ed 就我們對今年剩餘時間宏觀經濟狀況的看法發表了觀點。讓我再詳細解釋一下這對我們第二季和全年業績預期意味著什麼。

For the coming quarter, we expect market conditions to be consistent with what we saw in the first quarter. However, we have now started to lap the price increases we have been driving in T&AP, and therefore, don't expect as favorable pricing year-over-year in that segment.

我們預計下一季的市場狀況將與第一季的情況保持一致。然而，我們現在已經開始抵銷我們在T&AP領域推行的價格上漲，因此，預計該領域的價格不會像去年那樣有好轉。

For specialty products in the quarter, we expect net sales and operating EBITDA each to be down mid-single digits and low single digits excluding currency and portfolio impacts, a results similar to the first quarter if you exclude the assets sale within the E&I segment.

對於本季的特種產品，我們預計淨銷售額和營業 EBITDA 將分別下降個位數中段和個位數低段（不包括匯率和投資組合的影響），如果排除 E&I 部門的資產出售，則結果與第一季類似。

When we entered the year, we expected the impact of inventory destocking in the auto and smartphone markets to play out over the first half. Given this dynamic and our commitment to delivering strong earnings leverage on sales, we've taken an aggressive stance to controlling our spending. This enabled stronger operating EBITDA performance as compared to our top line results in the first quarter. We expect the same for the second quarter. This internal commitment to cost control will set us up well when our end markets rebound.

年初時，我們預期汽車和智慧型手機市場庫存去庫存的影響將在上半年顯現。鑑於這種動態以及我們致力於透過銷售實現強勁的獲利槓桿，我們採取了積極的措施來控制支出。與第一季的營收業績相比，這使得我們的營運 EBITDA 表現更加強勁。我們預計第二季情況也一樣。這種內部成本控制的承諾，將使我們在終端市場復甦時處於有利地位。

Turning to the second half. Third-party market data for auto builds and smartphone sales continues to point to a rebound resulting in global auto build growth of 4% and global smartphone shipments of up 2%. We believe we're well-positioned to capitalize on this recovery, and today we're confirming our full year guidance of up 2% to 3% for organic top line growth and up 3% to 5% for adjusted operating EBITDA.

接下來進入下半場。第三方市場數據顯示，汽車產量和智慧型手機銷售持續反彈，全球汽車產量成長 4%，全球智慧型手機出貨量成長 2%。我們相信我們已做好充分準備，能夠掌握此次復甦帶來的機會。今天，我們確認全年有機營收成長預期為 2% 至 3%，調整後營運 EBITDA 成長預期為 3% 至 5%。

In the appendix, we're providing segment-level sales and operating EBITDA guidance. It's important to note that this guidance is on an as-is division level reporting basis and does not reflect our stand-alone reporting structure including the new non-core segment or the additional costs that we intend to include in the segments as a stand-alone company. We'll provide more details of our 2019 stand-alone guidance in June, shortly after the separation of Corteva.

在附錄中，我們提供了分部層級的銷售額和營運 EBITDA 指引。值得注意的是，該指導意見是基於現有部門層面的報告，並未反映我們獨立的報告結構，包括新的非核心業務部門，也未反映我們作為一家獨立公司打算納入各業務部門的額外成本。我們將在 6 月份，也就是 Corteva 分拆之後不久，提供 2019 年獨立業績指引的更多細節。

With that, I'll turn it over to Jim.

這樣，我就把話筒交給吉姆了。

Thanks, Marc. Turning to Slide 8. Net sales decreased 11% as lower volume and unfavorable currency more than offset local price improvement. First quarter volume was impacted by severe weather-related conditions in significant growing regions in the United States. March flooding in the midwestern U.S. and generally cool wet conditions in the region overall disrupted farming operations delaying U.S. seed deliveries into second quarter and preventing early-season crop protection applications.

謝謝你，馬克。翻到第 8 張投影片。由於銷量下降和不利的匯率影響超過了當地價格上漲帶來的收益，淨銷售額下降了 11%。第一季銷售受到美國主要種植區惡劣天氣的影響。3 月美國中西部地區的洪水以及該地區普遍涼爽潮濕的天氣擾亂了農業生產，導緻美國種子交付推遲到第二季度，並阻礙了早期作物保護措施的實施。

Daily U.S. seed deliveries for late March into April are illustrated in the chart in the bottom right-hand corner. As we reported in the April 18 announcement, less than 50% of the planned seed deliveries in the last 5 days of the quarter occurred resulting in a greater-than-anticipated weather impact on the first quarter performance.

右下角的圖表顯示了 3 月下旬至 4 月美國每日種子交付量。正如我們在 4 月 18 日的公告中所報導的那樣，本季度最後 5 天的計劃種子交付量不到 50%，導致天氣對第一季業績的影響比預期更大。

Now this chart also shows that U.S. corn seed deliveries are now back on track with the 2018 pace. And remember, our business model of direct delivery to farmers means we recognize most of our revenue when we deliver to the grower not when shipped to a retailer or distributor like our competitors.

這張圖表也顯示，美國玉米種子交付量現在已恢復到 2018 年的水準。請記住，我們直接向農民供貨的商業模式意味著，我們的大部分收入是在向種植者供貨時確認的，而不是像我們的競爭對手那樣在發貨給零售商或分銷商時確認的。

Operating EBITDA decreased 25% for the quarter driven by the weather-related volume declines, higher input costs and currency headwinds, which more than offset cost synergies.

受天氣影響，銷售量下降，投入成本上升，匯率波動，導致本季營業 EBITDA 下降 25%，這些不利因素抵銷了成本綜效。

So turning to Slide 9. You can clearly see the effect of weather on the U.S. Corn Belt. However, you can also see that we are driving growth elsewhere.

現在來看第 9 張投影片。您可以清楚地看到天氣對美國玉米帶的影響。但是，您也可以看到，我們在其他方面也在推動成長。

Our teams in Europe, Middle East and Africa delivered organic growth of 8% showing growth in both Crop Protection and Seeds. Crop Protection new products such as Zorvec fungicides, Arylex herbicides are being well received by farmers in the region, coupled with strong growth in other insecticides such as the Spinosyns and Isoclast. Our seed business also drove strong corn volumes across the region.

我們在歐洲、中東和非洲的團隊實現了 8% 的有機成長，作物保護和種子業務均實現了成長。作物保護新產品，如 Zorvec 殺菌劑、Arylex 除草劑，在該地區受到農民的歡迎，同時，其他殺蟲劑，如 Spinosyns 和 Isoclast，也實現了強勁增長。我們的種子業務也帶動了該地區玉米產量的強勁成長。

Latin America delivered organic growth of 7% led by Crop Protection. Seed volumes in Latin America were lower due to the early start to the Safrinha season, moving seed sales from the first quarter of 2019 into the fourth quarter of 2018. However, we are seeing our market share grow as a result of the introduction of our new Brevant seed brand into the retail channel as well as the growth in our direct channel. Crop Protection in Latin America delivered growth of 12% and organic growth of 23% led by insecticides.

拉丁美洲實現了7%的有機成長，其中作物保護產業表現突出。由於薩弗林哈季提前開始，拉丁美洲的種子銷量有所下降，種子銷售從 2019 年第一季提前到了 2018 年第四季。然而，隨著我們新的 Brevant 種子品牌進入零售通路以及我們直銷通路的成長，我們的市佔率正在成長。拉丁美洲的作物保護業務成長了 12%，有機成長了 23%，其中殺蟲劑業務成長最為顯著。

Asia Pacific delivered organic growth of 14%. Strong growth in seed was coupled with Crop Protection solutions, insecticides like Spinosyns and Pyraxalt. Warm weather also enabled seed growth with strong corn sales in Asia Pacific in the first quarter.

亞太地區實現了14%的有機成長。種子的強勁增長與作物保護解決方案（如殺蟲劑 Spinosyns 和 Pyraxalt）相結合。溫暖的天氣也促進了種子生長，第一季亞太地區的玉米銷售強勁。

Now outside of the Corn Belt within the United States, we continue to expect growth. For example, we executed a change in route to market in the Pacific Northwest from just retail and distribution to add our direct-to-farmer model. This shifted seed deliveries into the second quarter, but we expect to drive overall volume growth for the half. Our brand rationalization implementation is also on plan with customer retention rates higher than we anticipated. With a more focused brand approach throughout the U.S., we are poised for growth.

現在，在美國玉米帶以外的地區，我們預計經濟成長仍將持續。例如，我們在太平洋西北地區改變了市場管道，從單純的零售和分銷模式，增加了直接面向農民的模式。這導致種子交付推遲到第二季度，但我們預計這將推動上半年整體銷售成長。我們的品牌合理化實施也按計畫進行，顧客留存率高於預期。透過在美國採取更專注的品牌推廣策略，我們已做好成長的準備。

We expect much of the first quarter volumes to shift into the second quarter. The USDA planted area expectations indicate that corn will be up 4%. However, this estimate preceded the most significant weather events, and we could see some reductions. Our guidance also accounts for an expected compressed planting window. So there is a risk that, that acreage will shift into less profitable crops including shorter maturity corn.

我們預計第一季的大部分銷售將轉移到第二季。美國農業部種植面積預期顯示，玉米種植面積將增加 4%。然而，這項估計是在最嚴重的極端天氣事件發生之前做出的，因此我們可能會看到一些減少。我們的指導意見也考慮了預計種植窗口期會縮短的情況。因此，存在這樣一種風險：這些耕地可能會轉而種植利潤較低的作物，包括成熟期較短的玉米。

Turning to Slide 10. These challenges will result in a lower first half with our operating EBITDA guidance 3% to 5% lower in the same period last year. However, with solid growth in the other areas of the United States as well as Canada coupled with the growth we are seeing in Europe, Latin America and Asia Pacific, we expect to exceed our original expectations for sales in the second half. In addition, we are accelerating synergies and have taken incremental productivity actions to reduce costs. This gives me confidence to maintain our full year guidance of about $2.8 billion.

翻到第10張投影片。這些挑戰將導致上半年業績下滑，我們的營運 EBITDA 預期將比去年同期下降 3% 至 5%。然而，隨著美國其他地區以及加拿大市場的穩健成長，再加上我們在歐洲、拉丁美洲和亞太地區的成長，我們預計下半年的銷售額將超過我們最初的預期。此外，我們正在加快協同效應，並採取了逐步提高生產力的措施來降低成本。這讓我有信心維持我們全年約 28 億美元的業績預期。

We are delivering on everything we can control and anticipating and reacting quickly to market conditions outside of our control. We continue to execute on our plan to create shareholder value.

我們正在盡一切可控努力，並迅速預測和應對我們無法控制的市場狀況。我們將繼續執行創造股東價值的計劃。

We will continue to talk more about our plan including instilling a culture of continuous productivity, continuing to drive towards a best-in-class cost structure.

我們將繼續深入探討我們的計劃，包括培養持續生產力的文化，並繼續努力實現一流的成本結構。

Our proof points that our strategy is working include: first, we are delivering innovative market-driven solutions proven by strong demand for our insecticides in Asia Pacific and execution of our Enlist licensing agreements. Next, we are delivering above market growth as illustrated by our market share gains in corn in Latin America. And third, we are delivering above market growth through our unique routes to market delivering our innovative solutions through expanded, unique channels with our Pioneer brand as well as our new Brevant brand.

我們的策略奏效的證據包括：首先，我們提供創新的市場驅動型解決方案，這已透過亞太地區對我們殺蟲劑的強勁需求以及我們 Enlist 授權協議的執行得到證明。其次，我們的成長速度超過了市場平均水平，這體現在我們拉丁美洲玉米市場份額的成長。第三，我們透過獨特的市場管道，以 Pioneer 品牌和新 Brevant 品牌，透過擴展的獨特管道提供創新解決方案，實現了高於市場水平的成長。

I can feel the excitement in our team to launch Corteva Agriscience on June 1, a pure play independent Ag company. Corteva is well positioned to drive above market growth through its industry-leading product pipeline and its rigorous approach to innovation and operating discipline.

我能感受到我們團隊對6月1日正式推出Corteva Agriscience的興奮之情，這是一家純粹的獨立農業公司。科迪華憑藉其行業領先的產品線以及嚴格的創新方法和營運紀律，完全有能力推動高於市場平均的成長。

So I'll now turn it over to Megan to open up the Q&A.

現在我將把問答環節交給梅根。

Thank you, Jim. With that, let's move on to your questions. First, I would like to remind you that our forward-looking statements apply to both our prepared remarks and the following Q&A.

謝謝你，吉姆。那麼，接下來我們來回答您的問題。首先，我想提醒各位，我們的前瞻性聲明適用於我們準備好的發言稿和接下來的問答環節。

Operator, please provide the Q&A instructions.

操作員，請提供問答說明。

(Operator Instructions) Our first question is from Vincent Andrews with Morgan Stanley.

（操作員說明）我們的第一個問題來自摩根士丹利的文森特·安德魯斯。

Ed or Marc, could you clarify within DuPont what your expectations are in the second half in terms of a tariff resolution and how reliant your forecast is on the timing of that as well as improvement in the Chinese economy spilling over into improvement in the EU economy? Just some fence post around what's in the back half number so that we can follow along would be helpful.

Ed 或 Marc，能否請你們在杜邦公司內部澄清一下，你們對下半年關稅解決方案的預期是什麼？你們的預測在多大程度上依賴該方案的出台時間，以及中國經濟的改善是否會帶動歐盟經濟的改善？如果能在後半部周圍豎起一些柵欄柱，方便我們跟著走，那就很有幫助了。

Yes. Vincent, probably just a few points at things we've been watching. Tariff obviously would be nice to resolve that, which would play out very nicely over the next few years for us in China because I'm a big believer that consumer confidence was hit pretty bad by that issue. That was one of the issues. But we've been tracking -- the areas that we were weak in our portfolio were smartphones and auto builds mainly China-related, which is about 20% of the portfolio. And we've been tracking the inventory levels and all very closely through the OEMs and all that in China, and we've seen a very drastic drop in inventory levels in China, almost back to normal levels. Not quite yet, but almost there. So we've been going through this destocking phase, and we're seeing that normalize to where it should be. So I think that will play out still through the second quarter. We'll still be kind of flat. We should -- as we're exiting the second quarter, I would think, by what we're seeing from an inventory standpoint, that will pick up.

是的。文森特，可能只是對我們一直在關注的事情提出了一些看法。顯然，關稅是解決這個問題的好辦法，這對我們中國來說，未來幾年將會非常有利，因為我深信消費者信心受到了這個問題的嚴重打擊。這是其中一個問題。但我們一直在關注——我們投資組合中較弱的領域是智慧型手機和汽車製造，主要與中國相關，約佔投資組合的 20%。我們一直在密切關注中國的OEM廠商等各方的庫存水平，我們發現中國的庫存水準已經大幅下降，幾乎恢復到正常水準。還沒完全完成，但快了。所以我們一直處於去庫存階段，現在我們看到庫存正在恢復到應有的水準。所以我認為這種情況在第二節還會持續下去。我們還是會覺得有點平坦。我們應該——隨著第二季即將結束，我認為，從庫存的角度來看，這種情況會好轉。

And by the way, I don't look at all third parties and believe the data, but it looks like auto builds will grow in the second half globally a little bit and the smartphones will grow a couple of percent.

順便說一句，我不會完全相信所有第三方的數據，但看起來下半年全球汽車產量會略有成長，智慧型手機產量也會增加幾個百分點。

Also, the interesting thing when you look at our European numbers just to give you another data point, the weakness that we have in Europe is almost all related to the weakness in China. So as China improves, I think our numbers specifically in Germany and all because of autos and all that will also improve. So that's the data points we're looking at. If the tariff is resolved, I think consumer confidence builds. But look, the other things in China, I think, importantly, they eased up on some lending standards over the last few months. There looks like there might be a stimulus just related to auto that is coming along in the near future, and obviously there's been a lot of stimulus besides the lending standard spin. So I think a lot of things have happened. We're going to start seeing it in the second half of the year, and we'll get some recovery there.

另外，有趣的是，如果你看一下我們的歐洲數據（這只是另一個數據點），我們在歐洲的弱點幾乎都與中國的弱點有關。所以隨著中國經濟的改善，我認為我們在德國的數據，特別是因為汽車等產業的成長，也會得到改善。以上就是我們正在研究的數據點。如果關稅問題得到解決，我認為消費者信心會增強。但是，你看，中國的其他方面，我認為比較重要的一點是，在過去的幾個月裡，他們放寬了一些貸款標準。看來近期可能會推出一項專門針對汽車產業的刺激措施，而且顯然除了貸款標準調整之外，還有很多其他刺激措施。所以我覺得發生了很多事。我們將在今年下半年開始看到這種情況，並且會有所復甦。

By the way, just to give you a perspective, 75% of our portfolio is just running along, just like it has the last few years. All the industrial businesses performed well, you can see it in our S&C numbers. Nutrition & Health performing exactly where we thought it would. So it's really this isolated issue to China. And the green shoots look like they're now -- there are tariffs would certainly help that.

順便一提，為了讓你有個概念，我們投資組合中有 75% 的資產目前都處於正常成長狀態，就像過去幾年一樣。所有工業企業都表現良好，從我們的S&C數據可以看出這一點。營養與健康的表現完全符合我們的預期。所以這確實是中國面臨的孤立問題。現在看來，這些復甦的跡像已經顯現——如果徵收關稅，肯定會有所幫助。

And Jim, if I could ask you on African swine flu, maybe it's too early for there to be material impact, but how do you see that playing out for Corteva over the coming quarters and next year?

吉姆，如果可以的話，我想問一下關於非洲豬流感的問題。也許現在判斷其影響還為時過早，但您認為在接下來的幾個季度和明年，它會對科迪華產生怎樣的影響？

Yes. Great, Vincent. We are watching that very, very closely. In addition to some of the trade issues you were asking Ed about, clearly, the flow of grain and anything that affects demand for that grain will put downward pressure on commodity prices. So anything that will cause this glut of soybeans to take maybe more than 1 or 2 years to accelerate will kind of -- will pull back on soy prices.

是的。太好了，文森特。我們正在密切關注此事。除了你問艾德的一些貿易問題之外，很顯然，糧食的流通以及任何影響糧食需求的因素都會對大宗商品價格造成下行壓力。因此，任何導致大豆過剩局面需要超過一兩年才能緩解的因素，都會在一定程度上——抑制大豆價格。

For us, we'll watch it. We'll see what it will have an effect on corn prices. And longer term, 2020 plus, it could be a little bit positive for us as we see some acreage shift out of soy and move back towards corn. So yes, we're watching that. I think for the U.S. hog producer, you're already seeing a response in hog prices as the global demand for hog shipments. Meat shipments is going up, and that could help at farm level. A lot of the growers we deal with or integrated growers, they're producing corn and beans. They have either a whole hog or cattle operations. And so anything that could help net farm income would be a positive for the U.S. grower, and we don't see much of an impact in China as a lot of the feed for those animals is imported from either Latin America or U.S.

我們會看的。我們將拭目以待，看看這會對玉米價格產生什麼影響。從長遠來看，2020 年及以後，這對我們來說可能略有利好，因為我們看到一些種植面積從大豆轉向玉米。是的，我們正在關注此事。我認為對於美國生豬養殖戶來說，隨著全球對生豬出口的需求增加，生豬價格已經出現了相應的反應。肉類出貨量正在上升，這可能對農場層面有所幫助。我們接觸的許多種植者或綜合種植戶，都在生產玉米和大豆。他們要嘛經營整豬場，要嘛經營整牛場。因此，任何有助於提高農場淨收入的事情對美國種植者來說都是好事，而且我們認為這對中國的影響不大，因為這些動物的飼料大多是從拉丁美洲或美國進口的。

Our next question comes from -- with JP Morgan, Jeff Zekauskas.

我們的下一個問題來自——摩根大通的傑夫·澤考斯卡斯。

The specialty products company will be a new company in June, and you've got 4 primary segments. So if you had acquisitions that were equally attractive, but you could only do one, in which division would you do it? That is what's the essence of Specialty Products? Or which 2 divisions are the essence of it? And which ones are more peripheral?

這家特種產品公司將於 6 月成立，目前有 4 個主要業務部門。所以，如果你有兩項同樣有吸引力的收購目標，但你只能選擇一項，你會選擇收購哪個部門？這就是特種產品的本質嗎？或者說，哪兩個部分才是它的本質？哪些是次要的？

Yes. Jeff, it's Marc. I'll take that one, and Ed can follow on. I mean for us, with respect to M&A, I mean we've said that we want to be real cautious with respect to ROIC and we're looking for utmost sort of bolt-on strategic acquisitions, so it's really about the strategic connection to the growth themes that are -- that really cut across the portfolio spaces like microbiome, probiotics, automotive electrification. Those types of heavy growth sort of secular growth areas would be where we'd be looking for bolt-on capabilities. It's not so much one or the other of the reporting segments that we tend to follow on. But I'd say the bottom line is we're looking to be making really good investment decisions with respect to our cash, and so it would have to be a really nice a deal in terms of strategic fit and financial returns for us to jump.

是的。傑夫，我是馬克。我來做這個，艾德可以接著做。我的意思是，就我們而言，在併購方面，我們已經說過，我們希望在投資回報率方面非常謹慎，並且我們正在尋求最有效的戰略性收購，所以這實際上是關於與增長主題的戰略聯繫，這些主題真正貫穿投資組合的各個領域，例如微生物組、益生菌、汽車電氣化。在這些高成長、具有長期成長潛力的領域，我們將尋求附加能力。我們關注的並非報道中的某一方面。但我認為，關鍵在於我們希望在現金方面做出非常好的投資決策，因此，除非交易在策略契合度和財務回報方面都非常有利，否則我們不會貿然行動。

Yes. I mean the only thing I would add to that Marc there, we're looking where is the secular growth trends as Marc said. And we're looking at that more than we are, which business it would be. We want a higher growth area. But what I would add with Marc and I and Jean and the team have been really looking at is when we do an acquisition, we really want the returns to work on the cost synergies. We would get on the deal even though we're strategically buying it for the growth of secular opportunity. And the growth part would be our truly upside to the modeling. We would do it when we present it to our Board of Directors. So I'm a big believer, make the numbers work on the cost synergies, but totally within our control. And we'll get the upside by doing the right thing strategically on the growth side.

是的。我的意思是，我唯一要補充的是，正如馬克所說，我們正在關注長期成長趨勢。我們更關注的是這一點，而不是它會是哪家公司。我們想要一個成長更快的地區。但我還要補充一點，我和馬克、吉恩以及團隊一直在認真考慮的是，當我們進行收購時，我們真正希望收益能實現成本協同效應。即使我們出於戰略目的收購它，是為了抓住長期發展機遇，我們也會參與這筆交易。而成長部分才是我們模型真正的優勢。我們會在向董事會報告時這樣做。所以我非常相信，要讓成本綜效帶來的效益在數字上發揮作用，但這一切都要完全在我們的控制範圍內。我們將透過在成長方面採取正確的策略措施來獲得收益。

(Operator Instructions) We'll move to our next caller, David Begleiter with Deutsche Bank.

（操作員指示）我們接下來將連線下一位來電者，德意志銀行的大衛·貝格萊特。

Ed, on the non-core segment, what is the time line for realizing these -- the value of these businesses? And how would you expect to use the proceeds from any asset sales that might occur here?

Ed，關於非核心業務部分，實現這些業務價值的時間表是什麼？那麼，您打算如何使用可能發生的任何資產來出售所得款項？

All right. Look, I make a couple of points on it. Number one, we're not in any fire sale mode here. We're going to take our time. We're going to do the right thing for our shareholders. These are good assets. I would say, if I just gave you one word the way I feel about, there are more volatile assets than I would want in our portfolio. So Marc and the team have really gone through that. That's not the only reason, by the way, but I'd -- they are really volatile, but they're great businesses for some owner. So we want to get the right price out of them. I hope we make a lot of progress over the next year, but I will give you an example. It's not totally clean to just do it all right away and one of them would be the Hemlock JV, just to give you an example, because we have partners there. So we've got to work our way through some -- interesting issues they are, but we will move expeditiously, but get the right price and make sure we take our times and nothing has to happen overnight. But I would add, what's key to it is these businesses are going to actually have more focus on them because we put in very senior talented gentleman, Jon Kemp, in charge of them with the right finance leaders and all going to really focus on driving up the returns of this business during this interim period. So I'm really happy we've got that focus on these businesses.

好的。我對此有幾點看法。首先，我們這裡不是在進行任何形式的清倉甩賣。我們會慢慢來。我們會做對股東有利的事。這些都是優質資產。如果只能用一個詞來表達我的感受，我會說，我們投資組合中波動性較大的資產比我希望的要多。所以馬克和他的團隊確實經歷了這一切。順便說一句，這並非唯一原因，但我認為——它們確實波動很大，但對於某些所有者來說，它們是很棒的生意。所以我們希望從他們那裡拿到合適的價格。我希望我們在未來一年能取得很大進展，但我先舉個例子。一下子全部完成並不完全妥當，舉個例子來說，Hemlock JV 就是其中之一，因為我們在那裡有合作夥伴。所以我們必須解決一些問題——這些問題很有意思，但我們會迅速行動，爭取到合適的價格，確保我們不著急，任何事情都不能一夜之間發生。但我還要補充一點，關鍵在於這些業務實際上會得到更多關注，因為我們安排了資深且才華橫溢的 Jon Kemp 先生負責這些業務，並配備了合適的財務領導，所有人都將真正專注於在這個過渡時期提高這些業務的回報。所以我很高興我們能把重點放在這些企業上。

And I guess, in terms of proceeds, I would say we would really be in line with our financial policy. So we've talked about that before. We're going to fund the internal investment. We'll do bolt-on M&A where it makes sense. And otherwise, we're going to return cash to shareholders.

就收益而言，我認為我們完全符合我們的財務政策。我們之前討論過這個問題。我們將為內部投資提供資金。我們會在適當的地方進行補充性併購。否則，我們將向股東返還現金。

Yes, we're not going to sit on cash for a long period of time if we have it.

是的，如果我們有現金，我們不會長時間持有。

Our next question comes from Steve Byrne with Bank of America.

下一個問題來自美國銀行的史蒂夫·伯恩。

Just what was the 2018 EBITDA of that $2 billion of sales is now a non-core? And perhaps Marc, you could comment on whether you're seeing any traction yet on the revenue side or market share side in your segments from -- having a much more diverse product portfolio now than you had as a legacy DuPont platform?

2018 年那筆 20 億美元的銷售額，如今已不再是核心業務，其 EBITDA 又是多少呢？馬克，或許你可以談談，與杜邦公司以往的產品組合相比，現在你的產品組合更加多元化，那麼在你的業務領域，收入或市場份額方面是否已經取得了任何進展？

Thanks, Steve. Just to answer the question on the earnings. It was about 700 roundabout last year, and the delta there is really the Hemlock equity earnings and the big settlement that we had last year in the Hemlock JV. And so that's where we get to about 500 this year. In terms of traction on the revenue side, we are continuing to drive the growth synergies that we talked about a couple of times now across the portfolio, and I'd say it's a little early to quantify it, but I do think it's making a material difference. We ran into the downturn here in the automotive and electronics markets, and I think we mitigated a lot of that because, as I've said earlier, the rest of the portfolio has continued to perform well. And so versus maybe previous market downturns, I think we're managing the cycles a little bit better now. But hopefully, we'll tell you a little bit more about some of the areas of new growth as we go forward.

謝謝你，史蒂夫。僅回答有關收入的問題。去年大約是 700 環島，而其中的差額實際上是 Hemlock 股權收益以及我們去年在 Hemlock 合資企業中獲得的大筆和解金。所以今年我們大概可以達到 500 人左右。就收入方面的成長而言，我們正在繼續推動我們之前多次談到的整個產品組合的成長協同效應，現在量化還為時過早，但我確實認為它正在產生實質的影響。我們在汽車和電子市場遇到了低迷期，但我認為我們已經減輕了很多影響，因為正如我之前所說，投資組合的其他部分繼續表現良好。因此，與以往的市場低迷時期相比，我認為我們現在對市場週期的應對能力要好一些。但希望隨著我們不斷前進，能夠向大家詳細介紹一些新的成長領域。

I think also, Steve, just to Marc's point, I -- we're very focused on the things we can control in that P&L. And I think this quarter with basically 0 organic growth on, we had plus 3 on price, minus 3 on volumes, so we kind of came out 0 on organic. We had the leverage we wanted through the P&L. I mean our gross margins were up 20 basis points. Our EBITDA margins were up 90 basis points. So I think as a management team they did a nice job performing in a little bit of a tougher revenue environment, which we know we're going to come out of here in another quarter.

我也覺得，史蒂夫，就像馬克說的那樣，我們非常關注損益表中我們可以控制的事情。我認為本季有機成長基本上為零，價格成長了 3%，銷量下降了 3%，所以我們的有機成長實際上為零。我們透過損益表獲得了我們想要的籌碼。我的意思是，我們的毛利率提高了20個基點。我們的 EBITDA 利潤率提高了 90 個基點。所以我認為，管理團隊在略顯艱難的收入環境下表現出色，我們知道這種情況會在另一個季度好轉。

And from Bernstein, we'll hear from Jonas Oxgaard.

接下來，我們將聽聽來自伯恩斯坦的喬納斯·奧克斯加德的演講。

So in Q4 earnings, you've guided the specialty earnings down mid-single-digits -- mid-single percent, now you have flat. So my math says that's about a $50 million improvement, what we used to think. Most of your -- or most of the other companies in the space, they've reported that the quarter seems to improve in March, which seems to fit with your experience here. But you're leaving the annual guidance unchanged and second guidance it's about same as first. So how should I line these two? It feels like opposite statements.

所以，在第四季財報中，你們曾預期特種產品收益將下調個位數百分比（中個位數百分比），而現在你們卻預測收益將持平。我的計算表明，這比我們以前認為的要好大約 5000 萬美元。你們大多數公司——或者說該領域的大多數其他公司——都報告稱，3 月份的季度業績似乎有所改善，這似乎與你們的經驗相符。但你們維持年度業績指引不變，第二階段業績指引也與第一階段大致相同。那我該如何安排這兩個人的位置呢？感覺像是截然相反的說法。

Well, Jonas, let me just high level. I mean we beat the number that we guided to by literally $25 million. I think you guys, on average, were a little -- the gap was a little bit bigger, $70 million, $80 million or somewhere in that ZIP code. And it's on a $6 billion base, so there's no reason for us to change anything at this point in time. We feel like we had a solid quarter again relative to the revenue softness that we had, and we'll see how we perform through the second quarter. We did guide flat. And we're expecting to see signs as we go through the second quarter that we'll start to see some orders on the smartphone side and on the auto side start to pick up to help us in the third and fourth quarter again. We're tracking inventory levels. We're watching all that. So I mean, I hate to say this, to me, it's a rounding error at this point. I wouldn't change the guidance that we gave for the year.

好吧，喬納斯，我簡單說一下。我的意思是，我們比預期目標高出了整整 2500 萬美元。我認為你們的平均有點——差距有點大，大概在 7000 萬美元、8000 萬美元左右。而且該項目以 60 億美元為基礎，所以目前我們沒有理由做出任何改變。考慮到上一季營收疲軟，我們感覺本季業績依然穩健，接下來我們將看看第二季表現如何。我們做了平地引導。我們預計，隨著第二季的到來，智慧型手機和汽車領域的訂單將會開始回升，這將有助於我們在第三季和第四季再次取得好成績。我們正在追蹤庫存水準。我們正在密切關注這一切。所以，雖然我不想這麼說，但對我來說，這在這一點上只是一個四捨五入的誤差。我不會改變我們今年給出的指導方針。

And next, we'll hear from Christopher Parkinson with Crédit Suisse.

接下來，我們將聽聽瑞士信貸的克里斯多福·帕金森的發言。

Listen, just returning to Jeff's question, what are the 2 to 3 other primary platforms you plan to organically invest in? Just -- can you just re-brief us on the key secular themes that you find particularly attractive? And then, obviously, you've already added probiotic capacity in some of the subcomponents of N&H -- or N&B, excuse me, but what are the other key opportunities which state your future targeted profile in these businesses?

聽著，回到 Jeff 的問題，你計劃自主投資的其他 2 到 3 個主要平台是什麼？您能否再簡單介紹一下您認為特別有吸引力的幾個關鍵世俗主題？顯然，你們已經在 N&H（或 N&B，抱歉）的一些子業務中增加了益生菌產能，但是，在這些業務中，還有哪些其他關鍵機會能夠體現你們未來的目標定位？

Yes. It's Marc. I'll take that, Chris. I mean there's a couple of big themes. The big themes are, as you said, sort of probiotics, microbiome. We've talked about pretty well in terms of the investments we've made there, and we're looking at both capital investments, significant R&D investments. We announced the partnership with Lonza around the HMO space, which is a prebiotic. We're continuing to make some majority equity investments and startups. We've got some university partnerships we talked about last quarter. So a lot of activity around that whole space.

是的。是馬克。我接受，克里斯。我的意思是，這裡面有幾個大的主題。正如你所說，主要主題是益生菌和微生物組。我們已經充分討論過我們在那裡進行的投資，我們正在考慮資本投資和重大研發投資。我們宣布與 Lonza 在 HMO 領域（一種益生元）建立合作關係。我們將繼續進行一些控股股權投資和新創公司投資。我們上個季度討論過一些大學合作關係。所以那區域周圍非常熱鬧。

Auto electrification, I'd say the broader space of smart everything, smart homes, as an example, smart cities, industrial electrification is a big area, which connects a couple of our industrial businesses. In fact, it kind of connects T&AP with E&I and with S&C. And we're making there both capital investments and products. We announced this past quarter an investment Kapton capacity, which is playing into 5G, which is the connectivity space. And we're making a significant R&D investment. We announced the opening of another innovation center last quarter to in that space.

汽車電氣化，我認為更廣泛的智慧領域，例如智慧家庭、智慧城市、工業電氣化，都是一個很大的領域，它將我們的一些工業企業連結起來。事實上，它某種程度上將 T&AP 與 E&I 以及 S&C 聯繫起來。我們在那裡既進行資本投資，也生產產品。我們在上個季度宣布了一項對 Kapton 產能的投資，這符合 5G（連接領域）的要求。我們正在進行大量的研發投入。上個季度我們宣布將在該區域開設另一個創新中心。

And then the only other area I'd mentioned is we do like the medical devices, health care space and its smaller for us in terms of the total revenue impact. If you think of probiotics, microbiome, several hundred million dollars. And if you think of the auto electrification, it's closing in on $1 billion. Health and medical is less than $0.5 billion, but we see that as an attractive space.

我提到的另一個領域是我們確實喜歡醫療器材和醫療保健領域，但就總收入影響而言，它對我們來說規模較小。想想益生菌、微生物群，價值數億美元。而汽車電氣化領域的規模也即將達到 10 億美元。醫療保健產業的規模不到 5 億美元，但我們認為這是一個很有吸引力的領域。

Maybe one more thing I'll mention also is our water segment, which is Reverse Osmosis membranes and Ion Exchange Resins and microfiltration, and that segment was up about mid-teens here in the first quarter. We've made a number of incremental capacity expansions there, and so we're doubling down there on our production capability around the world. We had to open up the RO new facility in Saudi Arabia in Sadara last year, and we're seeing really good long-term growth dynamics in the whole water sort of environmental cleanup space. So those are some of the biggest names.

我還要提一下我們的水處理業務板塊，包括逆滲透膜、離子交換樹脂和微濾，在第一季成長了大約 15% 左右。我們在那裡進行了一系列漸進式產能擴張，因此我們正在加倍投入，以提升我們在全球的生產能力。去年我們在沙烏地阿拉伯薩達拉開設了新的逆滲透工廠，我們看到整個水處理和環境淨化領域呈現出非常好的長期成長動能。以上列舉的是一些最知名的名字。

And next from Citi, we'll hear from P.J. Juvekar.

接下來，我們將聽聽花旗銀行的 P.J. Juvekar 的演講。

Your seed pricing was flat in the U.S. and it was up everywhere else. That was better than last couple of years when your competitors were going for market share. So can you tell us what has happened sort of the competitive dynamic on price versus volume in seeds?

你們的種子價格在美國持平，但在其他地區則上漲。這比過去幾年好多了，那時你的競爭對手都在爭取市場佔有率。那麼，您能否告訴我們種子價格與銷售量之間的競爭動態發生了什麼樣的變化？

Thanks, P.J. So you're right, focusing that pricing first on North America and particularly in the U.S. I just really start with just the tough farm environment. We've talked about low net farm income, and we're out pricing our products for the value that they deliver. We're also responsive to the market environment that were out there pricing into. So we went out with kind of a flat pricing card. And as always, in any competitive market, there's lots of challenges and it's a lot of competition out there. But we feel good about where we're sitting right now today, and it's kind of showing up in our results. Now we see a mix effect as our new products really do drive a higher mix where we are pricing for that extra yield and sharing some of that back with the grower. At the same time, you do have these competitive challenges. You highlighted the rest of the world in places like Latin America and Asia. We've done a really nice job of pricing out ahead of the currency effect that we see in those markets. So we essentially covered currency in Asia, and we're about to cover it in Latin America. So I feel good about the way the teams are executing there. The euro was just such a huge drag. We weren't really able to catch that at this point because a lot of the other competitors are pricing in local currency there as well. But you step back from that. We feel good about share in all of these markets. And so yes, I think you've called it pretty well. It's pretty isolated, flattish in North America, it's mostly seed and it's related to the market that we're operating in.

謝謝，P.J.。你說得對，首先要把定價重點放在北美，特別是美國。我一開始就著手研究嚴峻的農業環境。我們已經討論過農場淨收入低的問題，而且我們的產品定價過高，與其提供的價值不符。我們也會對市場環境做出反應，並據此調整定價。所以我們採用了統一的定價策略。和以往一樣，在任何競爭激烈的市場中，都存在著許多挑戰，競爭也非常激烈。但我們對目前的處境感到滿意，這也反映在我們的業績上。現在我們看到了一種混合效應，因為我們的新產品確實推動了更高的混合比例，我們根據額外的產量進行定價，並將其中的一部分返還給種植者。同時，你們也面臨這些競爭挑戰。你重點介紹了世界其他地區，例如拉丁美洲和亞洲。我們已經很好地提前對這些市場中出現的匯率波動進行了定價。所以我們基本上講完了亞洲的貨幣，接下來我們將講解拉丁美洲的貨幣。所以我對各隊在那裡的表現感到滿意。歐元簡直是個巨大的拖累。我們當時還無法準確掌握這一點，因為許多其他競爭對手也都是用當地貨幣定價的。但你要從中抽身出來。我們對在所有這些市場的份額都感到滿意。所以，是的，我認為你的預測非常準確。它位於北美，地勢較為平坦，地點也較偏遠，主要種植種子，而且與我們所處的市場密切相關。

And our next question comes from Frank Mitsch with Fermium Research.

下一個問題來自 Fermium Research 公司的 Frank Mitsch。

As I look at -- I'd like the Slide #8, and you show us how the corn seeds are tracking right on top of 2018 for 2Q. And if I look at your first half guidance, there is an expectation in net sales and EBITDA are going to grow kind of mid-single digits, maybe even a little bit better on the EBITDA side. So corn seed is kind of in line with 2018. How should we think about the drivers to get to the increase year-over-year for Corteva?

我看了看——我想看第 8 張幻燈片，您向我們展示了玉米種子在 2018 年第二季的進展。如果我看一下你們上半年的業績指引，預期淨銷售額和 EBITDA 將實現中等個位數的成長，EBITDA 方面甚至可能會略好一些。所以玉米種子價格與 2018 年基本持平。我們該如何看待促成科迪華業績年增的驅動因素？

Yes. Frank, thanks. So you're right, it's we're kind of projecting out through the full year that second half already had a pretty strong plan. We had about $200 million of -- greater than $200 million of EBITDA growth already baked into that plan. That's that new product pipeline that we've been talking about. But also the synergy flow-through and things like Arylex herbicides had a great start globally, Vessarya and Asian soy rust in Brazil and Zorvec fungicides, both continue to just be stellar. And then as we're now really beginning to see the effects of both Isoclast on the insecticides and Lumisena on seed treatments. So as we think about now that new view in the second half, the new guidance really only adds about $80 million of additional EBITDA, and that's partly due to this pipeline again coming in even better than we have in the original plan. And that's a couple of additional star players, Rinskor in rice, which is a heavy second half Asia Pacific piece; and Pyraxalt, which is that brown planthopper product that we've been talking about. It's really showing now nice growth ahead of the plan, and that's a very Asia Pacific rice-oriented product.

是的。弗蘭克，謝謝。所以你說得對，我們正在對全年情況進行預測，下半年已經制定了一個相當完善的計劃。該計劃中已經包含了約 2 億美元——超過 2 億美元的 EBITDA 成長。這就是我們一直在討論的新產品線。但協同效應也持續發揮作用，像 Arylex 除草劑這樣的產品在全球範圍內取得了巨大成功，Vessarya 和巴西的亞洲大豆銹病防治劑以及 Zorvec 殺菌劑，這兩款產品都繼續表現出色。現在我們開始真正看到 Isoclast 對殺蟲劑和 Lumisena 對種子處理劑的影響。所以，當我們考慮下半年的新前景時，新的指導方針實際上只增加了約 8000 萬美元的額外 EBITDA，這部分是因為該項目的進展比我們最初的計劃還要好。還有幾位明星企業，分別是大米生產商 Rinskor（該公司在亞太地區下半年佔據重要份額）和 Pyraxalt（該公司生產的褐飛蝨產品，我們一直在談論它）。目前來看，該產品的成長勢頭良好，甚至超過了預期，而且這是一款非常面向亞太地區的稻米產品。

And then we're seeing some pricing opportunities. We have a few products that are incredibly high demand and really -- we're having trouble supplying all the demand for those, so we've taken a fresh look at the pricing there for the value that we're delivering. And then some of our synergies that we've been really looking at, finding a way to accelerate those synergies out of 2020 into the second half of 2019, and that's helping contribute to that upside in EBITDA.

然後我們看到了一些定價方面的機會。我們有一些產品的需求量非常高，實際上——我們很難滿足所有需求，所以我們重新審視了這些產品的定價，以確保它們與我們提供的價值相符。此外，我們一直在認真研究一些協同效應，尋找一種方法將這些協同效應從 2020 年提前到 2019 年下半年，這有助於提高 EBITDA。

And then finally, I'll just say, look, in these market environments, we're always looking for ways to take additional productivity actions and kind of just tighten up the shift in light of the markets. There are customers who are operating in and just be right with that. So -- yet all those things together, I'm actually quite -- I feel really good about the plan that we've laid out to add this additional and close that GAAP and be able to confirm about $2.8 billion full year that we're talking about.

最後，我想說，在當前的市場環境下，我們一直在尋找提高生產力的方法，並根據市場狀況來調整策略。有些客戶正在運營，那就接受這個事實吧。所以——儘管所有這些因素加在一起，我其實相當——我對我們制定的計劃感到非常滿意，該計劃旨在增加這部分收入，完成 GAAP 調整，並能夠確認我們所說的全年收入約為 28 億美元。

We'll take our final question from John Roberts with UBS.

我們最後回答瑞銀集團的約翰羅伯茲提出的問題。

Back on the Hemlock Semiconductor JV, do you expect any onetime income later in 2019? And does the JV have any put call divorce clauses to allow you to either buy out your partners or force them to buy you out if they want so?

回到 Hemlock Semiconductor 合資項目，您預計 2019 年稍後會有任何一次性收入嗎？合資協議中是否有買賣選擇權離婚條款，允許你收購合夥人的股份，或是在他們願意的情況下強迫他們收購你的股份？

Well, this is Marc. Let me take the first one. Yes, we do expect another onetimer, and we've got it built into the full year outlook. Not exactly sure at this point when it will land, but it will be in the second half. And then in terms of the clauses around the JV definitive agreement, we're going to have to get back to you on that one.

這位是馬克。我來選第一個。是的，我們預計還會出現一次性事件，並且我們已經將其納入全年展望中。目前還不確定具體上線時間，但一定會在下半年。至於合資企業最終協議的相關條款，我們還需要另行回覆您。

Okay. With that, I think we're going to end. Thank you, everyone, for joining our call. We appreciate your interest in DowDuPont. For your reference, a copy of our transcript will be posted on DowDuPont's website. This concludes our call.

好的。我想，我們的談話就到此結束了。感謝各位參加我們的電話會議。感謝您對陶氏杜邦的關注。供您參考，我們的成績單副本將發佈在陶氏杜邦公司的網站上。通話到此結束。

And this concludes today's conference. Thank you for your participation. You may now disconnect.

今天的會議到此結束。感謝您的參與。您現在可以斷開連線了。