EX-99.2 3 cortevaq32023enrschedules.htm EX-99.2 Document

A-1
Corteva, Inc.
Consolidated Statements of Operations
(Dollars in millions, except per share amounts)


Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Net sales$2,590 $2,777 $13,519 $13,630 
Cost of goods sold1,646 1,879 7,554 7,926 
Research and development expense335 312 980 876 
Selling, general and administrative expenses670 657 2,441 2,409 
Amortization of intangibles174 178 508 536 
Restructuring and asset related charges - net2 152 95 300 
Other income (expense) - net(149)23 (354)89 
Interest expense58 18 171 43 
Income (loss) from continuing operations before income taxes(444)(396)1,416 1,629 
Provision for (benefit from) income taxes on continuing operations(129)(74)244 372 
Income (loss) from continuing operations after income taxes(315)(322)1,172 1,257 
Income (loss) from discontinued operations after income taxes(3)(6)(174)(46)
Net income (loss)(318)(328)998 1,211 
Net income (loss) attributable to noncontrolling interests3 3 10 9 
Net income (loss) attributable to Corteva$(321)$(331)$988 $1,202 
Basic earnings (loss) per share of common stock:
Basic earnings (loss) per share of common stock from continuing operations$(0.45)$(0.45)$1.64 $1.73 
Basic earnings (loss) per share of common stock from discontinued operations— (0.01)(0.24)(0.06)
Basic earnings (loss) per share of common stock$(0.45)$(0.46)$1.40 $1.67 
Diluted earnings (loss) per share of common stock:
Diluted earnings (loss) per share of common stock from continuing operations$(0.45)$(0.45)$1.63 $1.72 
Diluted earnings (loss) per share of common stock from discontinued operations— (0.01)(0.24)(0.06)
Diluted earnings (loss) per share of common stock$(0.45)$(0.46)$1.39 $1.66 
Average number of shares outstanding used in earnings (loss) per share (EPS) calculation (in millions)
Basic708.4718.7710.7722.8
Diluted708.4718.7713.6726.4





A-2
Corteva, Inc.
Consolidated Balance Sheets
(Dollars in millions, except share amounts)
September 30, 2023December 31, 2022September 30, 2022
Assets
Current assets
Cash and cash equivalents$2,254 $3,191 $2,199 
Marketable securities108 124 119 
Accounts and notes receivable – net
6,581 5,701 6,273 
Inventories6,320 6,811 5,415 
Other current assets1,070 968 1,039 
Total current assets16,333 16,795 15,045 
Investment in nonconsolidated affiliates106 102 91 
Property, plant and equipment8,892 8,551 8,444 
Less: Accumulated depreciation4,572 4,297 4,259 
Net property, plant and equipment4,320 4,254 4,185 
Goodwill10,441 9,962 9,791 
Other intangible assets9,795 9,339 9,461 
Deferred income taxes554 479 407 
Other assets1,561 1,687 1,671 
Total Assets$43,110 $42,618 $40,651 
Liabilities and Equity
Current liabilities
Short-term borrowings and finance lease obligations$3,609 $24 $1,576 
Accounts payable3,678 4,895 4,140 
Income taxes payable236 183 227 
Deferred revenue552 3,388 860 
Accrued and other current liabilities2,273 2,254 2,115 
Total current liabilities10,348 10,744 8,918 
Long-term debt2,290 1,283 1,277 
Other noncurrent liabilities
Deferred income tax liabilities1,070 1,119 1,123 
Pension and other post employment benefits - noncurrent2,228 2,255 2,628 
Other noncurrent obligations1,707 1,676 1,621 
Total noncurrent liabilities7,295 6,333 6,649 
Commitments and contingent liabilities
Stockholders' equity
Common stock, $0.01 par value; 1,666,667,000 shares authorized; issued at September 30, 2023 - 704,880,000; December 31, 2022 - 713,419,000; and September 30, 2022 - 716,225,0007 7 7 
Additional paid-in capital27,895 27,851 27,815 
Retained earnings 325 250 614 
Accumulated other comprehensive income (loss)(3,001)(2,806)(3,592)
Total Corteva stockholders' equity25,226 25,302 24,844 
Noncontrolling interests241 239 240 
Total equity25,467 25,541 25,084 
Total Liabilities and Equity$43,110 $42,618 $40,651 

A-3
Corteva, Inc.
Consolidated Statement of Cash Flows
(Dollars in millions, except per share amounts)

Nine Months Ended September 30,
20232022
Operating activities
Net income (loss)$998 $1,211 
Adjustments to reconcile net income (loss) to cash provided by (used for) operating activities:
Depreciation and amortization899 919 
Provision for (benefit from) deferred income tax(308)(149)
Net periodic pension and OPEB (credits) costs
105 (155)
Pension and OPEB contributions(123)(147)
Net (gain) loss on sales of property, businesses, consolidated companies, and investments(12)(17)
Restructuring and asset related charges - net95 300 
Other net loss342 181 
Changes in assets and liabilities, net
Accounts and notes receivable(782)(1,814)
Inventories492 (466)
Accounts payable(1,215)202 
Deferred revenue(2,840)(2,311)
Other assets and liabilities(255)100 
Cash provided by (used for) operating activities(2,604)(2,146)
Investing activities
Capital expenditures(412)(460)
Proceeds from sales of property, businesses, and consolidated companies - net of cash divested42 46 
Acquisitions of businesses - net of cash acquired(1,456)— 
Investments in and loans to nonconsolidated affiliates(31)(9)
Purchases of investments(83)(314)
Proceeds from sales and maturities of investments127 274 
Proceeds from settlement of net investment hedge42 — 
Other investing activities, net(2)24 
Cash provided by (used for) investing activities(1,773)(439)
Financing activities
Net change in borrowings (less than 90 days) 2,419 777 
Proceeds from debt3,427 1,335 
Payments on debt(1,314)(355)
Repurchase of common stock(585)(800)
Proceeds from exercise of stock options28 66 
Dividends paid to stockholders(327)(311)
Other financing activities, net(45)(49)
Cash provided by (used for) financing activities3,603 663 
Effect of exchange rate changes on cash, cash equivalents and restricted cash equivalents(68)(295)
Increase (decrease) in cash, cash equivalents and restricted cash equivalents(842)(2,217)
Cash, cash equivalents and restricted cash equivalents at beginning of period3,618 4,836 
Cash, cash equivalents and restricted cash equivalents at end of period$2,776 $2,619 

A-4
Corteva, Inc.
Consolidated Segment Information
(Dollars in millions, except per share amounts)

Three Months Ended
September 30,		Nine Months Ended
September 30,
SEGMENT NET SALES - SEED2023202220232022
    Corn$487 $469 $5,139 $4,621 
    Soybean189 205 1,713 1,685 
    Other oilseeds142 124 637 647 
    Other60 64 348 380 
Seed$878 $862 $7,837 $7,333 
Three Months Ended
September 30,		Nine Months Ended
September 30,
SEGMENT NET SALES - CROP PROTECTION2023202220232022
    Herbicides$815 $1,043 $3,043 $3,472 
    Insecticides416 363 1,156 1,275 
    Fungicides226 421 837 1,173 
    Other255 88 646 377 
Crop Protection$1,712 $1,915 $5,682 $6,297 
Three Months Ended
September 30,		Nine Months Ended
September 30,
GEOGRAPHIC NET SALES - SEED2023202220232022
North America 1
$173 $218 $5,192 $4,637 
EMEA 2
198 157 1,441 1,442 
Latin America
380 383 847 912 
Asia Pacific
127 104 357 342 
Rest of World 3
705 644 2,645 2,696 
Net Sales$878 $862 $7,837 $7,333 
Three Months Ended
September 30,		Nine Months Ended
September 30,
GEOGRAPHIC NET SALES - CROP PROTECTION2023202220232022
North America 1
$399 $521 $1,901 $2,185 
EMEA 2
271 297 1,555 1,452 
Latin America
844 898 1,537 1,852 
Asia Pacific
198 199 689 808 
Rest of World 3
1,313 1,394 3,781 4,112 
Net Sales$1,712 $1,915 $5,682 $6,297 
1. Reflects U.S. & Canada
2. Reflects Europe, Middle East, and Africa
3. Reflects EMEA, Latin America, and Asia Pacific



A-5
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
Three Months Ended
September 30,		Nine Months Ended
September 30,
20232023
Net Sales (GAAP)$2,590 $13,519 
Add: Impacts from Currency and Portfolio / Other4
(184)(42)
Organic Sales (Non-GAAP)$2,406 $13,477 
Three Months Ended
September 30,		Nine Months Ended
September 30,
OPERATING EBITDA2023202220232022
Seed$(138)$(224)$1,972 $1,585 
Crop Protection184 352 1,107 1,352 
Corporate Expenses(28)(32)(84)(83)
Operating EBITDA (Non-GAAP)$18 $96 $2,995 $2,854 
RECONCILIATION OF INCOME (LOSS) FROM CONTINUING OPERATIONS AFTER INCOME TAXES TO OPERATING EBITDAThree Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Income (loss) from continuing operations after income taxes (GAAP)$(315)$(322)$1,172 $1,257 
Provision for (benefit from) income taxes on continuing operations(129)(74)244 372 
Income (loss) from continuing operations before income taxes (GAAP)(444)(396)1,416 1,629 
Depreciation and amortization306 310 899 919 
Interest income(59)(36)(153)(75)
Interest expense58 18 171 43 
Exchange (gains) losses1
102 13 242 96 
Non-operating (benefits) costs2
28 (9)115 (134)
Mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges(44)(6)34 (3)
Significant items (benefit) charge3
71 202 271 379 
Operating EBITDA (Non-GAAP)$18 $96 $2,995 $2,854 

1.Refer to page A-15 for pre-tax and after tax impacts of exchange (gains) losses.
2.Non-operating (benefits) costs consists of non-operating pension and other post-employment benefit (OPEB) credits (costs), tax indemnification adjustments, and environmental remediation and legal costs associated with legacy businesses and sites of Historical DuPont. Tax indemnification adjustments relate to changes in indemnification balances, as a result of the application of the terms of the Tax Matters Agreement, between Corteva and Dow and/or DuPont that are recorded by the Company as pre-tax income or expense.
3.Refer to page A-10 for pre-tax and after tax impacts of significant items.
4.Other includes the revenue recognized relating to seed sales associated with the Russia Exit. Refer to schedule A-10 for further detail on significant items.

A-6
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)

PRICE - VOLUME - CURRENCY ANALYSIS
REGION
Q3 2023 vs. Q3 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$(167)(23)%$(172)(23)%(1)%(22)%— %— %
EMEA2
15 3 %(3)(1)%12 %(13)%1 %3 %
Latin America
(57)(4)%(226)(18)%(2)%(16)%4 %10 %
Asia Pacific
22 7 %30 10 %6 %4 %(4)%1 %
Rest of World(20)(1)%(199)(10)%3 %(13)%2 %7 %
Total$(187)(7)%$(371)(13)%2 %(15)%1 %5 %
SEED
Q3 2023 vs. Q3 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$(45)(21)%$(43)(20)%9 %(29)%(1)%— %
EMEA2
41 26 %50 32 %29 %3 %(6)%— %
Latin America
(3)(1)%(19)(5)%12 %(17)%4 %— %
Asia Pacific
23 22 %29 28 %10 %18 %(6)%— %
Rest of World61 9 %60 9 %16 %(7)%— %— %
Total$16 2 %$17 2 %14 %(12)%— %— %
CROP PROTECTION
Q3 2023 vs. Q3 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$(122)(23)%$(129)(25)%(6)%(19)%— %2 %
EMEA
(26)(9)%(53)(18)%4 %(22)%4 %5 %
Latin America
(54)(6)%(207)(23)%(7)%(16)%4 %13 %
Asia Pacific
(1)(1)%1 1 %3 %(2)%(4)%2 %
Rest of World(81)(6)%(259)(19)%(3)%(16)%3 %10 %
Total$(203)(11)%$(388)(20)%(4)%(16)%2 %7 %

A-7
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
SEED PRODUCT LINE
Q3 2023 vs. Q3 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
Corn2
$18 4 %$25 5 %16 %(11)%(1)%— %
Soybeans(16)(8)%(24)(12)%9 %(21)%4 %— %
Other oilseeds2
18 15 %19 15 %22 %(7)%— %— %
Other(4)(6)%(3)(5)%4 %(9)%(1)%— %
Total $16 2 %$17 2 %14 %(12)%— %— %
CROP PROTECTION PRODUCT LINE
Q3 2023 vs. Q3 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
Herbicides$(228)(22)%$(249)(24)%(5)%(19)%2 %— %
Insecticides53 15 %46 13 %(1)%14 %2 %— %
Fungicides(195)(46)%(202)(48)%(5)%(43)%2 %— %
Other167 190 %17 19 %2 %17 %5 %166 %
Total$(203)(11)%$(388)(20)%(4)%(16)%2 %7 %

1.Organic sales is defined as price and volume and excludes currency and portfolio and other impacts, including significant items.
2.Other includes the revenue recognized relating to seed sales associated with the Russia Exit. Refer to schedule A-10 for further detail on significant items.


A-8
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
PRICE - VOLUME - CURRENCY ANALYSIS
REGION
Nine Months 2023 vs. Nine Months 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$271 4 %$299 4 %7 %(3)%— %— %
EMEA2
102 4 %246 9 %20 %(11)%(8)%3 %
Latin America
(380)(14)%(661)(24)%2 %(26)%2 %8 %
Asia Pacific
(104)(9)%(37)(3)%7 %(10)%(6)%— %
Rest of World(382)(6)%(452)(7)%10 %(17)%(4)%5 %
Total$(111)(1)%$(153)(1)%9 %(10)%(2)%2 %
SEED
Nine Months 2023 vs. Nine Months 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$555 12 %$588 13 %10 %3 %(1)%— %
EMEA2
(1)— %92 6 %27 %(21)%(11)%5 %
Latin America
(65)(7)%(96)(11)%14 %(25)%4 %— %
Asia Pacific
15 4 %45 13 %12 %1 %(9)%— %
Rest of World(51)(2)%41 2 %21 %(19)%(6)%2 %
Total$504 7 %$629 9 %14 %(5)%(3)%1 %
CROP PROTECTION
Nine Months 2023 vs. Nine Months 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
North America$(284)(13)%$(289)(13)%3 %(16)%(1)%1 %
EMEA
103 7 %154 11 %14 %(3)%(5)%1 %
Latin America
(315)(17)%(565)(31)%(4)%(27)%2 %12 %
Asia Pacific
(119)(15)%(82)(10)%5 %(15)%(5)%— %
Rest of World(331)(8)%(493)(12)%4 %(16)%(2)%6 %
Total$(615)(10)%$(782)(12)%4 %(16)%(2)%4 %


A-9
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
SEED PRODUCT LINE
Nine Months 2023 vs. Nine Months 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
Corn2
$518 11 %$623 13 %15 %(2)%(3)%1 %
Soybeans28 2 %29 2 %8 %(6)%— %— %
Other oilseeds2
(10)(2)%5 1 %23 %(22)%(8)%5 %
Other(32)(8)%(28)(7)%9 %(16)%(1)%— %
Total $504 7 %$629 9 %14 %(5)%(3)%1 %
CROP PROTECTION PRODUCT LINE
Nine Months 2023 vs. Nine Months 2022Percent Change Due To:
Net Sales Change (GAAP)
Organic Change 1 (Non-GAAP)
Price &Portfolio /
$%$%Product MixVolumeCurrencyOther
Herbicides$(429)(12)%$(378)(11)%3 %(14)%(1)%— %
Insecticides(119)(9)%(78)(6)%5 %(11)%(2)%(1)%
Fungicides(336)(29)%(311)(27)%4 %(31)%(2)%— %
Other269 71 %(15)(4)%4 %(8)%1 %74 %
Total$(615)(10)%$(782)(12)%4 %(16)%(2)%4 %

1.Organic sales is defined as price and volume and excludes currency and portfolio and other impacts, including significant items.
2.Other includes the revenue recognized relating to seed sales associated with the Russia Exit. Refer to schedule A-10 for further detail on significant items.


A-10
Corteva, Inc.
Significant Items
(Dollars in millions, except per share amounts)
SIGNIFICANT ITEMS BY SEGMENT (PRE-TAX)
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Seed$5 $(94)$(59)$(237)
Crop Protection(73)(42)(202)(59)
Corporate(3)(66)(10)(83)
Total significant items before income taxes$(71)$(202)$(271)$(379)
SIGNIFICANT ITEMS - PRE-TAX, AFTER TAX, AND EPS IMPACTS
Pre-tax
After tax8
($ Per Share)
202320222023202220232022
1st Quarter
Restructuring and asset related charges, net1
$(33)$(5)$(25)$(3)$(0.03)$— 
Estimated settlement expense2
(49)(17)(37)(13)(0.05)(0.02)
Inventory write-offs3
(4)— (4)— (0.01)— 
Gain (loss) on sale of assets and equity investments3
3 — 1 — — — 
Seed sale associated with Russia Exit3
19 — 14 — 0.02 — 
Acquisition-related costs4
(19)— (17)— (0.02)— 
1st Quarter — Total
$(83)$(22)$(68)$(16)$(0.09)$(0.02)
2nd Quarter
Restructuring and asset related charges, net 1
$(60)$(143)$(45)$(116)$(0.06)$(0.16)
Estimated settlement expense2
(41)— (31)— (0.04)— 
Inventory write-offs 3
(3)(1)(3)(1)— — 
Loss on sale of equity investments 3
— (5)— (4)— (0.01)
Seed sale associated with Russia Exit3
(1)— (1)— (0.01)— 
Settlement costs associated with Russia Exit 3
— (6)— (6)— (0.01)
Acquisition-related costs4
(15)— (12)— (0.02)— 
Employee Retention Credit5
3 — 2 — — — 
Income tax items6
— — 29 — 0.04 — 
2nd Quarter — Total
$(117)$(155)$(61)$(127)$(0.09)$(0.18)
3rd Quarter
Restructuring and asset related charges, net 1
$(2)$(152)$(4)$(126)$(0.01)$(0.18)
Estimated settlement expense 2
(66)(40)(50)(30)(0.07)(0.04)
Inventory write-offs 3
— (32)— (24)— (0.03)
Settlement cost associated with Russia Exit 3
— (2)— (2)— — 
Gain on sale of business3
4 15 3 10 0.01 0.01 
Acquisition-related costs4
(7)— (6)— (0.01)— 
Employee Retention Credit 5
— 9 — 7 — 0.01 
Income tax items 6
— — — 55 — 0.08 
3rd Quarter — Total
$(71)$(202)$(57)$(110)$(0.08)$(0.15)
Year-to-date Total 7
$(271)$(379)$(186)$(253)$(0.26)$(0.35)

1.Third, second and first quarter 2023 includes restructuring and asset related benefits (charges) of $(2), $(60) and $(33), respectively. The charges primarily relate to a $2, $(52) and $(16) benefit (charge) for the third, second and first quarter, respectively, related to non-cash accelerated prepaid royalty amortization expense related to Roundup Ready 2 Yield® and Roundup Ready 2 Xtend® herbicide tolerance traits and a $(1), $(7) and $(11) charge for the third, second and first quarter, respectively, associated with the 2022 Restructuring Actions.

A-11
Corteva, Inc.
Significant Items
(Dollars in millions, except per share amounts)


Third, second and first quarter 2022 included restructuring and asset related benefits (charges) of $(152), $(143) and $(5), respectively. The charges primarily related to a $(145) and $(56) charge for the third and second quarter, respectively, associated with the 2022 Restructuring Actions and a $(5), $(93) and $(6) charge for the third, second and first quarter, respectively, related to non-cash accelerated prepaid royalty amortization expense related to Roundup Ready 2 Yield® and Roundup Ready 2 Xtend® herbicide tolerance traits.

2.Third, second and first quarter 2023 included estimated Lorsban® related charges of $(66), $(41) and $(49), respectively. Third and first quarter 2022 included estimated Lorsban® related charges of $(40) and $(17), respectively.

3.Third quarter 2023 includes a benefit of $4 associated with activities related to the 2022 Restructuring Actions consisting of a gain on the sale of a business. Second and first quarter 2023 includes a benefit (charge) of $(1) and $19, respectively, relating to the sale of seeds already under production in Russia when the decision to exit the country was made and that the Company was contractually required to purchase, which consisted of $30 and $41 of net sales and $31 and $22 of cost of goods sold, respectively. Second quarter 2023 also includes a charge of $(3) associated with activities related to the 2022 Restructuring Actions consisting of inventory write offs. First quarter 2023 also includes a benefit (charge) of $(11) and $(4) associated with activities related to the 2022 Restructuring Actions consisting of a loss on the sale of the Company's interest in an equity investment and inventory write-offs.

Third quarter 2022 includes a benefit (charge) of $(32), $15 and $(2) associated with activities related to 2022 Restructuring Actions consisting of inventory write-offs, gain on the sale of a business, and settlement costs associated with the Russia Exit, respectively. Second quarter 2022 included a $(1), $(5) and $(6) charge associated with activities related to the 2022 Restructuring Actions relating to inventory write-offs associated with the Russia Exit, loss on the sale of the Company's interest in an equity investment and settlement costs associated with the Russia Exit, respectively.

4.Third, second and first quarter 2023 includes acquisition-related costs relating to transaction and third-party integration costs associated with the completed acquisitions of Stoller and Symborg and the recognition of the inventory fair value step-up.

5.Second quarter 2023 and third quarter 2022 includes a benefit of $3 and $9, respectively, relating to an adjustment due to a change in estimate related to the Employee Retention Credit that the Company earned pursuant to the Coronavirus Aid, Relief, and Economic Security ("CARES") Act as enhanced by the Consolidated Appropriations Act ("CAA") and American Rescue Plan Act ("ARPA").

6.Second quarter 2023 includes a tax benefit of $29 related to the impact of changes to deferred taxes associated with a tax currency change for a legal entity and an adjustment due to a change in estimate related to a worthless stock deduction in the U.S.

Third quarter 2022 includes a tax benefit of $55 relating to the establishment of deferred taxes due to the impact of a change in a U.S. legal entity's tax characterization.

7.Earnings per share for the year may not equal the sum of quarterly earnings per share due to the changes in average share calculations.

8.Unless specifically addressed in the notes above, the income tax effect on significant items was calculated based upon the enacted laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment.

A-12
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)
Operating Earnings (Loss) Per Share (Non-GAAP)
Operating earnings (loss) per share is defined as earnings (loss) per share from continuing operations – diluted, excluding non-operating (benefits) costs, amortization of intangibles (existing as of Separation), net unrealized gain or loss from mark-to-market activity on certain foreign currency derivative instruments that do not qualify for hedge accounting, and significant items.
Three Months Ended September 30,
2023202220232022
$$EPS (diluted)EPS (diluted)
Net income (loss) from continuing operations attributable to Corteva (GAAP)$(318)$(325)$(0.45)$(0.45)
Less: Non-operating benefits (costs), after tax 1
(16)4 (0.02)— 
Less: Amortization of intangibles (existing as of Separation), after tax(118)(137)(0.17)(0.19)
Less: Mark-to-market gains (losses) on certain foreign currency contracts not designated as hedges, after tax34 4 0.05 0.01 
Less: Significant items benefit (charge), after tax(57)(110)(0.08)(0.15)
Operating Earnings (Loss) (Non-GAAP)2
$(161)$(86)$(0.23)$(0.12)
Nine Months Ended September 30,
2023202220232022
$$EPS (diluted)EPS (diluted)
Net income (loss) from continuing operations attributable to Corteva (GAAP)$1,162 $1,248 $1.63 $1.72 
Less: Non-operating benefits (costs), after tax 1
(84)96 (0.12)0.13 
Less: Amortization of intangibles (existing as of Separation), after tax(354)(414)(0.50)(0.57)
Less: Mark-to-market gains (losses) on certain foreign currency contracts not designated as hedges, after tax(25)2 (0.03)0.01 
Less: Significant items benefit (charge), after tax(186)(253)(0.26)(0.35)
Operating Earnings (Loss) (Non-GAAP)2
$1,811 $1,817 $2.54 $2.50 

1.Non-operating benefits (costs) consists of non-operating pension and other post-employment benefit (OPEB) credits (costs), tax indemnification adjustments, and environmental remediation and legal costs associated with legacy businesses and sites of Historical DuPont. Tax indemnification adjustments relate to changes in indemnification balances, as a result of the application of the terms of the Tax Matters Agreement, between Corteva and Dow and/or DuPont that are recorded by the Company as pre-tax income or expense.

2.Refer to page A-13 for the Non-GAAP reconciliation of operating EBITDA to operating earnings (loss) per share.



A-13
Corteva, Inc.
Operating EBITDA to Operating Earnings (Loss) Per Share
(Dollars in millions, except per share amounts)

Operating EBITDA to Operating Earnings (Loss) Per Share
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Operating EBITDA (Non-GAAP)1
$18 $96 $2,995 $2,854 
Depreciation(132)(132)(391)(383)
Amortization of intangibles (post Separation)(20)(1)(45)(3)
Interest Income59 36 153 75 
Interest Expense(58)(18)(171)(43)
(Provision for) benefit from income taxes on continuing operations before significant items, non-operating benefits (costs), amortization of intangibles (existing as of Separation), mark-to-market gains (losses) on certain foreign currency contracts not designated as hedges, and exchange gains (losses) (Non-GAAP)1
62 4 (517)(512)
Base income tax rate from continuing operations (Non-GAAP)1
46.6 %21.1 %20.3 %20.5 %
Exchange gains (losses), after tax2
(87)(68)(203)(162)
Net (income) loss attributable to non-controlling interests(3)(3)(10)(9)
Operating Earnings (Loss) (Non-GAAP)1
$(161)$(86)$1,811 $1,817 
Diluted Shares (in millions)3
708.4 718.7 713.6 726.4 
Operating Earnings (Loss) Per Share (Non-GAAP)1
$(0.23)$(0.12)$2.54 $2.50 

1.Refer to pages A-5 through A-9, A-12 and A-14 for Non-GAAP reconciliations.
2.Refer to page A-15 for pre-tax and after tax impacts of exchange gains (losses).
3.The share count represents basic shares for the three months ended September 30, 2023 and 2022 as application of dilutive shares to an operating loss would be antidilutive.





A-14
Corteva, Inc.
Reconciliation of Non-GAAP Measures
(Dollars in millions, except per share amounts)

Reconciliation of Base Income Tax Rate to Effective Income Tax Rate
Base income tax rate is defined as the effective income tax rate less the effect of exchange gains (losses), significant items, amortization of intangibles (existing as of Separation), mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges, and non-operating (benefits) costs.
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Income (loss) from continuing operations before income taxes (GAAP)
$(444)$(396)$1,416 $1,629 
Add: Significant items (benefit) charge 1
71 202 271 379 
           Non-operating (benefits) costs28 (9)115 (134)
           Amortization of intangibles (existing as of Separation)154 177 463 533 
  Mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges(44)(6)34 (3)
Less: Exchange gains (losses)2
(102)(13)(242)(96)
Income (loss) from continuing operations before income taxes, significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges, and exchange gains (losses) (Non-GAAP)
$(133)$(19)$2,541 $2,500 
Provision for (benefit from) income taxes on continuing operations (GAAP)
$(129)$(74)$244 $372 
Add: Tax benefits on significant items (benefit) charge1
14 92 85 126 
          Tax expenses on non-operating (benefits) costs12 (5)31 (38)
          Tax benefits on amortization of intangibles (existing as of Separation)36 40 109 119 
 Tax benefits on mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges(10)(2)9 (1)
          Tax benefits on exchange gains (losses)2
15 (55)39 (66)
Provision for (benefit from) income taxes on continuing operations before significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges, and exchange gains (losses) (Non-GAAP)
$(62)$(4)$517 $512 
Effective income tax rate (GAAP)
29.1 %18.7 %17.2 %22.8 %
Significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), and mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges effect6.0 %(222.5)%3.5 %1.3 %
Tax rate from continuing operations before significant items, non-operating (benefits) costs, amortization of intangibles (existing as of Separation), and mark-to-market (gains) losses on certain foreign currency contracts not designated as hedges35.1 %(203.8)%20.7 %24.1 %
Exchange gains (losses), net effect2
11.5 %224.9 %(0.4)%(3.6)%
Base income tax rate from continuing operations (Non-GAAP)
46.6 %21.1 %20.3 %20.5 %
1. See page A-10 for further detail on the Significant Items.
2. See page A-15 for further details of exchange gains (losses).



A-15
Corteva, Inc.
(Dollars in millions, except per share amounts)

Exchange Gains (Losses)
The Company routinely uses foreign currency exchange contracts to offset its net exposures, by currency, related to the foreign currency-denominated monetary assets and liabilities. The objective of this program is to maintain an approximately balanced position in foreign currencies in order to minimize, on an after-tax basis, the effects of exchange rate changes on net monetary asset positions. The hedging program gains (losses) are largely taxable (tax deductible) in the United States (U.S.), whereas the offsetting exchange gains (losses) on the remeasurement of the net monetary asset positions are often not taxable (tax deductible) in their local jurisdictions. The net pre-tax exchange gains (losses) are recorded in other income (expense) - net and the related tax impact is recorded in provision for (benefit from) income taxes on continuing operations in the Consolidated Statements of Operations.
Three Months Ended
September 30,		Nine Months Ended
September 30,
2023202220232022
Subsidiary Monetary Position Gain (Loss)
Pre-tax exchange gains (losses)$(104)$(80)$(182)$(120)
Local tax (expenses) benefits19 (40)27 (61)
Net after tax impact from subsidiary exchange gains (losses)$(85)$(120)$(155)$(181)
Hedging Program Gain (Loss)
Pre-tax exchange gains (losses)$2 $67 $(60)$24 
Tax (expenses) benefits(4)(15)12 (5)
Net after tax impact from hedging program exchange gains (losses) $(2)$52 $(48)$19 
Total Exchange Gain (Loss)
Pre-tax exchange gains (losses) $(102)$(13)$(242)$(96)
Tax (expenses) benefits15 (55)39 (66)
Net after tax exchange gains (losses)$(87)$(68)$(203)$(162)
As shown above, the "Total Exchange Gain (Loss)" is the sum of the "Subsidiary Monetary Position Gain (Loss)" and the "Hedging Program Gain (Loss)."