AI interpretation based on checked source excerpts. Issuer assertions and evidence limitations remain explicit.
Policy quality-scores-2: six equally weighted categories. The overall score requires full coverage. Missing inputs are not zero. Qualitative grades are sourced interpretations, not probabilities. 4/6 · 18/10/2026
Moat—
Insufficient evidence for every rubric criterion; no category score is inferred.
structural advantage · — · Patents, brands and technical support establish differentiated assets, but their ability to exclude substitutes or protect economic returns is unresolved. The moat verdict remains uncertain.
durability · — · Remaining patent terms support a legal protection runway, but commercial relevance, enforceability and replacement by competing technologies are not established.
customer dependency · — · Technical support and management's customer-intimacy claim do not establish switching friction or dependency. Purchase orders and unspecified master agreements provide no evidence of customer lock-in.
erosion resilience · — · Organic growth supports current demand, while litigation costs show a realized burden. Neither establishes whether competitive advantages withstand substitution or pricing pressure over time.
Pricing power—
Insufficient evidence for every rubric criterion; no category score is inferred.
realized pricing · — · Reported organic growth combines selling prices and volumes. Value-in-use pricing is an issuer description, and conditional cost pass-through is not a realized pricing outcome.
retention · — · Positive organic sales indicate aggregate demand, but cannot distinguish repeat purchases from new customers or price effects. Technical service and purchase-order disclosures do not establish observed retention.
margin resilience · 2/4 · Comparable quarterly figures imply annual gross margin improved from about 33.5% in 2024 to 34.5% in 2025. Aggregate segment operating EBITDA increased, but Diversified Industrials declined while Healthcare & Water Technologies improved. This is mixed operating resilience; it does not isolate pricing from mix or productivity.
contractual freedom · — · Purchase orders sometimes operate under master supply agreements, but the passages omit price-setting, renegotiation and termination provisions. Market-sensitive pricing does not establish contractual discretion.
Predictability63
Five consecutive annual periods. Equal weights: nondeclining revenue frequency; revenue-growth volatility (5–40pp); positive FCF frequency; FCF-margin volatility (3–20pp). Stability indicator, not a growth forecast.
- Nondeclining revenue years (%)
- 25.00
- Revenue growth volatility (pp)
- 17.81
- Positive FCF years (%)
- 80.00
- FCF margin volatility (pp)
- 5.79
Financial strength25
Equal-weight grades: debt/FCF (1–8x), net debt/earnings before interest and tax (0–5x), interest service (1–12x), current ratio (0.75–2x). Earnings use reported operating income, or reported pretax profit plus reported interest expense when operating income is unavailable. Interest service uses earnings/interest expense; if unavailable, it uses reported operating cash flow/cash interest paid, without relabeling cash paid as accrued expense. Nonpositive cash flow/earnings score 0 for their service component; reported zero interest with a positive numerator scores 100. Net cash scores 100 for net leverage. Missing disclosures remain unavailable. General nonfinancial-company rubric, not a credit rating; exceptional and nonoperating gains are not normalized out. IFRS finance-cost and cash-flow classifications retain their reported scope.
- debtFcfGrade
- 0.00
- netDebtEbitGrade
- 0.00
- interestCoverageGrade
- 0.00
- currentRatioGrade
- 100.00
- Debt / FCF (x)
- 14.07
- Net debt / operating income (x)
- 13.33
- Interest coverage (x)
- 0.59
- Current ratio (x)
- 2.42
Capital allocation52
Three-year equal-weight indicators: pretax return on average invested capital (0–25%; equity + debt − cash, each year and its prior year), share-count growth (0–5%, lower better), share-based cost/revenue (2–20%, lower better), consolidated FCF/net income (0–1x). Return uses reported operating income or, if unavailable, EBIT calculated from reported pretax profit plus reported interest expense; exceptional/nonoperating gains are not normalized out. Share-based cost uses the reported cash-flow add-back or, if absent, separately reported recognized compensation expense; the latter never becomes an FCF adjustment. Nonpositive net income scores 0 for cash conversion; absent income/FCF stays unavailable. Nonpositive invested capital has no defined return and remains unavailable. Does not establish acquisition quality or buyback timing.
- 3-year pre-tax operating return (%)
- 2.13
- 3-year average dilution (%)
- -24.97
- 3-year average SBC / revenue (%)
- 0.55
- cashConversionGrade
- 0.00
Management56
Equal-weight average of four evidence-backed rubric grades (0–4), scaled to 100.
capital discipline · 2/4 · Completed divestiture proceeds, actual capital spending and completed share retirements demonstrate concrete capital actions. Material held-for-sale losses and goodwill impairments temper the record. Acquisition returns, repurchase value creation and comprehensive cash-generation coverage remain insufficient for a stronger grade.
incentive alignment · 2/4 · Existing ownership requirements, clawbacks, hedging restrictions and an actual performance-linked CEO payout support alignment. Early measurement of outstanding PSUs and conversion using projected performance weaken the original long-term performance test. Actual beneficial holdings and ownership compliance are missing.
execution · 2/4 · The Electronics separation and Aramids sale were completed, recent organic sales grew, and separation-related expenses fell. Segment profitability was uneven and divestiture-related losses were substantial. Execution is assessed from these operating and transaction outcomes, without treating management's favorable narrative or planned savings as achieved results.
governance · 3/4 · Disclosed stockholder rights, annual elections, independent committees, an entirely independent Audit Committee and eight actual Audit Committee meetings support strong demonstrated governance processes. The independence count for director nominees is not treated as a completed election result, and disclosed processes do not prove exceptional oversight effectiveness.
Evidence
At December 31, 2025, the Company owned about 6,100 patents and patent applications globally, about 4,700 of which are associated with the Company's continuing operations.
Business: patents associated with continuing operations · Filed 17/02/2026
More than 70 percent of the Company’s patent estate associated with its continuing operations has a remaining term of more than 5 years.
Business: remaining patent estate terms · Filed 17/02/2026
Trademarks: The Company owns or licenses many trademarks that have significant recognition at the consumer retail level and/or the product line level.
Business: trademark recognition · Filed 17/02/2026
The Company provides its customers with extensive support and technical and testing services, in addition to new product development informed by specific industry technological, sustainability and regulatory needs and evolving customer demands.
Competition: technical support and testing services · Filed 17/02/2026
The Company believes that its proprietary product and process technologies, robust product and application development pipelines, well-known brands, customer intimacy, global manufacturing capability, and local service capability help strengthen its competitive position and enable it to compete successfully.
Competition: management assessment of competitive strengths · Filed 17/02/2026
The protection afforded by patents varies based on country, scope of individual patent coverage, as well as the availability of legal remedies in each country and type of patent protection.
Business: variation in patent protection · Filed 17/02/2026
COMPETITION The markets in which the Company participates are served by a variety of competitors including multinational companies with significant sales, marketing, research, and financial capabilities, as well as well-established regional companies.
Competition: multinational and regional competitors · Filed 17/02/2026
3. Includes legal costs within the Healthcare & Water Technologies segment associated with a pending intellectual property matter ($10 million pre-tax cost), and legal costs associated with personal injury cases associated with Corian® Quartz, a product within the Diversified Industrials segment ($11 million pre-tax cost), offset by a benefit related to an adjustment within Healthcare & Water Technologies of the Donatelle contingent earn-out liability ($14 million pre-tax benefit) and accrued interest earned on employee retention credits ($3 million pre-tax benefit).
Note 18: realized intellectual property and product litigation costs · Filed 04/08/2026
•Water & Protection: 3M, Honeywell, Hydranautics, Kingspan, Kolon, Lanxess, Owens-Corning, Ecolab, Avient, Toray, Teijin, and Yantai.
2024 business: named Water & Protection competitors · Filed 14/02/2025
48 Table of Contents RESULTS OF OPERATIONS Summary of Sales Results Three Months Ended June 30, Six Months Ended June 30, In millions 2026 2025 2026 2025 Net sales $ 1,819 $ 1,749 $ 3,500 $ 3,361 The following table summarizes sales variances by segment from the prior year: Sales Variances by Segment Percentage change from prior year Three Months Ended June 30, 2026 Six Months Ended June 30, 2026 Organic Sales 1 Currency Portfolio & Other Total Organic Sales 1 Currency Portfolio & Other Total Healthcare & Water Technologies 4 % 1 % — % 5 % 3 % 2 % — % 5 % Diversified Industrials 3 — — 3 2 1 — 3 Total 4 % — % — % 4 % 3 % 1 % — % 4 % 1.Organic sales (which includes both volume and selling price impacts), is defined as the change in net sales, absent the impacts from currency and portfolio.
Results of operations: organic sales and combined price-volume definition · Filed 04/08/2026
Against this competitive backdrop, value-in-use is the primary driver of price for the Company’s products, although price is impacted by many factors including, among others, fluctuations in supply and demand, and availability and cost of key manufacturing inputs including raw materials and energy.
Competition: value-in-use pricing and market influences · Filed 14/02/2025
Success in offsetting higher raw material costs with price increases is largely influenced by competitive and economic conditions and could vary significantly depending on the market served.
Risk factors: conditions affecting cost pass-through · Filed 04/08/2026
Quarterly Financial Information (Unaudited) First Quarter Second Quarter Third Quarter Fourth Quarter In millions Year ending December 31, 2025: Net sales $ 1,612 $ 1,749 $ 1,795 $ 1,693 Cost of sales 1,069 1,143 1,179 1,095 Income (loss) from continuing operations before income taxes $ 97 $ 78 $ 91 $ (66) Income (loss) from continuing operations, net of tax $ 80 $ 24 $ 102 $ (108) (Loss) income from discontinued operations, net of tax $ (661) $ 46 $ (209) $ (12) Net (loss) income $ (581) $ 70 $ (107) $ (120) Net (loss) income available for DuPont common stockholders $ (589) $ 59 $ (123) $ (126) Per common share data: Earnings (loss) per common share from continuing operations - basic 1 $ 0.19 $ 0.06 $ 0.23 $ (0.27) (Loss) earnings per common share from discontinued operations - basic 1 (1.59) 0.08 (0.53) (0.03) (Loss) earnings per common share - basic 1 $ (1.41) $ 0.14 $ (0.29) $ (0.30) Earnings (loss) per common share from continuing operations - diluted 1 $ 0.19 $ 0.06 $ 0.23 $ (0.27) (Loss) earnings per common share from discontinued operations - diluted 1 (1.59) 0.08 (0.53) (0.03) (Loss) earnings per common share - diluted 1 $ (1.40) $ 0.14 $ (0.29) $ (0.30) Year ending December 31, 2024: Net sales $ 1,599 $ 1,717 $ 1,714 $ 1,689 Cost of sales 1,098 1,131 1,134 1,136 Income (loss) from continuing operations before income taxes $ 28 $ 1 $ 287 $ (199) Income (loss) from continuing operations, net of tax $ 2 $ (28) $ 221 $ (291) Income from discontinued operations, net of tax $ 196 $ 210 $ 243 $ 185 Net income (loss) $ 198 $ 182 $ 464 $ (106) Net income (loss) available for DuPont common stockholders $ 188 $ 178 $ 454 $ (117) Per common share data: Earnings (loss) per common share from continuing operations - basic 1 $ — $ (0.06) $ 0.53 $ (0.70) Earnings per common share from discontinued operations - basic 1 0.44 0.49 0.56 0.42 Earnings (loss) per common share - basic 1 $ 0.44 $ 0.43 $ 1.09 $ (0.28) Earnings (loss) per common share from continuing operations - diluted 1 $ — $ (0.06) $ 0.52 $ (0.70) Earnings per common share from discontinued operations - diluted 1 0.44 0.49 0.56 0.42 Earnings (loss) per common share - diluted 1 $ 0.44 $ 0.43 $ 1.08 $ (0.28) 1.Earnings (loss) per share amounts for the year may not equal the sum of the quarterly earnings (loss) per common share amounts due to the change in average share calculations.
Note 24: comparable quarterly continuing sales and cost of sales · Filed 17/02/2026
Reconciliation of Segment Operating EBITDA to Income from continuing operations before income taxes For the years ended December 31, In millions 2025 2024 2023 Healthcare & Water Technologies Segment Operating EBITDA $ 972 $ 844 $ 866 Diversified Industrials Segment Operating EBITDA 800 839 792 Reportable Segment Operating EBITDA $ 1,772 $ 1,683 $ 1,658 + Corporate Operating EBITDA 1 $ (144) $ (152) $ (114) - Depreciation and amortization 647 635 580 + Interest income 2 72 74 155 - Interest expense 3 311 365 396 + Non-operating pension/OPEB benefit credits (costs) 1 5 9 (13) + Foreign exchange gains (losses), net 1 (34) (3) (77) - Future reimbursable indirect costs 89 100 106 - Remediation costs associated with divested businesses 12 14 22 + Significant items charge (412) (380) (784) Income from continuing operations before income taxes $ 200 $ 117 $ (279) 1.Corporate includes certain enterprise and governance activities including non-allocated corporate overhead costs and support functions, leveraged services, non-business aligned litigation expenses, DuPont's equity interest in Derby related to the Delrin® Divestiture and other costs not absorbed by reportable segments.
Segment reporting: operating EBITDA and continuing pretax income reconciliation · Filed 17/02/2026
DuPont considers purchase orders, which in some cases are governed by master supply agreements, to be a contract with a customer.
Note 4: customer purchase orders and master supply agreements · Filed 04/08/2026
On April 1, 2026, DuPont completed the sale of the Aramids business (the "Aramids Business" and the divestiture of the Aramids Business, the "Aramids Divestiture") to Arclin, a portfolio company of an affiliate of TJC LP for pre-tax cash proceeds of approximately $1.2 billion, subject to customary transaction adjustments, a note receivable in the principal amount of $300 million (the "Aramids Note Receivable") and a non-controlling common equity interest (the "Aramids Equity Consideration"), valued at $325 million, in New Arclin U.S.
Overview: completed Aramids divestiture and consideration · Filed 04/08/2026
Segment and Corporate Information Healthcare & Water Technologies Diversified Industrials Corporate Total In millions As of June 30, 2026 Assets of continuing operations $ 9,319 $ 6,939 $ 4,803 $ 21,061 Investment in nonconsolidated affiliates 1 — 457 458 As of December 31, 2025 Assets of continuing operations $ 9,463 $ 7,512 $ 2,744 $ 19,719 Investment in nonconsolidated affiliates — — 111 111 Capital Expenditure Reconciliation to Consolidated Financial Statements Three Months Ended June 30, Six Months Ended June 30, In millions 2026 2025 2026 2025 Healthcare & Water Technologies $ 34 $ 31 $ 63 $ 53 Diversified Industrials 37 40 71 62 Segment totals $ 71 $ 71 $ 134 $ 115 Accrual to cash adjustment 1 5 (21) 44 57 Total $ 76 $ 50 $ 178 $ 172 1.Reflects the incremental cash spent or unpaid on capital expenditures; total capital expenditures are presented on a cash basis.
Segment information: capital expenditures and cash reconciliation · Filed 04/08/2026
The Q2 2026 ASR Transaction resulted in delivery of approximately 1.8 million shares of DuPont common stock, at an average price of $148.91 per share, which were retired immediately and recorded as an increase of $270 million to "Accumulated Deficit" in the Consolidated Statements of Equity.
Equity: completed May 2026 repurchase and share retirement · Filed 04/08/2026
1.The year ended December 31, 2025 reflects the loss from classification to held for sale of $444 million and goodwill impairment charges of $768 million.
Discontinued operations: held-for-sale loss and goodwill impairment · Filed 17/02/2026
The Company recorded $7 million and $55 million in costs for the three months ended June 30, 2026 and 2025, respectively, and $7 million and $105 million for the six months ended June 30, 2026 and 2025, respectively.
Acquisition, integration and separation costs: realized comparative expenses · Filed 04/08/2026
The following summarizes key governance elements related to the executive compensation programs in which our executive officers participate: Key Executive Compensation Practices What We Do What We Don’t Do Maintain a pay mix that is heavily performance-based Provide single-trigger change in control agreements or excise tax gross ups Actively engage with stockholders Grant options below market value, extend original option terms, reprice, reload or exchange underwater options without stockholder approval Align executive compensation outcomes with company and individual performance Annually assess peer group composition and competitive compensation practices Permit hedging or pledging of the Company’s securities Include a liberal share counting provision in our equity plan Seek annual stockholder advisory approval of executive compensation Maintain strong stock ownership requirements of six times base salary for the CEO and three times base salary for the other executive officers Guaranteed annual salary increases or bonuses Provide minimum payouts under the Long-Term Incentive Plan Conduct an annual executive talent review and discussion on succession planning Provide uncapped short and long-term incentive payouts Provide excessive perks Maintain a robust compensation clawback policy covering both cash and equity Review executive compensation statements (“tally sheets”) Conduct annual compensation risk assessments 2026 Proxy Statement 5 Table of Contents Voting, Question and Attendance Procedures In this Proxy Statement, you will find information on the Board, the candidates for election to the Board, and three other items to be voted upon at the Annual Meeting and any adjournment or postponement of the Annual Meeting.
Proxy summary: existing ownership requirements and compensation safeguards · Filed 10/04/2026
2023 and 2024 PSU Award Performance Results Impact of Electronics Separation on Outstanding PSU Awards The Committee determined that performance outcomes for the 2023 and 2024 PSU awards would be measured effective immediately prior to the closing of the Electronics Separation, and that all such outstanding PSU awards would be automatically converted into RSUs.
Compensation discussion: early performance measurement and conversion of PSU awards · Filed 10/04/2026
As described below, the outstanding awards were converted based on projected performance outcomes relative to the applicable targets.
Compensation discussion: conversion based on projected performance · Filed 10/04/2026
Koch 1,250,000 150 % 1,875,000 101.2% 100% 1,897,500 Antonella B.
Compensation discussion: actual CEO annual incentive payout · Filed 10/04/2026
Board Independence Director Elections Board Practices Stock Ownership Requirements Stockholder Rights 9 of 11 director nominees are independent Independent Board Committees Annual Board elections Directors are elected by a majority of votes cast Directors not elected by a majority of votes cast are subject to the Company’s resignation policy Independent directors meet in executive session without management at each regularly scheduled Board meeting Annual Board and Committee self- evaluations Annual director evaluations Retirement policy Directors are required to hold Company granted shares until retirement Executives and directors prohibited from hedging or pledging Company stock Stockholder right to call special meetings No super- majority stockholder voting requirements Eligible stockholders are able to nominate directors through proxy access Executive Compensation Our executive compensation philosophy and practices reflect a commitment to paying for performance — both short-term and long- term.
Corporate governance: board practices and stockholder rights · Filed 10/04/2026
The Audit Committee of the Board is comprised entirely of independent directors who meet the independence, experience and other qualification requirements of the New York Stock Exchange (“NYSE”) and the Company’s Corporate Governance Guidelines.
Audit Committee report: actual committee independence · Filed 10/04/2026
The Audit Committee held eight meetings during 2025.
Audit Committee report: meetings held during 2025 · Filed 10/04/2026
On November 1, 2025, DuPont completed the separation of its semiconductor and interconnect solutions businesses (the "Electronics Business" and the separation of the Electronics Business, the “Electronics Separation”) into an independent public company, Qnity Electronics, Inc.
Overview: completed Electronics separation · Filed 05/05/2026
