Seed and crop protection company Corteva beat market estimates for its second quarter (Q2) of 2025 with growth across its portfolio, giving the ag leader confidence to raise its full-year guidance despite lingering tariffs and trade challenges.
Corteva net sales reached $6.456 billion in Q2 2025, which ended June 30, compared to $6.112 billion for the same quarter last year, for a 6% growth, the company shared in a press release following the closing bell on Aug. 6. North America attributed $4.629 billion to net sales, followed by $747 million from EMEA, $672 million from Latin America, and $408 million from Asia.
Net sales in Corteva’s seed division rose to $4.537 billion, compared to $4.331 billion in Q2 2024, with a 3% increase in volumes and prices. North America comprised $3.954 billion in seed sales, compared to EMEA, Latin America, with $282 million, $154 million, and $147 million, respectively.
Corteva increased North American volume sales of its seed business through market share gains and increased corn area, offset slightly by lower soybean area in North America, Corteva stated.
In the second half of 2025, Corteva is looking to South America for growth, focusing on increased corn acreage in Brazil and Argentina, Judd O’Connor, executive VP seed business unit for Corteva, explained on an investor call. Corteva plans to improve its Argentina product portfolio, as well as recover ground from a shift in grower buying patterns in the country, O’Connor added.
“You can see the Argentinian farmer just buying closer to when they actually need [seeds], versus there had been a few years where they were purchasing well in advance where their need was because of some currency hedge,” O’Connor elaborated.
Biologicals deliver double-digit volume growth
Corteva’s other major business, crop protection, increased net sales from $1.781 billion in Q2 2024 to $1.919 billion this year, led by strong demand for new products, including biologicals, fungicides, and spinosyns in Latin America.
“Crop protection price was down 2.5% as expected, driven by competitive market dynamics, mostly in Brazil. Crop protection volume was up 8% with gains in nearly every region, notably new products and biologicals delivered double-digit volume gain compared to the prior year,” David Johnson, executive VP and CFO of Corteva, shared on an investor call, said during an investor call.
Tariffs won’t have a ‘material net impact’ on 2025 results
Corteva raised its full-year guidance, now expecting net sales in the $17.6-17.8 billion range and an operating EBITDA in the $3.75-3.85 billion range. Corteva adjusted its full-year guidance for two key reasons, Johnson noted.
“One is our earnings increase that we increase the midpoint of our guide, but also with the new tax legislation, we are expecting less cash taxes in 2025, and that represents about a 4% uplift in our overall conversion rate. So, when you end up adding those two factors together, we are now expecting about a 50% conversion rate for the year of $1.9 billion,” Johnson elaborated.
Corteva also remained undeterred by ongoing tariff talks, stating that the company does not expect “a material net impact on our full-year 2025 results given policies in place today,” the company shared in a press release. Additionally, Corteva expects demand for grain and oilseed to remain strong globally, regardless of the tariff situation, the company added.
“While we continue to navigate a fluid macro environment, we are raising our full-year guidance as a result of the strength of our global business and the setup for our Latin American business in the second half. This stronger view of 2025 also underscores our confidence in delivering our 2027 financial framework, and in the value our business offers, both in the short- and long-term,” Chuck Magro, CEO of Corteva, shared in a press release.
