DuPont 2014 Annual Report Download - page 29

Download and view the complete annual report

Please find page 29 of the 2014 DuPont annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 106

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106

Part II
ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS, continued
28
NUTRITION & HEALTH
(Dollars in millions) 2014 2013 2012
Segment sales $ 3,529 $ 3,473 $ 3,422
PTOI $ 365 $ 305 $ 270
PTOI margin 10% 9% 8%
2014 2013
Change in segment sales from prior period due to:
Price (1)% 3 %
Volume 3 % — %
Portfolio / Other — % (2)%
Total change 2 % 1 %
2014 versus 2013 Full year 2014 segment sales of $3.5 billion increased $0.06 billion, or 2 percent, as volume growth in specialty
proteins, cultures and probiotics, was partially offset by a negative impact from currency.
2014 PTOI and PTOI margin increased from improved product mix, volume growth, productivity and a gain of $18 million from
the termination of a distribution agreement, partially offset by the negative impact from currency. Restructuring charges of $15
million were incurred in 2014 compared to $6 million in 2013 (see Note 3 to the Consolidated Financial Statements for additional
information related to the 2014 restructuring program).
2013 versus 2012 Sales were up reflecting global pricing gains and increased demand in specialty proteins, probiotics, and
cultures, partially offset by the impact of manufacturing site closures in fourth quarter 2012, lower volume in enablers, and negative
currency impact.
2013 PTOI and PTOI margin increased as favorable mix, productivity improvements, and the absence of $49 million in restructuring
charges recorded in 2012 more than offset higher cost guar inventory.
Outlook Full year sales are expected to be about flat with broad-based volume gains offset by currency. Full year PTOI is expected
to be mid-single digits percent higher benefiting from lower raw material costs, improved mix and a continued focus on productivity,
further expanding margins, which will be partly offset by negative impact from currency.