Corteva, Inc. (NYSE:CTVA) Q4 2023 Earnings Call Transcript

Operator: Thank you. And we’ll take our last question from Josh Spector with UBS.

Josh Spector : Yes. Hi. Thanks for taking my question. Just a quick one, if I could ask on, you didn’t talk about a shift from corn to soy as being a negative in your EBITDA bridge. Just given where you’re at from a profitability in soy and a higher and less share, is that a meaningful factor as you look at acres shifting between corn and soy or is that more neutral? What’s the sensitivity we should be looking at? Thanks.

Tim Glenn: Hey, Josh, good morning. I’ll take a shot at this. So yes, I mean, I don’t think it’s any secret that corn is always more profitable for us than soy in North America. I think what’s changing is that first, we anticipated this. This isn’t a shock. And so we’ve been planning for this, and it’s baked into our numbers right now. And I think the other important part is it’s still — there still is a difference, but the difference isn’t quite as great as it had been. And the reason is today, because we’re not dependent on somebody else’s technology on soybeans. So soy relative to where we would have been three, four, five years ago is much more profitable. So there is still a difference there. We factored it in, but it’s not quite the difference we would have had prior to the significant shift Enlist E3 within our business.

Operator: Thank you. And I’ll turn it back over to Kim for any additional or closing remarks.

Kim Booth: Great. And that concludes today’s call. We thank you for joining and for your interest in Corteva. And we hope you have a safe and wonderful day.

Operator: And that does conclude today’s conference. Thank you for your participation. You may now disconnect.