DuPont de Nemours, Inc. (NYSE:DD) Q1 2024 Earnings Call Transcript

Lori Koch: Yes, in fact in Kevlar, we’re actually seeing some questions around it. It is PFAS free, so there’s some opportunity there to maybe pick up some share on the advanced materials side or the PB side and be opportunistic, so no, no direct feedback from customers. Obviously we published our sustainability report earlier this week, there’s a lot of examples in there around our commitment to that, as well as just overall water, key drivers around the sustainability footprint.

Steve Byrne: Okay, thank you.

Edward Breen: Thanks Steve.

Operator: Our last question comes from the line of Laurence Alexander from Jefferies LLC. Your line is open.

Laurence Alexander: Good morning. Just a quick one on the electronics side. How far do you see the growth trajectory for that business, or how much can you expand it before you need to do a significant round of capex additions?

Edward Breen: The good news on the E&I side, by the way which is very different than the W&P side, is they’re not heavy assets. More of our capex on the electronics side, Laurence, actually goes into our testing equipment. We have to have very state-of-the-art testing equipment in the key regions where our customers are, so that’s where we’ll add some capex over time. But we kind of modularly upgrade the electronics manufacturing location, so that’s not going to be a big capex spend for us, but my gut is we’ll be looking at some expansion work here as we see this supercycle coming on the semi side. By the way, if this were, like, our Tyvek business, as you know, we’re launching line 8 over in Luxembourg, we’ve already done our first test runs of product, by the way, which has gone very well.

That project was $450 million. We don’t have anything like that on the electronics side, so that’s good, and it’s quicker to upgrade the manufacturing capacity also in the electronics side, so we’ll stay on top of that as we see this growth over the next set of years come.

Laurence Alexander: Great, thank you.

Edward Breen: Thank you Laurence.

Operator: There are no further questions at this time, so I’d like to hand the call back to Chris Mecray.

Chris Mecray: Okay, thank you everybody for joining the call. We appreciate your interest, and as always, we’ll post a copy of the transcript on the DuPont IR website. This concludes the call. Thank you.

Operator: That does conclude our conference for today. Thank you for participating. You may now all disconnect.