Industrials

DuPont doubles cost-savings target, slashes capital expenses

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Key Points
  • DuPont slashed its capital expenditure by about $500 million and raised its annual cost-savings target to counter global trade uncertainties brought on by the coronavirus outbreak.
  • The industrial giant now expects to save $180 million this year from incremental actions it had announced earlier.
DuPont products are shown for sale in a hardware store in National City, California, December 9, 2015.
Mike Blake | Reuters

Industrial materials maker DuPont on Tuesday doubled its annual cost-savings target and slashed its capital expenditure by about $500 million, as it looks to weather the global trade uncertainties brought on by the coronavirus outbreak.

As spread of the coronavirus across some of the biggest economies upended global trade, companies are increasingly axing costs and delaying non-essential expenses.

DuPont now expects to save $180 million this year, compared to $90 million from steps announced in January to take out stranded costs.

The industrial giant had earlier suspended its full-year forecast, citing the pandemic.

The company's adjusted earnings, in line with preliminary results released earlier, came in at 84 cents per share for the first quarter, beating analysts' estimates of 75 cents, according to Refinitiv IBES.

Net sales fell 4% to $5.2 billion.

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