Full Year 2011 earnings, before significant items, were up 20 percent to a record $3.93 per share versus $3.28 per share in 2010. Reported earnings per share were $3.68 versus $3.28 in 2010. Sales of $38.0 billion were up 20 percent, with a 27 percent increase in developing markets. Excluding significant items and Pharmaceuticals, segment pre-tax operating income increased 31 percent with leading contributions from Performance Chemicals and Agriculture. The company generated $3.3 billion free cash flow in 2011 versus $3.1 billion in 2010, driven by increased segment operating income and productivity initiatives. Fixed cost productivity of $400 million and working capital productivity of $500 million significantly exceeded the $300 million targets set for each.
Fourth quarter 2011 earnings were $.35 per share, excluding significant items, reflecting a $.23 per share year-over-year headwind from a higher tax rate. Prior year earnings were $.50 per share, excluding significant items. Reported fourth quarter 2011 earnings were $.40 per share, unchanged from the prior year.
Sales grew 14 percent to $8.4 billion, principally from 14 percent higher local prices. A 10 percent net increase from portfolio changes was offset by a 10 percent volume decline. Agriculture delivered an 8 percent sales gain in the fourth quarter and 23 percent sales growth for the second half. This reflects strong performance during the Latin American selling season. Excluding significant items and Pharmaceuticals, segment pre-tax operating income increased over $100 million, or 18 percent versus the prior year, principally due to Performance Chemicals and acquisitions in Industrial Biosciences and Nutrition & Health.
“We delivered exceptional full-year results in 2011 despite significant market headwinds late in the year,” said DuPont Chair and CEO Ellen Kullman. “Our market-driven science continues to meet customer needs in food, energy and protection. Acquisitions in Nutrition & Health and Industrial Biosciences, coupled with robust and disciplined productivity efforts across our businesses, contributed to our successful performance. We remain well-positioned to serve customers and innovate as key markets rebound and global population growth drives new opportunities.”
For 2012, DuPont reaffirmed its earnings outlook range of $4.20 to $4.40 per share, which represents 7 to 12 percent growth versus 2011, excluding significant items.