Business Analysis of DuPont

 Analyze Historical Performance, Strategic Priorities, And Business Improvement Opportunities of DuPont

Business Overview

E. I. du Pont de Nemours and Company operates as a science and technology based company. The company's Agriculture segment offers corn hybrid, soybean, canola, sunflower, wheat, rice, sorghum, inoculants, seed products, herbicides, fungicides, and insecticides, as well as offers crop protection products, such as weed control, disease control, and insect control products. Its Electronics & Communications segment provides various materials and systems for consumer electronics, photovoltaics, displays, and advanced printing. The company's Industrial Biosciences segment develops and manufactures a portfolio of enzymes and bio-based materials. Its Nutrition & Health segment offers cultures, probiotics, emulsifiers, texturants, natural sweeteners, and soy-based food ingredients for the food industry market. The company's Performance Materials segment offers elastomers and thermoplastic, and thermoset engineering polymers; resins and films for packaging and industrial polymer applications, sealants and adhesives, and sporting goods; and elastomers, parts, and systems and solutions for automotive and transportation, packaging for food and beverages, electrical/electronic components, material handling, healthcare, construction, semiconductor, and aerospace markets. Its Protection Solutions segment provides nonwovens, aramids, and solid surfaces for industrial, construction, consumer, military and law enforcement, automotive, aircraft, and energy markets. The company markets its products through the company's sales force and distributors in the United States and internationally. E. I. du Pont de Nemours and Company was founded in 1802 and is headquartered in Wilmington, Delaware.

DuPont

DuPont


R&P Rank: 109
Sector: Basic Materials
Industry:Chemicals
H.Q Location:Delaware
Website: www.dupont.com
Company Address:
974 CENTRE ROAD, WILMINGTON DE 19805
Ph:302-774-1000

Business Analysis of DuPont

The Basic Materials Sector is witnessing a major shakeup, new age business models in the industry are transforming both customers and businesses. Faced with this uncertainity, companies are investing resources to transform their business. An in-depth business analysis is a valuable resource to identify and articulate the need for a business model change. At R&P Research we believe, the starting point for a business analysis is Benchmarking. Business benchmarking can be done at various levels: 1) Industry Benchmarking 2) Peer Benchmarking 3) Disruptors Benchmarking. In this report, we share the snapshot of how DuPont compares against the industry on the major performance indicators. This analysis, along with peer group/disruptors benchmarking and revenue model understanding can help identify growth and cost optimization opportunities to maximize the value delivered by DuPont to its stakeholders. R&P Research Industry Intelligence Platform provides historical data for last 15 years with an easy to use benchmarking interface for an in-depth comparative business analysis.

Here is the performance snapshot of DuPont with an interactive chart.

  1. Revenue Growth: DuPont reported a revenue growth of -2.1% year-on-year during 2016. Chemicals Industry grew at -4.1% in the same period
  2. COGS share of Revenues: As a percentage of revenue, DuPont spent 61.6% of its total revenues on COGS. Chemicals industry average (COGS share of revenue) in the same period was 70.2%
  3. R&D share of Revenues: As a percentage of revenue, DuPont spent 6.7% of its total revenues on R&D. Chemicals industry average R&D spending in the same period was 2.5%
  4. SG&A share of Revenues: As a percentage of revenue, DuPont spent 17.6% of its total revenues on Sales, Marketing, and General Administration (SG&A). Chemicals industry average SG&A spending in the same period was 13.0%
  5. Inventory share of Revenues: As a percentage of revenue, DuPont spent 23.1% of its total revenues on Inventories. Chemicals industry average Inventory spending in the same period was 14.6%
  6. Accounts Payable share of Revenues: As a percentage of revenue, DuPont invested 15.1% of its total revenues on Accounts Payable (A/P) Chemicals industry average Accounts Payable investment in the same period was 12.6%
  7. Accounts Receivable share of Revenues: As a percentage of revenue, DuPont invested 20.2% of its total revenues on Accounts Receivable (A/R). Chemicals industry average Accounts Receivable investment in the same period was 16.8%
  8. PP&E share of Revenues: As a percentage of revenue, DuPont invested 37.5% of its total revenues on Property, Plants, and Equipments (PP&E). Chemicals industry average PPE investment in the same period was 52.9%
  9. Intangibles share of Revenues: As a percentage of revenue, DuPont invested 31.9% of its total revenues on Intangibles. Chemicals industry average Intangibles investment in the same period was 31.4%
  10. Net Margins: DuPont Net Margins in the year 2016 were 10.2%. Chemicals industry average Net Margins in the same period were 8.1%

Sector and Industry Association of DuPont

For the purpose of performance benchmarking of a company with a sector or industry average, R&P Research associates every company with one sector and one industry. An industry consists of companies with related/similar business models. A sector comprises of a group of related/similar industries.

DuPont is associated with Basic Materials Sector and Chemicals Industry.

Basic Materials sector is comprised of the following industries: Metal Mining; Coal Mining; Chemicals. The definitions for each of the industries is as follows:

  • Metal Mining industry includes companies primarily engaged in mining, developing mines, or exploring for precious metals such as Gold, Silver, Platinum and base metals such as Iron, Copper, Aluminum, Lead, and Zinc. It also includes companies that manufacture alloys such as steel.
  • Coal Mining industry includes companies engaged in the exploration for and/or mining of coal.
  • Chemicals industry includes companies that produce and/or distribute commodity and specialty chemicals. The companies manufacture three general classes of products: (1) basic chemicals, such as acids, alkalies, salts, and organic chemicals; (2) chemical products to be used in further manufacture, such as synthetic fibers, plastics materials, dry colors, and pigments; and (3) finished chemical products to be used as materials or supplies in other industries, such as paints, fertilizers, and explosives.

Industry Ranking of DuPont

With $24.6 billion revenues, DuPont ranked number 3 of all the companies in the US Chemicals industry. There were a total of 66 public companies in the US Chemicals industry that had revenues greater than $50 million during 2016.

The top-10 companies in the US Chemicals industry by revenues during 2016 were:

  1. Dow Chemical ($48.2 billion)
  2. Lyondellbasell Industries ($29.2 billion)
  3. DuPont ($24.6 billion)
  4. PPG Industries ($14.8 billion)
  5. Monsanto ($13.5 billion)
  6. Sherwin Williams ($11.9 billion)
  7. Praxair ($10.5 billion)
  8. Huntsman ($9.7 billion)
  9. Air Products ($9.5 billion)
  10. Eastman ($9 billion)

Business Model Analysis (BMA) Framework

We use the following framework to assess the business model of a company. Business Model Analysis framework can be used by organizations to articulate growth strategies and identify cost optimization opportunities. Technology and consulting companies can use this framework to identify the value drivers and pain points of their targeted customers. Entrepreneurs can use this framework to understand the language of business and identify promising business opportunities. This framework can be used by any professional aspiring to take up a leadership role to better understand the businesses challenges, articulate growth strategy, and monitor the business improvement requirements for the organization.

Next Steps

  • Conduct a holistic benchmarking; to identify and target additional sources of value
  • Get in touch with us to learn more about Business Model Analysis Framework
  • Get free data, charts, and analysis of DuPontand its peers on select key performance indicators by clicking the reports provided below

Industry Peers and Competitors of dupont

Dow Chemical (DOW) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Dow Chemical Co with $48 billion revenues in the year 2016 was the number 1 Chemicals company. Read this report to know the top competitors of Dow Chemical and identify growth and cost optimization opportunities of Dow Chemical

Lyondellbasell Industries (LYB) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Lyondellbasell Industries N.V. with $29 billion revenues in the year 2016 was the number 2 Chemicals company. Read this report to know the top competitors of Lyondellbasell Industries and identify growth and cost optimization opportunities of Lyondellbasell Industries

PPG Industries (PPG) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

PPG Industries Inc with $15 billion revenues in the year 2016 was the number 4 Chemicals company. Read this report to know the top competitors of PPG Industries and identify growth and cost optimization opportunities of PPG Industries

Monsanto (MON) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

Monsanto Co with $14 billion revenues in the year 2016 was the number 5 Chemicals company. Read this report to know the top competitors of Monsanto and identify growth and cost optimization opportunities of Monsanto

Sherwin Williams (SHW) Business Analysis – Analyze Historical Performance, Strategic Priorities,...

Sherwin Williams Co with $12 billion revenues in the year 2016 was the number 6 Chemicals company. Read this report to know the top competitors of Sherwin Williams and identify growth and cost optimization opportunities of Sherwin Williams

Praxair (PX) Business Analysis – Analyze Historical Performance, Strategic Priorities, And...

Praxair Inc with $11 billion revenues in the year 2016 was the number 7 Chemicals company. Read this report to know the top competitors of Praxair and identify growth and cost optimization opportunities of Praxair

Revenues Analysis

DuPont (DD) Revenues And Revenue Growth From 2012 To 2016

This report provides the last five years revenues and revenue growth of Dupont E I De Nemours & Co (DD) from 2012 to 2016. DuPont generated a total of $24.6 billion revenues during 2016. DuPont reported a revenue growth of -2.1% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.

DuPont (DD) Revenues And Revenue Growth From 2002 To 2016

This report provides the last fifteen years revenues and revenue growth of Dupont E I De Nemours & Co (DD) from 2002 to 2016. DuPont generated a total of $24.6 billion revenues during 2016. DuPont reported a revenue growth of -2.1% year-over-year during 2016. The revenues and the revenue growth correspond to the fiscal year ending in December.

DuPont (DD) Revenue Growth Comparison With Industry Growth From 2012 To...

This report provides a comparison of Dupont E I De Nemours & Co (DD) revenue growth with Chemicals industry growth during the last five years from 2012 to 2016. DuPont reported a revenue growth of -2.1% year-over-year during 2016. The Chemicals industry growth was -4.1% year-over-year during 2016. DuPont growth was faster than the industry during 2016.

Profit Analysis

DuPont (DD) Net Profit And Net Margin From 2012 To 2016

This report provides the last five years net profit and net margin of Dupont E I De Nemours & Co (DD) from 2012 to 2016. DuPont reported a total net income of $2.5 billion during 2016. DuPont generated a total of $24.6 billion revenues during 2016. DuPont net profit margin was 10.2% during 2016. The net profit and the net profit margin correspond to the fiscal year ending in December.