DuPont de Nemours (DD) as of March 31, 2026 presents a balance sheet where liquidation recovery to equity is structurally negative under standard haircut assumptions, consistent with its intangible-heavy, acquisition-built profile. Total reported assets of $21.4B are dominated by goodwill ($7.9B, 37% of total assets) and finite-lived intangibles net ($2.5B) plus indefinite-lived intangibles ($0.4B), totaling approximately $10.8B in intangibles — assets that receive zero recovery under liquidation. PP&E net of accumulated depreciation stands at $3.4B (gross $7.1B); at a 50-70% haircut, recoverable value is approximately $1.7-2.4B. Cash and restricted cash of $752M recovers at par. Accounts and notes receivable net of $953M at 90-95% yields roughly $860-905M. Inventory of $1.2B at 60% yields ~$725M. Against these haircut assets, total liabilities of $7.2B (excluding minority interest of $198M) remain at face value: long-term debt and capital leases of $3.1B, current liabilities of $2.1B (including $882M AP, $833M accrued liabilities, $299M discontinued operations liabilities), noncurrent obligations of $1.98B (including $1.18B other noncurrent obligations and $414M pension), and deferred tax liabilities of $378M. The environmental accrual of $246M (tagged separately) and the pending NJ Settlement discussed in MD&A — a 25-year payment obligation shared with Chemours and Corteva, not separately tagged in XBRL — add off-balance-sheet contingent liability exposure not fully quantifiable from the filing. Retained earnings deficit of -$24.2B reflects the cumulative acquisition premium write-through from DuPont's merger-of-equals history. Compared to December 31, 2025 (prior annual filing period), continuing-operations asset base is essentially flat at $19.6B vs $19.7B; the Aramids business ($1.85B discontinued assets at 12/31/25, now sold April 1, 2026 for ~$1.2B cash plus a $300M note receivable plus $325M equity interest) will improve the cash position post-close but simultaneously removes those assets. The 2026 DuPont Restructuring Program carries $100-150M anticipated charges through 2028, with $52M inception-to-date; current and noncurrent restructuring liabilities total $80M at period end. The $2B share buyback authorization (with $1.5B remaining) and post-period $275M ASR announcement represent cash outlays that further erode liquid asset cushion. Under the liquidation lens, MFFAIS-reported CLV of -$1.4B and LLV of $306M corroborate the structural negative equity recovery when intangibles and goodwill are zeroed. Filing discusses the NJ Settlement and IEEPA tariff refund uncertainty in MD&A but does not separately XBRL-tag those contingent amounts.
▼ Community Notes