Nov 5 DuPont de Nemours raised its fullyear profit forecast above Street estimates on Tuesday after the industrial materials maker beat thirdquarter earnings target on strong demand for electronics and artificial intelligencebased technology.
New orders improved in the U.S. manufacturing sector in September, primarily driven by an AI surge and increased China demand, which helped DuPont raise its profit target for a third time.
The manufacturer has also been benefiting from falling interest rates and lower material prices.
DuPont39;s electronics and industrial unit, the biggest in terms of turnover, reported a 13.4 rise in thirdquarter net sales.
Overall sales in the AsiaPacific markets jumped 8 from a year earlier, while the U.S. markets gained 2.
The company raised its 2024 adjusted earnings forecast to around 3.90 per share, up from 3.70 to 3.80 it previously forecast, and above analysts39; expectations of 3.77, according to data compiled by LSEG.
However, DuPont estimates net sales to be around 12.37 billion for the year, below the lower end of its earlier range of 12.40 billion to 12.50 billion. Analysts39; were expecting 12.44 billion.
The company said it expects normal seasonal declines in the electronics and construction markets in the fourth quarter.
For the third quarter, Dupont reported an adjusted profit of 1.18 per share, well above analysts39; average expectation of 1.03.
Reporting by Seher Dareen in Bengaluru; Editing by Shinjini Ganguli
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