US DuPont Q2 net profit up 5% to $1.23bn on sales volumes, prices

28 July 2011 12:14  [Source: ICIS news]

LONDON (ICIS)--DuPont's second-quarter net profits rose 5.2% year on year to $1.23bn on stronger sales prices and volumes and a positive currency impact, the US-headquartered producer said on Thursday.

The profits gain was partly offset by higher raw material, energy and freight costs, it added.

Excluding significant financial items, attributable net profit for the quarter was up 21% at $1.30bn, it said.

DuPont’s second quarter sales were up 19.1% on the year earlier period at $10.3bn, gaining 11% on higher local prices, a 2% increase in volumes alongside a 3% currency benefit and a 3% increase from portfolio changes.

The broad-based specialities and life sciences player said that its sales in developing markets grew by 29% in the quarter to represent 30% of the total.

“Strong performances in agriculture, performance chemicals and safety & protection, and the acquisition of Danisco, contributed to a 20% increase in operating segment pre-tax operating income including significant items,” it said. Segment pre-tax operating income for the quarter was $1.99bn from $1.66bn in the second quarter of 2010.

“"We are increasing our earnings outlook for 2011 based on strong performance year–to-date and confidence in our business plans for the second half of the year,” CEO Ellen Kuhlman, said.

“Longer term, we expect additional compelling growth opportunities across our businesses stemming from science-powered innovations and collaboration, including the integration of Danisco's world-class enzymes, fermentation and specialty food ingredients capabilities with DuPont's strong industrial biosciences and nutrition & health offerings."

DuPont completed its acquisition of Danisco in May.

($1 = €0.70)

For more on DuPont see ICIS company intelligence

By: Nigel Davis
+44 20 8652 3214

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