Chemicals giant DuPont (DD - Free Analyst Report) has reported strong second-quarter earnings. Indeed, the top line advanced roughly 26% year over year, while share earnings jumped to $1.17 from $0.61 in the prior-year period. This strength was wide based, as all segments reported double-digit sales increases. Volume growth was the story, with the Electronics & Communications and Performance Materials units faring especially well. Meanwhile, the North American seed business drove results in the Agriculture and Nutrition segment.
On a broader level, several units delivered operating results that far exceeded pre-recession figures, as demand continues to slowly recover. Efforts to improve productivity, while controlling costs, also benefited the bottom line. Given the strong performance in the recent interim, the company has increased its share-net guidance for full-year 2010 from $2.50-$2.70 to $2.90-$3.05.
Prospects appear bright for the coming years, as well. The company seems well positioned to benefit from several secular trends. Increasing global population and a rising middle class in developing economies ought to drive demand for greater food production, alternative energy and environmental solutions, and products that enhance personal safety. Much of this growth will likely occur in emerging markets. Additionally, initiatives to improve productivity should benefit the bottom line over the long term.
About The Company: DuPont is engaged in science and technology in a range of disciplines, including high performance materials, electronics, safety and security, and biotechnology. The company operates on a global scale, manufacturing a wide range of products for distribution and sale to many different markets, including automotive, construction, agricultural, medical, protective apparel, electronics and nutrition.