(Bloomberg) -- Dupont de Nemours Inc. second-quarter profit exceeded investor expectations, as AI-driven demand for semiconductors drove gains in its electronics business.
The chemical conglomerate, which is splitting into three, raised its outlook for the full year after its water and medical-packaging businesses saw sequential improvements.
Adjusted earnings were 97 cents a share in the period, the company said in a statement Wednesday. That’s better than the 85-cent average of analyst estimates compiled by Bloomberg. The company reported revenue of $3.17 billion, against analysts’ target of $3.05 billion.
Within the electronics segment, DuPont’s semiconductor technology business posted an organic sales increase of more than 20% in the second quarter, amid a chip industry recovery, AI-driven technology ramp-ups and higher volume for OLED materials, the company said.
The shares advanced 5.7% before the start of regular trading in New York. Through Tuesday, DuPont had risen 4.5% this year.
DuPont announced in May that its electrical and water subsidiaries would be spun off. The remaining company will be focused on industries such as biopharma and medical devices. The water business, which could fetch more than $6 billion, has drawn interest from industry peers.
Alongside the breakup, former Chief Executive Officer Ed Breen moved into the role of executive chair, with finance chief Lori Koch taking over as CEO on June 1.
DuPont raised its full-year outlook for net sales, operating earnings before interest, taxes, depreciation and amortization, and for adjusted earnings per share.
The company expects adjusted profit to be $1.03 a share this quarter, compared with analysts’ average estimate of $1.02, and between $3.70 and $3.80 a share for all of 2024.
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