Wilmington, DL, Oct. 22--DuPont Co. swung to a loss in the third quarter on special charges, higher raw material costs and noncash pension and stock-option expenses, although consolidated sales rose 12%.
The Dow Jones Industrial Average component also backed its lowered full-year earnings prediction.
In a press release Wednesday, the chemicals company said it recorded a loss of $873 million, or 88 cents a share, in the latest third quarter, compared with a profit of $469 million, or 47 cents a share, a year earlier.
Both quarters included items, with the recently ended third quarter reflecting charges for the anticipated separation of Invista, formerly DuPont Textiles & Interiors; higher raw material costs of $200 million, or 20 cents a share; and noncash pension and stock option expenses that cut net by 10 cents a share.
Excluding the items, DuPont's third-quarter earnings were $135 million, or 13 cents in the latest period - 2 cents ahead of a Thomson First Call mean earnings estimate - and $401 million, or 40 cents a share, a year earlier.
Total sales increased about 11%, to $6.36 billion from $5.74 billion a year earlier. Worldwide segment sales volume increased 4%, which improved DuPont's top-line performance in a "still challenging and difficult economy." The volume increase principally reflects growth in Asia and South America.
The company reaffirmed its full year 2003 outlook, including special items, at approximately $0.59. This excludes unknown special items that could occur in the fourth quarter.
