DuPont forecasts "radical" earnings growth
DuPont forecasts a gradual rise in sales for its agriculture and nutrition business over the next two years and a “radical” increase in earnings. The company projects a compound annual growth rate (CAGR) in sales of 6-8% between 2007 and 2010, compared with a CAGR of 5% in 2004-2007. The CAGR for pre-tax operating profit was just 2% over this period, but DuPont expects this figure to jump to 15% in 2007-2010. Approximately two-thirds of the increase will come from DuPont’s seed business, with crop protection and nutrition contributing the remainder.