Chemical and industrial products behemoth E. I. du Pont de Nemours and Company (DD - Analyst Report) and Ansell, a leader in hand protection industry, have joined hands to develop new safety gloves that utilizes Kevlar, popularly used in police vests, military equipment and other non-construction applications.
DuPont’s Kevlar glove will be added to Ansell’s ActivArmr portfolio designed for workers in the construction sectors, including specialty trades such as HVAC and plumbing, as well as for general contractors. Other gloves in the portfolio specifically cater to the military force.
Kevlar can be spun with other materials to make superior products and can provide better protection to workers. DuPont has developed a new manufacturing process to specifically produce ultra-lightweight steel-containing yarn.
The combination of Kevlar and the new ActivArmr gloves have given rise to new Intercept Technology in a thin, 18-gauge design that is significantly lighter in weight than the traditional 13-gauge version. The Intercept Technology provides more comfort to the workers along with dexterity and high cut-resistance.
DuPont and Ansell expect the global construction market for gloves to worth more than $800 million annually. Ansell is a world leader in providing superior health and safety protection solutions that increase human wellbeing.
DuPont released its second quarter 2012 results in July 2012. The company reported adjusted earnings of $1.48 per share for the quarter, exceeding the Zacks Consensus Estimate of $1.46 and the year-ago earnings of $1.37.
The earnings growth was primarily driven by strong performance of the company’s agriculture, food and bioscience businesses as well as its advanced materials business, which has witnessed healthy results during the quarter despite weak European markets.
Including one-time items, earnings came in at $1.25 per share versus $1.29 in the prior-year quarter. The fall in earnings reflects lower sales volumes across the company’s business segments and weak demand for titanium dioxide, especially in Europe and Asia.
Net sales grew 7% year over year to $11,006 million, driven by higher price and portfolio changes, partially offset by unfavorable currency impact and lower sales volumes. However, sales missed the Zacks Consensus Estimate of $11,252 million.
DuPont, which competes with The Dow Chemical Company (DOW - Analyst Report) and BASF SE (BASFY - Snapshot Report) , currently retains a short-term Zacks #3 Rank (Hold) and we have a long-term (more than 6 months) Neutral recommendation on its shares.