Shares of chemical maker EI DuPont de Nemours & Co. (NYSE: DD) are trading higher this morning despite the fact that the company announced fourth-quarter profit slipped 37% from a year earlier.

For its most recent quarter, the chemical giant reported net income of $545 million, or 60 cents a share, down from $871 million or 94 cents a share in the year-ago period. Excluding one-time items, however, the company said its earnings rose 27% to 57 cents a share from last year.

Analysts had been looking to see DuPont show earnings of 49 cents per share, according to Thomson Financial.

The company's results showed revenue growth of 11% to $6.98 billion, beating analysts' expectations for $6.67 billion in sales. The rise in revenue came from increased volumes and higher local selling prices. DuPont posted a gain of 10% for volumes in the Asia-Pacific region and a growth a 5% in Canada and Latin America. In the U.S., volumes figures were flat, while Europe brought a slightly decline in its numbers.

According to a statement from Charles Holliday, the company's chief executive, strong earnings growth came "despite weakness in certain U.S. markets and higher ingredient costs" and reflects the company's "global presence" and diversity of its products. Carl Lukach also, DuPont vice president for investor relations, shows satisfaction with the company's "strong quarter" which is "fueled by top-line growth and good cost control."

In all, DuPont posted a profit of $5.18 billion for the full year 2007, on revenue of $23.3 billion. Full-year earnings also gained 14% to $3.28 per share, compared with $2.88 in the prior year. Holliday believes the chemical maker proved its improved performance which put the company in a better position amid these challenging times.

Looking ahead, DuPont shows a positive forecast and plans to "achieve higher profitability in 2008 and beyond by making advances in agriculture, safety and protection, emerging markets and cost productivity." The company affirmed its 2008 profit outlook and anticipates higher earnings based on strong sales of agricultural products. DuPont expects earnings in the range of $3.35 and $3.55 per share for the year, while analysts predicted earnings of $3.43 per share.

As of 10:45 AM, the stock is trading up 1.1% to $43.20.

Eliza Popescu is a financial writer for the online investment advisory service Investor's Observer.