(Reuters) –DuPont, an industrial materials manufacturer (NYSE:), posted its quarterly earnings on Tuesday that exceeded market expectations. Price hikes and strong sales in the electronics division helped to offset a rise in raw material prices.

In addition to increasing its quarterly dividend by 10%, the company has announced a $1 billion share buyback programme. This program capitalizes on the recovery in auto- and chipmaking as well as high-end telecom technology rollouts.

DuPont, which makes advanced electronic materials for smart and autonomous vehicles and 5G wireless services, said organic sales in its Electronics & Industrial segment grew by 9%, boosted by strong volumes in the Semiconductor Technologies division.

The company said sales in its Water & Protection segment, which provides treatment and purification technologies, grew by 16% in the quarter.

Ed Breen, chief executive officer of the company stated in a statement that “sustained strong demand (in key end-markets like electronics or water) was critical to our fourth quarter results.”

DuPont raised the price of its products by 7.7% to counter the inflationary pressures roiling various industries.

Strong consumer demand means that the company is expecting 2022 net revenues between $17.4 million and $17.8 million.

Lori Koch, Chief Financial Officer, said that high raw material and logistic costs would continue to affect margins. DuPont therefore forecasts roughly the same growth rate in core earnings for the first quarter as it did during its three-month-old period.

The company expects to earn full-year adjusted earnings of $4.60-4.90 per share. This is below the consensus estimate at $4.86 per sharing.

According to data from Refinitiv, total sales increased 14% to $4.3Billion in the fourth quarter. This beat analysts’ average estimate at $4Billion. The adjusted net income was $1.08 per shares, which beat expectations by 98cents.