(Reuters] – DuPont de Nemours, a producer of industrial materials, reported a decline in profit for the first quarter on Tuesday. This was due to headwinds relating to logistic and raw material costs.

Profit declined even though the company increased the prices of its products by 6 percent in quarter one to compensate for higher inflationary cost from logistics, raw materials and energy.

Ed Breen, Chief Executive Officer, stated that key uncertainties, such as the COVID-related China shutdowns, would further restrict supply chains, leading to slower volume growth and sequential margin contractions in the second quarter of 2022.

DuPont reported that sales of electronics and industrial, which is one its most lucrative segments, increased 18% to $1.54 Billion. DuPont makes electronic materials for chip packaging, autonomous vehicles and mobile devices.

In the three-months ended March, adjusted net income dropped to $420million, which is 82c per share. 31. This is a decrease of $421 millions, or 69cs per share, from a year ago.