German drugs and plastics maker Bayer (BAYGn.DE) confirmed its full-year outlook and posted better than-expected quarterly earnings on strong growth in emerging markets.

Third-quarter adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) for the group rose 8.5 percent to 1.81 billion euros ($2.50 billion), above the average estimate of 1.66 billion in a Reuters poll of 12 analysts.

Revenues edged 1 percent higher to 8.67 billion euros, in line with the average analyst estimate.

The group confirmed that EBITDA before special items would exceed 7.5 billion euros in 2011 but it lowered its full-year outlook for its engineering plastics and foam chemicals division.

The MaterialScience unit now expects adjusted EBITDA to decline slightly to about 1.3 billion euros, citing higher raw material and energy costs. Bayer had previously seen a gain. ($1 = 0.724 Euros) (Reporting by Ludwig Burger)

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