NEW YORK (CNN/Money) - General Electric Co. raised its first-quarter earnings target Thursday, boosting shares in the Dow component.

The diversified manufacturing, media and finance company said it expects to earn 37 to 38 cents a share in the quarter, up from its earlier target of 36 to 37 cents a share. GE (Research) earned 32 cents a share a year earlier, excluding items.

GE (up $0.51 to $36.01, Research) shares gained 1.35 percent in midday trading on the New York Stock Exchange. Shares had been slightly lower in Frankfurt trading before the new guidance.

The company also reaffirmed its full-year EPS guidance of $1.76 to $1.83. It earned $1.59 a share in 2004.

"GE's end markets continue to show solid growth, and our businesses are performing very well," said a statement from CEO Jeff Immelt.

The company's statement came as it announced the pricing for a secondary offering of its Genworth Financial (Research) unit. The company set the price for the planned sale of 80.5 million shares at $26.50 per share. Genworth shares closed Wednesday trading at $26.75, down 81 cents.

GE will receive $2.6 billion from the proceeds of that sale and will own 52 percent of the finance arm after the sale. It will use the proceeds to pay down debt at GE Capital, and enable GE Capital to increase the dividend it pays GE to 40 percent of its earnings from 10 percent.

Finance is the largest revenue and earnings source at GE, which also owns NBC Universal television and movie units. GE is the maker of consumer products ranging from light bulbs to refrigerators and industrial products including jet engines and power turbines.

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