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# A formula within a formula is not working

I have two formulas in a workbook

1.  =IF(ISNUMBER(SEARCH(\$U\$3,\$M4)),"1","0")

This returns either a 1 or a 0

2. =IFERROR(SUMIF(dates,\$A3,demo),"")

Results of both formulas are formatted as numbers

If I copy paste special the results of the first formula, then the second works.

Why won't the second formula work with the first formula in the cell?

Thank you