Posted July 22, 2010
3M touts record earnings
3M reported record second-quarter earnings of $1.54 per share on sales of $6.7 billion.
Sales and per-share earnings increased 17.7 percent and 37.5 percent, respectively, versus the second quarter of 2009. Sales improved in all businesses and geographic regions, with particular strength in Electro and Communications at 32 percent, Display and Graphics at 30 percent and Industrial and Transportation at 23 percent. On a geographic basis, sales growth was strongest in emerging economies, where sales expanded by 38 percent versus the second quarter of 2009. Total-company sales rose 18 percent year-on-year and 6 percent sequentially, and have now returned to second quarter 2008 levels.
3M generated record second-quarter operating income of $1.596 billion and operating margins were 23.7 percent. All six of the company's business segments posted operating margins of 22 percent or higher.
"Our growth strategy continues to gain momentum as we again delivered strong top-line growth and outstanding leverage to the bottom line," said George W. Buckley, 3M chairman, president and chief executive officer.
In the Industrial and Transportation segment, abrasives sales were up 28 percent and industrial adhesives and tapes were up 22 percent. The segment had double-digit sales and profit growth across all major geographic regions, led by Asia Pacific.
