ST. PAUL, Minn. 3M has reported record third quarter earnings of $1.65 per share, an increase of 8.6 percent versus the third quarter of 2011. Operating income was $1.7 billion and operating income margins for the quarter were 22.4 percent.
“The 3M team delivered another strong operating performance in the third quarter,” said Inge Thulin, 3M chairman, president and CEO. “In the face of the current slow-growth economy, our businesses continued to grow organically and generated record profitability. All six of our businesses posted 21 percent-plus operating margins in the quarter, so we continue to execute well in 2012.”
Sales were $7.5 billion, down 0.4 percent year-over-year. Third quarter net income was $1.2 billion, and earnings were $1.65 per share. Total company operating income margins were 22.4 percent for the quarter, and free cash flow was $987 million.
Thulin continued, “Regardless of economic conditions, we will remain focused on things within our control. 3M’s unique combination of technology strength, manufacturing excellence and global capability will enable us to deliver sustainable increases in sales, earnings and cash flow.”
3M also updated its 2012 performance expectations. Reflecting current economic realities, the company now expects full year earnings to be in the range of $6.27 to $6.35 per share, including 3 cents per share of anticipated acquisition-related costs. 3M previously expected a range of $6.35 to $6.50 per share, which did not include acquisition-related costs. The company anticipates full-year organic local-currency sales growth of 2 to 2.5 percent and that currency translation will reduce sales by approximately 2.5 percent for the year. The company expects full-year operating income margins to be in the range of 21.5 to 22 percent.