3M Improves Annual Revenues
Q4 Sales Rose By 2.5%
Minnesota-based 3M, the parent company of Counselor Top 40 supplier 3M Promotional Markets (asi/91240), has announced its 2013 sales increased to $30.9 billion, a 3.2% year-over-year gain. In Q4, sales rose by 2.5%, reaching $7.6 billion, a level just short of consensus forecasts. Earnings in Q4 met expectations, jumping 11% to $1.1 billion, or $1.62 per share.
While industrial orders in Q4 were solid, helped by growth in automotive, factory and airplane adhesives, consumer and electronics sales decreased.
While industrial orders Q4 were solid, benefitted by growth in automotive, factory and airplane adhesives, consumer and electronics sales decreased. The key fourth-quarter declines were more than offset, though, by gains in 3M’s healthcare and safety/graphic businesses. Geographically, results were positive in western Europe, but off pace in Latin America, the company said. In its reporting, 3M announced its U.S. sales were the strongest of any region. Acquisitions added 1.4% to sales and foreign currency reduced revenues by 1.6%.
In its earnings statement, 3M officials reaffirmed the company’s full-year 2014 guidance, predicting sales will grow between 3% and 6%, with earnings of $7.30 to $7.55 a share. As is customary, 3M did not break out its promotional products sales in its financial reporting. According to the most recent Counselor estimates, 3M’s 2012 North American ad specialty sales were $103.2 million, ranking the supplier as the 12th largest in the industry.