3M Posts Record First-Quarter Sales
Parent Company Of Top 40 Supplier 3M Promotional Markets
Minnesota-based 3M, the parent company of Counselor Top 40 supplier 3M Promotional Markets (asi/91240), has announced first-quarter 2013 sales of $7.6 billion, an all-time record for the company in the quarter. The sales total marked a 2% year-over-year increase, although analysts were expecting better results, causing 3M to cut its 2013 outlook.
"We achieved record first-quarter sales and solid operating margins in the face of a low-growth economic environment and the strong U.S. dollar," said Inge Thulin, chairman of 3M. "At the same time, we further strengthened the company through increased investments in innovation, commercialization and manufacturing."
The global company recorded organic growth in Latin America (7.3%) and the U.S. (2.3%), while experiencing a 0.8% decline in the Europe-Middle East-Africa corridor. Its health-care business group posted 4% organic local-currency sales growth, while its electronics and energy sector was the only one to report a decline at 2.2% year-over-year.
According to a public release, 3M is now forecasting 2013 earnings in the range of $6.60 to $6.85 per share versus a previous expected range of $6.70 to $6.95 per share. "Considering the stronger U.S. dollar and softer demand in some end markets, it is prudent to alter our outlook a bit for 2013," said Thulin.
In its latest Q1 financial statement, 3M did not break out sales revenue for 3M Promotional Markets. Counselor estimates 3M's annual North American ad specialty sales are more than $100 million.