St. Paul, MN-based 3M (NYSE: MMM) reported sales for the third quarter of $7.7 billion, flat year-over-year. Organic local-currency sales fell 0.8 percent. Profit increased 2.5 percent to $1.3 billion.
On a geographic basis, organic local-currency sales increased 0.4 percent in Latin America/Canada, decreased 0.2 percent in the U.S., decreased 2.4 percent in EMEA (Europe, Middle East and Africa) and increased 1.6 percent in Asia Pacific.
Industrial sales were $2.6 billion in the third quarter, up 1 percent in U.S. dollars. Organic local-currency sales decreased 1.1 percent, acquisitions increased sales 1.4 percent and foreign currency translation increased sales by 0.7 percent. Sales growth in automotive OEM and automotive aftermarket was offset by declines across the rest of the portfolio. Sales increased in Asia Pacific and declined in EMEA, Latin America/Canada and the U.S. Operating income increased 2 percent to $591 million.
Electronics and energy sales were $1.3 billion, down 7.5 percent in U.S. dollars. Organic local-currency sales declined 8.1 percent and foreign currency translation increased sales by 0.6 percent. Electronics-related sales decreased 8 percent, with declines in both electronics materials solutions, and display materials and systems; energy-related sales declined 9 percent, with declines in telecom, electrical markets and renewable energy. Sales decreased in all geographic areas. Operating income was down 9.1 percent year-over-year to $312 million.
Safety and graphics sales were $1.4 billion in the third quarter, up 2.2 percent in U.S. dollars. Organic local-currency sales increased 2 percent, acquisitions decreased sales 0.1 percent and foreign currency translation increased sales by 0.3 percent. Sales growth was led by roofing granules and commercial solutions. Sales increased in Latin America/Canada, Asia Pacific and the U.S., and declined in EMEA. Operating income increased 12.3 percent to $364 million.
Health care sales were $1.4 billion, up 1.1 percent in U.S. dollars. Organic local-currency sales increased 1.5 percent and foreign currency translation reduced sales by 0.4 percent. Sales growth was led by food safety, drug delivery, and critical and chronic care. Sales grew in Asia Pacific, Latin America/Canada and EMEA, and declined in the U.S. Operating income decreased 0.6 to $429 million.
Consumer sales were $1.2 billion in the third quarter, up 4 percent in U.S. dollars. Organic local-currency sales increased 2.9 percent and foreign currency translation increased sales by 1.1 percent. Sales growth across the entire portfolio was led by home improvement and home care. Sales grew in Asia Pacific, the U.S. and Latin America/Canada, and declined in EMEA. Operating income was up 8.3 percent year-over-year to $317 million.
For the nine months ended Sept. 30, sales were $22.3 billion, down 0.9 percent year-over-year. Profit grew 2.6 percent to $3.9 billion.
