Industrial conglomerate 3M reported its 2016 third quarter financial results on Tuesday, led by flat year-over-year sales and another reduced full year sales and earnings forecast.
The company's electronics and energy segment posted an 8.1 percent organic sales decline year-over-year, while industrial declined 1.1 percent.
The company posted Q3 sales of $7.709 billion, nearly identical to $7.712 a year earlier, while organic sales were down 0.8 percent. Acquisitions added 0.3 percent to sales, while currency headwinds positively impacted sales by 0.5 percent. Organic sales growth was 2.9 percent in consumer, 2.0 percent in safety and graphics and 1.5 percent in health care, with declines of 1.1 percent in industrial and 8.1 percent in electronics and energy.
Q3 operating income of $1.9 billion was up 0.4 percentage points from a year ago, while total profit of $1.30 billion, up slightly from last year's $1.33 billion.
3M said it now expects 2016 full year sales to be flat, a reduced forecast from the 0 to 1 percent growth it predicted in its Q2 report. The company forecasted sales growth of 1 to 3 percent in its Q1 report, reducing it to 0 to 1 percent in Q2.
Overall industrial sales of $2.6 billion increased 1.0 percent year-over-year. Of the 1.1 percent organic decline, acquisitions increased sales by 1.4 percent, while currency translation increased sales by 0.7 percent. Operating income of $591 million was up 2.0 percent.
Overall safety and graphics sales of $1.4 billion increased 2.2 percent year-over-year. Organic sales increased 2.0 percent. Of that, acquisitions decreased sales by 0.1 percent and foreign currency exchange increased sales by 0.3 percent. Operating income increased 12.3 percent.