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Shares of 3M jumped Tuesday after the company beat fourth-quarter earnings and revenue estimates thanks to what it called “broad-based growth” and strong holiday sales.
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Sales increased in the Transportation & Electronics and Security & Industrial units.
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3M said its restructuring program launched in 2023 was largely complete.
3M (MMM) shares jumped Tuesday after the industrial conglomerate beat fourth-quarter profit and sales estimates due to higher demand for a wide range of its products.
The maker of Post-it notes and tape reported adjusted earnings per share of $1.68, above analyst estimates compiled by Visible Alpha. Revenue rose 0.1% from last year to $6 billion, and $5.8 billion excluding revenue from so-calledchemicals forever», which it will no longer produce. Both figures were ahead of forecasts.
The company attributed the sales gains to “broad-based growth across the industry, strength in the electronics and aerospace sectors, softer auto manufacturing and a strong holiday season.”
Revenue at the company’s Transportation and Electronics unit rose 3.4% to $7.5 billion thanks to “new product launches and specification gains that led to a share gain in walk “. It increased 0.7% to $11 billion in the Security and Industrial segment due to higher demand for roofing and industrial adhesive products. Revenue fell 1.2% to $4.9 billion for the Consumer division.
3M added that its restructuring program launched in 2023 to focus on simplifying operations and improving margins is “substantially complete”.
3M shares jumped more than 4% to $146.99 in intraday trading Tuesday after the release, their highest level in three years.
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