3M Company Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2015; Provides Earnings Guidance for the Year 2016
January 26, 2016 at 07:30 am
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3M Company reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2015. For the quarter, the company reported net sales of $7,298 million against $7,719 million a year ago. Operating income was $1,500 million against $1,662 million a year ago. Income before income taxes was $1,463 million against $1,638 million a year ago. Net income attributable to the company was $1,038 million against $1,179 million a year ago. Earnings per diluted share attributable to the company's common shareholders was $1.66 against $1.81 a year ago. Net cash provided by operating activities was $2,338 million against $2,183 million a year ago. Purchases of property, plant and equipment was $446 million against $490 million a year ago.
For the year, the company reported net sales of $30,274 million against $31,821 million a year ago. Operating income was $6,946 million against $7,135 million a year ago. Income before income taxes was $6,823 million against $7,026 million a year ago. Net income attributable to the company was $4,833 million against $4,956 million a year ago. Earnings per diluted share attributable to the company's common shareholders was $7.58 against $7.49 a year ago. Net cash provided by operating activities was $6,420 million against $6,626 million a year ago. Purchases of property, plant and equipment was $1,461 million against $1,493 million a year ago. Net debt as at December 31, 2015 was $8,872 million against $3,460 as at December 31, 2014.
The company affirmed its 2016 full-year performance expectations. The company expects 2016 earnings to be in the range of $8.10 to $8.45 per share with organic local-currency sales growth of 1 to 3%. 3M also expects free cash flow conversion to be in the range of 95 to 105%.
3M Company is an industrial group organized around four product families:
- industrial products, safety and graphics materials (33.5% of net sales including intra-group): abrasive products, adhesives, cleaners, air and liquid filtration systems, anti-slip coating products, fire protection systems, road signage products, etc. The group also provides display equipment and graphics systems;
- electronics and energy products (26%): interconnection products, connectors, optical components, etc.;
- healthcare products (25.1%): orthopedic, chirurgical and respiratory materials, feminine hygiene products, dental products, etc.;
- consumer goods (15.4%): adhesive tape, self-adhesive papers, filters, projectors, screen supports, etc.
Net sales are distributed geographically as follows: Americas (56.2%), Asia/Pacific (25.9%), and Europe/Middle East/Africa (17.9%).
3M Company Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Year Ended December 31, 2015; Provides Earnings Guidance for the Year 2016