On October 27, 3M reported third-quarter 2020 results. The highlights include:

  • Sales of $8.4 billion, up 4.5% year-on-year
  • Organic local-currency sales growth of 0.9% year-on-year
  • Both GAAP and adjusted EPS of $2.43
  • Operating cash flow of $2.5 billion, up 23% year-on-year; adjusted free cash flow of $2.2 billion, up 13% year-on-year
  • Strengthened capital structure: reduced total debt by $1.2 billion, down 6%, and net debt by $1.3 billion, or 8%, since June 30, 2020
  • Company will continue to provide monthly sales updates through year-end 2020
  • Consumer Business Group reported sales of $1.4 billion, up 5.6% year-on-year in U.S. dollars. Organic local-currency sales increased 5.5% and foreign currency translation increased sales by 0.1%
  • On an organic local-currency basis:
    • Consumer Business Group sales grew in home care, and home improvement; were flat in consumer health care and declined in stationery and office supplies
    • Consumer Business Group sales increased in the Americas and EMEA; sales declined in Asia Pacific

“Our third-quarter performance demonstrated once again the strength of the 3M model as we executed well, served customers and continued to fight the pandemic,” said Mike Roman, 3M chairman and chief executive officer. “Though economic uncertainty and challenges due to the COVID-19 pandemic remain, we returned to positive organic sales growth with sequential improvement across businesses and geographies. We posted another quarter of robust cash flow, aggressively managed costs and further strengthened our balance sheet.

“We continue to take actions to transform 3M and position us to deliver strong results as our end markets recover,” Roman continued. “We will invest where demand is strong, aggressively manage our cost structure, and create new innovations that address customer needs and global market trends.”

Source: 3M