3M shares fall on Q2 earnings release

Shares in 3M‘s (NYSE:MMM) have fallen over 5% today after the conglomerate posted its 2nd quarter earnings results, squeaking just ahead of Wall Street expectations for earnings per share and falling short on revenue.

The St. Paul, Minn.-based company posted profits of $1.6 billion, or $2.58 per share, on sales of $7.8 billion for the 3 months ended June 30, seeing its bottom line grow 22.5% while sales grew 1.9% compared with the same period in the previous year.

3M’s earnings per share just beat expectations on Wall Street of $2.54, while revenue fell just short of analyst’s expectations of $7.9 billion.

The company’s healthcare business reported sales of $1.4 billion, up 1.8% from the previous year. Organic local-currency sales were up 2.5%, with an operating income of $412 million, down 10.6% year-on-year, with an operating margin of 28.6%.

“Our team posted another quarter of strong and broad-based organic growth, which included positive growth across all 5 of our business groups. We also continued to deliver premium margins and returns, while accelerating investments to support growth and strengthen the portfolio – which is part of our playbook to build an even stronger and more competitive 3M,” prez & CEO Inge Thulin said in a press release.

3M released updated guidance for the full year, expecting to see sales grow between 3% and 5%, up from previous guidance of between 2% and 5%. Earnings per share are expected to be between $8.80 and $9.05, up from previous guidance of between $8.70 and $9.05.

Shares in 3M are down 5.8% at $192.72 as of 10:57 a.m. EDT.

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