3M Beats Street
3M is a global science company that never stops inventing. Using 46 technology platforms, their integrated team of scientists and researchers works with customers to create breakthroughs. Their inventions have improved daily life for hundreds of millions of people all over the world. With $30 billion in sales, their 90,000 employees connect with customers all around the world. Scientists, researchers and marketers work across countries and across subjects to solve challenges big and small.
3M (NYSE: MMM) reported Q4 and full-year 2017 results today. 3M reported $2.10 per share soundly beating market estimates of $2.052 per share.
- Full-year 2017 GAAP earnings were $7.93 per share, a decrease of 2.8 percent. Excluding the net impact of TCJA, earnings were $9.17 per share, an increase of 12.4 percent versus a year ago, as referenced in the “Supplemental Financial Information Non-GAAP Measures” section.
- Sales increased 5.1 percent to $31.7 billion and organic local-currency sales increased 5.2 percent. The combination of acquisitions and divestitures decreased sales 0.6 percent. Foreign currency translation increased sales 0.5 percent. Full-year operating income margins were 24.7 percent, up 70 basis points versus 2016.
- The company’s operating cash flow was $6.2 billion, contributing to the conversion of 100 percent of net income to free cash flow for the year. In addition, 3M generated 21 percent return on invested capital. Refer to the
- “Supplemental Financial Information Non-GAAP Measures” section. The net impact of the TCJA and the fourth-quarter pension contribution added 3 percentage points to full-year free cash flow conversion while reducing return on invested capital by 3 percentage points.
- For the full year, 3M paid $2.8 billion in cash dividends to shareholders and repurchased $2.1 billion of its own shares.