3M profit beats on healthcare boost; says demand for N95 masks to continue

(Reuters) - U.S.

Reuters October 28, 2020 00:07:10 IST
3M profit beats on healthcare boost; says demand for N95 masks to continue

3M profit beats on healthcare boost says demand for N95 masks to continue

(Reuters) - U.S. industrial conglomerate 3M Co topped Wall Street estimates for third-quarter profit and revenue on Tuesday, as the maker of N95 masks benefited from robust demand for its healthcare products during the COVID-19 pandemic.

Demand for 3M's disposable respirators is expected to continue in the fourth quarter, company executives said on a post-earnings call, adding that 3M was on track to produce 2 billion N95 masks this year.

Sales from three of the company's four main businesses rose, with the healthcare unit recording a 25.5% jump and accounting for more than a quarter of the company's total sales.

Sales at 3M's biggest unit, safety and industrial, rose 6.9%, helped by a sequential pick up in automotive aftermarket demand as auto body shops reopened after the economic shutdown in the second quarter.

Revenue from the transportation and electronics unit, which makes everything from computer screen filters to auto parts, fell 7.4% as the pandemic continued to have a negative impact on end markets such as hospitality, oil and gas and advertising due to social distancing and work from home.

The company forecast full-year capital expenditure to be between $1.4 billion and $1.5 billion, compared with its previous forecast of about $1.4 billion. However, 3M declined to provide any other forecast for 2020, citing uncertainty due to the pandemic.

Net income attributable to 3M fell to $1.41 billion, or $2.43 per share, in the quarter ended Sept. 30, as operating expenses rose nearly 8%. Net sales rose 4.5% to $8.35 billion.

Analysts on average had expected quarterly earnings of $2.26 per share on revenue of $8.32 billion, according to Refinitiv data.

(Reporting by Sanjana Shivdas in Bengaluru; Editing by Shinjini Ganguli)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Updated Date:

TAGS:

Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.

also read

Facebook releases first data on hate speech prevalence on its platform
News & Analysis

Facebook releases first data on hate speech prevalence on its platform

By Elizabeth Culliford (Reuters) - Facebook Inc for the first time on Thursday disclosed numbers on the prevalence of hate speech on its platform, saying that out of every 10,000 content views in the third quarter, 10 to 11 included hate speech. The world's largest social media company, under scrutiny over its policing of abuses, particularly around November's U.S.

Santa, barred from malls and chimneys, enters homes via interactive video
News & Analysis

Santa, barred from malls and chimneys, enters homes via interactive video

(Reuters) - Santa cannot sit with kids in shopping malls this year, but they can still tell him their Christmas wishlist in a video chat at home.     Technology company Storyfile has come up with an artificial intelligence alternative to the holiday tradition: an interactive website where Father Christmas answers questions as if in person

Facebook estimates hate speech seen in 1 out of 1000 views on its platform
News & Analysis

Facebook estimates hate speech seen in 1 out of 1000 views on its platform

By Elizabeth Culliford (Reuters) - Facebook Inc for the first time on Thursday disclosed numbers on the prevalence of hate speech on its platform, saying that out of every 10,000 content views in the third quarter, 10 to 11 included hate speech. The world's largest social media company, under scrutiny over its policing of abuses, particularly around November's U.S.