St. Paul, MN, Apr. 19--3M Co.'s first-quarter net income rose about 44% from a year ago and the company beat its raised quarterly guidance, prompting the company to increase its earnings view for the year.
Chairman and Chief Executive W. James McNerney Jr. said in a written statement Monday, "Worldwide sales in local currencies increased in all seven of our businesses, and we generated double-digit increases in operating income and earnings per share. We are off to a great start in 2004."
3M's first-quarter net income climbed to $722 million, or 90 cents a share, from $502 million, or 63 cents a share a year ago. Wall Street expected the maker of Post-It notes and Scotch tape to earn 87 cents a share.
In mid-March, 3M raised its first-quarter earnings guidance to a range of 86 cents to 88 cents a share from its prior view of 80 cents to 82 cents.
3M's first-quarter sales rose to $4.94 billion from $4.32 billion a year ago, driven by an 8.7% increase in sales volume. The impact of foreign exchange translation helped sales by 6.1 percentage points.
On a local currency basis, 3M's healthcare sales improved to $1.03 billion from $948 million a year ago. Sales from the company's industrial operations climbed to $943 million from $821 million.
3M increased its 2004 earnings per share guidance to a range of $3.60 to $3.70. Its prior view ranged from $3.52 to $3.62.
Wall Street expects the company to earn $3.61 a share this year. For 2003, 3M earned $3.09 a share before a charge of seven cents a share.
The revised 2004 guidance assumes second-quarter earnings of 94 cents to 96 cents a share.
Analysts surveyed by Thomson First Call expect 3M's second-quarter earnings per share to increase to 91 cents from 78 cents a year ago.
