3M 2015 Annual Report Download - page 31
Download and view the complete annual report
Please find page 31 of the 2015 3M annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.TableofContents
·Operatingincomemarginswere21.1percentcomparedto19.9percentin2014,helpedbyprioryearportfoliomanagement
actionsthatarecontributingtohigherproductivity.
·Portfoliomanagementactionsin2015relatedtorenewableenergy,plusfourthquarter2015restructuringcharges,which
combinedreducedoperatingincomemarginsby0.8percentagepoints.
Year 2014 results:
ElectronicsandEnergysalestotaled$5.6billion,up3.9percentinU.S.dollars.Organiclocal-currencysalesincreased5.2percent,
andforeigncurrencytranslationreducedsalesby1.3percent.
Onanorganiclocal-currencysalesbasis:
·Salesincreasedapproximately8percentin3M’selectronics-relatedbusinesses,withgrowthledbydisplaymaterialsand
systems.
·In3M’senergy-relatedbusinesses,organiclocal-currencysalesincreasedapproximately1percent,withgrowthinelectrical
marketsandtelecommunications,partiallyoffsetbyreductionsinrenewableenergy.
·Onageographicbasis,organiclocal-currencysalesincreased8percentinLatinAmerica/Canada,7percentinAsiaPacific,
and1percentinEMEA,whilesalesintheUnitedStateswereflat.
Operatingincome:
·Operatingincomeincreased16.8percentto$1.1billionin2014.
·Operatingincomemarginswere19.9percentcomparedto17.7percentin2013,helpedbysalesvolumeleverage.
·Inaddition,priorportfoliomanagementactionsenhanced3M’srelevancewithcustomersandgeneratedoperational
efficiencies,whichalsocontributedtotheoperatingincomemarginimprovementin2014.
Consumer Business ( 14.6 % of consolidated sales):
2015 2014 2013
Sales(millions) $ 4,422 $ 4,523 $ 4,435
Saleschangeanalysis:
Organiclocalcurrency 3.4 % 3.9 % 3.0 %
Divestitures — (0.1) (0.1)
Translation (5.6) (1.8) (1.8)
Totalsaleschange (2.2)% 2.0 % 1.1 %
Operatingincome(millions) $ 1,046 $ 995 $ 945
Percentchange 5.2 % 5.3 % 0.2 %
Percentofsales 23.7 % 22.0 % 21.3 %
TheConsumersegmentservesmarketsthatincludeconsumerretail,officeretail,officebusinesstobusiness,homeimprovement,
drugandpharmacyretail,andothermarkets.Productsinthissegmentincludeofficesupplyproducts,stationeryproducts,
constructionandhomeimprovementproducts(do-it-yourself),homecareproducts,protectivematerialproducts,certainconsumer
retailpersonalsafetyproducts,andconsumerhealthcareproducts.
Year 2015 results:
Consumersalestotaled$4.4billion,down2.2percentinU.S.dollars.Organiclocal-currencysalesincreased3.4percent,and
foreigncurrencytranslationreducedsalesby5.6percent.
Onanorganiclocal-currencysalesbasis:
·Salesgrowthwasledbyconstructionandhomeimprovement,stationeryandofficesupplies,andhomecare.3Malso
postedpositivegrowthinitsconsumerhealthcarebusiness.
·Onageographicbasis,organiclocal-currencysalesincreased5percentintheUnitedStatesand3percentinAsiaPacific,
whilesalesinbothEMEAandLatinAmerica/Canadawereflat.
31