By Chelsey Dulaney
3M Co. said Tuesday that its per-share earnings could grow by as
much as 12% next year as the company's appetite for acquisitions
helps drive growth.
The St. Paul, Minn.-based company, which sells everything from
stethoscopes to Scotch tape, also boosted its dividend for its next
quarter by 20%. The company promised last December to adopt a
somewhat less conservative financial strategy and consider larger
acquisitions in an effort to improve shareholder returns.
Ahead of an investor meeting, 3M said it expects to post $8 to
$8.30 in per-share earnings next year, compared with the $7.40 to
$7.50 a share in earnings the company is expecting to post this
year.
Analysts polled by Thomson Reuters are expecting 3M to post
$8.20 in per-share earnings next year.
3M also said it expects its organic local-currency sales to grow
3% to 6% next year. For the current year, 3M has forecast 4% to 5%
organic sales growth.
The outlook came a day after 3M agreed to sell its static
control business to electronics-production company Desco Industries
Inc.
Terms of the transaction weren't disclosed, though the majority
of 3M's 150 employees in the static control business are expected
to transfer to Desco.
3M also reaffirmed its long term-growth targets Tuesday, looking
to grow its earnings 9% to 11% a year and its organic sales 4% to
6% a year.
Write to Chelsey Dulaney at Chelsey.Dulaney@wsj.com
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