Sales declined in all of 3M’s business segments in the second quarter of 2020.
3M recently reported results for the second quarter of 2020, including a decrease in sales of 12.2% to $7.2 billion. Organic local currency sales declined 13.1%, while acquisitions, net of divestitures, increased sales by 2.4%. Foreign currency translation reduced sales by 1.5% compared to the 2019 quarter.
Total sales declined 0.4% in Health Care, 6.2% in Consumer, 9.2% in Safety and Industrial, and 20.9% in Transportation and Electronics. Organic local currency sales decreased 5% in Consumer, 6.1% in Safety and Industrial, 12.4% in Health Care, and 18.9% in Transportation and Electronics.
On a geographic basis, total sales declined 8.5% in Asia-Pacific, 12.7% in the Americas, and 16.4% in EMEA (Europe, Middle East and Africa). Organic local currency sales decreased 8.1% in Asia-Pacific, 14.5% in EMEA, and 15.6% in the Americas.
“While our results were significantly impacted by the global economic slowdown, we executed well, managed our costs and delivered another quarter of robust cash flow,” said Mike Roman, chairman and CEO. “We are taking actions to navigate near-term challenges, while relentlessly innovating for our customers and investing for the future to lead out of the slowdown and continue to deliver long-term value for our shareholders.
“Globally across 3M, we continue to fight the pandemic from all angles and help ensure the safety of our employees, healthcare workers and first-responders, and the public,” Roman continued. “I remain incredibly proud of how our team is leading through these unprecedented times, and I thank all 3Mers for their tireless efforts.”
3M reports that it has been aggressively responding to the COVID-19 pandemic. The company continues to adjust and adapt quickly with a focus on mitigating the near-term impact while positioning 3M’s businesses for success coming out of the crisis. Ongoing efforts reportedly include:
According to 3M, the COVID-19 pandemic continues to evolve and affect its businesses in a number of ways. During the second quarter, end market demand remained strong in personal safety, home improvement, general cleaning, semiconductor, data center, and biopharma filtration. At the same time, several other end markets continued to experience significant weakness, including healthcare elective procedures, automotive OEM and aftermarket, general industrial, commercial solutions, and office supplies.