3M India reports higher profit as industrial, consumer demand stays strong

3M India, the Indian unit of the US industrial group 3M, lifted its net profit by nearly 32 per cent in the quarter that ended on June 30, Business Recorder reported. Earnings reached Rs2.33 billion, equal to $24.42 million, compared with Rs1.77 billion a year earlier. The company announced the figures on Friday, citing firm demand across its consumer, safety and industrial lines.

Revenue from operations rose 19 per cent to Rs14.23 billion, while expenses climbed 24.1 per cent to Rs12.06 billion over the same period last year. The stock edged up 0.6 per cent following the announcement. Its range covers abrasives, adhesives, protective equipment and office supplies, among other categories.

Analysts had earlier pointed to pressure on margins from a weaker rupee, costlier commodities and higher freight. Last month, the US parent lifted its profit outlook for the full year, helped by its safety and industrial business and price increases, which are expected to offset the profit hit from oil-led inflation.