3M earnings rise 2.6% on broad sales growth

3M Co.'s second-quarter earnings rose 2.6% as the industrial conglomerate posted sales growth across most of its business segments

The company, whose brands include Scotch tape and Nexcare bandages, had warned of second-quarter weakness
Its recent results have been hurt by lower sales of films used in making television and smartphone screens and other materials used by electronics makers
In the latest period, sales in the electronics and energy business were down 3.2% to $1.3 billion

Sales growth in other segments offset this decline, however

Industrial sales grew 6.6% to $2.7 billion, helped by growth in aerospace, automotive aftermarket and liquid filtration sales

Safety and graphics sales were up 2.3% to $1.5 billion, and health-care sales rose 4.6% to $1.3 billion

Consumer sales increased 1.4% to $1.1 billion

Despite a lackluster global economy, 3M has been spending heavily on research and new factories in fast-growing markets like Asia and Latin America

Overall in the latest quarter, 3M reported a profit of $1.2 billion, or $1.71 a share, up from $1.17 billion, or $1.66 a share, a year earlier

Sales increased 2.9% to $7.75 billion

Organic local-currency sales were up 2.3%, while acquisitions boosted sales by 1.9%

Analysts polled by Thomson Reuters were expecting per-share earnings of $1.70 on revenue of $7.77 billion

Operating margin narrowed slightly to 22% from 22.9%