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

3M India's first-quarter profit surged 32% in the quarter ending June 30, driven by robust demand across its consumer, safety and industrial divisions. The company, a subsidiary of U.S.-based 3M, reported a net profit of 2.33 billion rupees ($24.42 million), up from 1.77 billion rupees in the same period last year. Revenue from operations climbed 19% to 14.23 billion rupees, while expenses rose 24.1% to 12.06 billion rupees, compared to a year ago.

3M India's product portfolio includes abrasives, adhesives, personal protective equipment and office supplies. The company's shares rose 0.6% following the earnings release. Analysts have highlighted challenges such as rupee depreciation, commodity inflation and higher freight costs that could pressure 3M India's margins. In a separate development, parent company 3M recently increased its full-year profit forecast, citing strength in its safety and industrial business and anticipated price hikes that should "fully offset" any profit hit from oil-led inflation.