Profits at DuPont, 3M Disappoint the Street

Industrial giants DuPont Co. and Minnesota Mining & Manufacturing reported disappointing earnings Wednesday, dragging down their stock prices and prices of other blue chips.

The Wilmington, Del.-based chemical producer said second-quarter earnings grew 18% to $938 million, citing ongoing productivity improvements and strong revenue gains.

The profit compares to $792 million in the same period a year ago. DuPont’s per-share earnings rose more sharply, to $1.70 from $1.16, due largely to the redemption of DuPont common stock from Seagram Co.

The earnings include a one-time charge of $29 million, or 5 cents a share, reflecting costs related to the recall of DuPont’s Benlate DF 50 fungicide. Quarterly sales rose to $11.08 billion from $10.16 billion.

On the New York Stock Exchange, DuPont shares fell $2.375 to $68.50.

Wall Street had been looking for second-quarter earnings of about $1.76 a share, according to Zacks Investment Research.

Minnesota Mining & Manufacturing, or 3M, said its earnings rose slightly in the second quarter but were weighed down by the sluggish U.S. economy.

The Maplewood, Minn.-based company earned $353 million, or 84 cents a share, up from $343 million, or 81 cents a share, in the same period a year ago--significantly below analysts’ estimates of 93 cents a share. Revenue for the quarter was $4.14 billion, up from $3.77 billion last year.

The company’s shares fell $3.50 to $56.