Industry Profile: India is one of the service-oriented markets when it comes to industrialization. Though we have some sectors growing, like automobiles, Pharma, when it comes to manufacturing companies at large, India doesn’t have many. Indian manufacturing sector’s Gross Value Added at basic prices based on current prices is expected at US$ 388.01 billion in 2017-18E.
The manufacturing sector is estimated to have grown at a CAGR of 4.34 percent between FY12 and FY18. The Gross Value Added (GVA) at current basic prices from the manufacturing sector in India grew at a CAGR of 4.34 percent during FY12 and FY18 as per the second advance estimates of annual national income published by the Government of India. Under the Make in India initiative, the Government of India aims to increase the share of the manufacturing sector to the gross domestic product (GDP) to 25 percent by 2022, from 16 percent, and to create 100 million new jobs by 2022.
As per the Labour Bureau’s Quarterly Report on Employment Scenario, the manufacturing sector added an estimated 89,000 jobs in the second quarter of 2017-18. As a result, cumulative Foreign Direct Investment (FDI) in India’s manufacturing sector reached US$ 73.70 billion during April 2000-December 2017.
Company Profile: 3M is a company operating in the well-diversified sector of manufacturing, health care, and consumer goods, stationary. The Company produces various products, including adhesives, abrasives, laminates, passive fire protection, personal protective equipment, dental and orthodontic products, electronic materials, medical products, car-care products, electronic circuits, healthcare software, and optical films. The Company is also operating in oil and gas. Post-it, Scotch Brite, and Scotch are well-known brands of the Company.
Shareholding Pattern: BSE Data
Financial and Ratio : [table id=163 /]
Future Prospects: The Company is sufficiently diversified. The stock has performed well since 2009. As it is diversified, it is difficult to talk about any sector. The Company is focusing on consolidating its leadership position in the Abrasives category across segments with the launch of patented abrasives. In addition, the Company is expanding its 3M Car Care Center to enhance visibility for the 3M brand.
In simple words, it is an excellent MNC available for investment.
