3M shares soar after positive earnings forecast from new CEO

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3M Co. shares soared Friday after raising its full-year profit forecast as its new chief executive officer vowed to reinvigorate the iconic manufacturer’s innovation engine.

William Brown

The shares were up nearly 20% as of midday Friday. The gains came after the Maplewood-based maker of Post-it notes and industrial and consumer products said adjusted earnings this year would be between $7 to $7.30 per share as it reported second-quarter results. That boosted the midpoint of 3M’s forecast to $7.15, up a dime from its previous outlook.

The results are the first under CEO Bill Brown, who succeeded Mike Roman on May 1. Brown inherited a much smaller company following the spinoff of 3M’s huge health care products division unit amid massive legal liabilities.

Brown kicked off his first earnings call by stressing the need to accelerate 3M’s sales growth. To get there, he wants to increase the pace of new product development.

Revenue from new products has steadily declined over the past decade as 3M shifted spending and focus to other needs, such as exiting its “forever chemicals” business and revamping its complex supply chain, Brown said. And although 3M has identified sectors such as electric cars and semiconductors as key sources of growth, “these efforts aren’t material enough today to offset erosion in our core,” he said.

“The simple fact is our products are aging” in 3M’s core businesses, he said.

He also plans to reduce the organization’s complexity. For example, a Command strip passes through five factories and two distribution centers before it gets to the customer, he said.

“We’ll take a fresh look at what cost is embedded in that complexity,” Brown said in an interview. The aerospace veteran was named to the top job in March.

Adding to the company’s challenges is that it’s also looking for a new chief financial officer after announcing earlier this month that Monish Patolawala would depart for Archer-Daniels-Midland Co.

Adjusted earnings were $1.93 a share for the second quarter. Analysts on average expected $1.68 a share, but it wasn’t immediately clear if their estimates are comparable to the company’s number. Net sales were $6.26 billion, outpacing Wall Street’s expectations.

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Risking life and limb for glory: Olympic surf competition to be held on world’s ‘heaviest wave’

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Jack Dolan | (TNS) Los Angeles Times

LOS ANGELES — The world’s “heaviest wave” is born near the South Pole, where fierce storms pound the ocean’s surface like angry fists, sending pulses of energy racing north, unimpeded, for thousands of miles.

That force is all but invisible until it suddenly rides up a steep, smooth ramp on the ocean floor, curls into a spectacular barrel — more like a slab of concrete than water — and slams, with astonishing fury, into a razor-sharp coral reef on the southern tip of Tahiti.

Locals call the wave Teahupo’o, which loosely translates to “wall of skulls.” It has fascinated and terrified the world’s elite ocean athletes since it was first surfed in the 1980s.

In the coming days, Teahupo’o (pronounced “cho-poo”), just offshore of its namesake fishing village on the island’s lush coast, will become the site of the second Olympic surfing tournament. Holding the event nearly 10,000 miles from the epicenter of the Summer Games in Paris is a bold choice that has some safety-conscious experts shaking their heads and ghoulish spectators licking their chops.

Anyone who times their ride wrong, takes off in anything but the perfect spot or fails to paddle hard enough to match the speed of the wave, runs the risk of getting pounded into the coral reef below by all that rushing water: Imagine being shoved across a cheese grater by a steam roller.

At least five surfers have been killed on Teahupo’o; countless others have suffered broken bones and shredded flesh.

There have already been some spectacular wipeouts in Olympic warm-up sessions, but so far no serious injuries.

“It’s amazing just to see what this world can make, what the ocean is capable of,” said Crosby Colapinto, 23, a professional surfer from San Clemente who has competed at Teahupo’o. “It was so big when we did it, so scary,” he said last week, surveying the much gentler swell at his home beach. “It’s a wave that can mess you up pretty bad.”

Colapinto’s older brother, Griffin, is among the five U.S. surfers competing in the Paris Games. He and team member Caroline Marks live in San Clemente. A third member, Caitlin Simmers, lives just down the road in Oceanside — making the storied stretches of sand on either side of Camp Pendleton the cradle of America’s hopes for surfing glory this year.

San Clemente has long been at the center of competitive surf culture. Home to USA Surfing, the national governing body for the sport, Surfer Magazine and countless gear manufacturers, the quiet Orange County town drenched in sunshine and dotted with red-tile roofs pumps out world-class surfers the way Lake Tahoe and Mammoth produce elite skiers.

Much of that is due to the spectacular point break at Lower Trestles, or “Lowers,” which produces magnificent chest-to-head-high waves that break both ways, left and right, all summer long.

They’re ideal for practicing the flashy technical moves — slashing cutbacks, jaw-dropping aerials — that impress judges and help surfers rack up points in competitions that are scored much like gymnastics or figure skating.

But when San Clemente surfers get to Teahupo’o, many of those hard-won skills will go out the window.

“If Lowers is figure skating, Teahupo’o is hockey,” said Surfer Magazine editor-in-chief Jake Howard.

Local surf coach Lucas Taub, who was standing on the beach with a telescope last week, scoring the rides of his students on waves about a hundred yards from shore, took it a step further.

“The type of surfing you’re going to see at Teahupo’o is pretty much the opposite of what you’re going to see here,” Taub said. “Here, it’s about high-performance moves,” strung together with speed and grace. “Over there, it’s kind of like life or death.”

Incorporating surfing into the Olympics has been a dream more than a century in the making. Duke Kahanamoku, the legendary Hawaiian athlete who won five Olympic medals as a swimmer from 1912 through 1924, was one of the first and most passionate proponents of introducing his true love — surfing — to the Games.

But there has been fierce resistance along the way, particularly from some fellow surfers who think the whole idea of turning an intimate, almost zen-like communion with nature into a competition is sacrilege.

Then there are the logistical problems: The ocean is fickle. Peter Neushul, co-author of “The World in the Curl: An Unconventional History of Surfing,” tells the story of how one of the big TV networks showed up decades ago on the north shore of Oahu with lots of expensive equipment, ready to broadcast a competition at Pipeline, another heavy wave that explodes just off the beach in easy camera range.

But on the appointed weekend, the waves never materialized.

So all the TV big shots were stuck sitting there, “daiquiris in hand, but nothing to televise,” Neushul said. “The networks just couldn’t operate like that,” so surfing struggled to reach the mainstream.

But these days, many of the traditional Olympic sports are beginning to feel passe to a younger generation. (When was the last time you went artistic swimming with your buddies, or the kids tossed a shot put around the backyard?) So organizers have been searching for ways to make the Games more relevant by including sports that many people do for fun.

This year, mountain biking, sport climbing and surfing are all Olympic sports.

Surfing’s debut came in the Tokyo Olympics in 2021. The competition was held at the closest reliable surf break to the city, Shidashita Beach. Situated on the east coast of Japan, “Shida” as it’s known, suffers from the same problem afflicting East Coast beaches in the U.S. — generally small and uninspiring surf.

Waves are created by wind, and global winds generally blow toward west-facing beaches, pushing big waves onto them.

So there was real concern in the international surfing community that the Tokyo tournament could be a bust, conjuring comparisons to a memorable competition in Florida where organizers raced boats up and down the shoreline, hoping to create a tiny wake for the competitors to ride, said Peter Westwick, a USC historian and co-author of “The World in the Curl.”

But luck was on the Tokyo organizers’ side. The waves arrived, and the competition went well, favoring the more technical riders.

French organizers are taking a dramatically different approach. Instead of holding the competition on one of their many west-facing Atlantic Ocean beaches in Europe, they decided to go to French Polynesia, where the promise of a breathtaking competition awaits.

Unlike the sports with fixed dates, the surfing competition is set to run for four days between July 27 and Aug. 5, whenever conditions look most promising.

If Teahupo’o cooperates, the result will be “incredible eye candy” for viewers at home, Neushul said.

Most of the competitors will have some experience at Teahupo’o. It’s a regular stop on the professional World Surf League circuit. But locals who surf there all the time, and Americans such as John John Florence, who grew up surfing huge waves at Pipeline, should have a distinct advantage, Neushul said.

The risk is that the wave will get too big for some of the less-experienced competitors to handle safely. At that point, instead of being a showcase for technical ability, it will be a competition to see who has the steely nerves and precise timing required to launch themselves down the steep drop into the barrel and come out the other side alive.

“I would hate to see someone get their head bashed in on the reef,” because they were afraid to admit the wave was too big for them, Neushul said.

During a brief interview last week at his farewell party in San Clemente, before boarding the plane for Tahiti, Griffin Colapinto agreed the competition ahead could “be super dangerous” for some people.

“If it’s big,” he said, “you’re just going to have to put it all on the line.”

©2024 Los Angeles Times. Visit latimes.com. Distributed by Tribune Content Agency, LLC.

How is wave forecasting done and how does it impact the Paris Olympics surfing competition?

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By VICTORIA MILKO, Associated Press

TEAHUPO’O, Tahiti (AP) — The search for the perfect wave has been a part of surfing culture for decades, with surfers traveling from location to location in their quest for the best swells. But with the development of surf forecasting— the prediction of wave swell behavior and breaking— that search has gotten much easier.

This year, it also determines the four days that surfers competing in the Paris Olympics in Tahiti, French Polynesia, will paddle into the ocean in their pursuit for the gold medal.

Here’s a look at how surf forecasting is done, how it impacts the Paris Olympics surfing competition and how experts expect climate change to affect future wave forecasting.

What is surf forecasting and how is it done?

Surf forecasting is often considered a branch of meteorology and oceanography as it uses the same tools and methods adopted in weather forecasting and the study of the ocean.

Forecasters monitor wind and storms that blow over the ocean — sometimes thousands of miles out at sea — transferring their energy in the water and creating most waves. They then calculate how the storms will move over the water and how long they’ll take to reach shores.

Some old-school forecasters do their calculations by hand, but software has been developed to help semi-automate the data that creates forecasting models. Forecasts can be fairly accurate up to 10 days in advance, said Nathan Cool, a wave forecaster and creator of WaveCast. But he warns that it’s not an exact science.

That doesn’t stop surfers around the world from regularly checking forecasts shared on popular surfing websites to help decide if they want to surf that day.

Does climate change impact surf forecasting?

Yes, but the changes are likely to be gradual rather than a shock event, said Cool.

That’s because rising seas and changes in geographic features due coastal erosion or shifting shoal shapes will change the coasts, impacting how and where waves break.

“Features like these take long time to change, so local surfers may see less beach over time, local breaks may change, but nothing extreme in the short term,” Cool said. “But long term will see inevitable see changes.”

How does forecasting impact the Paris Olympics surfing competition?

The surf forecast is the biggest determinant of when the Paris Olympics surfing competition will take place, predicting when swells are expected to arrive, as well as the angle and size of the waves. Only four days of a ten-day window will be allotted for the competition, so it’s important to pick what forecasters think will be the best days.

The current forecast for the competition window — which spans from July 27 through August 5 — comes with good and bad news: An anticipated swell the first day in the window means the competition is anticipated to start on the first possible day. But the forecast also says there will be wind, negatively impacting surfing conditions and perhaps delaying competition days until later in the window.

“We’ll hope the best and plan for the worst,” International Surfing Association president Fernando Aguerre told The Associated Press.

Olympics opening ceremony moments: Lady Gaga, Zinedine Zidane

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By JONATHAN LANDRUM Jr., Associated Press

PARIS (AP) — The Paris Olympics’ opening ceremony got underway after a rough start to the Summer Games on Friday, with rainy skies over the Seine and suspected acts of sabotage targeting France’s flagship high-speed rail network.

ZIZOU’S FLAME

Former French footballer Zinedine Zidane is seen on a screen prior to the opening ceremony of the Olympic Games Paris 2024 on July 26, 2024 in Paris, France. (Photo by Alex Davidson/Getty Images)

French soccer legend Zinedine Zidane kicked off the opening ceremony with the Olympic flame in his hands. In a prerecorded video, he’s seen running and weaving through a Parisian traffic jam before he delivers the flame to a group of children on the metro who then make their way through the Catacombs and to a boat, at which point the broadcast switched to a real-time view of the Seine River.

LADY GAGA DAZZLES

Lady Gaga delivered a dazzling performance as the first musical act during the Paris Olympics 2024 opening ceremony — except it was all prerecorded. The Grammy- and Oscar-winning performer kicked off her performance on steps along the Seine River, singing Zizi Jeanmaire’s “Mon Truc en Plumes.” Gaga’s appearance was a surprise — she was not listed on a program provided to the media in advance — but was heavily rumored after the singer and actor was spotted in Paris.