3M CO (MMM) Earnings History

3M CO - Q4 FY2025 Earnings

Filed at: Jan 20, 2026, 6:34 AM EST|Read from source

EXECUTIVE SUMMARY

3M reported mixed Q4 FY2025 results with GAAP sales growth but declining GAAP EPS, while adjusted metrics showed improvement. The company is focused on building a strong foundation for sustainable value creation and expects to outperform the macro environment in 2026.

POSITIVE HIGHLIGHTS

  • •

    Adjusted EPS of $1.83, up 9% year-on-year for Q4.

    positive
  • •

    Adjusted operating income margin of 21.1%, an increase of 140 basis points year-on-year for Q4.

    positive
  • •

    Full-year adjusted EPS of $8.06, up 10% year-on-year.

    positive
  • •

    Full-year adjusted operating income margin of 23.4%, an increase of 200 basis points year-on-year.

    positive
  • •

    Full-year 2026 guidance includes adjusted total sales growth of ~4% and adjusted EPS in the range of $8.50 to $8.70.

    positive

CONCERNS & RISKS

  • •

    Q4 GAAP EPS of $1.07, down 20% year-on-year.

    negative
  • •

    Q4 GAAP operating margin of 13.0%, down 510 basis points year-on-year.

    negative
  • •

    Full-year GAAP EPS of $6.00, down 17% year-on-year.

    negative
  • •

    Full-year GAAP operating margin of 18.6%, down 100 basis points year-on-year.

    negative
  • •

    Q4 organic sales growth was only 0.6% year-on-year, with declines in Consumer and Transportation and Electronics segments.

    attention

FINANCIAL METRICS

Revenue
Quarterly
$6.13B
+2.1%
Prior year: $6.01B
Annual (YTD)
$24.95B
N/A
Prior year: $24.57B
Net Income
Quarterly
$577.00M
-20.7%
Prior year: $728.00M
Annual (YTD)
$3.25B
N/A
Prior year: $4.17B
EPS (Diluted)
Quarterly
$1.07
-19.6%
Prior year: $1.33
Annual (YTD)
$6.00
N/A
Prior year: $7.55
Operating Income
Quarterly
$796.00M
-26.6%
Prior year: $1.08B
Annual (YTD)
$4.63B
N/A
Prior year: $4.82B
EPS (Basic)
Quarterly
$1.08
-19.4%
Prior year: $1.34
Annual (YTD)
$6.05
N/A
Prior year: $7.58

MARGIN ANALYSIS

Operating Margin
Current Quarter
13.0%
Prior Year
18.1%
YoY Change
-510 bps
Net Margin
Current Quarter
9.4%
Prior Year
12.1%
YoY Change
-270 bps

Margin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.

REVENUE BY SEGMENT — Q4 FY2025 2025

VISUAL OVERVIEW

|
Safety and Industrial
47.4%
$2865000.0B
(+6.0% YoY)
Prior year: $2703000.0B
Transportation and Electronics
32.5%
$1961000.0B
(-1.7% YoY)
Prior year: $1994000.0B
Consumer
20.1%
$1214000.0B
(-1.2% YoY)
Prior year: $1229000.0B

DETAILED BREAKDOWN

|
SegmentCurrentPrior YrYoY% Total
Safety and Industrial
$2865000.0B$2703000.0B+6.0%47.4%
Transportation and Electronics
$1961000.0B$1994000.0B-1.7%32.5%
Consumer
$1214000.0B$1229000.0B-1.2%20.1%
Total Revenue$6040000.0B——100.0%

Segment performance shows business unit health and growth drivers.

MANAGEMENT GUIDANCE

FY 2026

adjusted_total_sales_growth
$4.0M
"~4 percent"
adjusted_organic_sales_growth
$3.0M
"~3 percent"
adjusted_operating_income_margin_expansion
70.0%—80.0%
Mid-point: 75.0%
"70 bps to 80 bps"
adjusted_eps
$8.50—$8.70
Mid-point: $8.60
"In the range of $8.50 to $8.70"
adjusted_operating_cash_flow
5,600,000,000—5,800,000,000
Mid-point: 5,700,000,000
"$5.6 to $5.8 billion"

Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.

SPECIAL ITEMS & ADJUSTMENTS

Q4 2025
Net costs for significant litigation
Impact on comparability and interpretation
$0.56 per share
Q4 2025
Decrease in value of Solventum ownership
Impact on comparability and interpretation
$0.30 per share
Q4 2025
Manufactured PFAS products
Impact on comparability and interpretation
$0.39 per share
Q4 2025
Transformation costs
Impact on comparability and interpretation
$0.11 per share
Q4 2024
Net costs for significant litigation
Impact on comparability and interpretation
$0.07 per share
Q4 2024
Increase in value of Solventum ownership
Impact on comparability and interpretation
$0.24 per share
Q4 2024
Pension risk transfer charge
Impact on comparability and interpretation
$0.02 per share
Q4 2024
Manufactured PFAS products
Impact on comparability and interpretation
$0.16 per share
FY 2025
Net costs for significant litigation
Impact on comparability and interpretation
$1.95 per share
FY 2025
Decrease in value of Solventum ownership
Impact on comparability and interpretation
$0.78 per share
FY 2025
Manufactured PFAS products
Impact on comparability and interpretation
$0.47 per share
FY 2025
Loss on business divestitures
Impact on comparability and interpretation
$0.29 per share
FY 2025
Transformation costs
Impact on comparability and interpretation
$0.13 per share
FY 2024
Net costs for significant litigation
Impact on comparability and interpretation
$1.32 per share
FY 2024
Increase in value of Solventum ownership
Impact on comparability and interpretation
$2.83 per share
FY 2024
Pension risk transfer charge
Impact on comparability and interpretation
$1.11 per share
FY 2024
Manufactured PFAS products
Impact on comparability and interpretation
$0.20 per share
FY 2024
Divestiture costs
Impact on comparability and interpretation
$0.24 per share
Total Impact
$3.21 per share

Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.

MANAGEMENT COMMENTARY

2025 was an important year for 3M as we build a strong foundation that is reshaping our operating model and driving sustainable value creation.

— 3M CO, Q4 FY2025 2025 Earnings Call

Finished 2025 with growth above macro, strong margin expansion, double-digit earnings growth, and solid cash conversion.

— 3M CO, Q4 FY2025 2025 Earnings Call

Our accelerated pace of innovation and commercial execution positions us to outperform the macro environment again in 2026.

— 3M CO, Q4 FY2025 2025 Earnings Call

Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.