3M Reports Fourth-Quarter and Full-Year 2025 Results; Initiates Full-Year 2026 Financial Guidance

• Q4 GAAP sales of $6.1 billion, up 2.1%; operating margin of 13.0%, down 510 bps; EPS of $1.07, down 20%, all YoY
  • Adjusted sales of $6.0 billion with organic growth of 2.2% YoY
  • Adjusted operating margin of 21.1%, up 140 bps YoY
  • Adjusted EPS of $1.83, up 9% YoY
• Q4 operating cash flow of $1.6 billion with adjusted free cash flow of $1.3 billion
• Full-year GAAP sales of $24.9 billion, up 1.5%; operating margin of 18.6%, down 100 bps; EPS of $6.00, down 17%, all YoY
  • Adjusted sales of $24.3 billion with organic growth of 2.1% YoY
  • Adjusted operating margin of 23.4%, up 200 bps YoY
  • Adjusted EPS of $8.06, up 10% YoY
• Full-year operating cash flow of $2.3 billion with adjusted free cash flow of $4.4 billion

ST. PAUL, Minn., Jan. 20, 2026 /PRNewswire/ -- 3M (NYSE:MMM) today reported fourth-quarter and full-year 2025 results.

"2025 was an important year for 3M as we build a strong foundation that is reshaping our operating model and driving sustainable value creation," said William Brown, 3M Chairman and CEO. "I want to thank the team for their dedication to eXcellence, which helped us finish 2025 with growth above macro, strong margin expansion, double-digit earnings growth, and solid cash conversion. Our accelerated pace of innovation and commercial execution positions us to outperform the macro environment again in 2026. Our continued operating rigor supports further margin expansion and earnings growth, putting us on a clear path to meet or exceed the 2027 financial commitments we outlined at our Investor Day last year."

Fourth-quarter highlights:

• GAAP EPS of $1.07 and operating margin of 13.0%.
• Adjusted EPS of $1.83, up 9% year-on-year.
• Adjusted operating income margin of 21.1%, an increase of 140 basis points year-on-year.

• Sales of $6.1 billion, up 2.1% year-on-year with organic sales up 0.6% year-on-year.
• Adjusted sales of $6.0 billion, up 3.7% year-on-year with adjusted organic sales up 2.2% year-on-year.
• 3M returned $0.9 billion to shareholders via dividends and share repurchases.
• Cash from operations of $1.6 billion.
• Adjusted free cash flow of $1.3 billion.

Full-Year highlights:

• GAAP EPS of $6.00 and operating margin of 18.6%.
• Adjusted EPS of $8.06, up 10% year-on-year.
• Adjusted operating income margin of 23.4%, an increase of 200 basis points year-on-year.

• Sales of $24.9 billion, up 1.5% year-on-year with organic sales up 0.9% year-on-year.
• Adjusted sales of $24.3 billion, up 2.7% year-on-year with adjusted organic sales up 2.1% year-on-year.
• 3M returned $4.8 billion to shareholders via dividends and share repurchases.
• Cash from operations of $2.3 billion.
• Adjusted free cash flow of $4.4 billion.

This document includes reference to certain non-GAAP measures. See the "Supplemental Financial Information Non-GAAP Measures" section for applicable information.

Full-year 2026 guidance

3M provided the following full-year 2026 expectations.

• Adjusted total sales growth¹ of ~4 percent, reflecting adjusted organic sales growth¹ of ~3 percent.
• Adjusted operating income margin expansion¹ of 70 bps to 80 bps.
• Adjusted EPS¹ in the range of $8.50 to $8.70.
• Adjusted operating cash flow¹ of $5.6 to $5.8 billion, contributing to >100 percent adjusted free cash flow conversion¹.

¹As further discussed at ⁴ within the "Supplemental Financial Information Non-GAAP Measures" sections, 3M cannot, without unreasonable effort, forecast certain items required to develop meaningful comparable GAAP financial measures and, therefore, does not provide them on a forward-looking basis reflecting these items.

Conference call

3M will conduct an investor teleconference at 9 a.m. ET (8 a.m. CT) today. Investors can access this conference via the following:

• Live webcast at https://investors.3M.com
• Webcast replay at https://investors.3m.com/financials/quarterly-earnings

Consolidated financial statements and supplemental financial information non-GAAP measures

View the Financial Statement Information on 3M's website: https://investors.3m.com/financials/quarterly-earnings

Forward-looking statements

 This document contains forward-looking statements. You can identify these statements by the use of words such as "plan," "expect," "aim," "believe," "project," "target," "anticipate," "intend," "estimate," "will," "should," "could," "would," "forecast," "future," "outlook," "guidance" and other words and terms of similar meaning. Forward-looking statements are based on certain assumptions and expectations of future events and trends that are subject to risks and uncertainties. Actual future results and trends may differ materially from historical results or those reflected in any such forward-looking statements depending on a variety of factors. Among the factors that could cause actual results to differ materially are the following: (1) worldwide economic, political, regulatory, international trade, geopolitical, capital markets and other external conditions and other factors beyond the Company's control, including inflation; recession; military conflicts; trade restrictions such as sanctions, tariffs, reciprocal and retaliatory tariffs, and other tariff-related measures; regulatory requirements, legal actions, or enforcement; and natural and other disasters or climate change affecting the operations of the Company or its customers and suppliers; (2) foreign currency exchange rates and fluctuations in those rates; (3) liabilities and the outcome of contingencies related to certain fluorochemicals, known as "PFAS," including liabilities related to claims, lawsuits, and government regulatory proceedings concerning various PFAS-related products and chemistries, as well as risks related to the Company's exit of PFAS manufacturing and work to discontinue use of PFAS across its product portfolio; (4) risks related to the class-action settlement ("PWS Settlement") to resolve claims by public water suppliers in the United States regarding PFAS, as well as risks related to ongoing PFAS-related settlements and claims; (5) legal proceedings, including significant developments that could occur in the legal and regulatory proceedings described in the Company's reports on Form 10-K, 10-Q, and 8-K (Reports), as well as compliance risks related to legal or regulatory requirements, government contract requirements, policies and practices, or other matters that require or encourage the Company or its customers, suppliers, vendors, or channel partners to conduct business in a certain way; (6) competitive conditions and customer preferences; (7) the timing and market acceptance of new product and service offerings; (8) the availability and cost of purchased components, compounds, raw materials and energy due to shortages, increased demand and wages, tariffs, supply chain interruptions, or natural or other disasters; (9) unanticipated problems or delays when implementing new business systems and solutions, including with the phased implementation of a global enterprise resource planning (ERP) system, or security breaches and other disruptions to the Company's information or operational technology infrastructure; (10) the impact of acquisitions, strategic alliances, divestitures, and other strategic events resulting from portfolio management actions and other evolving business strategies; (11) operational execution, including the extent to which the Company can realize the benefits of planned productivity improvements, as well as the impact of organizational restructuring activities; (12) financial market risks that may affect the Company's funding obligations under defined benefit pension and postretirement plans; (13) the Company's credit ratings and its cost of capital; (14) tax-related external conditions, including changes in tax rates, laws or regulations; (15) matters relating to the spin-off of the Company's Health Care business, including the risk that the expected benefits will not be realized; the risk that the costs or dis-synergies will exceed the anticipated amounts; potential impacts on the Company's relationships with its customers, suppliers, employees, regulators and other counterparties; the ability to realize the desired tax treatment; risks under the agreements and obligations entered into in connection with the spin-off; and (16) matters relating to Combat Arms Earplugs ("CAE") and related products. A further description of these factors is located in the Reports under "Cautionary Note Concerning Factors That May Affect Future Results" and "Risk Factors" in Part I, Items 1 and 1A (Annual Report) and in Part I, Item 2 and Part II, Item 1A (Quarterly Reports). Changes in such assumptions or factors could produce significantly different results. The Company assumes no obligation to update any forward-looking statements discussed herein as a result of new information or future events or developments.

About 3M

3M (NYSE:MMM) is focused on transforming industries around the world by applying science and creating innovative, customer-focused solutions. Our multi-disciplinary team is working to solve tough customer problems by leveraging diverse technology platforms, differentiated capabilities, global footprint, and operational excellence. Discover how 3M is shaping the future at 3M.com/news.

Please note that the company announces material financial, business and operational information using the 3M investor relations website, SEC filings, press releases, public conference calls and webcasts. The company also uses the 3M News Center and social media to communicate with our customers and the public about the company, products and services and other matters. It is possible that the information 3M posts on the News Center and social media could be deemed to be material information. Therefore, the company encourages investors, the media and others interested in 3M to review the information posted on 3M's News Center and the social media channels such as @3M or @3MNews.

Contacts

3M

Investor Contact:

Diane Farrow, 612-202-2449

Media Contact:

3MNews@mmm.com

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