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

Rhea-AI Summary

3M (NYSE: MMM) reported Q4 2025 GAAP sales of $6.1B (+2.1% YoY), GAAP EPS of $1.07 (−20% YoY) and GAAP operating margin of 13.0% (−510 bps YoY). Adjusted Q4 results: sales $6.0B (+3.7% YoY), adjusted EPS $1.83 (+9% YoY) and adjusted operating margin 21.1% (+140 bps YoY). Full-year 2025 GAAP sales were $24.9B (+1.5%), GAAP EPS $6.00 (−17% YoY); adjusted EPS $8.06 (+10% YoY) and adjusted margin 23.4% (+200 bps YoY). Cash from operations was $2.3B and adjusted free cash flow $4.4B; 3M returned $4.8B to shareholders in 2025. For 2026 the company guides adjusted sales growth ~4%, adjusted EPS $8.50–$8.70 and adjusted operating cash flow $5.6–$5.8B.

Positive

• Adjusted EPS +10% for full-year 2025 to $8.06
• Adjusted operating margin +200 bps full-year to 23.4%
• Adjusted Q4 EPS +9% to $1.83
• Guidance targets adjusted EPS $8.50–$8.70 and adjusted operating cash flow $5.6–$5.8B

Negative

• GAAP full-year EPS down 17% to $6.00
• Q4 GAAP operating margin decreased 510 bps to 13.0%
• Q4 GAAP EPS down 20% to $1.07

News Market Reaction

-6.96% 1.6x vol

52 alerts

-6.96% News Effect

-3.3% Trough in 3 hr 54 min

-$6.67B Valuation Impact

$89.14B Market Cap

1.6x Rel. Volume

On the day this news was published, MMM declined 6.96%, reflecting a notable negative market reaction. Argus tracked a trough of -3.3% from its starting point during tracking. Our momentum scanner triggered 52 alerts that day, indicating high trading interest and price volatility. This price movement removed approximately $6.67B from the company's valuation, bringing the market cap to $89.14B at that time. Trading volume was above average at 1.6x the daily average, suggesting increased trading activity.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Q4 2025 GAAP sales: $6.1 billion Q4 2025 GAAP EPS: $1.07 Q4 2025 adjusted EPS: $1.83 +5 more

8 metrics

Q4 2025 GAAP sales $6.1 billion Q4 2025, up 2.1% year-on-year

Q4 2025 GAAP EPS $1.07 Q4 2025, down 20% year-on-year

Q4 2025 adjusted EPS $1.83 Q4 2025, up 9% year-on-year

Full-year 2025 GAAP sales $24.9 billion Full-year 2025, up 1.5% year-on-year

Full-year 2025 adjusted EPS $8.06 Full-year 2025, up 10% year-on-year

Q4 operating cash flow $1.6 billion Q4 2025 cash from operations

Q4 adjusted free cash flow $1.3 billion Q4 2025 adjusted free cash flow

Capital returned 2025 $4.8 billion Full-year 2025 dividends and share repurchases

Market Reality Check

Price: $156.38 Vol: Volume 7,319,243 vs 20-da...

high vol

$156.38 Last Close

Volume Volume 7,319,243 vs 20-day average 2,596,956 (relative volume 2.82x), indicating elevated trading ahead of results. high

Technical Price 167.80 is trading above 200-day MA at 154.39, reflecting a pre-news position above longer-term trend.

Peers on Argus

MMM was down 1.93% pre-release while key peers showed mixed, mostly modest moves...

MMM was down 1.93% pre-release while key peers showed mixed, mostly modest moves (e.g., HON +0.11%, OTTR -0.50%, VMI +0.36%, BBU -0.77%, SEB +0.83%). This points to stock-specific positioning rather than a broad sector move.

Historical Context

4 past events · Latest: Jan 06 (Neutral)

Pattern 4 events

Date	Event	Sentiment	Move	Catalyst
Jan 06	Earnings call notice	Neutral	+1.6%	Announced timing and access details for Q4 2025 earnings call.
Dec 29	AI tools launch	Positive	-0.2%	Announced Ask 3M AI assistant and expanded Digital Materials Hub.
Dec 22	AI innovation showcase	Positive	-1.2%	Previewed AI-powered innovation tool and CES 2026 industry solutions.
Dec 02	Brand partnership	Positive	+0.6%	Scotch Brand holiday campaign with Ego Nwodim promoting gift-wrapping.

Pattern Detected

Recent MMM headlines tied to AI and innovation saw negative next-day moves, while marketing and investor-event news had modest positive reactions, suggesting selective investor enthusiasm.

Recent Company History

Over the last few months, MMM news has focused on investor communications and innovation initiatives. A Jan 6, 2026 earnings call announcement saw a +1.63% move. AI-related launches for CES 2026 in late December drew mild negative reactions (-0.22% and -1.21%). A Scotch Brand holiday partnership on Dec 2, 2025 coincided with a +0.63% gain. Against this backdrop, the new 2025 results and 2026 guidance add concrete financial performance to prior messaging-heavy updates.

Market Pulse Summary

The stock moved -7.0% in the session following this news. A negative reaction despite adjusted EPS g...

Analysis

The stock moved -7.0% in the session following this news. A negative reaction despite adjusted EPS growth and higher margins would fit a pattern where optimism around innovation and events did not always translate into lasting gains. GAAP EPS pressure, including full-year $6.00 down 17% year-on-year, and litigation or PFAS-related adjustments could weigh on sentiment. If the reaction were sharp, it might reflect concerns about quality of earnings and the gap between GAAP and adjusted results rather than headline growth rates.

Key Terms

gaap, non-gaap, organic sales, basis points, +1 more

5 terms

gaap financial

"Q4 GAAP sales of $6.1 billion, up 2.1%; operating margin..."

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

non-gaap financial

"This document includes reference to certain non-GAAP measures."

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

organic sales financial

"Sales of $6.1 billion, up 2.1% year-on-year with organic sales up 0.6% year-on-year."

Organic sales are the change in a company’s revenue that comes from its existing business operations, excluding effects of acquisitions, divestitures, and currency swings. Think of it like measuring how much a garden grows from the plants you already tended, rather than adding new pots; investors use organic sales to judge whether demand and core business performance are genuinely improving or if growth is driven by one‑time deals or accounting shifts.

basis points financial

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

Basis points are a way to measure small changes in interest rates or percentages, where one basis point equals 0.01%. For example, if a loan's interest rate increases by 50 basis points, it's gone up by 0.50%. They help people understand tiny differences in rates that can add up over time, making financial comparisons clearer.

adjusted free cash flow financial

"Q4 operating cash flow of $1.6 billion with adjusted free cash flow of $1.3 billion"

Adjusted free cash flow is the amount of money a company generates from its operations after accounting for essential expenses and investments, like maintaining or upgrading equipment. It shows how much cash is truly available to grow the business, pay debts, or return to shareholders, helping investors see the company's financial health more clearly.

AI-generated analysis. Not financial advice.

• 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:

				Q4 2025		Q4 2024
		GAAP EPS from continuing operations (GAAP EPS)		$          1.07		$          1.33
		Special items:
		Net costs for significant litigation		0.56		(0.07)
		(Increase) decrease in value of Solventum ownership		(0.30)		0.24
		Pension risk transfer charge		—		0.02
		Manufactured PFAS products		0.39		0.16
		Transformation costs		0.11		—
		Adjusted EPS from continuing operations (adjusted EPS)		$          1.83		$          1.68
		Memo:
		GAAP operating income margin		13.0 %		18.1 %
		Adjusted operating income margin		21.1 %		19.7 %

• 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.

				GAAP		Adjusted (non-GAAP)
		Net sales (billions)		$6.1		$6.0
		Sales change
		Total sales		2.1 %		3.7 %
		Components of sales change:
		Organic sales		0.6		2.2
		Acquisitions/divestitures		(0.1)		(0.1)
		Translation		1.6		1.6
		Adjusted sales excludes manufactured PFAS products.

• 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:

				Full-Year 2025		Full-Year 2024
		GAAP EPS		$          6.00		$          7.26
		Special items:
		Net costs for significant litigation		1.95		1.32
		(Increase) decrease in value of Solventum ownership		(0.78)		(2.83)
		Pension risk transfer charge		—		1.11
		Manufactured PFAS products		0.47		0.20
		Loss on business divestitures		0.29		—
		Divestiture costs		—		0.24
		Transformation costs		0.13		—
		Adjusted EPS		$          8.06		$          7.30
		Memo:
		GAAP operating income margin		18.6 %		19.6 %
		Adjusted operating income margin		23.4 %		21.4 %

• 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.

				GAAP		Adjusted (Non-GAAP)
		Net sales (billions)		$24.9		$24.3
		Sales change
		Total sales		1.5 %		2.7 %
		Components of sales change:
		Organic sales		0.9		2.1
		Acquisitions/divestitures		0.2		0.2
		Translation		0.4		0.4
		Adjusted sales excludes manufactured PFAS products.

• 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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SOURCE 3M Company

FAQ

What were 3M's Q4 2025 GAAP sales and EPS (NYSE: MMM)?

Q4 2025 GAAP sales were $6.1B and GAAP EPS was $1.07.

How did 3M's adjusted full-year 2025 EPS compare year‑over‑year for MMM?

Adjusted EPS for full-year 2025 rose 10% to $8.06 year‑over‑year.

What full‑year 2026 financial guidance did 3M (MMM) provide?

3M guided adjusted total sales growth of ~4%, adjusted EPS of $8.50–$8.70, and adjusted operating cash flow of $5.6–$5.8B.

How much cash did 3M return to shareholders in 2025 (MMM)?

3M returned $4.8B to shareholders in 2025 via dividends and share repurchases.

What was 3M's adjusted operating margin in Q4 and full‑year 2025?

Adjusted operating margin was 21.1% in Q4 2025 and 23.4% for full‑year 2025.

What cash flow did 3M report for 2025 and what free cash flow conversion is expected in 2026?

3M reported cash from operations of $2.3B and adjusted free cash flow of $4.4B in 2025; 2026 guidance targets >100% adjusted free cash flow conversion.