- 3M (MMM, Financial) reports a 12% increase in adjusted EPS to $2.16 for Q2 2025.
- Company raises full-year 2025 EPS guidance to $7.75-$8.00.
- Returned $1.3 billion to shareholders through dividends and share repurchases.
3M (MMM) has announced a robust performance for the second quarter of 2025, reporting GAAP sales of $6.3 billion, an increase of 1.4% year-over-year. The company's adjusted earnings per share (EPS) rose by 12% to $2.16, reflecting a strong operational performance. The adjusted operating margin also improved significantly, reaching 24.5%, up 290 basis points from the previous year.
Despite a negative operating cash flow of $1.0 billion, primarily due to $2.2 billion in litigation-related payments, 3M generated an adjusted free cash flow of $1.3 billion. The litigation payments were largely associated with settlements concerning Public Water Systems and Combat Arms Earplugs cases.
3M has revised its full-year 2025 guidance, now anticipating adjusted EPS between $7.75 and $8.00, up from an earlier forecast of $7.60-$7.90. This optimistic outlook includes an expected adjusted total sales growth of approximately 2.5%, despite the impact of tariffs.
Throughout the quarter, 3M returned $1.3 billion to its shareholders via dividends and share repurchases, signaling a strong commitment to shareholder value. The company attributes these positive results to the implementation of its 3M eXcellence operating model, which is enhancing operational discipline and efficiency.
