3M Reports Q3 2026 Results and Raises Full-Year EPS Guidance

Executive Summary

On October 20, 2026, 3M Company filed a Form 8-K under Item 2.02 (Results of Operations and Financial Condition), announcing financial results for the third quarter ended September 30, 2026, and raising its full-year 2026 EPS guidance.

Third-Quarter 2026 Financial Highlights

• Net Sales:
  • GAAP sales totaled $6.584 billion, up 1.0% YoY (vs. $6.517 billion in Q3 2025).
  • Adjusted sales reached $6.6 billion, up 4.2% YoY, with organic sales growth of 3.3% YoY (GAAP organic sales grew 0.2%).
• Operating Margins:
  • GAAP operating margin expanded by 150 bps YoY to 23.7%.
  • Adjusted operating margin increased 110 bps YoY to 26.2%.
• Earnings Per Share (EPS):
  • GAAP EPS reached $2.63, up 70% from $1.55 in Q3 2025.
  • Adjusted EPS stood at $2.50, up 12% YoY from $2.23 (on the updated reporting basis including intangible asset amortization as a special item).
• Cash Flow & Capital Allocation:
  • Operating cash flow was $0.5 billion.
  • Adjusted free cash flow reached $1.2 billion.
  • Returned $0.6 billion to shareholders via dividends and share repurchases.

Updated Full-Year 2026 Guidance

• Adjusted Total Sales Growth: Expected to exceed 4.5%, supported by adjusted organic growth >3.5%.
• Adjusted EPS: Raised to $9.10 to $9.15 (incorporating updated non-GAAP treatment of amortization).
• Cash Generation: Adjusted operating cash flow projected at ~$5.9 billion, with adjusted free cash flow of ~$4.8 billion.

Strategic & Commercial Highlights

• Amazon Partnership: Expanded commercial relationship to deploy and scale 3M optical connectivity and Data Center products; issued Amazon warrants for up to 3.2M shares tied to reaching $6B in cumulative sales over seven years.
• Optics Collaboration: Investment to acquire ~4.7% of Genius Electronic Optical Co., Ltd. (GSEO) to advance Expanded Beam Optics (EBO) solutions.
• Innovation & Government Expansion: Established a joint innovation lab with BOE for advanced display technology and secured multiple defense and government contracts.