3m Company · NYSE:MMM
3m — Q3 2024 Earnings Presentation
16 slides from 3m's earnings presentation, Oct 22, 2024
Slide 1: 2024 Third Quarter Earnings
2024 Third Quarter Earnings (unaudited) Bill Brown Anurag Maheshwari Bruce Jermeland Chief Executive Officer Executive Vice President and Senior Vice President, Chief Financial Officer Investor Relations
Slide 2: Forward-looking statements
2 Forward-looking statements This presentation 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” and other word
Slide 3: Solid Q3 execution; top priorities update
3 Solid Q3 execution; top priorities update Q3 adjusted results: Priority areas of focus: • Sales of $6.1B, with organic • Increasing visibility of new product introduction (NPI) pipeline growth up 1.0% YoY Organic • Improving rigor, discipline and accountability for NPI performance growth • Shiftin
Slide 4: Q3 2024 performance
4 Q3 2024 performance Sales ($M) Operating Margin Earnings Per Share $6,068 $1.98 $5,978 23.0% 21.6% $1.68 Q3 2023 Q3 2024 Q3 2023 Q3 2024 Q3 2023 Q3 2024 • Organic growth up 1.0% YoY, • Operating margin up 140 basis points YoY • EPS up 18% YoY includes ~(1.0) ppt headwind from • Benefits from organ
Slide 5: Q3 2024 business group sales results
5 Q3 2024 business group sales results ($ millions) Safety & Industrial Transportation & Electronics Consumer $2,751 $2,767 $1,913* $1,879* $1,315 $1,299 Q3 2023 Q3 2024 Q3 2023 Q3 2024 Q3 2023 Q3 2024 Organic growth up 0.9% YoY Organic growth up 2.0%* YoY Organic growth down 0.7% YoY • MSD increase
Slide 6: Q3 2024 operating margin and EPS
6 Q3 2024 operating margin and EPS Adj. Adj. operating earnings margin per share Commentary Q3 2023 21.6% $1.68 Operational performance +1.6% +$0.15 Organic growth/ +1.3% +$0.13 • Primarily benefits from organic growth, continued productivity, and restructuring productivity/other Restructuring & rel
Slide 7: 2024 full-year earnings guidance
7 2024 full-year earnings guidance FY 2024 guidance Updated (Provided July 26, 2024) FY 2024 guidance Adjusted organic Flat to 2% ~1% sales growth (Includes ~100+ bps headwind from portfolio/geographic prioritization) (Includes ~100+ bps headwind from portfolio/geographic prioritization) Adjusted +2
Slide 8: Q&A
Bill Brown Anurag Maheshwari Bruce Jermeland Q&A Chief Executive Officer Executive Vice President and Senior Vice President, Chief Financial Officer Investor Relations 2024 Q3 Earnings | October 22, 2024. All rights reserved.
Slide 9: Q3 YTD 2024 performance
9 Q3 YTD 2024 performance Sales ($M) Operating Margin Earnings Per Share 22.0% $17,822 $5.62 $17,639 18.2% $4.33 Q3 YTD 2023 Q3 YTD 2024 Q3 YTD 2023 Q3 YTD 2024 Q3 YTD 2023 Q3 YTD 2024 • Organic growth up 1.0% YoY, • Operating margin up 380 basis points YoY • EPS up 30% YoY includes ~(1.2) ppt headw
Slide 10: Q3 YTD 2024 business group sales results
10 Q3 YTD 2024 business group sales results ($ millions) Safety & Industrial Transportation & Electronics Consumer $8,295 $8,258 $5,643* $3,800 $3,702 $5,443* Q3 YTD 2023 Q3 YTD 2024 Q3 YTD 2023 Q3 YTD 2024 Q3 YTD 2023 Q3 YTD 2024 Organic growth up 0.2% YoY Organic growth up 3.9%* YoY Organic growth
Slide 11: Q3 YTD 2024 operating margin and EPS
11 Q3 YTD 2024 operating margin and EPS Adj. Adj. operating earnings margin per share Commentary Q3 YTD 2023 18.2% $4.33 Operational performance +4.1% +$1.06 Organic growth/ • Primarily benefits from organic growth, productivity, strong spending discipline, and +3.5% +$0.92 productivity/other restru
Slide 12: Adjusted sales recap by geography
12 Adjusted sales recap by geography Americas EMEA APAC Worldwide Q3 2024 Organic growth 0.3% (1.8)% 4.2% 1.0% Acquisitions/divestitures 1.2% 0.6% 0.1% 0.9% FX (0.8)% 1.3% (0.4)% (0.4)% Total growth 0.7% 0.1% 3.9% 1.5% Americas EMEA APAC Worldwide Q3 YTD 2024 Organic growth 0.1% (0.8)% 3.9% 1.0% Acq
Slide 13: Q3 2024 P&L
13 Q3 2024 P&L Q3 Q3 GAAP ($M), except per share amounts 2024 2023 Change Sales $6,294 $6,270 0.4% Gross profit $2,647 $2,554 3.7% % to sales 42.1% 40.7% 1.4% SG&A $1,062 $5,419 N/M % to sales 16.9% 86.4% (69.5)% R&D & related $269 $267 0.6% % to sales 4.3% 4.3% —% Gain on sale of businesses $— $(36
Slide 14: Additional GAAP sales detail
14 Additional GAAP sales detail ($M) GAAP Net Sales Business Groups Q3 2024 Q3 2023 Abrasives 323 330 Automotive Aftermarket 313 316 Electrical Markets 333 327 Industrial Adhesives & Tapes 542 516 Industrial Specialties 287 290 Personal Safety 828 840 Roofing Granules 141 132 Total Safety & Industri
Slide 15: Q3 2024 business segment information
15 Q3 2024 business segment information Adjusted net Adjusted operating income Adjusted operating ($M) sales* Q3 2024 adjusted sales growth* (loss)* margin* Total Q3 Q3 Organic sales Q3 Q3 Percent Q3 Q3 Business Groups 2024 2023 growth FX M&A change 2024 2023 change 2024 2023 Safety & Industrial $2,
Slide 16: Science. Applied to Life.
Science. Applied to Life.”