Bullish indicating open at $55-$60, IPO prices at $37
Investing.com -- 3M Co. shares gained 2.7% premarket Friday after the industrial conglomerate reported second-quarter earnings that exceeded analyst expectations and raised its full-year outlook, despite tariff headwinds.
The company posted adjusted earnings per share of $2.16 for the second quarter, surpassing the analyst estimate of $2.01. Revenue came in at $6.3 billion, above the consensus estimate of $6.1 billion and up 1.4% YoY. Organic sales growth was 1.5% on an adjusted basis, marking the third consecutive quarter of growth across all three business groups.
"We delivered strong results in the second quarter, posting positive organic sales growth and double-digit EPS growth," said William Brown, 3M Chairman and CEO. "Our 3M eXcellence operating model is the foundation for delivering on each of our strategic priorities, and it drives the operating rigor and rhythm of our performance culture."
The company’s adjusted operating margin expanded significantly to 24.5%, up 290 basis points from the same period last year. This margin improvement helped drive the 12% increase in adjusted earnings per share compared to the second quarter of 2024.
Following the strong performance, 3M raised its full-year 2025 guidance, now expecting adjusted EPS in the range of $7.75 to $8.00, up from its previous forecast of $7.60 to $7.90. The new outlook exceeds the analyst consensus of $7.67 and incorporates the expected impact of tariffs. The company also projects adjusted total sales growth of approximately 2.5% for the year.