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Dec 31, 2019

3M Q4 2019 Earnings Report

Reported fourth-quarter and full-year 2019 results and provided its 2020 earnings outlook.

Key Takeaways

3M reported fourth-quarter results with sales growing 2.1 percent year-on-year to $8.1 billion. Fourth-quarter GAAP earnings were $1.66 per share, a decrease of 27 percent year-on-year.

Sales grew 2.1 percent year-on-year to $8.1 billion.

Organic local-currency sales declined 2.6 percent.

Fourth-quarter GAAP earnings were $1.66 per share, a decrease of 27 percent year-on-year.

The company expects annual pre-tax savings of $110 million to $120 million, with $40 million to $50 million in 2020 from restructuring.

Total Revenue
$8.11B
Previous year: $7.95B
+2.1%
EPS
$2.15
Previous year: $2.31
-6.9%
Organic Revenue Growth
-2.6%
Gross Profit
$3.79B
Previous year: $3.89B
-2.5%
Cash and Equivalents
$0
Previous year: $2.85B
-100.0%
Free Cash Flow
$0
Previous year: $1.73B
-100.0%
Total Assets
$44.7B
Previous year: $36.5B
+22.4%

3M

3M

Forward Guidance

3M initiated its full-year 2020 guidance with earnings expected to be in the range of $9.30 to $9.75 per share. The company expects its full-year organic local-currency growth in the range of flat to 2 percent. 3M also expects its full-year free cash flow conversion to be in the range of 95 to 105 percent and return on invested capital of 18 to 21 percent