NYSE$MMM

3M · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

3M reported second-quarter 2020 results with strong execution and cash flow amidst an uncertain environment.

3M's second-quarter results were significantly impacted by the global economic slowdown. The company executed well, managed costs, and delivered robust cash flow. Sales declined 12.2 percent year-on-year to $7.2 billion.

  • Second-quarter sales declined 12.2 percent year-on-year to $7.2 billion.
  • GAAP earnings were $2.22 per share, an increase of 15.6 percent year-on-year.
  • Adjusted earnings were $1.78 per share, a decline of 16.4 percent year-on-year.
  • Operating cash flow was $1.9 billion with adjusted free cash flow of $1.5 billion.

Headline financials

Total Revenue

$7.18B

Previous: $8.17B-12.2%
EPS (adj)

$1.78

Previous: $2.20-19.1%
Organic Revenue Growth

-13.1%

No prior period
Capital Expenditures

-$711M

Previous: -$812M+12.4%
Free Cash Flow

$579M

Previous: $315M+83.8%
Net Income

$1.29B

Previous: $1.13B+14.5%
Operating Income

$1.74B

Previous: $1.7B+2.2%
Gross Profit

$3.37B

Previous: $3.86B-12.6%
Total Assets

$45.1B

Previous: $39B+15.7%
Stock-Based Comp

$52M

Previous: $52M+0.0%

Revenue & EPS history

3M · Revenue · Quarterly

$7.18B

Q2 2020-12.2%vs Q2 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

3M · $1.32B total across 1 segment · Q3 2023

  • Consumer
    $1.32B-6.7%

Forward guidance

Due to the continued evolving and uncertain impact of the COVID-19 pandemic, 3M is not able to estimate the full duration, magnitude and pace of recovery across its diverse end markets with reasonable accuracy and continues to believe it is prudent to not provide guidance.

Tailwinds

  • The company is seeing broad-based sales improvements across businesses and geographies to start the third quarter.
  • With one week left in July, total company sales are currently up low-single digits year-on-year.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-0.0%

Avg return

Earnings day

-0.4%

Avg return

5 days after

-0.2%

Avg return

30 days after

48%

35 / 73 earnings

Positive

+21.1%

Q2 2024

Best reaction

-13.7%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.9%-3.6%-0.1%
Q4 2025-7.0%-3.1%-1.6%
Q3 2025+7.9%+8.9%+6.4%
Q2 2025-2.2%-3.7%-1.5%
Q1 2025+8.1%+8.9%+18.8%
Q4 2024+5.7%+6.0%+5.7%
Q3 2024-5.1%-7.5%-5.6%
Q2 2024+21.1%+23.4%+26.3%
Q1 2024+6.8%+5.4%+6.6%
Q4 2023-13.7%-11.1%-14.6%
Q3 2023+4.4%+2.2%+11.4%
Q2 2023+8.0%+7.3%-5.5%
Q1 2023-2.0%+1.1%-7.6%
Q4 2022-7.9%-4.6%-10.6%
Q3 2022+3.7%+6.9%+8.1%
Q2 2022+3.5%+6.8%+6.4%
Q1 2022-3.0%-2.9%-1.0%
Q4 2021-2.0%-2.6%-11.8%
Q3 2021-2.3%-2.0%-2.6%
Q2 2021-1.7%-1.8%-3.1%
Q1 2021-1.9%-1.2%+1.8%
Q4 2020+9.5%+3.1%+4.9%
Q3 2020-4.6%-3.7%+6.6%
Q2 2020-4.3%-7.8%+0.5%
Q1 2020+1.7%-3.3%+2.1%
Q4 2019-7.8%-9.7%-14.5%
Q3 2019-1.6%+0.0%-0.7%
Q2 2019-3.0%-1.0%-13.1%
Q1 2019-12.5%-13.5%-24.2%
Q4 2018+3.1%+3.1%+7.3%
Q3 2018-8.4%-8.1%-1.3%
Q2 2018+2.8%+4.3%+2.0%
Q1 2018-7.9%-9.2%-7.6%
Q4 2017+4.4%+1.6%-4.3%
Q3 2017+7.3%+6.0%+4.5%
Q2 2017-5.2%-4.9%-3.8%
Q1 2017+0.4%+0.8%+2.7%
Q4 2016-1.0%-0.6%+4.9%
Q3 2016-2.8%-3.2%+0.6%
Q2 2016-0.8%-0.7%-0.0%
Q1 2016-0.4%
Q4 2015+5.8%
Q3 2015+4.0%
Q2 2015-3.9%
Q1 2015-3.5%
Q4 2014-0.2%
Q3 2014+6.9%
Q2 2014+0.3%
Q1 2014-1.0%
Q4 2013-1.6%
Q3 2013+1.0%
Q2 2013+0.5%
Q1 2013-3.8%
Q4 2012+1.1%
Q3 2012-4.5%
Q2 2012+3.3%
Q1 2012+1.9%
Q4 2011+0.6%
Q3 2011+1.6%
Q2 2011-4.0%
Q1 2011+0.7%
Q4 2010+0.8%
Q3 2010-1.3%
Q2 2010+0.6%
Q1 2009-3.9%
Q1 2010-0.5%
Q4 2009+1.2%
Q4 2007+1.2%
Q3 2009-1.6%
Q3 2008-1.6%
Q4 2008+3.2%
Q2 2009+3.2%
Q2 2008+3.2%

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