3M Positioned for Long-Term Sustainable Growth, Value Creation

At its Virtual Strategic Update and 2022 Outlook Meeting, 3M is announcing its 2022 guidance and highlighting its plan for sustainable long-term growth and shareholder value creation.

3M is expecting total sales growth of 1% to 4%, which includes organic sales growth of 2% to 5%, earnings per share (EPS) of $10.15 to $10.65, and robust cash flow. Included in this guidance is an anticipated decline in COVID-19-related disposable respirator demand in 2022, resulting in a headwind to organic growth of 2 percentage points and earnings per share of 45 cents.

3M anticipates operating cash flow of $7.3 to $7.9 billion, contributing to 90% to 100% free cash flow conversion.

“3M is powered by purpose, unlocking the power of people, ideas, and science, to re-imagine what’s possible and create what’s next,” said Mike Roman, 3M chairman and CEO. “We are well positioned for 2022 and beyond because of our customer-inspired innovation, industry-leading businesses, fundamental strengths, and world-class capabilities enabling us to win in fast-growing markets.

“Building upon 9% organic growth in 2021, we expect to continue growing above the macro environment, while generating robust cash flow, expanding margins and strengthening our balance sheet,” added Roman. “We continue to drive value through our strategic priorities: accelerating innovation, actively managing our portfolio, transforming our operating model with new digital capabilities and investing in our people and culture. In addition, we continue to advance our leadership in ESG, including a $1 billion commitment over 20 years to achieve carbon neutrality, reduce water use and improve water quality along with reducing the use of plastics.”