What changed in this filing

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Item 2. Management’s Discussion and Analysis

2026-04-21 compared with 2025-10-21 · 139 added, 407 removed, 214 unchanged (72% of the section changed)

6 unchanged sentences

• Financial Condition and Liquidity

• Cautionary Note Concerning Factors That May Affect Future Results

Forward-looking statements in Part I, Item 2 may involve risks and uncertainties that could cause results to differ materially from those projected (refer to the section entitled Cautionary Note Concerning Factors That May Affect Future Results in Part I, Item 2 and the risk factors provided in Part II, Item 1A for discussion of these risks and uncertainties).

• Forward-Looking Statements

Forward-looking statements in Part I, Item 2 may involve risks and uncertainties that could cause results to differ materially from those projected (refer to the section entitled "Forward-Looking Statements" in Part I, Item 2 and described in Part I, Item 1A, "Risk Factors" of the Company's Form 10-K for the year ended December 31, 2025 for discussion of these risks and uncertainties).

3M is a diversified global manufacturer, technology innovator and marketer of a wide variety of products and services.

As discussed in Note 1, certain changes are reflective in this document for all applicable periods presented.

As discussed in Note 2, on April 1, 2024, 3M completed the separation of its Health Care business (the Separation) through a pro rata distribution of 80.1% of the outstanding shares of Solventum Corporation (Solventum) to 3M stockholders.

As a result, Solventum became an independent public company, 3M no longer consolidates Solventum into 3M’s financial results and the historical net income of Solventum, and applicable assets and liabilities included in the Separation are reported in 3M's consolidated financial statements as discontinued operations.

3M manages its continuing operations in three operating business segments:

Effective in the first quarter of 2026, the Company made changes to the measure of segment operating performance and segment composition used by its CODM, impacting the disclosed measure of segment profit (business segment operating income).

Further details are provided in Note 16.

3M manages its operations in three operating business segments:

Safety and Industrial;

2 unchanged sentences

From a geographic perspective, "EMEA" refers to Europe, the Middle East, and Africa on a combined basis.

Unless otherwise noted, any sales change analysis compares the third quarter and the first nine months of 2025 with the corresponding periods in 2024, year-on-year (YoY).

Financial highlights for the third quarter and first nine months of 2025:

Unless otherwise noted, all year-over-year ("YoY") comparisons in this MD&A refer to the first quarter of 2026 compared with the first quarter of 2025.

Financial highlights for the first quarter of 2026:

Three months ended

September 30, 2025 Nine months ended

September 30, 2025

GAAP Adjusted 1

March 31, 2026

GAAP Adjusted (a)

Net sales (millions) $ 6,030 $ 6,003

Total sales change 1.3 % 3.9 %

Organic sales change 2

Organic sales change (b)

(1.4) % 1.2 %

1 The Company refers to various "adjusted" amounts or measures on an “adjusted" basis.

(a) The Company refers to various "adjusted" amounts or measures on an “adjusted" basis.

These exclude special items.

These non-GAAP measures are further described and reconciled to the most directly comparable GAAP financial measures in the Certain amounts adjusted for special items - (non-GAAP measures) section below.

2 Organic sales change (which includes both organic volume and selling price impacts), is defined as the change in net sales, absent the impacts from foreign currency translation and acquisitions, net of divestitures.

(b) Organic sales change (which includes both organic volume and selling price impacts), is defined as the change in net sales, absent the impacts from foreign currency translation and acquisitions, net of divestitures.

3M believes this information is useful to investors and management in understanding ongoing operations and in analysis of ongoing operating trends.

Net sales change was driven by strength in safety, general industrial, and electronics, partially offset by known softness in auto aftermarket, while consumer remained soft.

Sales change also reflected the YoY impact of the manufactured PFAS products special item.

Net sales change was driven by strength in electrical markets, adhesives, abrasives, and aerospace—supported by commercial excellence and innovation.

These were partially offset by weakness in consumer electronics, auto, roofing granules and consumer, and the YoY impact of the manufactured PFAS products special item.

Three months ended

September 30, 2025 Nine months ended

September 30, 2025

GAAP Adjusted 1

March 31, 2026

GAAP Adjusted (a)

Operating income margin 23.2 % 23.8 %

YoY change in operating income margin 1.3 ppts 1.7 ppts 0.3 ppts 2.2 ppts

YoY change in operating income margin 2.3 ppts 0.3 ppts

GAAP operating margins were affected by the YoY impact of special items.

These primarily included an increase in net costs for significant litigation impacting operating income from the second quarter 2025 PFAS-related New Jersey Settlement (discussed in Note 17), followed by a decrease in the third quarter resulting from insurance recoveries, a third quarter 2025 charge associated with divestiture activity (discussed in Note 4), and manufactured PFAS products.

Both GAAP and adjusted operating margins reflect benefits from growth and productivity (outside of special items), and lower restructuring costs, partially offset by growth investments, as well as gross tariff and foreign currency impacts.

Additionally, margins YoY were impacted by cost dis-synergies (from the ongoing exit of PFAS manufacturing and second quarter 2024 spin of Solventum), and by transition service agreement reimbursement from Solventum, which began in the second quarter of 2024, and by the lower extent of stock-based compensation grants (see the Certain Expenses Impacting Multiple Line Items within Results of Operation discussion below).

The primary drivers were lower net costs for significant litigation, reflecting increased insurance recoveries (discussed in Note 15).

These were partially offset by higher costs related to manufactured PFAS products and 2026 transformation costs.

Outside of special items, both GAAP and adjusted operating margins reflect benefits from growth, broad-based productivity, and favorable foreign currency impacts, partially offset by tariff impacts, cost dis-synergies (from the exit of PFAS manufacturing and the 2024 spin of Solventum), and growth investments.

Three months ended

September 30, 2025 Nine months ended

September 30, 2025

GAAP Adjusted 1

March 31, 2026

GAAP Adjusted (a)

Earning per diluted share (EPS) $ 1.23 $ 2.14

YoY change in EPS (40) % 14 %

GAAP EPS YoY was negatively affected by the net impact of special items.

In addition to items relative to operating income discussed above, this primarily included the YOY impact of the change in value of Solventum ownership and a $795 million pre-tax pension settlement charge in the second quarter 2024 (as discussed in Note 13), partially offset by lower imputed interest associated with obligations resulting from significant litigation.

Both GAAP and adjusted EPS reflects benefits from growth and productivity (outside of special items) and lower restructuring costs, a second quarter 2025 gain on the sale of an investment (see the Income from Unconsolidated Subsidiaries, Net of Taxes discussion below), and the impact of lower share count.

These were partially offset by higher growth investments, gross tariff and foreign currency impacts, and a non-operating interest and pension headwind (apart from pension special item).

Additionally, EPS YoY was impacted by cost dis-synergies (from the ongoing exit of PFAS manufacturing and second quarter 2024 spin of Solventum), and by transition service agreement reimbursement from Solventum, which began in the second quarter of 2024, and by the lower extent of stock-based compensation grants.

3M is progressing toward the exit of PFAS manufacturing by the end of 2025 as discussed Part II, Item 1A, “Risk Factors” of this document.

Decisions or circumstances associated with the extent and type of remaining non-PFAS activity at particular locations and impacts on assets and potential obligations, among other factors, could result in additional expenses.

GAAP EPS YoY was affected by the net impact of special items, including those impacting operating income discussed above, as well as by the negative impact from the decrease in Solventum's share price during the period in 2026 compared to an increase in 2025.

Outside of special items, both GAAP and adjusted EPS reflect the impact of the other operating income items discussed above, while a lower share count provided additional benefits.

EPS also benefited from tax timing and reduced pension expense, partially offset by higher interest costs (apart from special items).

3M completed its exit of PFAS manufacturing at the end of 2025 as discussed in Note 15.

Decisions or circumstances associated with the extent and type of remaining activity at particular locations and impacts on assets and potential obligations, among other factors, could result in additional expenses.

Additional information regarding certain items impacting pre-2026 periods that may also be relevant in 2026 can be found in the Overview section of Part II, Item 7 as well as in further sections of 3M’s 2025 Annual Report on Form 10-K.

Results of Operations

Percent change information compares the three and nine months ended September 30, 2025 and 2024, unless otherwise indicated.

Discussion of business segment results is provided in the Performance by Business Segment section.

Information regarding sales by geographic area is included below.

Three months ended September 30, 2025

Three months ended March 31, 2026

Americas Asia Pacific

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Components of net sales change:

Organic sales 2

2.9 2.9 1.3 2.6

Divestitures 3

(0.1) — — (0.1)

Translation 0.1 (0.1) 5.9 1.0

Total sales change 2.9 % 2.8 % 7.2 % 3.5 %

Nine months ended September 30, 2025

Americas Asia Pacific EMEA

Net sales (millions) $ 10,271 $ 5,338 $ 3,206 $ 18,815

% of worldwide sales 54.6 % 28.4 % 17.0 % 100.0 %

Components of net sales change:

Organic sales 2

Organic sales (b)

(2.6) 2.0 (3.2) (1.4)

Divestitures 3

Divestitures (c)

(0.2) — — (0.1)

1 unchanged sentence

Total sales change (1.7) % 3.6 % 6.7 % 1.3 %

3 Acquisition and divestiture sales change impacts are measured separately for the first twelve months post-transaction and, beginning April 2024, include, within divestitures, the impact of commercial agreements associated with the separation of Solventum.

Additional information beyond what is included in the preceding tables is as follows:

Three months ended September 30, 2025 Nine months ended September 30, 2025

Net sales change by particular country

Total sales change Organic sales change 2

United States

3.4 % 3.6 % 2.2 % 1.6 %

China/Hong Kong

9.5 9.4 6.2 6.3

(c) Acquisition and divestiture sales change impacts are measured separately for the first twelve months post-transaction.

Operating Expenses:

Three months ended September 30, Nine months ended September 30,

(Percent of net sales) 2025 2024 Change 2025 2024 Change

Three months ended March 31,

(Percent of net sales) 2026 2025 Change

Cost of sales 59.3 % 58.4 % 0.9 %

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Research, development and related expenses (R&D) 5.1 4.8 0.3

Loss on business divestitures

2.5 — 2.5 0.9 — 0.9

Loss (gain) on business divestitures

Operating income margin

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Cost of Sales measured as a percent of sales :

Increases in the third quarter and first nine months of 2025 were primarily due to foreign currency impacts;

tariffs, and the exit of manufactured PFAS products partially, offset by ongoing procurement and logistics savings.

Additionally, cost of sales YoY for the nine months ended September 30, 2025, was impacted by cost dis-synergies (from the ongoing exit of PFAS manufacturing and second quarter 2024 spin of Solventum).

Increases in the first quarter of 2026 were primarily due to cost dis-synergies due to the PFAS exit and tariff impacts, partially offset by ongoing manufacturing productivity initiatives.

See also Certain Expenses Impacting Multiple Line Items within Results of Operations subsection further below.

SG&A measured as a percent of sales :

Decreases in the third quarter and first nine months of 2025 were primarily impacted by benefits from insurance recoveries in the second and third quarter of 2025, along with lower YoY restructuring charges.

These were partially offset by net costs for significant litigation impacting operating income from the second quarter 2025 PFAS-related New Jersey Settlement.

Additionally, SG&A YoY for the three and nine months ended September 30, 2025, was impacted by the transition service agreement reimbursement, and cost dis-synergies (from the ongoing exit of PFAS manufacturing and second quarter 2024 spin of Solventum).

Decreases were primarily impacted by benefits from insurance recoveries reducing net costs from significant litigation.

See also Certain Expenses Impacting Multiple Line Items within Results of Operations subsection further below.

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See also Certain Expenses Impacting Multiple Line Items within Results of Operations subsection further below.

Loss on Business Divestitures measured as a percent of sales :

Applicable information on 2025 items is discussed in Note 4, including a write-down for a business classified as held for sale in the third quarter.

Other Expense (Income), Net:

Interest expense (net of interest income):

increased in the third quarter and decreased in the first nine months of 2025, compared to the same periods YoY.

• The increase in the third quarter was driven by lower interest income due to decreased cash, while both periods were impacted by reduced imputed interest associated with obligations resulting from significant litigation (discussed in Note 17), and debt maturities.

Non-service pension and postretirement net period cost (benefit):

increased by approximately $13 million in the third quarter of 2025 and decreased $721 million in the first nine months of 2025, compared to the same periods YoY.

• This change was largely due to the $795 million pension settlement charge in the second quarter of 2024, which occurred as a result of transferring a portion of U.S.

pension payment obligations and related plan assets to an insurance company (see Note 13).

See Note 6 for a detailed breakout of this line item.

Interest expense (net of interest income) decreased YoY driven by reduced imputed interest associated with the obligations resulting from the PWS Settlement and the CAE Settlement (discussed in Note 15).

The non-service pension and postretirement net cost decreased approximately $30 million YoY.

See also Certain Expenses Impacting Multiple Line Items within Results of Operations subsection further below.

Solventum ownership - change in value:

decreased by approximately $675 million in the third quarter of 2025 and $1,452 million in the first nine months of 2025, compared to the same periods YoY.

Solventum ownership - change in value resulted in a YoY headwind of $699 million in the first quarter of 2026 as Solventum's share price decreased during the period in 2026 compared to an increase in 2025.

Provision for Income Taxes:

Three months ended

September 30, Nine months ended

September 30,

(Percent of pre-tax income) 2026 2025

Effective tax rate 25.2 % 19.1 %

Adjusted effective tax rate 1

19.9 20.5 20.5 20.1

The primary factors that increased the Company's effective tax rate for the three months ended September 30, 2025, when compared to 2024, were the tax impacts of:

3M's retained ownership interest in Solventum, Pillar Two Model Rules, and the loss on business divestiture, partially offset by net costs of significant litigation.

The primary factors that increased the Company's effective tax rate for the nine months ended September 30, 2025, when compared to 2024, were the tax impact of:

3M's retained ownership interest in Solventum and Pillar Two Model Rules, partially offset by net costs of significant litigation.

Adjusted effective tax rate (a)

The primary factors that increased the Company's effective tax rate YoY were the tax impacts of 3M's retained ownership interest in Solventum, partially offset by increased tax benefits from stock-based compensation.

Income from Unconsolidated Subsidiaries, Net of Taxes:

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2026 2025

Income from unconsolidated subsidiaries, net of taxes $ 2 $ 2

$ 2 $ 3 $ 51 $ 7

Income from unconsolidated subsidiaries, net of taxes, is attributable to the Company’s accounting under the equity method for ownership interests in certain entities.

In the second quarter of 2025, 3M sold its interest in one of these investments, resulting in a pre-tax gain of $47 million.

Because this was an ownership disposition, the impact of taxes thereon was reflected separately in provision for income taxes.

In the second quarter of 2025, 3M sold its interest in one of these investments.

Net Income Attributable to Noncontrolling Interest:

Three months ended

September 30, Nine months ended

September 30,

(Millions) 2026 2025

Net income attributable to noncontrolling interest $ 6 $ 6

$ 7 $ 4 $ 15 $ 15

Net income attributable to noncontrolling interest represents the elimination of the income or loss attributable to non-3M ownership interests in 3M consolidated entities.

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Certain Expenses Impacting Multiple Line Items within Results of Operations:

Stock compensation is discussed in Note 18 and impacts cost of sales, SG&A, and R&D.

YoY stock compensation expense was impacted by the lower extent of the 2025 annual grant.

Stock compensation impacts cost of sales, SG&A, and R&D.

YoY stock compensation expense was relatively consistent.

Pre-tax defined benefit pension and postretirement service cost expense impacts cost of sales, SG&A, and R&D while the non-service cost component of pension and postretirement benefits impacts the other expense (income), net line item.

Refer to Note 12 for additional information.

On a continuing operations basis, pre-tax stock compensation expense and defined benefit pension and postretirement expense for the periods presented were the following:

Pre-tax stock compensation expense and defined benefit pension and postretirement expense for the periods presented were the following:

Three months ended

September 30, Nine months ended

September 30,

Pre-tax amounts (millions) 2026 2025

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Total defined pension and postretirement expense $ 37 $ 69

In the second quarter of 2024, 3M recorded a non-cash pension settlement charge, part of non-service cost above, as a result of transferring a portion of its U.S.

pension payment obligations and related plan assets to an insurance company (as discussed in Note 13).

The Company continues to make investments in the implementation of new business systems and solutions, including enterprise resource planning, with the amortization relating to these investments impacting cost of sales, SG&A, and R&D.

Performance by Business Segment

Disclosures relating to 3M’s business segments are provided in Note 16.

3M manages its continuing operations in three business segments.

3M manages its operations in three business segments.

The reportable segments are Safety and Industrial;

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Safety and Industrial Business:

Three months ended September 30, Nine months ended September 30,

2025 2024 2025 2024

Three months ended March 31,

Sales (millions) $ 2,930 $ 2,745

Sales change analysis:

Organic sales 2

Organic sales (b)

Translation 3.6

1 unchanged sentence

Business segment operating income (millions)

$ 754 $ 650 $ 2,171 $ 1,919

Percent change 11.0 %

Percent of sales 26.5 % 25.5 %

Third quarter 2025 results:

Sales in Safety and Industrial were up 5.4 percent in U.S.

On an organic sales basis:

• Sales increased in electrical markets, industrial adhesives and tapes, personal safety, abrasives and industrial specialties, and decreased in roofing granules and automotive aftermarket.

• Commercial excellence helped drive growth, partially offset by continued softness in automotive aftermarket and emerging weakness in roofing granules.

Business segment operating income margins increased YoY driven by benefits from growth, productivity, and lower restructuring costs.

These benefits were partially offset by continued growth investments in the business, and cost dis-synergies from the ongoing exit of PFAS manufacturing.

Adjusting for special item net costs for significant litigation (non-GAAP measure) related to respirator mask/asbestos, business segment operating income margins increased YoY from 24.3 percent to 26.3 percent.

Refer to the Certain amounts adjusted for special items - (non-GAAP measures) section below for additional details.

First nine months 2025 results:

First quarter 2026 results:

Sales in Safety and Industrial were up 6.8 percent in U.S.

On an organic sales basis:

• Sales increased in electrical markets, industrial adhesives and tapes, personal safety, abrasives and industrial specialties, and decreased in automotive aftermarket and roofing granules.

• Growth primarily came from demand in key underlying markets, partially offset by challenges in automotive aftermarket.

Business segment operating income margins increased year-on-year primarily driven by benefits from growth, productivity and lower restructuring costs.

These benefits were partially offset by continued growth investments in the business and cost dis-synergies due to the 2024 spin of Solventum and ongoing exit of PFAS manufacturing.

Adjusting for special item costs for significant litigation (non-GAAP measure) related to respirator mask/asbestos, business segment operating income margins increased YoY from 23.7 percent to 25.9 percent.

Refer to the Certain amounts adjusted for special items - (non-GAAP measures) section below for additional details.

Organic sales increased in electrical markets, industrial adhesives and tapes, abrasives, personal safety and automotive aftermarket, and decreased in roofing granules and industrial specialties.

Progress on commercial excellence and innovation drove growth, partially offset by weakness in roofing granules.

Business segment operating income margins increased YoY, driven by benefits from growth and broad-based productivity.

These benefits were partially offset by tariffs, continued growth investments and cost dis-synergies from the exit of PFAS manufacturing.

Transportation and Electronics Business :

Three months ended September 30, Nine months ended September 30,

2025 2024 2025 2024

Three months ended March 31,

Sales (millions) $ 1,848 $ 1,816

Sales change analysis:

Organic sales 2

1.8 % (1.2) %

Divestitures 3

Organic sales (b)

Divestitures (c)

Translation 2.4

3 unchanged sentences

Percent of sales 21.6 % 21.5 %

Third quarter 2025 results:

First quarter 2026 results:

Sales in Transportation and Electronics were up 1.8 percent in U.S.

On an organic sales basis:

• Sales increased in commercial branding and transportation, electronics and automotive and aerospace, and decreased in advanced materials.

• The main drivers of growth were double digit growth in aerospace, continued momentum in the electronics business, and improvement in automotive after a down first half.

Growth was negatively impacted by headwinds related to PFAS manufactured products.

Divestitures:

• Impact relates to the lost sales year-on-year from a divestiture discussed in Note 4.

Business segment operating income margins increased YoY driven by benefits from growth, productivity, and lower restructuring costs.

These benefits were partially offset by continued growth investments in the business, and cost dis-synergies from the ongoing exit of PFAS manufacturing.

Adjusting for special item PFAS manufactured products (non-GAAP measure), sales of $1,992 million were up 4.2 percent YoY in U.S.

dollars, or up 3.6 percent organically;

while business segment operating income margins decreased YoY from 24.5 percent to 24.3 percent.

Refer to the Certain amounts adjusted for special items - (non-GAAP measures) section below for additional details.

First nine months 2025 results:

Sales in Transportation and Electronics were down 1.2 percent in U.S.

On an organic sales basis:

• Sales increased in commercial branding and transportation, and decreased in advanced materials, automotive and aerospace, and electronics.

• Growth was negatively impacted by headwinds related to PFAS manufactured products, the automotive OEM business, and commercial vehicles.

This was partially offset by high single digit growth in aerospace and strength in commercial branding and transportation.

Divestitures:

• Impact relates to the lost sales year-on-year from a divestiture discussed in Note 4.

Business segment operating income margins decreased YoY due to challenging comparison against last year's strong share gains from spec-in wins and new product introductions in automotive and consumer electronics, continued growth investments in the business, and cost dis-synergies due to the 2024 spin of Solventum and ongoing exit of PFAS manufacturing, partially offset by benefits from growth, productivity and lower restructuring costs.

Adjusted for special item PFAS manufacturing products (non-GAAP measure), sales of $5,752 million were up 1.9 percent YoY in U.S.

dollars, or up 1.9 percent organically;

while business segment operating income margins decreased YoY from 24.4 percent to 23.5 percent.

Refer to the Certain amounts adjusted for special items - (non-GAAP measures) section below for additional details.

Organic growth was driven by strength in semiconductor, data center, aerospace, and commercial branding, partially offset by market weakness in consumer electronics, and auto.

Business segment operating income margins increased YoY, driven by benefits from growth and broad-based productivity.

These benefits were partially offset by tariffs, continued growth investments and cost dis-synergies from the exit of PFAS manufacturing.

Consumer Business:

Three months ended September 30, Nine months ended September 30,

2025 2024 2025 2024

Three months ended March 31,

Sales (millions) $ 1,131 $ 1,124

Sales change analysis:

Organic sales 2

Organic sales (b)

Translation 1.9

3 unchanged sentences

Percent of sales 19.2 % 19.5 %

Third quarter 2025 results:

Sales in Consumer were up 0.9 percent in U.S.

On an organic sales basis:

• Sales increased in home and auto care and consumer safety and well-being, and decreased in packaging and expression and home improvement.

• Growth driven by strong demand for Filtrete™ filters, Scotch™ tape, and Meguiar's® products supported by new product launches, service improvements, and increased investment in advertising and merchandising;

partially offset by soft consumer discretionary spending.

Business segment operating income margins increased YoY driven by benefits from growth and productivity partially offset by continued growth investments in the business, and cost dis-synergies from the ongoing exit of PFAS manufacturing.

First nine months 2025 results:

First quarter 2026 results:

Sales in Consumer were up 0.6 percent in U.S.

On an organic sales basis:

• Sales increased in consumer safety and well-being and home and auto care, grew slightly in home improvement, and decreased in packaging and expression.

• Growth driven by new product launches, service improvements, and increased advertising and merchandising investment;

partially offset by soft consumer discretionary spending.

Business segment operating income margins increased YoY driven by benefits from growth, productivity, and lower restructuring costs partially offset by continued growth investments in the business and cost dis-synergies due to the 2024 spin of Solventum and ongoing exit of PFAS manufacturing.

Corporate and Other:

Outside of 3M's reportable operating segments, 3M has Corporate and Other which is not a reportable business segment as it does not meet the segment reporting criteria.

Because Corporate and Other includes a variety of miscellaneous items, it is subject to fluctuation on a quarterly and annual basis.

Corporate and Other is further described in Note 19.

Organic sales increased in home and auto care, were flat in consumer safety and well-being, and decreased in packaging and expression and home improvement.

Overall growth was constrained by weak U.S.

consumer discretionary spending, with pockets of strength in select products (for example, Scotch-Brite™) and international markets providing partial offset.

Business segment operating income margins decreased YoY, reflecting tariffs, continued growth investments and cost dis-synergies from the exit of PFAS manufacturing, partially offset by benefits from productivity.

Outside of 3M's reportable segments, 3M has Corporate which is not a reportable business segment as it does not meet the segment reporting criteria.

Because Corporate includes a variety of miscellaneous items, it is subject to fluctuation on a quarterly and annual basis.

Corporate is further described in Note 16.

Refer to the Certain amounts adjusted for special items - (non-GAAP measures) section below and Note 16 for details on the components of corporate special items and their impact.

Other corporate operating income, net, increased YoY in the third quarter and first nine months of 2025, primarily due to the extent of transition arrangement income from divested businesses (and associated costs) largely related to Solventum's April 2024 Separation as well as the extent of non-discontinued operations-eligible former Solventum-allocated costs included in Corporate and Other prior to the Separation.

Corporate-level income decreased YoY in the first quarter 2026, primarily due to Solventum-related items.

Certain amounts adjusted for special items - (non-GAAP measures)

4 unchanged sentences

Special items for the periods presented include the items described in the section entitled “Description of special items”.

Because 3M provides certain information with respect to business segments, it is noteworthy that special items impacting operating income (loss) are reflected in Corporate and Other, except as described with respect to net costs for significant litigation and manufactured PFAS products items in the “Description of special items” section.

The reconciliations below, therefore, also include impacted segments as applicable.

Because 3M provides certain information with respect to business segments, it is noteworthy that special items impacting operating income (loss) are reflected in Corporate.

This document contains measures for which 3M provides the reported GAAP measure and a non-GAAP measure adjusted for special items.

4 unchanged sentences

• Net sales (and sales change)

Considered, in addition to segment operating performance, in evaluating and managing operations;

Considered in evaluating and managing operations;

useful in understanding underlying business performance, provides additional transparency to special items

• Operating income (loss), segment operating income (loss) and operating income (loss) margin

• Income from continuing operations before taxes

• Operating income (loss) and operating income (loss) margin

• Income before taxes

• Provision for income taxes and effective tax rate

• Net income from continuing operations

• EPS from continuing operations

Special items for the periods presented include:

2 unchanged sentences

Net costs include the impacts of changes in accrued liabilities (including interest imputation on applicable settlement obligations), legal costs, and insurance recoveries, along with the associated tax impacts.

Associated tax impacts of significant litigation include impacts on Foreign Derived Intangible Income (FDII), Global Intangible Low Taxed Income (GILTI), foreign tax credits, and tax costs of repatriation.

Associated tax impacts of significant litigation include impacts on Foreign Derived Intangible Income ("FDII"), Net Controlled Foreign Corporation Tested Income ("NCTI"), foreign tax credits, and tax costs of repatriation.

3M does not consider the elements of the net costs associated with these matters to be normal, operating expenses related to the Company’s ongoing operations, revenue generating activities, business strategy, industry, and regulatory environment.

Net costs related to respirator mask/asbestos are reflected as special items in the Safety and Industrial business segment while those impacting operating income (loss) associated with PFAS-related other environmental and Combat Arms Earplugs matters are reflected as corporate special items in Corporate and Other.

Loss on business divestitures:

• In the third quarter of 2025, 3M reflected a write-down for a business classified as held for sale.

In second quarter of 2025, 3M completed a divestiture for immaterial proceeds slightly below the business's book value.

Gain/loss on business divestitures:

• In the third quarter of 2025, 3M classified a business as held for sale.

In the first quarter of 2026, 3M reflected an adjustment to carrying it at its selling price less cost to sell.

See Note 3 for additional information.

Divestiture costs:

• These include certain limited costs that were not eligible to be included within discontinued operations related to separating and divesting substantially an entire business segment of 3M following public announcement of its intended divestiture.

As a result of completion of the April 2024 separation of Solventum, this includes the tax cost of updating 3M’s previous indefinite reinvestment plans on past unrepatriated earnings through the period of the Separation’s close and to tax positions retained by 3M.

Manufactured PFAS products:

• These amounts relate to sales and estimates of income (loss) regarding manufactured PFAS products that 3M plans to exit by the end of 2025 included within the Transportation and Electronics business segment.

Estimated income does not contemplate impacts on non-operating items such as net interest income/expense and the non-service cost components portion of defined benefit plan net periodic benefit costs.

Pension risk transfer charge:

• In the second quarter of 2024, 3M recorded a non-cash pension settlement charge reflected in other expense (income), net as a result of transferring a portion of its U.S.

pension payment obligations and related plan assets to an insurance company (as discussed in Note 13).

• These amounts relate to sales and income (loss) regarding manufactured PFAS products that 3M exited by the end of 2025.

Income does not contemplate impacts on non-operating items such as net interest income/expense and the non-service cost components portion of defined benefit plan net periodic benefit costs.

Solventum ownership - change in value:

4 unchanged sentences

Net costs include restructuring and other related items such as site closure, sale, moving and set-up, accelerated depreciation, and program management.

Three months ended September 30, 2024

Amounts from continuing operations

(Dollars in millions, except per share amounts) Net sales Operating income

Operating income margin

Income before taxes

Provision for income taxes

Effective tax rate Net income attributable to 3M

Safety and Industrial

GAAP amounts $ 650 23.5 %

Adjustments for special items:

Net costs for significant litigation 22

Adjusted amounts (non-GAAP measures) $ 672 24.3 %

Transportation and Electronics

GAAP amounts $ 2,139 $ 436 20.4 %

Adjustments for special items:

Manufactured PFAS products (226) 34

Adjusted amounts (non-GAAP measures) $ 1,913 $ 470 24.5 %

Three months ended March 31, 2025

Total Company

GAAP amounts $ 6,294 $ 1,316 20.9 % $ 1,721 $ 348 20.3 % $ 1,372 $ 2.48

Adjustments for special items:

Net costs for significant litigation — 47 204 (75) 279 0.51

Manufactured PFAS products (226) 34 34 9 25 0.04

Solventum ownership - change in value

— — (581) — (581) (1.05)

Total special items (226) 81 (343) (66) (277) (0.50)

Adjusted amounts (non-GAAP measures) $ 6,068 $ 1,397 23.0 % $ 1,378 $ 282 20.5 % $ 1,095 $ 1.98

Three months ended September 30, 2025

Amounts from continuing operations

(Dollars in millions, except per share amounts) Net sales Sales change Operating income

Operating income margin

Income before taxes

Provision for income taxes

Effective tax rate Net income attributable to 3M

EPS percent change

Safety and Industrial

GAAP amounts $ 754 25.9 %

Adjustments for special items:

Net costs for significant litigation 13

Adjusted amounts (non-GAAP measures) $ 767 26.3 %

Transportation and Electronics

GAAP amounts $ 2,191 2.4 % $ 482 22.0 %

Adjustments for special items:

Manufactured PFAS products (199) 2

Adjusted amounts (non-GAAP measures) $ 1,992 4.2 % $ 484 24.3 %

(Dollars in millions, except per share amounts)

Net sales Operating income Operating income margin Income before taxes Provision for income taxes Effective tax rate Net income attributable to 3M EPS

Total company

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Net costs for significant litigation — 74 224 (2) 226 0.41

Loss on business divestitures

— 161 161 2 159 0.30

Manufactured PFAS products (174) 38 38 9 29 0.06

Solventum ownership - change in value — — (343) — (343) (0.63)

Transformation costs

— 14 14 3 11 0.02

Total special items (174) 112 (81) 7 (88) (0.16)

Adjusted amounts (non-GAAP measures) $ 5,780 $ 1,358 23.5 % $ 1,304 $ 272 20.9 % $ 1,028 $ 1.88

Three months ended September 30, 2025

Sales Change Organic sales Acquisitions Divestitures Translation Total sales change

Three months ended March 31, 2026

Total Company

2.6 % — % (0.1) % 1.0 % 3.5 %

Remove manufactured PFAS products special item impact 0.6 — — — 0.6

Adjusted total company (non-GAAP measures)

3.2 % — % (0.1) % 1.0 % 4.1 %

Transportation and Electronics 1.8 % — % (0.3) % 0.9 % 2.4 %

Remove manufactured PFAS products special item impact 1.8 — — — 1.8

Adjusted Transportation and Electronics (non-GAAP measures) 3.6 % — % (0.3) % 0.9 % 4.2 %

Nine months ended September 30, 2024

Amounts from continuing operations

(Dollars in millions, except per share amounts) Net sales Operating income

Operating income margin

Income before taxes

Provision for income taxes

Effective tax rate Net income attributable to 3M

Safety and Industrial

GAAP amounts $ 1,919 23.2 %

Adjustments for special items:

Net costs for significant litigation 40

Adjusted amounts (non-GAAP measures) $ 1,959 23.7 %

Transportation and Electronics

GAAP amounts $ 6,386 $ 1,345 21.1 %

Adjustments for special items:

Manufactured PFAS products (743) 30

Adjusted amounts (non-GAAP measures) $ 5,643 $ 1,375 24.4 %

(Dollars in millions, except per share amounts)

Net sales Sales change Operating income Operating income margin Income before taxes Provision for income taxes Effective tax rate Net income attributable to 3M EPS EPS percent change

Total company

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Adjustments for special items:

Net costs for significant litigation — 136 699 (69) 768 1.39

Divestiture costs — 20 20 (111) 131 0.24

Manufactured PFAS products (743) 30 30 7 23 0.04

Pension risk transfer charge

— — 795 188 607 1.09

Solventum ownership - change in value

Net costs (benefit) from significant litigation

— (170) (45) (25) (20) (0.04)

Total special items (743) 186 (150) 15 (165) (0.30)

Adjusted amounts (non-GAAP measures) $ 17,822 $ 3,923 22.0 % $ 3,910 $ 786 20.1 % $ 3,116 $ 5.62

Nine months ended September 30, 2025

Amounts from continuing operations

(Dollars in millions, except per share amounts) Net sales Sales change Operating income

Operating income margin

Income before taxes

Provision for income taxes

Effective tax rate Net income attributable to 3M

EPS percent change

Safety and Industrial

GAAP amounts $ 2,171 25.5 %

Adjustments for special items:

Net costs for significant litigation 33

Adjusted amounts (non-GAAP measures) $ 2,204 25.9 %

Transportation and Electronics

GAAP amounts $ 6,311 (1.2) % $ 1,296 20.5 %

Adjustments for special items:

Manufactured PFAS products (559) 57

Adjusted amounts (non-GAAP measures) $ 5,752 1.9 % $ 1,353 23.5 %

Total Company

GAAP amounts $ 18,815 1.3 % $ 3,833 20.4 % $ 3,455 $ 818 23.7 % $ 2,673 $ 4.93 (17) %

Adjustments for special items:

Net costs for significant litigation — 356 751 (1) 752 1.39

Loss on business divestitures

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Adjusted amounts (non-GAAP measures) $ 6,003 3.9 % $ 1,426 23.8 % $ 1,388 $ 244 17.5 % $ 1,140 $ 2.14 14 %

Nine months ended September 30, 2025

Sales Change Organic sales Acquisitions Divestitures Translation Total sales change

Three months ended March 31, 2026

Organic sales Divestitures Translation Total sales change

Total company

(1.4) % (0.1) % 2.8 % 1.3 %

Remove manufactured PFAS products special item impact 2.6 — — 2.6

Adjusted total company (non-GAAP measures)

Transportation and Electronics (1.2) % — % (0.1) % 0.1 % (1.2) %

Remove manufactured PFAS products special item impact 3.1 — — — 3.1

Adjusted Transportation and Electronics (non-GAAP measures) 1.9 % — % (0.1) % 0.1 % 1.9 %

1.2 % (0.1) % 2.8 % 3.9 %

Financial Condition and Liquidity

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3M maintains a strong liquidity profile.

The Company’s primary short-term liquidity needs are met through cash on hand and U.S.

The Company believes its primary short-term liquidity needs can be met through cash on hand and U.S.

commercial paper issuances.

3M believes it will have continuous access to the commercial paper market.

3M expects to have continuous access to the commercial paper market.

3M’s commercial paper program permits the Company to have a maximum of $5 billion outstanding with a maximum maturity of 397 days from date of issuance.

The Company had no commercial paper outstanding as of September 30, 2025 and December 31, 2024.

The Company had no commercial paper outstanding as of March 31, 2026 and December 31, 2025.

The strength of 3M’s credit profile and significant ongoing cash flows provide 3M proven access to capital markets.

Additionally, the Company’s debt maturity profile is staggered to help ensure refinancing needs in any given year are reasonable in proportion to the total portfolio.

As of the date of this report, 3M has a credit rating of A3, stable outlook from Moody's Investors Service, a credit rating of BBB+, stable outlook from S&P Global Ratings, and a credit rating of A-, stable outlook from Fitch Ratings.

The Company’s total debt at September 30, 2025, decreased when compared to December 31, 2024, due to debt maturities with an aggregate principal amount of $1.8 billion, partially offset by the issuance of $1.1 billion in aggregate principal amount of debt, and a $0.2 billion impact from foreign currency remeasurement.

For discussion of repayments of and proceeds from debt refer to the following Cash Flows from Financing Activities section.

Effective February 8, 2023, the Company renewed its “well-known seasoned issuer” (WKSI) shelf registration statement, which registers an indeterminate amount of debt or equity securities for future issuance and sale.

3M also has a medium-term notes program (Series F) program, originally established in 2016, up to an aggregate principal amount of $18 billion.

As of September 30, 2025, the total amount of debt issued under the (Series F) program is approximately $17.6 billion (utilizing the foreign exchange rates applicable at the time of issuance for the euro denominated debt).

The Company has not issued any debt under the (Series F) program since February 2019 and does not intend to issue any additional debt under this program in the future.

Additionally, the Company’s debt maturity profile is staggered to help make refinancing needs in any given year reasonable in proportion to the total portfolio.

As of the date of this report, 3M had the following credit ratings:

Credit rating agency Long-term rating

Moody's Investors Service A3 Stable

S&P Global Ratings BBB+ Stable

Fitch Ratings A- Stable

The Company’s total debt at March 31, 2026, remained largely consistent with December 31, 2025, as there were no material debt maturities or issuances during the quarter.

In February 2026, the Company renewed its "well-known seasoned issuer" shelf registration statement, which registers an indeterminate amount of debt or equity securities for future issuance and sale.

Information with respect to long-term debt issuances and maturities for the periods presented is included in Note 11.

3M has a principal amount of long-term debt of $1.5 billion which will mature in 2026.

The Company's financial condition and liquidity enable it to address these obligations by refinancing, redemption, or both.

3M has a $4.25 billion five-year revolving credit facility that expires in May 2028.

The revolving credit agreement includes a provision under which 3M may request an increase of up to $1.0 billion (at lenders' discretion), bringing the total facility up to $5.25 billion.

The credit facility was undrawn at September 30, 2025.

The credit facility was undrawn at March 31, 2026.

Under the $4.25 billion credit facility, the Company is required to maintain its EBITDA to Interest Ratio as of the end of each fiscal quarter at not less than 3.0 to 1.

This is calculated (based on amounts defined in the amended agreement) as the ratio of consolidated total EBITDA for the four consecutive quarters then ended to total interest expense on all funded debt for the same period.

At September 30, 2025, 3M was in compliance with this requirement.

At March 31, 2026, 3M was in compliance with this requirement.

Debt covenants do not restrict the payment of dividends.

The Company also had $0.6 billion in stand-alone letters of credit, bank guarantees, and other similar instruments issued and outstanding at September 30, 2025.

In the first quarter of 2026, as discussed in Note 11, 3M entered into a $1.45 billion term loan facility which was undrawn as of March 31, 2026.

The facility was established to provide financing flexibility in connection with the Madison acquisition and venture formation described in Note 3.

The Company also had $0.6 billion in stand-alone letters of credit, bank guarantees, and other similar instruments issued and outstanding at March 31, 2026.

These instruments are utilized in connection with normal business activities.

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Cash, cash equivalents and marketable securities are invested in bank instruments and other high quality securities.

The table below provides the breakout of the balance between the Company's foreign subsidiaries and the United States as of September 30, 2025 and December 31, 2024.

(Billions) September 30, 2025 December 31, 2024

The table below provides the breakout of the balance between the Company's foreign subsidiaries and the United States as of March 31, 2026 and December 31, 2025.

(Billions) March 31, 2026 December 31, 2025

Foreign subsidiaries $ 3.4 $ 3.5

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Total cash, cash equivalents and marketable securities $ 4.2 $ 5.9

The decrease from December 31, 2024, was impacted by $3.2 billion in payments associated with PFAS-related environmental liabilities and the CAE legal settlement (as discussed in Note 17), $2.7 billion in purchases of treasury stock, $1.8 billion in debt maturities, and $1.2 billion in dividend payments.

The uses of cash were partially offset by proceeds of $1.2 billion from issuances of treasury shares pursuant to option/benefit plans, $1.1 billion from debt, and $0.6 billion from the sale of a portion of 3M's interest in Solventum.

Separately as discussed below, 3M also has current equity investments, comprised of 3M's remaining interest in Solventum Corporation, which it intends to sell within five years of the 2024 spin-off of Solventum.

Net Debt (non-GAAP measure):

Net debt is not defined under U.S.

GAAP and may not be computed the same as similarly titled measures used by other companies.

The Company defines net debt as total debt less the total of cash, cash equivalents and current and long-term marketable securities all on a continuing operations basis.

3M believes net debt is meaningful to investors as 3M considers net debt and its components to be important indicators of liquidity and financial position.

The table below provides net debt as of September 30, 2025 and December 31, 2024.

(Millions) September 30, 2025 December 31, 2024 Change

Total debt $ 12,603 $ 13,044 $ (441)

Cash, cash equivalents and marketable securities 5,204 7,744 (2,540)

Net debt (non-GAAP measure) $ 7,399 $ 5,300 $ 2,099

Refer to the preceding Total Debt and Cash, Cash Equivalents and Marketable Securities sections for additional details.

The decrease from December 31, 2025, was primarily driven by $2.0 billion in purchases of treasury stock, $0.4 billion in dividend payments and $0.3 billion in payments associated with CAE legal settlement and PFAS-related environmental liabilities.

Outflows associated with the CAE and PFAS matters were largely offset by $0.3 billion in insurance recoveries (as discussed in Note 15).

In addition, overall outflows were partially offset by $0.3 billion in proceeds from the issuances of treasury shares pursuant to option/benefit plans (see "Cash Flows from Operating Activities" section below for further discussion).

Current equity investments:

Current equity investments consist of 3M's ownership interest in Solventum Corporation.

As of September 30, 2025, 3M owned approximately 15% of Solventum's common stock, with a fair value of $1.9 billion.

In August 2025, 3M sold a portion of its holdings, for proceeds of $0.6 billion, and classified its remaining interest as current equity investments (part of other current assets).

Current equity investments consist of 3M's ownership interest in Solventum.

As of March 31, 2026, 3M owned approximately 15% of Solventum's common stock, with a fair value of $1.7 billion.

As previously disclosed, 3M expects to sell its ownership in Solventum within five years of its 2024 spin-off.

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3M’s strong balance sheet and liquidity provide the Company with significant flexibility to fund its numerous opportunities going forward.

The Company will continue to invest in its operations to drive growth, including continual review of acquisition opportunities.

The Company uses working capital measures that place emphasis and focus on certain working capital assets, such as accounts receivable and inventory activity.

Working capital (non-GAAP measure):

(Millions) September 30, 2025 December 31, 2024 Change

Current assets $ 16,089 $ 15,884 $ 205

Current liabilities 8,733 11,256 (2,523)

Working capital (non-GAAP measure) $ 7,356 $ 4,628 $ 2,728

Various assets and liabilities, including cash and short-term debt, can fluctuate significantly from month to month depending on short-term liquidity needs.

Working capital is not defined under U.S.

generally accepted accounting principles and may not be computed the same as similarly titled measures used by other companies.

The Company defines working capital as current assets minus current liabilities.

3M believes working capital is meaningful to investors as a measure of operational efficiency and short-term financial health.

Working capital increased from December 31, 2024, primarily due to lower balances of current liabilities related to PFAS-related environmental liabilities and the CAE legal settlement, reduced short-term borrowings and current portions of long-term debt, and an increased balance of current assets from the classification in 2025 of 3M's remaining interest in Solventum within current equity investments (as discussed above) as well as increases in accounts receivable and inventories.

This increase was partially offset by decreases in cash, cash equivalents, and marketable securities.

The Company intends to continue investing in its operations to drive growth, including continual review of acquisition opportunities.

Discussions of cash flows from operating, investing and financing activities are provided in the sections that follow.

The Consolidated Statements of Cash Flows include the results of continuing and discontinued operations and, therefore, also include cash and cash equivalents associated with Solventum through its April 2024 separation from 3M that were presented in current assets of discontinued operations in the 3M Consolidated Balance Sheet.

Cash Flows from Operating Activities:

Cash flows from operating activities can fluctuate significantly from period to period, as working capital movements, tax timing differences and other items such as litigation payments can significantly impact cash flows.

In the first nine months of 2025, cash flows provided by operating activities increased by $0.7 billion compared to the same period last year, primarily driven by lower payments associated with PFAS-related environmental liabilities and the CAE legal settlement.

In the first three months of 2026, cash flows provided by operating activities increased by $0.7 billion YoY, primarily driven by lower net payments associated with PFAS-related environmental liabilities and the CAE legal settlement driven by insurance recoveries.

Working capital, defined as current assets minus current liabilities, decreased from December 31, 2025.

This decrease was primarily driven by a reduction in current assets, including lower balances of cash, cash equivalents, and marketable securities, and a decrease in the fair value of 3M's remaining interest in Solventum.

Cash Flows from Investing Activities:

Investments in PP&E enable growth across many diverse markets, helping to meet product demand and increasing manufacturing efficiency.

3M invested $0.7 billion on PP&E in the first nine months of 2025.

3M invested $0.2 billion on PP&E in the first three months of 2026.

The Company expects 2026 capital spending to be approximately $1.1 billion as 3M continues to invest in growth, productivity and sustainability.

3M invests in renewal and maintenance programs, which pertain to cost reduction, cycle time, maintaining and renewing current capacity, eliminating pollution, and compliance.

Costs related to maintenance, ordinary repairs, and certain other items are expensed.

3M also invests in growth, which adds to capacity, driven by new products, both through expansion of current facilities and new facilities.

Finally, 3M also invests in other initiatives, such as information technology (IT), laboratory facilities, and a continued focus on investments in sustainability.

Purchases of marketable securities and investments and proceeds from maturities and sale of marketable securities and investments are primarily attributable to certificates of deposit/time deposits, commercial paper, and other securities, which are classified as available-for-sale.

Proceeds also include those from sale of portions of 3M's remaining interest in Solventum Corporation.

Refer to Note 14 for more details about 3M’s diversified marketable securities portfolio.

Cash Flows from Financing Activities:

Debt cash flow activity includes $1.8 billion aggregate principal amount of debt maturities partially offset by proceeds from issuance of $1.1 billion in aggregate principal amount of debt in the first nine months of 2025.

Gross commercial paper issuances and repayments, in addition to repayments of the fixed-rate notes, are largely reflected in “Proceeds from debt (maturities greater than 90 days)” and "Repayment of debt (maturities greater than 90 days)".

3M’s primary short-term liquidity needs are met through cash on hand and U.S.

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Repurchases of common stock are made to support the Company’s stock-based employee compensation plans and for other corporate purposes.

In the first nine months of 2025, the Company purchased $2.7 billion of its own stock, compared to $1.1 billion of stock purchases in the first nine months of 2024.

As of September 30, 2025, approximately $5.2 billion remained available under the authorization.

In the first three months of 2026, the Company purchased $2.0 billion of its own stock, compared to $1.3 billion of stock purchases in the first three months of 2025.

As of March 31, 2026, approximately $2.7 billion remained available under the authorization.

For more information, refer to the table titled “Issuer Purchases of Equity Securities” in Part II, Item 2.

The Company does not utilize derivative instruments linked to the Company’s stock.

The Company also had $1.2 billion in proceeds from issuance of treasury stock pursuant to stock option and benefit plans in the first nine months of 2025.

3M has paid dividends since 1916.

The Company also had $0.3 billion in proceeds from issuance of treasury stock pursuant to stock option and benefit plans in the first three months of 2026.

3M has paid dividend continuously since 1916.

In February 2026, 3M's Board of Directors declared a first-quarter 2026 dividend of $0.78 per share, an increase of 7 percent.

In May 2025, 3M's Board of Directors declared a second-quarter 2025 dividend of $0.73 per share.

In August 2025, 3M's Board of Directors declared a third-quarter 2025 dividend of $0.73 per share.

Other cash flows from financing activities may include various other items, such as cash paid associated with certain derivative instruments, distributions to or sales of noncontrolling interests, changes in overdraft balances, and principal payments for finance leases.

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See the Financial Condition and Liquidity - Material Cash Requirements from Known Contractual and Other Obligations section of Item 7 of 3M's 2025 Annual Report on Form 10-K.

Cautionary Note Concerning Factors That May Affect Future Results

This Quarterly Report on Form 10-Q, including “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Part I, Item 2, contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.

The Company may also make forward-looking statements in other reports filed with the United States Securities and Exchange Commission ("SEC"), in materials delivered to shareholders and in press releases.

In addition, the Company’s representatives may from time to time make oral forward-looking statements.

Forward-looking statements relate to future events and typically address the Company’s expected future business and financial performance.

Words such as “plan,” “expect,” “aim,” “believe,” “project,” “target,” “anticipate,” “intend,” “estimate,” “will,” “should,” “could,” "would," “forecast,” "future," "outlook," "guidance" and other words and terms of similar meaning, typically identify such forward-looking statements.

In particular, these include, among others, statements relating to:

• worldwide economic, political, regulatory, international trade, geopolitical, capital markets and other external conditions and other factors beyond the Company's control, including inflation;

military conflicts;

trade restrictions such as sanctions, tariffs, reciprocal and retaliatory tariffs, and other tariff-related measures;

regulatory requirements, legal actions, or enforcement;

and natural and other disasters or climate change affecting the operations of the Company or its customers and suppliers,

• foreign currency exchange rates and fluctuations in those rates,

• liabilities and the outcome of contingencies related to certain fluorochemicals known as "PFAS," including liabilities related to claims, lawsuits, and government regulatory proceedings concerning various PFAS-related products and chemistries, as well as risks related to the Company's plans to exit PFAS manufacturing and work to discontinue use of PFAS across its product portfolio,

• risks related to the class-action settlement (“PWS Settlement”) to resolve claims by public water suppliers in the United States regarding PFAS, as well as risks related to other settlements related to PFAS,

• legal proceedings, including significant developments that could occur in the legal and regulatory proceedings described in the Company's reports on Form 10-K, 10-Q, and 8-K, as well as compliance risks related to legal or regulatory requirements, government contract requirements, policies and practices, or other matters that require or encourage the Company or its customers, suppliers, vendors, or channel partners to conduct business in a certain way,

• competitive conditions and customer preferences,

• the timing and market acceptance of new product and service offerings,

• the availability and cost of purchased components, compounds, raw materials and energy due to shortages, increased demand and wages, tariffs, supply chain interruptions, or natural or other disasters,

• unanticipated problems or delays when implementing new business systems and solutions, including with the phased implementation of a global enterprise resource planning (ERP) system, or security breaches and other disruptions to the Company's information or operational technology infrastructure,

• the impact of acquisitions, strategic alliances, divestitures, and other strategic events resulting from portfolio management actions and other evolving business strategies,

• operational execution, including the extent to which the Company can realize the benefits of planned productivity improvements, as well as the impact of organizational restructuring activities,

• financial market risks that may affect the Company's funding obligations under defined benefit pension and postretirement plans,

• the Company’s credit ratings and its cost of capital,

• tax-related external conditions, including changes in tax rates, laws, or regulations,

• matters relating to the spin-off of the Company's Health Care business, including the risk that the expected benefits will not be realized;

the risk that the costs or dis-synergies will exceed the anticipated amounts;

potential impacts on the Company's relationships with its customers, suppliers, employees, regulators and other counterparties;

the ability to realize the desired tax treatment;

risks under the agreements and obligations entered into in connection with the spin-off, and

• matters relating to Combat Arms Earplugs (“CAE”) and related products, including those related to the August 2023 settlement that is intended to resolve, to the fullest extent possible, all litigation and alleged claims involving the CAE sold or manufactured by the Company's subsidiary Aearo Technologies and certain of its affiliates (“Aearo Entities”) and/or the Company (“CAE Settlement”).

The Company assumes no obligation to update or revise any forward-looking statements.

Changes in such assumptions or factors could produce significantly different results.

Forward-looking statements are based on certain assumptions and expectations of future events and trends that are subject to risks and uncertainties.

Actual future results and trends may differ materially from historical results or those reflected in any such forward-looking statements depending on a variety of factors.

Important information as to these factors can be found in this document, including, among others, “Management’s Discussion and Analysis of Financial Condition and Results of Operations” under the headings of “Overview,” “Financial Condition and Liquidity” and annually in “Critical Accounting Estimates.” Discussion of these factors is incorporated by reference from Part II, Item 1A, “Risk Factors,” of this document, and should be considered an integral part of Part I, Item 2, “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” For additional information concerning factors that may cause actual results to vary materially from those stated in the forward-looking statements, see our reports on Form 10-K, 10-Q and 8-K filed with the SEC from time to time.

Forward-Looking Statements

Certain statements in this document, as well as other filings we make with the United States Securities and Exchange Commission (“SEC”) and other written and oral information we release, including statements regarding our performance, estimates, expectations, beliefs, intentions, projections, strategies for the future, costs and effects of legal proceedings, or other events or developments in the future are considered "forward-looking statements" under the federal securities laws, including the Private Securities Litigation Reform Act of 1995, as amended (the "PSLRA").

Forward-looking statements may appear throughout this document and are typically identified by the words "aim," "anticipate," "believe," "can," "continue," "could," "estimate," "evaluate," "expect," "forecast," "future," "goal," "guidance," "impact," "initial," "intend," "likely," "may," "outlook," "plan," "possible," "potential," "predict," "probable," "project," "seek," "should," "strategy," "target," "will," "would," and other words that are similar to, or have the opposite meanings, of those words.

All forward-looking statements are intended to enjoy the protection of the PSLRA’s safe harbor for forward looking-statements, as well as the protections provided by other securities laws.

Forward-looking statements speak only as of the date they are made and the Company assumes no obligation to update or revise any forward-looking statements.

Readers are cautioned not to place undue reliance on any of these forward-looking statements.

Although the Company believes it has a reasonable basis for the forward-looking statements it makes, those statements are based on certain assumptions and expectations of future events and trends that are subject to risks and uncertainties.

Changes in those assumptions, expectations, or other factors could produce materially different results.

The most important risks, uncertainties, and other factors that could cause the Company's actual results to differ from the Company's forward-looking statements include:

(1) worldwide economic, political, regulatory, international trade, geopolitical, tariffs, and retaliatory counter measures, capital markets, and other external conditions, (2) foreign currency exchange rates and fluctuations in those rates, (3) liabilities and contingencies related to PFAS, including liabilities related to claims, lawsuits, and government regulatory proceedings concerning various PFAS-related products and chemistries, as well as risks related to the Company's exit of PFAS manufacturing and work to discontinue use of PFAS across its product portfolio, (4) risks related to the PWS Settlement to resolve claims by public water suppliers in the United States regarding PFAS, as well as risks related to ongoing PFAS-related settlements and claims, (5) legal proceedings, including significant developments that could occur in the legal and regulatory proceedings described in the Company's reports on Form 10-K, 10-Q, and 8-K, as well as compliance risks related to legal or regulatory requirements, government contract requirements, policies and practices, or other matters that require or encourage the Company or its customers, suppliers, vendors, or channel partners to conduct business in a certain way, (6) competitive conditions and customer preferences, (7) the timing and market acceptance of new product and service offerings, (8) the availability and cost of purchased components, compounds, raw materials and energy due to shortages, increased demand and wages, tariffs, supply chain interruptions, or natural or other disasters, (9) unanticipated problems or delays when implementing new business systems and solutions, including with the phased implementation of a global enterprise resource planning system, or security breaches and other disruptions to the Company's information or operational technology infrastructure, (10) use of artificial intelligence technologies, (11) the impact of acquisitions, strategic alliances, divestitures, and other strategic events resulting from portfolio management actions and other evolving business strategies, (12) operational execution, including the extent to which the Company can realize the benefits of planned productivity improvements, as well as the impact of organizational restructuring activities, (13) financial market risks that may affect the Company's funding obligations under defined benefit pension and postretirement plans, (14) the Company’s credit ratings and its cost of funding, (15) tax-related external conditions, including changes in tax rates, laws, or regulations, (16) matters relating to the Company's Aearo Entities, Combat Arms Earplugs Settlement, and related products, and (17) matters relating to the spin-off of Solventum, the Company's former Health Care business, into an independent public company.

Those risks, uncertainties, and other factors are further described in Part I, Item 1A, "Risk Factors" of the Company's Form 10-K for the year ended December 31, 2025.

For additional information concerning factors that may cause actual results to differ materially from the Company's forward-looking statements, see the Company's reports on Form 10-K, 10-Q, and 8-K filed with the SEC from time to time.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 2. Management’s Discussion and Analysis