Net Profit Margin
since 2005
Calculation
3M Co., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income attributable to 3M1 | ÷ | Net sales1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 16.75% | = | 100 | × | 5,921) | ÷ | 35,355) |
| Dec 31, 2020 | 16.73% | = | 100 | × | 5,384) | ÷ | 32,184) |
| Dec 31, 2019 | 14.22% | = | 100 | × | 4,570) | ÷ | 32,136) |
| Dec 31, 2018 | 16.33% | = | 100 | × | 5,349) | ÷ | 32,765) |
| Dec 31, 2017 | 15.35% | = | 100 | × | 4,858) | ÷ | 31,657) |
| Dec 31, 2016 | 16.77% | = | 100 | × | 5,050) | ÷ | 30,109) |
| Dec 31, 2015 | 15.96% | = | 100 | × | 4,833) | ÷ | 30,274) |
| Dec 31, 2014 | 15.57% | = | 100 | × | 4,956) | ÷ | 31,821) |
| Dec 31, 2013 | 15.09% | = | 100 | × | 4,659) | ÷ | 30,871) |
| Dec 31, 2012 | 14.86% | = | 100 | × | 4,444) | ÷ | 29,904) |
| Dec 31, 2011 | 14.46% | = | 100 | × | 4,283) | ÷ | 29,611) |
| Dec 31, 2010 | 15.32% | = | 100 | × | 4,085) | ÷ | 26,662) |
| Dec 31, 2009 | 13.81% | = | 100 | × | 3,193) | ÷ | 23,123) |
| Dec 31, 2008 | 13.69% | = | 100 | × | 3,460) | ÷ | 25,269) |
| Dec 31, 2007 | 16.74% | = | 100 | × | 4,096) | ÷ | 24,462) |
| Dec 31, 2006 | 16.80% | = | 100 | × | 3,851) | ÷ | 22,923) |
| Dec 31, 2005 | 15.11% | = | 100 | × | 3,199) | ÷ | 21,167) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The net profit margin exhibited a pattern of cyclical fluctuation between 2005 and 2021, generally oscillating within a range of 13.69% to 16.80%. While both net sales and net income attributable to the company demonstrated long-term growth over the seventeen-year period, the profit margin did not follow a linear trajectory, reflecting varying levels of operational efficiency and external economic pressures.
- Initial Volatility and Contraction (2005–2009)
- The period began with a profit margin of 15.11% in 2005, peaking at 16.80% in 2006. However, a significant contraction occurred by 2008, where the margin fell to 13.69%, the lowest point in the analyzed timeframe. This decline coincided with a period of volatility in net income, which dropped from a 2007 high of 4,096 million US$ to 3,460 million US$ in 2008.
- Recovery and Expansion Phase (2010–2016)
- A steady recovery is observed starting in 2010, with the net profit margin climbing from 15.32% to a peak of 16.77% by 2016. During this interval, net sales grew consistently from 26,662 million US$ to 30,109 million US$, while net income generally trended upward, indicating an improvement in the company's ability to manage costs relative to revenue growth.
- Recent Margin Fluctuations (2017–2021)
- The final period was characterized by instability. The margin decreased to 15.35% in 2017, recovered to 16.33% in 2018, and then experienced a sharp decline to 14.22% in 2019. This 2019 dip is notable as net sales remained relatively stable at 32,136 million US$, suggesting that the decline in margin was driven by an increase in expenses or a reduction in net income. A strong rebound followed in 2020 and 2021, with the margin returning to 16.75% as net income reached its period peak of 5,921 million US$.
Overall, the relationship between net sales and net income reveals that while revenue expanded from 21,167 million US$ in 2005 to 35,355 million US$ in 2021, the net profit margin remained resilient, consistently returning to a baseline of approximately 16% following periods of decline.
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Comparison to Competitors
3M Co., net profit margin, long-term trends, comparison to competitors
| 3M Co. | Boeing Co. | Caterpillar Inc. | Eaton Corp. plc | GE Aerospace | Honeywell International Inc. | Lockheed Martin Corp. | RTX Corp. | |
|---|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 16.75% | -6.75% | 13.47% | 10.92% | -9.17% | 16.11% | 9.42% | 6.00% |
| Dec 31, 2020 | 16.73% | -20.42% | 7.68% | 7.90% | 7.81% | 14.64% | 10.45% | -6.22% |
| Dec 31, 2019 | 14.22% | -0.83% | 12.00% | 10.34% | -5.69% | 16.73% | 10.42% | 7.19% |
| Dec 31, 2018 | 16.33% | 10.34% | 11.86% | 9.93% | -19.69% | 16.18% | 9.39% | 7.92% |
| Dec 31, 2017 | 15.35% | 8.78% | 1.77% | 14.63% | -5.11% | 4.08% | 3.92% | 7.61% |
| Dec 31, 2016 | 16.77% | 5.18% | -0.19% | 9.73% | 8.00% | 12.24% | 11.22% | 8.83% |
| Dec 31, 2015 | 15.96% | 5.39% | 4.76% | 9.49% | -5.79% | 12.36% | 7.81% | 13.56% |
| Dec 31, 2014 | 15.57% | 6.00% | 7.09% | 7.95% | 14.27% | 10.52% | 7.93% | 9.55% |
| Dec 31, 2013 | 15.09% | 5.29% | 7.19% | 8.44% | 12.99% | 10.05% | 6.57% | 9.14% |
| Dec 31, 2012 | 14.86% | 4.77% | 9.01% | 7.46% | 13.62% | 7.77% | 5.82% | 8.89% |
| Dec 31, 2011 | 14.46% | 5.85% | 8.59% | 8.41% | 14.97% | 5.66% | 5.71% | 8.56% |
| Dec 31, 2010 | 15.32% | 5.14% | 6.77% | 6.77% | 11.59% | 6.06% | 6.39% | 8.05% |
| Dec 31, 2009 | 13.81% | 1.92% | 3.03% | 3.23% | 10.62% | 6.97% | 6.69% | 7.30% |
| Dec 31, 2008 | 13.69% | 4.39% | 7.40% | 6.88% | 15.44% | 7.64% | 7.53% | 8.08% |
| Dec 31, 2007 | 16.74% | 6.14% | 8.44% | 7.63% | 22.31% | 7.07% | 7.25% | 7.83% |
| Dec 31, 2006 | 16.80% | 3.60% | 9.10% | 7.68% | 20.68% | 6.64% | 6.38% | 7.92% |
| Dec 31, 2005 | 15.11% | 4.69% | 8.39% | 7.24% | 17.66% | 5.98% | 4.90% | 7.26% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Capital Goods)
3M Co., net profit margin, long-term trends, comparison to sector (capital goods)
| 3M Co. | Capital Goods | |
|---|---|---|
| Dec 31, 2021 | 16.75% | 3.71% |
| Dec 31, 2020 | 16.73% | 1.85% |
| Dec 31, 2019 | 14.22% | 5.03% |
| Dec 31, 2018 | 16.33% | 2.99% |
| Dec 31, 2017 | 15.35% | 3.41% |
| Dec 31, 2016 | 16.77% | 7.61% |
| Dec 31, 2015 | 15.96% | 4.69% |
| Dec 31, 2014 | 15.57% | 9.51% |
| Dec 31, 2013 | 15.09% | 8.78% |
| Dec 31, 2012 | 14.86% | 8.73% |
| Dec 31, 2011 | 14.46% | 9.04% |
| Dec 31, 2010 | 15.32% | 7.93% |
| Dec 31, 2009 | 13.81% | 6.61% |
| Dec 31, 2008 | 13.69% | 9.45% |
| Dec 31, 2007 | 16.74% | 11.53% |
| Dec 31, 2006 | 16.80% | 10.82% |
| Dec 31, 2005 | 15.11% | 9.72% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Industrials)
3M Co., net profit margin, long-term trends, comparison to industry (industrials)
| 3M Co. | Industrials | |
|---|---|---|
| Dec 31, 2021 | 16.75% | 5.85% |
| Dec 31, 2020 | 16.73% | 0.09% |
| Dec 31, 2019 | 14.22% | 4.11% |
| Dec 31, 2018 | 16.33% | 4.75% |
| Dec 31, 2017 | 15.35% | 5.79% |
| Dec 31, 2016 | 16.77% | 7.43% |
| Dec 31, 2015 | 15.96% | 6.48% |
| Dec 31, 2014 | 15.57% | 8.76% |
| Dec 31, 2013 | 15.09% | 8.23% |
| Dec 31, 2012 | 14.86% | 7.39% |
| Dec 31, 2011 | 14.46% | 8.26% |
| Dec 31, 2010 | 15.32% | 7.48% |
| Dec 31, 2009 | 13.81% | 5.76% |
| Dec 31, 2008 | 13.69% | 7.27% |
| Dec 31, 2007 | 16.74% | 9.56% |
| Dec 31, 2006 | 16.80% | 14.87% |
| Dec 31, 2005 | 15.11% | 3.55% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).