CLAIM #42679 · 3M Company (MMM) · 2025Q4 earnings call · Jan 20, 2026 · due Dec 31, 2026
“With 3% growth, the $200 million of volume will now become closer to $250 million, and productivity actually goes up from $550 million to about $600 million.”
Anurag Maheshwari · CFO
How to check this claim
Look at: Fiscal year 2026 operating income increase attributable to volume and productivity (company-disclosed components, in $ millions)
It came true if: Volume contribution approximately $250 million AND productivity contribution approximately $600 million (combined increase in the $850-$925 million range, i.e., $125-150 million higher than 2025's $750 million)
Where: Management commentary / investor presentation on FY2026 results (Q4 2026 earnings call or 10-K)
In context
“or organic. So on the growth. So I am just kind of curious, you know, what the productivity assumption is, what the offsets are from stranded costs. Maybe I am double counting. Maybe some of that is already included in the 30, 40%. But you can unpack that for us, I think that would be helpful. And then on the first quarter specifically, you said high single digits. Not to be nitpicky, but are we kind of above $2 share in one Q? Like, any finer point would be helpful. Anurag Maheshwari: Okay. Great. Thanks for the question, Amit. Just firstly, you look at both volume and productivity in 2026, it is going to be higher than what it was in 2025. Yeah. So in '25, between volume and productivity, we had about $750 million of operating income increase, and that was a 2.1% organic revenue growth. With 3% growth, the $200 million of volume will now become closer to $250 million, and productivity actually goes up from $550 million to about $600 million. So overall, we are going to see about a 125 to $150 million increase between volume and productivity in '26. And the productivity is going up on three real buckets around there. First is on supply chain. We expect half of that to come out of the supply chain, which is continued cost of poor quality, bringing it down, procurement, you know, managing a four-wall spend in the factory and logistics. There is about a $150 million of indirect expenses. We did a good job in '25. We will continue to do that in '26. And another $150 million in G&A efficiency as we look at our processes of optimization and so on. So overall, I would say that the incrementals between volume, between productivity, and the volume growth is going to be higher. What is offset in '26 is the half a billion dollars, which”
Verify independently
SEC filings for MMM ↗ · Claim quote is verbatim from the 2025Q4 earnings call.