3M India Reports 17% Drop in Second-Quarter Profit Amid Rising Input Costs and Weaker Rupee

BENGALURU — Industrial products maker 3M India posted a more than 17% decline in its second-quarter profit on Friday, pressured by a weaker rupee and higher raw material costs. The financial update triggered a sharp reaction in the market, sending the company's shares down as much as 11% to their lowest level since April 2025.

The company, known for manufacturing consumer and industrial goods such as Post-it notes and Scotch-Brite cleaning pads, reported a profit after tax of ₹158 crore ($16.78 million) for the quarter ended September 30. This compares with a profit of ₹191 crore recorded during the same period a year earlier.

The drop in profitability highlights the ongoing macroeconomic headwinds faced by manufacturers operating in India, particularly regarding currency fluctuations and commodity pricing pressures. Input cost inflation and foreign exchange movements continue to impact the bottom lines of industrial and consumer goods companies.

Following the earnings announcement and the subsequent fall in share value, market participants are closely monitoring how the company plans to navigate these cost pressures and currency fluctuations in the upcoming quarters.

"The financial results from 3M India highlight the very real impact that macroeconomic factors like currency fluctuations and rising raw material costs can have on corporate margins. When input costs rise and the rupee weakens, even established industrial players face immediate pressure on profitability, which quickly reflects in market sentiment and share prices. For businesses across sectors, maintaining strict supply chain efficiencies and pricing strategies is crucial during periods of currency volatility and inflation." — Dr. Shishir Gupta, Founder & CEO, StartupLanes