> Operating profit growth driven by strong productivity gains in current year and better balance of pricing relative to costs compared to prior year. | --- | --- | --- | --- | |-------|-------|--------------------------|-------| | | | | | | | | | | | | -2% | -1% | | | | Q2'24 | YTD'24 | | | | | | | | | +23% | +22% | | | | | Operating Profit Growth | | 1. Organic net sales describes the combined impact of changes in volume, mix and net price excluding prior year's impact of divestitures and business exits. 1 ...

Exhibit 99.1 DALLAS, July 23, 2024 - Kimberly-Clark Corporation (NYSE: KMB) today reported second quarter 2024 results characterized by positive volume and mix gains driven by pioneering, innovative new products, leveraging continued productivity momentum for strong earnings growth versus the prior-year period. Quarter Highlights • Diluted earnings per share were $1.61; adjusted earnings per share were $1.96, up 19 percent versus prior year including a $0.12 year-on-year headwind from currency translation. ...

Core Insights - Kimberly-Clark Corporation reported second quarter 2024 results with a net sales of $5.0 billion, down 2% year-over-year, but achieved organic sales growth of 4% driven by innovative products and productivity gains [2][3][11] Financial Performance - Net sales decreased by 2% primarily due to a 5% negative impact from foreign currency translation and a 1% impact from the divestiture of the Tissue and K-C Professional business in Brazil [3][6] - Reported gross margin was 36.0%, while adjusted gross margin increased by 290 basis points to 36.9% due to organic net sales growth and productivity gains [2][4] - Diluted earnings per share (EPS) were $1.61, with adjusted EPS rising 19% to $1.96, despite a $0.12 headwind from currency translation [2][38] Segment Performance - Personal Care segment sales were $2.7 billion, with organic sales growth of 8%, driven by pricing actions and volume gains [18] - Consumer Tissue segment sales decreased by 4% to $1.5 billion, impacted by divestitures and retailer inventory reductions [19] - K-C Professional segment sales fell 5% to $841 million, with organic sales in line with the previous year [20] Operational Highlights - Operating profit for the second quarter was $655 million, including $190 million in costs related to the 2024 Transformation Initiative, with adjusted operating profit increasing by 16% [4][39] - Year-to-date operating profit reached $1.5 billion, reflecting a 15% increase compared to the previous year [16][39] Market Dynamics - Organic sales in Developing and Emerging (D&E) markets rose by 12%, while Developed Markets saw a 3% decline [13] - The company anticipates mid-single-digit organic net sales growth for the year, with reported net sales expected to be negatively impacted by 400 basis points from currency translation [21][45] Future Outlook - The adjusted earnings per share growth outlook has been increased to a mid-to-high teens percentage rate on a constant-currency basis [22][45] - The company continues to focus on enhancing operational scale and delivering high-quality consumer solutions across various price points [2][11]

Core Viewpoint - Kimberly-Clark is a well-established company with valuable brands, but it faces challenges such as high trading multiples, inflation risks, and competitive pressures in both domestic and international markets [3][4][19]. Financial Overview - Cash and Equivalents: $853 million [2] - Total Current Assets: $5.6 billion [2] - Total Assets: $17.1 billion [2] - Total Current Liabilities: $6.9 billion [2] - Long-Term Debt: $7.1 billion with an average interest rate of 3.3% [2] - Total Shareholder Equity: $1.18 billion [2] - Price/Book Ratio: Over 40, indicating a high premium to book value [2] - P/E Ratio: Currently at 27.08, with a forward P/E ratio of 19.8 projected for 2026 [4] Sales and Earnings Performance - Net Sales: $19.4 billion in 2021, $20.2 billion in 2022, $20.4 billion in 2023, and projected $20.4 billion for Q1 2024 [4] - Gross Profit: $6.0 billion in 2021, $6.2 billion in 2022, $7.0 billion in 2023, and $1.9 billion for Q1 2024 [4] - Net Income: $1.84 billion in 2021, $1.96 billion in 2022, $1.76 billion in 2023, and $658 million for Q1 2024 [4] - Diluted EPS: $5.35 in 2021, $5.72 in 2022, $5.21 in 2023, and $1.91 for Q1 2024 [4] Dividend and Shareholder Returns - Current Dividend Yield: 3.4%, with a history of annual increases [5] - Stock Repurchase Program: 1,051,055 shares bought back in Q4 2023 at around $120 per share, and 458,828 shares in Q1 2024 at $120-$125 per share [5] Market Position and Competition - Kimberly-Clark operates in a highly competitive market with significant cost sensitivity among its products [3] - The company faces challenges in the Russian market due to geopolitical tensions, impacting its operations [3][14] Brand Value and Consumer Trust - The company has a strong portfolio of recognizable brands such as Huggies, Kotex, Depend, Cottonelle, Kleenex, and Scott, which contribute to consumer trust and loyalty [14]

Loading... The company said it will issue its second quarter 2024 results on Tuesday, July 23. However, Wolfmeyer highlights that this isn't about optimistic expectations for exceeding targets. It's about investors gaining confidence in management's execution and Kimberly-Clark's resilience amid a volatile economic environment. The analyst's data shows that volumes picked back up toward the end of the quarter. The analyst sees the current 0.5% sales decline when considering pricing dynamics. For the stock t ...

Kimberly-Clark Today Add to Watchlist Get Kimberly-Clark alerts: Analysts Raise Estimates for Margin Widening Kimberly Clark Kimberly-Clark Dividend Payments Dividend Increase Track Record 53 Years Kimberly-Clark NYSE: KMB proved worthy of the Dividend King title in the last two years. The company struggled with volume declines and sluggish performance that caused analysts to cut sentiment, curb price targets, and cap the market for its stock. Fast forward to today, and the story has changed. Analysts are w ...

Kimberly-Clark Corporation (KMB) is benefiting from the effective implementation of revenue growth management strategies. The company is progressing with its long-term strategy aimed at achieving sustainable growth by leveraging its strengths and sharpening its strategic focus. Management anticipates fiscal 2024 organic net sales to increase in mid-single-digit percentage. The annual adjusted operating profit is projected to grow at a low-teens percentage rate at a constant-currency (cc) basis. Adjusted ear ...

For those looking to find strong Consumer Staples stocks, it is prudent to search for companies in the group that are outperforming their peers. Kimberly-Clark (KMB) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? Let's take a closer look at the stock's year-to-date performance to find out. Kimberly-Clark is one of 192 individual stocks in the Consumer Staples sector. Collectively, these companies sit at #4 in the Zack ...

Over in the options pits, calls are running at triple the intraday average volume. The June 140 call is the most popular, with new positions opening at the weekly 6/14 140-strike call. At last glance, KMB was up 2.5% to trade at $138.63. The 40-day moving average caught this week's pullback, with the shares now nearing their late April peak. The equity is up more than 14% so far this year. Kimberly-Clark Corp (NYSE:KMB) received a double-upgrade from BofA Global Research before the bell this morning. The fi ...

Kimberly-Clark Corporation (KMB) appears well-placed due to its focus on innovation, consumer-centric approach and strategic investments in product development, which have been leading to successful launches and market expansion. These upsides, along with savings initiatives and a focus on revenue growth management, have been working well for the company. This Zacks Rank #2 (Buy) company's shares have risen 11.4% year to date against the industry's decline of 3.1%. Let's discuss in detail all the factors na ...