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Kimberly-Clark Announces First Quarter 2025 Results and Updates 2025 Outlook
Kimberly-ClarkKimberly-Clark(US:KMB) Prnewswireยท2025-04-22 11:00

Core Insights - Kimberly-Clark Corporation reported a first quarter 2025 net sales of $4.8 billion, a decrease of 6.0% compared to the previous year, impacted by foreign currency translation and divestitures [4][9] - The company adjusted its full-year outlook due to anticipated increased costs from a more uncertain geopolitical landscape, while maintaining confidence in its long-term growth potential [2][21] Financial Performance - Gross margin for the quarter was 35.8%, with an adjusted gross margin of 36.9%, down 20 basis points from the prior year [5][9] - Operating profit was reported at $769 million, down from $853 million in the prior year, with adjusted operating profit at $844 million, reflecting a 6.0% decrease [6][9] - Diluted earnings per share (EPS) were $1.70, down from $1.91 in the prior year, while adjusted EPS decreased 4.0% to $1.93 [8][9] Business Segment Results - North America net sales decreased by 3.9% to $2.7 billion, with organic sales down 0.6% primarily due to price impacts [12][34] - International Personal Care (IPC) net sales fell 8.9% to $1.4 billion, with organic sales down 2.8% driven by price investments [14][35] - International Family Care & Professional (IFP) sales decreased 7.7% to $791 million, with organic sales down 2.3% [16][35] Cash Flow and Balance Sheet - Cash provided by operations was $327 million, down from $438 million, while capital spending increased to $204 million [18][33] - Total debt as of March 31, 2025, was $7.2 billion, a decrease from $7.4 billion at the end of 2024 [18] 2025 Outlook - The company expects organic sales growth in 2025 to outpace the average growth in its categories, with reported net sales forecasted to reflect a negative impact from currency translation and divestitures [20][21] - Adjusted operating profit is now expected to be flat to positive on a constant-currency basis, a revision from previous expectations of high single-digit growth [21][22]