Kimberly-Clark Announces Third Quarter 2020 Results

Executive Summary

• Third quarter 2020 net sales of $4.7 billion increased 1 percent compared to the year-ago period, including organic sales growth of 3 percent.
• Diluted net income per share for the third quarter was $1.38 in 2020 and $1.94 in 2019.
• Third quarter adjusted earnings per share were $1.72 in 2020 compared to $1.84 in 2019.  Adjusted earnings per share exclude certain items described later in this news release.
• Diluted net income per share for 2020 is expected to be $6.41 to $6.72.
• The company is now targeting full-year 2020 organic net sales growth of 5 percent and adjusted earnings per share of $7.50 to $7.65.  The prior outlook was for organic sales growth of 4 to 5 percent and adjusted earnings per share of $7.40 to $7.60.

Chairman and Chief Executive Officer Mike Hsu said, "Kimberly-Clark teams around the world are managing our near-term operating priorities extremely well, with strong focus on employee health and safety and supply chain excellence during this unprecedented time period.  At the same time, we are significantly increasing our growth investments for future success, our market share positions are healthy overall and we are on track to achieve excellent financial results this year."

Hsu continued, "We delivered solid organic sales growth in the third quarter, with good underlying performance and increased demand because of COVID-19.  We also achieved $140 million of cost savings and returned approximately $560 million to shareholders through dividends and share repurchases.  While earnings in the quarter were down as expected, we're raising our full-year outlook and now expect adjusted earnings per share will grow 9 to 11 percent this year.  We continue to execute our strategies well and remain very optimistic about our opportunities to deliver balanced and sustainable growth and create long-term shareholder value."

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Source: Kimberly-Clark