NEW YORK (AP) — Kimberly Clark Corp. reported its net income fell 33 percent in the fourth quarter but its results excluding unusual items for the maker of Kleenex tissues and Huggies diapers beat Wall Street expectations.
In the past year, Kimberly Clark CEO Thomas Falk noted that the company has launched numerous new products and stepped up its spending for marketing and research and development. It improved its operating profit margin with the help of a cost savings and restructuring program.
For the October to December period, the consumer products company said it earned $267 million, or 68 cents per share, down from $401 million, or $1.01 per share, in the year-ago period. Excluding the impact of one-time items such as restructuring charges, the company said it earned $1.37 per share. That was a penny above what analysts expected, according to FactSet.
Net sales rose 3 percent to $5.31 billion from $5.18 billion a year ago. Analysts expected revenue of $5.19 billion. Organic sales, which exclude the impact of foreign currency exchange and other variables, rose 5 percent as a result of higher sales volume and prices.
When excluding special items, the company said its operating profit rose 5 percent. The increase reflected $80 million in cost savings as well as a decline in costs for raw materials.
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