Kimberly-Clark: Stronger-Than-Expected Results On Reduced Pulp Costs, Increased Product Prices
By Zvi Bar:Kimberly-Clark (KMB), the maker of Huggies diapers and Kleenex tissues, among other brands and products, reported first-quarter profit that beat Wall Street analyst average estimates. Earlier this year, KMB announced it expected full-year growth below analyst estimates due to both currency exposure risks and low growth in developed markets.See a recent performance chart for KMB:
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Kimberly-Clark's net income rose 34 percent to $468 million, or $1.18 per share, compared with $350 million, or $0.86 last year. If excluding one-time items, KMB's profit was $1.24. Revenue increased 4.2 percent to $5.24 billion.The company's profit was supported by both price increases and cost reductions. Kimberly-Clark and many other consumer-product companies raised prices in the past two years due to rising commodity prices that have since declined. For KMB, pulp paper costs were 10 percent lower than they were one year ago.Kimberly-Clark gets about 50 percent ofComplete Story »
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