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Kimberly-Clark Beats Profit Estimates on Cost Cuts
27 Jan
Summary
- Company exceeded quarterly profit expectations due to strong cost controls.
- Organic sales rose 2.1%, driven by increased volumes in value packs.
- Kimberly-Clark expects double-digit profit growth in 2026.

Kimberly-Clark announced on January 27, 2026, that it exceeded its quarterly profit expectations, a performance bolstered by rigorous cost management strategies and consistent consumer demand for its well-known brands like Huggies and Kleenex. The company's stock experienced a notable increase in pre-market trading following the announcement.
These positive results were partly attributed to recent operational adjustments, including job cuts and the divestiture of less profitable business segments. This strategic streamlining has helped protect profit margins while the company focused on expanding its range of affordable yet feature-rich products to cater to value-conscious consumers.
In the fourth quarter, organic sales saw a rise of 2.1%, with overall volumes increasing by 2.7%. This growth was primarily observed in warehouse-style club stores, where consumers actively purchased essential items such as cleaning agents and paper napkins in bulk value packs. Despite a slight shortfall in net sales, the adjusted gross margin remained stable year-over-year at 37%.




