Kimberly-Clark — Third Quarter 2026 Earnings Summary

Financial Performance

• Preliminary financial data for the three months ended September 30, 2026, is provided; final results will be released on November 5, 2026.
• No specific revenue, earnings, margin, cash flow, or debt figures are disclosed in this preliminary announcement.
• The outlook excludes the impact of any potential acquisitions, including the pending acquisition of Kenvue Inc., divestitures, and other unquantified items.

Guidance and Future Outlook

• Full-year 2026 outlook remains consistent with previous expectations.
• 2026 Organic Sales Growth is expected to be approximately 100 basis points below the company's weighted average category growth.
• Weighted average category growth is approximately 1.7 percent on a trailing 12-month basis.
• The 100 basis point gap in organic sales growth reflects realized and potential unfavorable impacts from previously disclosed China social media disruptions.
• Adjusted Operating Profit is expected to grow mid-single digits on a constant-currency basis.
• Adjusted Earnings per Share from Continuing Operations is expected to grow high single digits on a constant-currency basis.
• Adjusted Earnings per Share Attributable to Kimberly-Clark is expected to see a low single-digit decline on a constant-currency basis.
• Outlook assumptions are subject to change given the macro environment.

Business Segments and Product Lines

• The company's portfolio includes brands such as Huggies, Kleenex, Scott, Kotex, Cottonelle, Poise, Depend, Pull-Ups, Goodnites, Intimus, Plenitud, Sweety, Softex, Viva, and WypAll.
• The company holds No. 1 or No. 2 share positions in approximately 70 countries.
• Operations span more than 175 countries and territories.

Market and Competitive Landscape

• The company faces unfavorable impacts from China social media disruptions affecting category growth.
• The company is a core S&P 500 component and a dividend aristocrat, having paid cash dividends for 92 consecutive years and increased dividends for 54 consecutive years.
• The stock is held by more than 400 Exchange Traded Funds.

Risks and Challenges

• Risks include the Kenvue Acquisition (potential failure to realize synergies, financing terms, timing, completion, or litigation).
• Risks include the International Family Care and Professional joint venture transaction with Suzano S.A. (transaction costs, market reactions, regulatory challenges, operational disruptions).
• Risks include the 2024 Transformation Initiative (business disruptions, implementation delays).
• Geopolitical risks include the war in Ukraine, the war in Iran, and regional instabilities.
• Regulatory and trade risks include government trade actions, tariffs, and sanctions affecting supply chains, commodity costs, and consumer spending.
• Operational risks include pandemics, foreign currency fluctuations (specifically Argentina and Türkiye), raw material prices and availability, supply chain disruptions, and counterparty defaults.
• Financial risks include impairment of goodwill and intangible assets, capital and credit market disruptions, and changes in customer preferences.

Management Commentary and Tone

• Management maintains a consistent outlook for 2026 despite the identified China social media disruptions.
• The press release states that forward-looking statements are based on management's expectations and beliefs as of the date of the release.
• Management undertakes no obligation to publicly update forward-looking statements.

Other Key Points

• Final third quarter 2026 results will be released on Thursday, November 5, 2026, at approximately 6:30 a.m. EST.
• A live Q&A session with analysts will be hosted by management beginning at 8:00 a.m. EST on November 5, 2026.
• Earnings release, supplemental materials, and webcast replay will be available on the Investor Relations section of the Kimberly-Clark website.
• The press release includes Non-GAAP financial measures (Organic Sales Growth, Adjusted Operating Profit, Adjusted EPS) which are not reconciled to GAAP on a forward-looking basis due to the inability to predict certain adjustment items without unreasonable effort.
• The company is committed to sustainable practices and has a 150-year history of innovation.