NASDAQ$KMB

Kimberly-Clark Corp · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Kimberly-Clark reported strong organic sales growth across all segments, driven by net selling price increases and product mix improvements, while managing significant input cost inflation.

Kimberly-Clark's Q2 2022 net sales increased by 7% to $5.1 billion, with organic sales growth of 9%. Diluted net income per share was $1.29, and adjusted earnings per share were $1.34, a 9% decrease compared to the previous year. The company is targeting full-year 2022 organic sales growth of 5 to 7 percent and maintains adjusted earnings per share range of $5.60 to $6.00.

  • Net sales increased 7% to $5.1 billion, including 9% organic sales growth.
  • Diluted net income per share was $1.29, compared to $1.19 in the prior year.
  • Adjusted earnings per share decreased 9% to $1.34, compared to $1.47 in the prior year.
  • The company is targeting full-year 2022 organic sales growth of 5 to 7 percent and maintains adjusted earnings per share range of $5.60 to $6.00.

Headline financials

Total Revenue

$5.06B

Previous: $4.72B+7.2%
EPS (adj)

$1.34

Previous: $1.47-8.8%
Organic Net Sales Growth

9.0%

Previous: -3.0%+400.0%
Free Cash Flow

$437M

Previous: $404M+8.2%
Net Income

$437M

Previous: $404M+8.2%
Operating Income

$621M

Previous: $613M+1.3%
Gross Profit

$1.53B

Previous: $1.48B+3.3%
Cash & Equivalents

$311M

Previous: $306M+1.6%
Total Assets

$18.1B

Previous: $17.8B+1.6%
Stock-Based Comp

$52M

Previous: $20M+160.0%

Revenue & EPS history

Kimberly-Clark · Revenue · Quarterly

$5.06B

Q2 2022+7.2%vs Q2 2021
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

The company updated key planning and guidance assumptions for full-year 2022. The outlook reflects a reasonable set of assumptions subject to change given the high level of volatility in the macro environment.

Tailwinds

  • Net sales increase 2 to 4 percent (no change).
  • Organic sales increase 5 to 7 percent (prior target 4 to 6 percent).
  • Adjusted operating profit down mid-single digit percent (prior estimate down low to mid-single digit).
  • Adjusted earnings per share remains $5.60 to $6.00.

Headwinds

  • Foreign currency exchange rates unfavorable approximately 3 percent (prior estimate approximately 2 percent).
  • Key cost inputs expected to increase $1.4 to $1.6 billion (previous estimate $1.1 to $1.3 billion).
  • Costs are projected to increase or remain elevated for most inputs, including pulp and other raw materials as well as distribution and energy.
  • Given the current cost outlook, expect to be at the lower end of the range.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-0.1%

Avg return

Earnings day

-1.0%

Avg return

5 days after

+0.7%

Avg return

30 days after

48%

35 / 73 earnings

Positive

+12.0%

Q1 2022

Best reaction

-7.8%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.4%-0.6%+1.0%
Q4 2025-0.7%-1.1%+9.1%
Q3 2025+3.1%-13.8%-6.5%
Q2 2025+4.8%+9.7%+3.6%
Q1 2025-1.5%-6.0%-0.2%
Q4 2024-1.5%-1.1%+6.7%
Q3 2024-5.1%-6.0%-5.0%
Q2 2024-2.5%-1.6%+0.3%
Q1 2024+6.9%+4.9%+2.3%
Q4 2023-3.6%-2.9%-2.6%
Q3 2023-2.5%-4.1%+0.4%
Q2 2023-3.8%-4.9%-6.3%
Q1 2023+0.8%+1.7%-3.8%
Q4 2022-3.2%-4.2%-6.3%
Q3 2022+3.8%+7.3%+15.7%
Q2 2022-1.0%-1.2%-0.4%
Q1 2022+12.0%+9.7%+0.2%
Q4 2021-1.5%-1.4%-5.6%
Q3 2021+0.2%-2.7%+1.6%
Q2 2021+0.1%-0.0%+2.4%
Q1 2021-7.0%-7.6%-5.7%
Q4 2020+3.7%-0.1%-1.1%
Q3 2020-7.8%-9.2%-5.8%
Q2 2020+2.1%+4.5%+9.0%
Q1 2020+0.6%+0.6%+0.2%
Q4 2019-0.7%+0.3%-2.1%
Q3 2019-3.5%-3.6%-4.2%
Q2 2019+0.3%+2.2%+5.6%
Q1 2019+1.7%+1.8%+6.0%
Q4 2018-3.3%-6.2%+3.4%
Q3 2018-5.5%-7.2%+0.4%
Q2 2018+0.9%+2.5%+10.2%
Q1 2018+0.4%+4.5%+4.5%
Q4 2017+2.4%+4.6%-3.5%
Q3 2017-1.2%-0.9%+2.3%
Q2 2017-1.3%-1.1%-2.3%
Q1 2017+2.2%-0.2%-1.5%
Q4 2016+4.3%+3.4%+14.8%
Q3 2016-4.9%-4.2%-4.2%
Q2 2016-1.7%-3.8%-4.4%
Q1 2016-4.2%
Q4 2015-1.4%
Q3 2015+3.1%
Q2 2015-0.3%
Q1 2015+4.2%
Q4 2014-7.7%
Q3 2014+4.3%
Q2 2014-2.5%
Q1 2014-3.7%
Q4 2013+1.9%
Q3 2013+6.2%
Q2 2013-1.3%
Q1 2013+4.2%
Q4 2012+0.3%
Q3 2012-3.6%
Q2 2012+4.7%
Q1 2012+1.8%
Q4 2011-0.1%
Q3 2011+0.7%
Q2 2011-0.3%
Q1 2011-0.6%
Q4 2010-0.4%
Q3 2010-1.4%
Q2 2010+1.1%
Q1 2009+3.0%
Q1 2010-1.0%
Q4 2007+0.0%
Q4 2009+0.0%
Q4 2008+0.9%
Q3 2008+0.9%
Q3 2009+0.9%
Q2 2009-0.0%
Q2 2008-0.0%

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