Kimberly-clark Corporation · NASDAQ:KMB
Kimberly-clark — Q1 2025 Earnings Presentation
28 slides from Kimberly-clark's earnings presentation, Apr 22, 2025
Slide 1: Powering Care Q1 2025 Earnings
POWERING CARE Q1 2025 EARNINGS April 22, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain matters contained in this presentation concerning the business outlook, including raw material, energy and other input costs, the anticipated charges and savings from the 2024 Transformation Initiative, cash flow and uses of cash, growth initiatives, innovations, m
Slide 3: Our Strategy to Drive Value Creation
Our Strategy to Drive Value Creation Accelerate Growth: 2026+ Leverage Scale for Industry-Leading Returns Scale Initiatives: 2025 Performing While Transforming Embark on Powering Care: 2024 Establish a Strong Foundation 3
Slide 4: Powering Care Gives Us A Running Start
Powering Care Gives Us A Running Start EVOLVING EXTERNAL POWERING CARE ENVIRONMENT Consumer facing economic pressures, Accelerating Pioneering Innovation: Cascading innovation especially value conscious consumers across the value spectrum and investing to enhance value propositions Higher cost headw
Slide 5: Our Enterprise Network is Agile & Resilient
M A N U F A C T U R I N G F O O T PR I N T Our Enterprise Network is Agile & Resilient 5
Slide 6: Q1 2025: Consistent with Full Year Plan
Q1 2025: Consistent with Full Year Plan ACCELERATE PIONEERING OPTIMIZE OUR WIRE OUR ORGANIZATION INNOVATION MARGIN STRUCTURE FOR GROWTH Enhancing value propositions Continued momentum on On track to deliver $200 million by cascading innovation across Gross Productivity with Q1 of SG&A savings from r
Slide 7: Cascading Innovation Across the Value Spectrum
Cascading Innovation ACCELERATE PIONEERING INNOVATION Across the Value Spectrum Elevating the consumer experience through Garment-Like-Comfort 7
Slide 8: More Parents in the U.S. Are Choosing New Snug & Dry Softness
More Parents in the U.S. Are Choosing ACCELERATE PIONEERING INNOVATION New Snug & Dry Softness * DIAPERS SOOO UNEXPECTEDLY SOFT, YOU HAVE TO EXPERIENCE IT! Huggies® Snug & Dry Diapers Ultra soft: Now with 2x softness Ultra dry: Provide up to 100% Clinically tested safe for sensitive Cloudsoft absorb
Slide 9: Thinner, More Breathable Solutions Driving Results in Indonesia Adult Care
Thinner, More Breathable Solutions ACCELERATE PIONEERING INNOVATION Driving Results in Indonesia Adult Care +37% 30% Thinner Breathable Organic growth* +31% Volume growth* 550 ML 6 CM Lower *Reflects results for Indonesia Adult Care in Q1 2025 9
Slide 10: Challenging the Stigma Around the "Giggle Dribble"
Challenging the Stigma Around the ACCELERATE PIONEERING INNOVATION “Giggle Dribble” +6.6% 36% Consumption Growth Increase in first time buyers (US xAOC+) (Point of Market Entry sub-brands at a key online customer) 26% ~30 bps Increase in sales YOY Share gain in Light Inco *at a key online customer (
Slide 11: Stepping Up Gross Productivity Savings
OPTIMIZE OUR MARGIN STRUCTURE Stepping Up Gross Productivity Savings Targeting 5 - 6% Gross Productivity Savings Q1 Actuals FY 2025 Est. in 2025 Value Stream: Design to Value initiatives and strong price negotiations unlocking value 5.2% 5-6% of Adj COGS1 of Adj COGS2 Network Optimization: Optimizin
Slide 12: Enhancing Focus & Scaling Capabilities
WIRE OUR ORGANIZATION FOR GROWTH Exiting private label diaper business in the US in Q1 Enhancing Transformation SG&A savings starting to flow through with Focus year-on-year cost reduction in Q1 & Stood up new Global Growth Organization in December to drive greater global efficiency and effectivenes
Slide 13: Financial Results & 2025 Outlook
FINANCIAL RESULTS & 2025 OUTLOOK 13
Slide 14: First Quarter Results Consistent with Full Year Plan
First Quarter Results Consistent with Full Year Plan Flat volume/mix delivery offset Organic Sales Growth1 Adjusted Operating Adjusted EPS Growth1 Adjusted Free Cash by investments in Price Pack Profit Growth1 Flow2 Architecture and enhancing $183M value propositions Revenue Growth Management invest
Slide 15: North America
North America • Flat volume and mix in the quarter with targeted investments in price pack architecture mainly in Baby and Organic Growth1 Operating Profit Growth Child Care and enhancing value propositions in Professional • Strong mid single digit organic growth in Adult & Fem Care at +6% with gain
Slide 16: International Personal Care
International Personal Care • Step up in investment in price-value propositions as consumer environment evolves across Asia and Latin America Organic Growth1 Operating Profit Growth • Volume and mix combined were down 30 bps while Focus Markets grew organic volume in the quarter Organic growth1 Orga
Slide 17: International Family Care & Professional
International Family Care & Professional • Volume growth was offset by step up in price investment in the quarter primarily in Western Europe as competition intensifies aided by softening costs Organic growth1 Organic Growth1 Operating Profit Growth • Volume consumption led share gain in both UK And
Slide 18: 2025 Outlook
2025 Outlook Volume+Mix Led Organic • Weighted-Average Market growth currently 1.5%-2% Sales Growth1 Ahead of • Reported results expected to be negatively impacted by ~240 bps from combination of PPE2 Market Growth divestiture and U.S. private label diaper business exit and ~200 bps from currency tr
Slide 19: Powering Care
Powering Care Accelerate Growth: 2026+ Leverage Scale for Industry-Leading Returns Scale Initiatives: 2025 Performing While Transforming Embark on Powering Care: 2024 Establish a Strong Foundation 19
Slide 20: Appendix
APPENDIX |
Slide 21: Non-GAAP Financial Measures
Non-GAAP Financial Measures The following provides the reconciliation of the non-GAAP financial measures provided in this presentation to the most closely related GAAP measure. These measures include: Organic Sales Growth, Adjusted Gross Profit, Adjusted Operating Profit, Adjusted Earnings per Share
Slide 22: Non-GAAP: Reconciliation of Organic Sales Growth
Non-GAAP: Reconciliation of Organic Sales Growth Three Months Ended March 31, 2025 Percentage change vs. the prior year period NA IPC IFP Consolidated Net Sales Growth (3.9) (8.9) (7.7) (6.0) Currency Translation 0.4 6.0 2.6 2.4 Divestitures and Business Exits 2.9 - 2.9 2.0 Organic Sales Growth(a) (
Slide 23: Non-GAAP: Reconciliation of Adjusted Gross Profit
Non-GAAP: Reconciliation of Adjusted Gross Profit Three Months Ended March 31 $ Millions 2025 2024 Gross Profit $1,733 $1,911 2024 Transformation Initiative 53 - Adjusted Gross Profit $1,786 $1,911 23
Slide 24: Non-GAAP: Reconciliation of Adjusted Cost of Products Sold
Non-GAAP: Reconciliation of Adjusted Cost of Products Sold Three Months Ended March 31 $ Millions 2025 2024 Cost of Products Sold $3,107 $3,238 2024 Transformation Initiative (53) - Adjusted Cost of Products Sold $3,054 $3,238 24
Slide 25: Non-GAAP: Reconciliation of Adjusted Operating Profit
Non-GAAP: Reconciliation of Adjusted Operating Profit Three Months Ended March 31 $ Millions 2025 2024 Operating Profit $769 $853 2024 Transformation Initiative 75 45 Adjusted Operating Profit $844 $898 Year-Over-Year Growth (6.0%) Currency Translation 2.2% Year-Over-Year Growth Constant-Currency (3
Slide 26: Non-GAAP: Reconciliation of Constant Currency Segment Operating Profit
Non-GAAP: Reconciliation of Constant Currency Segment Operating Profit IPC IFP Three Months Ended March 31 Three Months Ended March 31 $ Millions 2025 2024 2025 2024 Segment Operating Profit $194 $242 $106 $110 Year-Over-Year Growth (19.8%) (3.6%) Currency Translation 5.0% 3.8% Year-Over-Year Growth
Slide 27: Non-GAAP: Reconciliation of Adjusted Earnings Per Share
Non-GAAP: Reconciliation of Adjusted Earnings Per Share Three Months Ended March 31 2025 2024 Diluted Earnings per Share $1.70 $1.91 2024 Transformation Initiative 0.23 0.10 Adjusted Earnings per Share $1.93 $2.01 Year-Over-Year Growth (4.0)% Currency Translation 4.0% Year-Over-Year Growth Constant-
Slide 28: Press Releases – Previous Quarters
Press Releases – Previous Quarters Title Hyperlink Kimberly-Clark Announces Year-End 2020 Results And 2021 Outlook Q4 & FY 2020 Kimberly-Clark Announces Year-End 2021 Results And 2022 Outlook Q4 & FY 2021 Kimberly-Clark Announces Year-End 2022 Results And 2023 Outlook Q4 & FY 2022 Kimberly-Clark Ann