Kimberly-Clark reports Q3
DALLAS — Kimberly-Clark set an all-time record high in net sales during its third quarter.
For the period ended Sept. 30, K-C said third-quarter net sales rose 8% to $5.4 billion. Diluted net income per share decreased, however, from $1.14 in third quarter 2010 to $1.09.
Third-quarter sales of K-C's personal care segment rose 9% to $2.4 billion. For the North America market, sales dropped 1%. The company said overall sales volumes were even with the year-ago period, but noted growth in adult care, baby wipes and feminine care, thanks to growth from the introduction of Poise hourglass shape pads, as well as continued momentum of U by Kotex. Infant care volumes fell low-single digits and child care volumes fell at a double-digit rate, despite the introduction of Huggies Little Movers slip-on diapers.
K-C's consumer tissue segment increased 4% to $1.7 billion, while North American sales dropped by 1%, due to lower sales in bathroom and facial tissues. By product category, bathroom tissue volumes fell double-digits and Kleenex facial tissue volumes were off high single-digits. Paper towel volumes, however, rose at a double-digit rate and benefited from improved distribution levels and promotion activity, K-C said.
"While we are not on track with all of our goals this year, I'm encouraged that execution of our Global Business Plan strategies enabled us to deliver 4% growth in organic sales and double-digit growth in adjusted earnings per share in the third quarter," K-C chairman and CEO Thomas Falk said. "Our focus on targeted growth initiatives, revenue realization and cost reduction allowed us to overcome significant input cost inflation and softer-than-expected demand in portions of the developed markets. Our market positions remain solid overall and our innovation and marketing programs are on track."