Kimberly-Clark reports 2.1% organic growth in Q4 FY25

USA – Kimberly-Clark Corporation has reported a 2.1% increase in organic sales in Q4 2025, reflecting sustained momentum from its transformation efforts despite a slight overall net sales decline. 

Net sales reached USD4.08-USD 4.1 billion, down 0.6% year-over-year, primarily due to a 2.5% negative impact from exiting the U.S. private-label diaper business, which overshadowed the organic gains driven by 3.0% volume-plus-mix expansion offset by 1.1% pricing investments for consumer value.

Adjusted operating profit rose 13.1% to USD 629 million, with gross margins steady at 37.0% on productivity savings that countered pricing, inflation, and planned investments. 

Adjusted EPS hit USD 1.86, surpassing consensus estimates of USD 1.81 by 2.7-2.76%, while adjusted EBITDA was USD 836 million against USD 859 million expected. 

Operating margin improved to 12.4% (up 102 basis points), and free cash flow margin held at 14.1%.

Kimberly-Clark Chairman and CEO Mike Hsu stated, “In 2025, we accelerated the largest transformation in Kimberly-Clark’s more than 150-year history, delivering results that underscore the strength of our business and serve as a springboard for enhanced growth and continued outperformance in 2026.”

“We delivered pioneering innovation across the value spectrum, breakthrough creative storytelling that strengthened brand love, and superior execution that fueled our second consecutive year of broad-based, share gain-led volume-plus-mix growth.”

North America Personal Care delivered adjusted operating profit growth of 5.5% to USD 580 million, boosted by productivity and reduced marketing expenses despite a 290-basis-point divestiture headwind. 

International Personal Care led with USD 1.439 billion in net sales (up 4.2%) and 4.5% organic growth from 3.3% volume gains, 2.4% favorable mix, and a 1.2% price offset.

This marked the eighth consecutive quarter of positive volume-plus-mix, with market-share gains in markets such as China and Indonesia.

Full-year net sales totaled USD 16.4 billion, supported by enterprise-weighted market share expansion and industry-leading productivity, marking the second straight year of strong execution. 

The company advanced its volume-plus-mix growth model through science-based innovation, breakthrough marketing, cost discipline, and strategic pricing, though challenged by club channel diaper distribution losses and a lower volume base.

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