Kimberly-Clark reports 2Q operating profit of $754 million
Jul 26, 2012. Kimberly-Clark Corporation reported 2Q 2012 results, updated several key full-year planning assumptions and increased its guidance for 2012 adjusted earnings per share. Operating profit was $754 million in the 2Q 2012, up 21% from $625 million in 2011. Adjusted operating profit was $773 million in the 2Q 2012, an 8% increase compared to $715 million in the year-ago period.
Jul 26, 2012. /Lesprom Network/. Kimberly-Clark Corporation reported 2Q 2012 results, updated several key full-year planning assumptions and increased its guidance for 2012 adjusted earnings per share. Sales of $5.3 billion in the 2Q 2012 were even with the year-ago period. Organic sales rose 5%, with higher net selling prices of more than 2%, increased sales volumes of 2% and slightly favorable product mix. Changes in foreign currency rates decreased sales by more than 3% and lost sales from exiting non-strategic products in conjunction with pulp and tissue restructuring actions reduced sales volumes by 1%, as the company said in a press release received by Lesprom Network.
Operating profit was $754 million in the 2Q 2012, up 21% from $625 million in 2011. Adjusted operating profit was $773 million in the 2Q 2012, an 8% increase compared to $715 million in the year-ago period. Adjusted results exclude costs for pulp and tissue restructuring actions of $19 million in 2012 and $90 million in 2011.
For the first six months of 2012, sales of $10.5 billion increased 2%. Organic sales rose 5%, with higher net selling prices of 3% and increased sales volumes of 2%. Changes in foreign currency rates decreased sales by 2% and lost sales in conjunction with pulp and tissue restructuring actions reduced sales volumes by 1%. Year-to-date operating profit of $1,454 million increased 24% compared to $1,169 million in 2011. Adjusted operating profit in 2012 of $1,508 million increased 10% compared to $1,373 million in 2011.
Adjusted operating profit comparisons benefited from organic sales growth and FORCE cost savings of $130 million. These benefits were partially offset by increased marketing, research and general expenses, including $80 million in higher strategic marketing spending.
Administrative and research spending also increased, in part to build further capabilities and support future growth. In addition, foreign currency translation effects reduced operating profit by $25 million as a result of the weakening of several currencies relative to the U.S. dollar. Through six months, diluted net income per share was $2.43 in 2012 and $1.89 in 2011. Adjusted earnings per share were $2.54 in 2012 and $2.27 in 2011. The increase in adjusted earnings per share was primarily due to higher adjusted operating profit.
Kimberly-Clark is an American corporation that produces mostly paper-based consumer products.