Kimberly-Clark net income decreases 34% in fourth quarter
The US consumer goods multinational released net income of $ 357 million in the period
Kimberly-Clark reported net income of $357 million in the fourth quarter of 2021, a decrease of 34% in the annual comparison. Between October and December, sales totaled $ 4,9 billion, a 3% growth over the same period a year earlier.
“Our teams have been executing well in this challenging macro and operating environment,” Mike Hsu, Kimberly-Clark’s chief executive officer, said in a statement. The perspective is that inflation and the logistics crisis will continue in 2022, but the company is optimistic for the year.
In 2021, the company had net income of $ 1,8 billion – a 23% annual decrease. Sales of $5.0 billion in the fourth quarter of 2021 increased 3% versus the prior year. Organic sales increased 3% as net selling prices rose 2 percent and product mix increased sales 1%.
In North America, organic sales were even with year-ago in consumer products and increased 2 percent in K-C Professional. Outside North America, organic sales rose 8% in developing and emerging (D&E) markets and 2% in developed markets.
Kimberly-Clark’s fourth-quarter results were impacted by $530 million due to higher input costs, driven by pulp and polymer-based materials, as well as energy and distribution. Cash provided by operations in the fourth quarter was $1,062 million in 2021 and $887 million in 2020.
For 2022, the company forecasted net sales growth of 1% to 2%, anticipating organic sales growth of 3% to 4%. Diluted net income per share for 2022 is anticipated to be $5.60 to $6.00.
In 2021, the company’s full year adjusted earnings per share declined 20% to $6.18, from $7.74 in 2020. The company’s previous guidance was based on adjusted earnings per share of $6.05 to $6.25.
