According to a statement released by the company, Kimberly-Clark’s sales increased 6% in the fourth quarter (October to December), compared to the same period last year.
Sales of the consumer tissue segment – tissues, napkins, toilet paper, paper towels – increased by 14% in total and 21% in North America. According to the organization, the increase in volume was driven by demand related to the outbreak of COVID-19 and work in the domestic environment. K-C not only sold more, but also raised the prices of its products.
In contrast to these increases, the pandemic had negative effects for the K-C Professional (KCP) segment, which saw its sales fall 9%, reflecting lower away from home demand and challenging business conditions following the outbreak of COVID-19.
Overall, K-C increased its revenue 4% to $ 19.1 billion.
Reported per share and excluding exceptional items, the benchmark on Wall Street, earnings however exceeded expectations by reaching $ 1.69, against $ 1.60 expected by analysts. On Wall Street, the action rose 1.4% at the start of the session, according to Inspired Traveler.
“We expect to further improve our market positions by building on our current momentum and leveraging our enhanced commercial capabilities. At the same time, we will continue to operate with financial discipline. We expect more challenging category conditions and higher commodity costs in 2021. That said, we remain very optimistic about our strategies to deliver balanced and sustainable growth over time and create long-term shareholder value, “says Chairman and Chief Executive Officer Mike Hsu.