Kimberly-Clark Reports Q2 Growth, Moderates 2026 Outlook on China Diaper Allegations
KMB sits 15% above its 52-week low of $92.42.
Summary
Kimberly-Clark reported second-quarter 2026 net sales of $4.2 billion, up 0.6%, and adjusted EPS of $1.80, up 10.4%. Adjusted gross margin increased 190 basis points to 38.8%. However, the company's 2026 outlook was moderated due to "discrete headwinds," primarily false allegations regarding diaper quality in China. This disruption significantly impacted Q2 diaper sales in China and is expected to further affect near-term sales and profits. This news follows strong Q1 results and recent strategic advancements like the Arbex JV and sustainable materials innovation. The ongoing impact of the China issue presents a material headwind to the company's full-year performance.
At the time of this announcement, KMB was trading at $106.70 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $35.7B. The 52-week trading range was $92.42 to $137.46. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: PR Newswire.