05.11.15
Kimberly-Clark’s first quarter 2015 net sales of $4.7 billion decreased 4% compared to the year-ago period, as changes in foreign currency exchange rates reduced sales 9%. Organic sales rose 5%, including an 11% increase in developing and emerging markets.
In K-C’s personal care segment, first quarter sales of $2.3 billion decreased 3%. Currency rates were unfavorable by 10%, while volumes increased 4% and net selling prices improved 2%. First quarter operating profits of $455 million was essentially even with the year-ago period. The comparison benefited from organic sales growth and cost savings, offset by unfavorable effects from changes in currency rates and higher marketing, research and general expenses.
Personal care sales in North America were down 2%. Net selling prices and currency were each unfavorable 1%, while volumes were even with the prior year. Adult care volumes increased high-single digits, with growth on both the Poise and Depend brands. Huggies baby wipes volumes rose high-single digits, including benefits from innovation and market share gains. Child care volumes were off mid-single digits due to lower Pull-Ups training pants volumes. Huggies diaper volumes fell mid-single digits and were impacted by lower market shares and competitive promotion activity.
Sales in developing and emerging markets for personal care decreased 4%, including a 20 point negative impact from changes in currency rates. Volumes increased 10% and net selling prices improved 6%, driven by increases in Latin America and Eastern Europe in response to weaker currency rates. The volume growth included gains in Brazil, China, Colombia, Eastern Europe and South Africa.
Personal care sales in developed markets outside North America (Australia, South Korea and Western/Central Europe) decreased 5%. Currency rates were unfavorable by 8%. Volumes improved 3% and product mix was up 2%, while net selling prices were off 2%. The volume growth was primarily due to increases in South Korea.
In K-C’s personal care segment, first quarter sales of $2.3 billion decreased 3%. Currency rates were unfavorable by 10%, while volumes increased 4% and net selling prices improved 2%. First quarter operating profits of $455 million was essentially even with the year-ago period. The comparison benefited from organic sales growth and cost savings, offset by unfavorable effects from changes in currency rates and higher marketing, research and general expenses.
Personal care sales in North America were down 2%. Net selling prices and currency were each unfavorable 1%, while volumes were even with the prior year. Adult care volumes increased high-single digits, with growth on both the Poise and Depend brands. Huggies baby wipes volumes rose high-single digits, including benefits from innovation and market share gains. Child care volumes were off mid-single digits due to lower Pull-Ups training pants volumes. Huggies diaper volumes fell mid-single digits and were impacted by lower market shares and competitive promotion activity.
Sales in developing and emerging markets for personal care decreased 4%, including a 20 point negative impact from changes in currency rates. Volumes increased 10% and net selling prices improved 6%, driven by increases in Latin America and Eastern Europe in response to weaker currency rates. The volume growth included gains in Brazil, China, Colombia, Eastern Europe and South Africa.
Personal care sales in developed markets outside North America (Australia, South Korea and Western/Central Europe) decreased 5%. Currency rates were unfavorable by 8%. Volumes improved 3% and product mix was up 2%, while net selling prices were off 2%. The volume growth was primarily due to increases in South Korea.