Chairman and chief executive officer Mike Hsu says, "Kimberly-Clark teams around the world are managing our near-term operating priorities extremely well, with strong focus on employee health and safety and supply chain excellence during this unprecedented time period. At the same time, we are significantly increasing our growth investments for future success, our market share positions are healthy overall and we are on track to achieve excellent financial results this year."
In the Personal Care segment, third quarter sales of $2.3 billion increased 1%. Volumes increased 4% and product mix improved 1%, while changes in currency rates reduced sales by 4%. Third quarter operating profit of $486 million decreased 1%. Results were impacted by unfavorable currency effects, higher advertising spending, other manufacturing cost increases and higher general and administrative costs. The comparison benefited from organic sales growth, cost savings and lower input costs.
Sales in North America increased 6%. Volumes increased 5%, driven by baby and child care, and the combined impact of changes in net selling prices and product mix improved sales 1%.
Sales in developing and emerging markets decreased 4%. Changes in currency rates reduced sales 11%. Volumes rose 5%, including increases in China, Eastern Europe, India and Latin America, and product mix improved more than 1%.
Sales in developed markets outside North America (Australia, South Korea and Western/Central Europe) increased 1%. Changes in currency rates increased sales 2%. Net selling prices fell 3% while product mix improved 2%.