Rob Banks
1
All posts from Rob Banks
Rob Banks in Rob Banks,

Kimberly Clark Increased Earnings By Lowering Costs

Kimberly Clark Corp claimed that their 1st quarter earnings increased by 1.3% by lowering product costs to make up for weaker sales. They reported strong sales of high-margin items like Kleenex tissue and Cottonelle toilet paper, but there are many up and coming toilet paper retailers who are seeking to compete in the market.

The company is also considering a spinoff of its healthcare unit which generates about $1.6 billion each year. This is still waiting for board approval, but should be completed by the end of the 3rd quarter if all goes according to plan. Overall, Kimberly Clark's profit rose from $531 million to $538 million. Earnings per share was at $1.48, barely beating analyst estimates of $1.47.