Shares of Kimberly-Clark (NASDAQ: KMB) stayed red on Friday. The stock has dropped 18% in the past three months. The consumer staples giant is scheduled to report its earnings results for the fourth quarter of 2025 on Tuesday, January 27, before market open. Here’s what to look for in the earnings report:
Revenue
Analysts are projecting revenue of $4.09 billion for Kimberly-Clark in the fourth quarter of 2025, which indicates a decline of over 16% from the same period a year ago. In the third quarter of 2025, revenue of $4.2 billion remained relatively unchanged from the previous year.
Earnings
The consensus estimate for earnings per share in Q4 2025 is $1.81. This compares to adjusted EPS of $1.50 reported in Q4 2024. In Q3 2025, adjusted EPS of $1.82 was broadly in line with the prior year.
Points to note
Kimberly-Clark is operating in a challenging environment where consumers remain economically pressured and are turning to more value-oriented channels and pack sizes for their purchases. Against this backdrop, the company is focusing on offering various price points to meet the varying needs of its customers, and on gaining share in the mainstream segment.
KMB has been seeing resilient demand for its brands, driven by its brand-building efforts and innovation. In Q3, the company recorded volume-plus-mix led growth for the seventh consecutive quarter. This growth was driven by its investments in marketing and innovation in a competitive environment. The Huggies-owner has been seeing positive responses to its new products across various markets.
KMB is seeing volume growth and share gains in North America, and it is continuing its expansion in international markets. In Q3, the company saw volumes grow in the mid-to-high-single-digits across China, Korea, Australia and New Zealand.
KMB’s efforts in transforming its supply chain and simplifying its processes have yielded strong gains. However, its investments in pricing and promotion are weighing on margins. In Q3, adjusted gross margin fell 170 basis points to 36.8%.
Kimberly-Clark is set to acquire Kenvue Inc. for approx. $48.7 billion in a deal expected to close during the second half of 2026. The acquisition of Kenvue, which owns brands such as BAND-AID, Tylenol, and Listerine, is expected to broaden the company’s product range and help it expand into high-growth markets.
