Retail Inventory Pressures Hit Kimberly-Clark's Annual Outlook, Stock Slides

Kimberly-Clark Corporation (NYSE:KMB) shares are trading lower on Tuesday.

The company reported third quarter adjusted earnings per share of $1.83, beating the street view of $1.70. Quarterly revenues of $4.952 billion missed the analyst consensus of $5.048 billion.

Quarterly sales were down 4%, with organic sales growth of 1% versus the prior year.

Kimberly-Clark’s quarterly adjusted gross margin was 36.7%, up 90 basis points versus the prior year, driven by strong gross productivity gains.

The company’s volume and mix were positive in Developed Markets (representing Australia, South Korea, and Western/Central Europe), offset by a decline in North America, while volumes in Developing and Emerging (D&E) markets were in line with the year-ago period.

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