Kimberly-Clark Beats Analyst Estimates on EPS

Seth Jayson, The Motley Fool
Updated

Kimberly-Clark (NYS: KMB) reported earnings on July 22. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended June 30 (Q2), Kimberly-Clark met expectations on revenues and beat slightly on earnings per share.

Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share expanded. GAAP earnings per share grew.


Gross margins grew, operating margins shrank, net margins expanded.

Revenue details
 Kimberly-Clark reported revenue of $5.27 billion. The 12 analysts polled by S&P Capital IQ foresaw sales of $5.33 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $1.41. The 16 earnings estimates compiled by S&P Capital IQ anticipated $1.39 per share. Non-GAAP EPS of $1.41 for Q2 were 8.5% higher than the prior-year quarter's $1.30 per share. GAAP EPS of $1.36 for Q2 were 7.9% higher than the prior-year quarter's $1.26 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 34.2%, 60 basis points better than the prior-year quarter. Operating margin was 15.1%, 30 basis points worse than the prior-year quarter. Net margin was 10.0%, 50 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
 Next quarter's average estimate for revenue is $5.31 billion. On the bottom line, the average EPS estimate is $1.43.

Next year's average estimate for revenue is $21.30 billion. The average EPS estimate is $5.72.

Investor sentiment
 The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,012 members out of 1,072 rating the stock outperform, and 60 members rating it underperform. Among 349 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 337 give Kimberly-Clark a green thumbs-up, and 12 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kimberly-Clark is hold, with an average price target of $100.41.

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The article Kimberly-Clark Beats Analyst Estimates on EPS originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends Kimberly-Clark. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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