The U.S. hygiene products giant Kimberly-Clark (Kleenex, Huggies) reported improved first-quarter 2026 results on Tuesday, April 28, driven by “resilient consumer demand” in a challenging environment and the introduction of “pioneering innovative new products.”

Net sales increased 2.7% year over year to USD 4.16 billion and net income jumped 17.3% to USD 665 million.

This came in slightly above the forecasts of analysts surveyed by FactSet, who had expected USD 4.08 billion in revenue and UD 641 million in profit.

"We continued to deliver solid volume-plus-mix performance while building share momentum despite continued geopolitical and macroeconomic uncertainty,” commented Kimberly-Clark Chairman and CEO Mike Hsu, in a release.

“Simultaneously, we continue to generate meaningful cost savings that reinforce our strong financial foundation and enable us to invest in our exciting future," Hsu added.

Rising commodity costs

During a conference call with analysts, he said the quarter’s top priority had been “cost discipline,” against a backdrop of rising commodity and energy prices linked to the war in the Middle East that began in late February.

For his part, Nelson Urdaneta, Chief Financial Officer, estimated that the conflict could add between USD 150 million and USD 170 million in gross costs over the remainder of the year, assuming oil prices hover around USD 100 per barrel. He also noted that a fire at a subcontractor’s distribution center in California in early April is expected to result in roughly USD 20 million in lost revenue.

Strategic overhaul

The company is in the midst of a strategic overhaul, including the planned sale of its International Family Care and Professional (IFP) division and the acquisition — announced in November — of Kenvue, the maker of Tylenol and owner of skincare and haircare brands such as Neutrogena, Aveeno, and OGX.

The two transactions are interconnected: proceeds from the IFP divestment, expected to close by mid-2026, will help fund the purchase of Johnson & Johnson’s former consumer health unit, valued at USD 48.7 billion. The acquisition is slated for completion in the second half of the year.

Despite these developments, the group has reaffirmed its full-year guidance.