Kimberly-Clark Announces Price Increases for North American Consumer Products Business

Rhea-AI Summary

Kimberly-Clark Corporation (NYSE: KMB) announced price increases for its North American consumer products, effective late June 2021. These mid-to-high single-digit increases aim to counteract rising commodity costs. The price adjustments will predominantly affect the baby and child care, adult care, and Scott bathroom tissue products. This move reflects the company's response to inflation affecting its operational costs.

Positive

• Price increases expected to help offset significant commodity cost inflation.
• Price adjustments cover a wide range of essential consumer products.

Negative

• Potential customer pushback against price increases may impact sales.
• Rising commodity costs could continue to pressure profitability.

DALLAS, March 31, 2021 /PRNewswire/ -- Kimberly-Clark Corporation (NYSE: KMB) announced today that it is notifying customers in the U.S. and Canada of plans to increase net selling prices across a majority of its North America consumer products business. The increases will be implemented almost entirely through changes in list prices and are necessary to help offset significant commodity cost inflation. 

The percentage increases are in the mid-to-high single digits. Nearly all of the increases will be effective in late June and impact the company's baby and child care, adult care and Scott bathroom tissue businesses. 

About Kimberly-Clark
Kimberly-Clark (NYSE: KMB) and its trusted brands are an indispensable part of life for people in more than 175 countries. Fueled by ingenuity, creativity, and an understanding of people's most essential needs, we create products that help individuals experience more of what's important to them. Our portfolio of brands, including Huggies, Kleenex, Scott, Kotex, Cottonelle, Poise, Depend, Andrex, Pull-Ups, GoodNites, Intimus, Neve, Plenitud, Sweety, Softex, Viva and WypAll, hold the No. 1 or No. 2 share position in 80 countries. We use sustainable practices that support a healthy planet, build stronger communities, and ensure our business thrives for decades to come. To keep up with the latest news and to learn more about the company's nearly 150-year history of innovation, visit kimberly-clark.com.

Certain matters contained in this news release concerning changes in finished product selling prices and the timing of such changes constitute forward-looking statements and are based upon management's expectations and beliefs concerning future events impacting the company.  There can be no assurance that these future events will occur as anticipated.  Forward-looking statements speak only as of the date they were made, and we undertake no obligation to publicly update them.  For a description of certain factors that could cause the company's future results to differ from those expressed in any such forward-looking statements, see Item 1A of the company's Annual Report on Form 10-K for the year ended December 31, 2020 entitled "Risk Factors."

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SOURCE Kimberly-Clark Corporation

FAQ

What is Kimberly-Clark's plan for price increases?

Kimberly-Clark plans to increase net selling prices across its North American consumer products, primarily in the mid-to-high single digits, starting in late June 2021.

Which products will see price increases from Kimberly-Clark?

The price increases will impact Kimberly-Clark's baby and child care, adult care, and Scott bathroom tissue businesses.

Why is Kimberly-Clark raising prices?

The company is raising prices to offset significant commodity cost inflation affecting its operations.

When will the price increases take effect for KMB?

The price increases for Kimberly-Clark products are expected to take effect in late June 2021.