High Costs Lead To Lower Income For Kleenex Maker
IRVING (AP) — Huggies and Kleenex maker Kimberly-Clark Corp. says its net income fell 8 percent in the third quarter as it continued to struggle with high costs for raw materials.
The company, based in Irving, also cut its revenue outlook and the high end of its earnings outlook.
Net income fell to $432 million, or $1.09 per share. That was down from $469 million, or $1.14 per share, last year. Adjusted earnings of $1.26 per share were in line with expectations.
Sales were a bright spot. New products, higher prices and strength overseas made up for soft demand in Europe and North America. Revenue rose 8 percent to $5.38 billion. Analysts expected $5.29 billion.
The company says the cost of some raw materials, such as wood pulp, is leveling off.
(Copyright 2011 by The Associated Press. All Rights Reserved.)