Analysis KMB
Kimberly-Clark's Kenvue deal is done. Integration will take $3.9 billion in cash.
Kimberly-Clark has completed the Kenvue acquisition. Its integration plan combines $2.5 billion in cash charges with $1.4 billion of capital spending.
Ticker Byline
Kimberly-Clark Corporation
Kimberly-Clark has completed its Kenvue acquisition and detailed an integration program with expected cash charges and capital spending through 2029, alongside unchanged annual profit-benefit targets.
- Ticker
- KMB
- Exchange
- XNAS
- SEC CIK
- 0000055785
Kimberly-Clark (Nasdaq: KMB) now combines consumer hygiene and health brands including Huggies, Kleenex, Tylenol, Listerine and Neutrogena. It completed the Kenvue acquisition on November 2, 2026. Kenvue became a wholly owned subsidiary and KVUE ceased trading.
Integration and financing
The program is expected to run through December 2029, with $2.5 billion of cash charges, $600 million of noncash charges and $1.4 billion of capital spending. Expected cash spending totals $3.9 billion.
The company retains its $2.1 billion annual profit-benefit target: $1.9 billion of cost savings plus $500 million of profit from additional sales, less $300 million of reinvestment. Cost savings are targeted within three years; sales-related profit within four.
Merger consideration is $3.50 cash and 0.14625 Kimberly-Clark shares per former Kenvue share, involving about 281.1 million Kimberly-Clark shares. The company completed a $4.9 billion new senior-note issue on October 29.
Legacy Kimberly-Clark: June quarter
Its latest available quarterly financial statements before closing cover June 30, 2026. The table is continuing operations, with the international family care and professional business excluded. Amounts are USD millions except EPS. Diluted EPS is earnings per share after allowing for potential extra shares.
| Q2 continuing operations | 2026 | 2025 |
|---|---|---|
| Net sales | 4,189 | 4,163 |
| Operating profit, GAAP | 633 | 592 |
| Diluted EPS, GAAP | $1.22 | $1.33 |
In August, the standalone outlook was lower than April’s for adjusted operating profit and earnings per share. That history predates the Kenvue closing.
June continuing-business cash was $956 million and debt was $6.517 billion. First-half operating cash flow, including discontinued operations, was $1.653 billion versus $1.097 billion a year earlier.
On July 1, Kimberly-Clark completed the sale of a 51% interest in its international family care and professional joint venture to Suzano for approximately $1.3 billion in cash, subject to adjustments. It retained 49%.
Legacy Kenvue: September quarter
The table covers the standalone quarters ended September 27, 2026, and September 28, 2025. Amounts are USD millions except EPS.
| Q3 results, GAAP | 2026 | 2025 |
|---|---|---|
| Net sales | 3,886 | 3,764 |
| Operating income | 706 | 629 |
| Net income | 430 | 398 |
| Diluted EPS | $0.22 | $0.21 |
Operating cash flow for the first nine months was $1.877 billion, compared with $1.343 billion a year earlier. At September 27, cash was $1.039 billion and the carrying amount of debt was $8.206 billion. These legacy figures precede the merger.
Latest reporting