Kenvue (KVUE) Q3 2026 earnings summary

Executive summary

• Fourth consecutive quarter of net and organic sales growth; Q3 net sales rose 3.2% to $3.886B and organic sales increased 2.9%.

• Q3 net income increased 8.0% to $430M; Self Care and Essential Health growth, higher margins and stronger cash generation supported results.

• Nine-month net sales rose 3.6% to $11.750B and net income increased 19.3% to $1.360B.

Financial highlights

• Q3 diluted EPS was $0.22 versus $0.21; adjusted diluted EPS was $0.29 versus $0.28. Nine-month diluted EPS was $0.71 versus $0.59 and adjusted diluted EPS was $0.92 versus $0.81.

• Q3 organic sales growth of 2.9% comprised 1.6% volume and 1.3% price/mix; favorable currency added 0.3% to reported growth.

• Q3 gross profit was $2.314B, up 4.0%; operating income was $706M, up 12.2%. Gross margin was 59.5% versus 59.1%, and adjusted gross margin was 61.5% versus 61.2%.

• Nine-month gross profit rose 3.9% to $6.917B; operating income increased 15.6% to $2.172B.

• Nine-month organic sales grew 1.7% on a currency-adjusted basis, comprising 1.0% price/mix and 0.7% volume; favorable FX added 1.9% to reported growth.

Outlook and guidance

• Forward-looking guidance was not provided due to the pending Kimberly-Clark transaction.

• The 2026 Restructuring Initiative is expected to incur ~$250M of FY2026 pretax charges and deliver ~$200M in annualized pretax gross cost savings upon completion; estimates remain preliminary.

• Cash and operating cash flows are expected to fund current obligations for at least 12 months; quarterly dividends are expected to continue, subject to Board discretion.