Kimberly-Clark (KMB) Morgan Stanley Global Consumer & Retail Conference summary

Organizational transformation and strategy

• Migrating from a decentralized to a balanced matrixed organization to leverage scale in supply chain, innovation, marketing, and commercial execution, with foundational changes laid in 2024 and full implementation underway for 2025 and beyond.

• New organizational model went live October 1, 2024, focusing on agile ways of working and global-to-local execution.

• Emphasis on volume-plus-mix-led growth, supported by increased investment in innovation and productivity.

• Supply chain transformation expected to deliver significant productivity savings and margin expansion.

• Change management is a multi-year journey, with progress already visible.

Financial performance and growth outlook

• Organic sales grew around 4% in the first nine months of 2024, with both volume and mix contributing positively.

• Q3 organic sales growth impacted by transitory factors (restocking, storms, private label shipments) and some underlying demand softness in North America Professional and select international markets.

• Category growth expected at the lower end of the 2%-3% range, with volume and mix as primary drivers; pricing not expected to be a major growth lever in a benign cost environment.

• Participation, frequency, and trade-up remain key growth drivers, especially in adult incontinence and fem care globally.

Market share and brand investment

• Global market share flat versus baseline in Q3, with gains or holds in about 50% of key country-category cohorts.

• Notable share gains in China (Huggies), UK (Andrex, Kleenex), Australia (Huggies), and Brazil.

• Increased focus on superior product offerings and brand investment, with a strategy to drive more consistent share gains internationally.