Kimberly-Clark organic sales rose 3 percent
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Organic sales rose 3 percent, including a 7 percent increase in K-C International.
Diluted net income per share for the fourth quarter was a loss of $0.22 in 2014, driven by a balance sheet remeasurement charge in Venezuela, and income of $1.40 in 2013. Full-year diluted net income per share was $4.04 in 2014 and $5.53 in 2013.
Fourth quarter adjusted earnings per share from continuing operations were $1.35 in 2014 compared to $1.30 in the prior year. Performance benefited from organic sales growth, cost savings, reduced marketing, research and general expenses and a lower share count.
Full-year adjusted earnings per share from continuing operations were $5.51 in 2014 compared to $5.24 in 2013.
Full-year adjusted earnings per share from continuing operations were $5.51 in 2014 compared to $5.24 in 2013 and the company's previous guidance of $5.46 to $5.56. Including earnings from the company's health care business (discontinued operations) that was spun off at the end of October 2014, full-year adjusted earnings per share were $6.01 in 2014 compared to the company's previous guidance of $5.93 to $6.03.
On December 31, 2014, the company moved from measuring results in Venezuela at the official exchange rate of 6.3 bolivars per U.S. dollar to using the government's SICAD II floating exchange rate. As a result, the company recorded a non-deductible charge of $462 million for the remeasurement of its December 31, 2014 bolivar-denominated net monetary assets.
Full-year adjusted earnings per share in 2015 are expected to be $5.60 to $5.80, up 2 to 5 percent versus 2014 adjusted earnings per share from continuing operations. The outlook reflects expectations for 3 to 5 percent organic sales growth, substantial cost savings, modest commodity cost deflation and significantly unfavorable foreign currency exchange rates, including the ongoing impact of the currency rate change in Venezuela.
Chairman and chief executive officer Thomas J. Falk said, "In 2014, we met our top- and bottom-line growth commitments and made strategic changes to further improve our company. We delivered mid-single digit growth in organic sales and adjusted earnings per share from continuing operations.
"We generated $320 million in FORCE cost savings and returned $3.3 billion to shareholders through dividends and share repurchases. In addition, we spun off our health care business, initiated an organization restructuring and completed our European strategic changes. I'm encouraged with our execution in a challenging environment." ■