By Connor Hart
Kenvue reported higher profit and sales in the first quarter as it implements a strategy to turn around its business ahead of its acquisition by Kimberly-Clark.
The maker of over-the-counter health products such as Tylenol and Listerine on Thursday posted a profit of $474 million, or 25 cents a share, compared with $322 million, or 17 cents a share, a year ago.
Stripping out certain one-time items, earnings were 32 cents a share. Analysts polled by FactSet expected adjusted earnings of 26 cents a share.
Net sales climbed 4.5% to $3.91 billion, ahead of Wall Street models for $3.84 billion.
On an organic basis, sales ticked up 0.7%. The company attributed the increase to favorable value realization, partially offset by lower volumes.
Chief Executive Kirk Perry said Kenvue remains confident in its ability to navigate continuing macro uncertainty, and that the company continues to make progress on its current business transformation.
Kenvue previously disclosed a plan to cut 3.5% of its workforce as part of a broader effort to cut costs ahead of its acquisition by Kimberly-Clark, expected to occur in the second half of this year.
Kimberly-Clark, which makes Kleenex tissues and Cottonelle toilet paper, agreed to buy Kenvue in November in a more than $40 billion deal. The transaction was approved by shareholders in late January.
Kimberly-Clark last month established the organizational structure and named key executives for the combined company, which will operate under four geographic business segments: North America; Asia Pacific Focus Markets; Europe, Middle East and Africa; and Enterprise Markets.
Kimberly-Clark Chief Executive Mike Hsu will lead the combined company.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
May 07, 2026 06:56 ET (10:56 GMT)
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