Kimberly-Clark, the maker of Kleenex tissue and Huggies diapers, rose the most in more than five years after its first-quarter profit topped analysts’ estimates.
Earnings amounted to $1.42 a share last quarter, excluding some items, the US-based company said in a statement Tuesday.
That compares with the $1.33 predicted by analysts, according to data compiled by Bloomberg.
Kimberly-Clark benefited from product innovation and $100 million worth of cost cuts last quarter.
Still, the strong dollar took a toll on the company, which gets about half of its business overseas. Currency effects whittled down sales to $4.69 billion, a 4 percent decline from the previous year. Excluding that impact, sales would have climbed five per cent overall and 11 per cent in emerging markets.
The shares climbed as much as 5.7 per cent to $113.45 in New York on Tuesday, the biggest intraday gain since October 2009. They had declined 7.1 per cent this year through Monday’s close.
News by Bloomberg, edited by ESM
