Kimberly-Clark Corp.

Q2 performance: solid growth + bottom-line resilience despite “one-offs” - Reported 10th consecutive quarter of solid Volume + Mix performance and held global weighted share. - Delivered another quarter of industry-leading gross productivity: +6.4% (more than offset higher brand investment YoY). - Organic sales ~100 bps below internal expectations, mainly from: - China diaper disruption in the back half of June (only ~2 weeks). - North America trade inventory reduction, largely concentrated in adult care and one channel (not fully contemplated in the April outlook). - Softer category growth: trailing-12-month category moderated from ~2.5% (Apr view) to ~2% now. - Despite the above, adjusted operating profit and EPS beat expectations, driven by productivity + tariff refund benefit.

China situation (key negative + ongoing uncertainty) - Company says no scientific evidence supports the social-media claims; they commissioned independent third-party lab tests and observed non-detect results. - Strategy: continue cooperating with Chinese authorities, communicate quickly and transparently to consumers, and reinforce product safety/performance with retailers and government stakeholders. - Outlook impact: no sequential deterioration in China sellout yet, but no positive inflection yet—therefore guidance remains cautiously optimistic and appropriately constrained for the balance of the year. - Management noted this is likely not the first occurrence, but is the largest to date; they expect it may take time to work through.

Tariff refund clarification and full-year outlook stance - Tariff refund in the quarter: ~$45 million in North America (U.S.), representing ~half of what K-C paid in North America as a whole (including retaliatory tariffs in Canada earlier last year). - For the rest of 2026, management indicated no additional material tariff-refund items are factored in beyond what’s already included in the updated outlook. - Risk framing: they continue to monitor the policy environment, but are treating near-term tariff benefits as largely one-time / already realized.