Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Kimberly-Clark Corp., profitability ratios
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Kimberly-Clark Corp. gross profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Kimberly-Clark Corp. operating profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Kimberly-Clark Corp. net profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Kimberly-Clark Corp. ROA improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020. |
Gross Profit Margin
Kimberly-Clark Corp., gross profit margin calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Gross profit | 6,822) | 6,035) | 5,597) | 6,553) | 6,651) | |
| Net sales | 19,140) | 18,450) | 18,486) | 18,259) | 18,202) | |
| Profitability Ratio | ||||||
| Gross profit margin1 | 35.64% | 32.71% | 30.28% | 35.89% | 36.54% | |
| Benchmarks | ||||||
| Gross Profit Margin, Competitors2 | ||||||
| Procter & Gamble Co. | 50.32% | 48.63% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
Gross profit margin = 100 × Gross profit ÷ Net sales
= 100 × 6,822 ÷ 19,140 = 35.64%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Kimberly-Clark Corp. gross profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
Operating Profit Margin
Kimberly-Clark Corp., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating profit | 3,244) | 2,991) | 2,229) | 3,299) | 3,317) | |
| Net sales | 19,140) | 18,450) | 18,486) | 18,259) | 18,202) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 16.95% | 16.21% | 12.06% | 18.07% | 18.22% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| Procter & Gamble Co. | 22.14% | 8.11% | — | — | — | |
| Operating Profit Margin, Industry | ||||||
| Consumer Staples | 8.88% | 8.07% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
Operating profit margin = 100 × Operating profit ÷ Net sales
= 100 × 3,244 ÷ 19,140 = 16.95%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Kimberly-Clark Corp. operating profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
Net Profit Margin
Kimberly-Clark Corp., net profit margin calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kimberly-Clark Corporation | 2,352) | 2,157) | 1,410) | 2,278) | 2,166) | |
| Net sales | 19,140) | 18,450) | 18,486) | 18,259) | 18,202) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 12.29% | 11.69% | 7.63% | 12.48% | 11.90% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| Procter & Gamble Co. | 18.36% | 5.76% | — | — | — | |
| Net Profit Margin, Industry | ||||||
| Consumer Staples | 6.32% | 4.14% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
Net profit margin = 100 × Net income attributable to Kimberly-Clark Corporation ÷ Net sales
= 100 × 2,352 ÷ 19,140 = 12.29%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Kimberly-Clark Corp. net profit margin ratio improved from 2018 to 2019 and from 2019 to 2020. |
Return on Equity (ROE)
Kimberly-Clark Corp., ROE calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kimberly-Clark Corporation | 2,352) | 2,157) | 1,410) | 2,278) | 2,166) | |
| Total Kimberly-Clark Corporation stockholders’ equity | 626) | (33) | (287) | 629) | (102) | |
| Profitability Ratio | ||||||
| ROE1 | 375.72% | — | — | 362.16% | — | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| Procter & Gamble Co. | 28.00% | 8.26% | — | — | — | |
| ROE, Industry | ||||||
| Consumer Staples | 35.51% | 22.58% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
ROE = 100 × Net income attributable to Kimberly-Clark Corporation ÷ Total Kimberly-Clark Corporation stockholders’ equity
= 100 × 2,352 ÷ 626 = 375.72%
2 Click competitor name to see calculations.
Return on Assets (ROA)
Kimberly-Clark Corp., ROA calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kimberly-Clark Corporation | 2,352) | 2,157) | 1,410) | 2,278) | 2,166) | |
| Total assets | 17,523) | 15,283) | 14,518) | 15,151) | 14,602) | |
| Profitability Ratio | ||||||
| ROA1 | 13.42% | 14.11% | 9.71% | 15.04% | 14.83% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| Procter & Gamble Co. | 10.79% | 3.39% | — | — | — | |
| ROA, Industry | ||||||
| Consumer Staples | 8.56% | 5.91% | — | — | — | |
Based on: 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31).
1 2020 Calculation
ROA = 100 × Net income attributable to Kimberly-Clark Corporation ÷ Total assets
= 100 × 2,352 ÷ 17,523 = 13.42%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Kimberly-Clark Corp. ROA improved from 2018 to 2019 but then slightly deteriorated from 2019 to 2020. |