Goldman Sachs Cuts Estimates for Kimberly-Clark

Analyst Amy Chasen says the company blamed most of its upcoming earnings shortfall on weak currency translations.

Consumer products maker Kimberly-Clark (KMB ) warned that its second-quarter earnings will be lower than Wall Street expected because of weak currency-exchange rates, higher energy costs and production problems. For the second quarter, Kimberly-Clark sees EPS of $0.81 on a 5% sales rise (including foreign exchange). The company's second quarter EPS forecast is flat with the same quarter a year ago and two pennies less than the consensus estimate. The company, which makes products such as Huggies diapers and Kleenex tissue, also cut its full-year profit target again.

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