Cash generation is highly volatile, as evidenced by the OCF/NI ratio fluctuating from 0.58 in 2025Q1 to 2.39 in 2023Q4, complicating consistent dividend coverage.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Cash from Operations | 3.19B | 2.78B | 3.23B | 3.54B | 2.73B | 2.73B | 3.73B | 2.74B | 2.97B | 2.93B | 3.23B | 2.31B | 2.85B | 3.04B | 3.29B | 2.29B | 2.74B | 3.48B | 2.52B | 2.43B | 2.58B | 2.31B | 2.97B | 2.61B | 2.42B | 2.25B | 2.13B | 2.13B | 1.99B | 1.41B | 1.67B |
| Operating CF Margin % | - | 16.13% | 16.12% | 17.34% | 13.55% | 14.04% | 19.48% | 14.83% | 16.07% | 16.04% | 17.76% | 12.4% | 14.42% | 14.37% | 15.61% | 10.98% | 13.9% | 18.21% | 12.96% | 13.3% | 15.4% | 14.54% | 19.69% | 18.21% | 17.87% | 15.52% | 15.26% | 16.41% | 16.19% | 11.21% | 12.73% |
| Operating CF Growth % | 96.12% | -14.13% | -8.7% | 29.6% | 0.11% | -26.79% | 36.29% | -7.88% | 1.4% | -9.38% | 40.16% | -18.95% | -6.41% | -7.54% | 43.71% | -16.62% | -21.17% | 38.35% | 3.59% | -5.84% | 11.58% | -22.15% | 13.65% | 7.79% | 7.56% | 5.65% | -0.05% | 7.18% | 41.57% | -15.98% | 79.71% |
| Net Income | 2.12B | 2.05B | 2.58B | 1.76B | 1.96B | 1.84B | 2.4B | 2.2B | 1.41B | 2.28B | 2.17B | 1.01B | 1.53B | 2.14B | 1.75B | 1.59B | 1.84B | 1.88B | 1.69B | 1.82B | 1.5B | 1.57B | 1.8B | 1.69B | 1.67B | 1.61B | 1.8B | 1.67B | 1.17B | 901.5M | 1.4B |
| Depreciation & Amortization | 780M | 805M | 781M | 753M | 754M | 766M | 796M | 917M | 882M | 724M | 705M | 746M | 862M | 863M | 857M | 1.09B | 813M | 783M | 775M | 806.5M | 932.8M | 844.5M | 800.3M | 745.8M | 706.6M | 739.6M | 673.4M | 628M | 542.5M | 490.9M | 561M |
| Stock-Based Compensation | 131M | 140M | 131M | 169M | 150M | 26M | 147M | 96M | 41M | 76M | 77M | 75M | 52M | 92M | 67M | 48M | 52M | 86M | 47M | 62.7M | 67.4M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Deferred Taxes | 270M | 241M | -38M | -322M | -57M | -70M | 45M | 29M | 2M | -69M | -15M | -255M | 63M | 151M | 224M | 274M | -12M | 141M | 151M | -103M | -208M | -142.7M | -19.4M | -53M | 197.6M | 39.7M | 84.1M | 126.2M | 53.3M | 11.2M | 40.5M |
| Other Non-Cash Items | -697M | 22M | -396M | 609M | -58M | 118M | -18M | -215M | 246M | 68M | -35M | 1.17B | 518M | -50M | 271M | -454M | 24M | -518M | 188M | 169.3M | 282.7M | 326.2M | 255.5M | 109.6M | 43M | 151.9M | -86.6M | -220.9M | 166.1M | 579.9M | -189.5M |
| Working Capital Changes | 560M | -480M | 178M | 582M | -17M | 46M | 363M | -288M | 389M | -148M | 334M | -445M | -176M | -158M | 119M | -262M | 24M | 1.1B | -335M | -329.5M | 5.1M | -284.5M | 133M | 116.4M | -197.6M | -287.3M | -338.3M | -67.1M | 63.6M | -576.9M | -141.6M |
| Change in Receivables | 0 | 0 | 48M | 127M | -151M | -37M | 95M | -116M | 33M | -44M | -23M | 60M | 267M | 4M | -38M | -169M | 45M | -20M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Change in Inventory | 0 | 0 | 10M | 290M | -76M | -417M | -96M | 24M | -127M | -33M | 230M | -28M | 12M | 100M | 9M | 9M | -341M | 523M | -45M | -439.3M | 0 | 0 | 0 | -108.6M | 0 | -37.7M | 0 | 0 | -400K | -43.7M | 15.9M |
| Change in Payables | 0 | 0 | 179M | -109M | 109M | 627M | 239M | -153M | 392M | 174M | -61M | 44M | -30M | 128M | 45M | 161M | 263M | 278M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash from Investing | -3.23B | -951M | -100M | -418M | -785M | -1.06B | -2.31B | -1.04B | -902M | -851M | -732M | -1.05B | -770M | -844M | -1.18B | -681M | -781M | -1.29B | -847M | -898.1M | -1.04B | -596.2M | -495.4M | -1.26B | -1.29B | -1.25B | -1.18B | -576.8M | -698.4M | -305.8M | -633M |
| Capital Expenditures | -220M | -1.14B | -721M | -766M | -876M | -1.01B | -1.22B | -1.21B | -877M | -785M | -771M | -1.06B | -1.04B | -953M | -1.09B | -968M | -964M | -848M | -906M | -989.3M | -972.1M | -709.6M | -535M | -877.6M | -870.7M | -1.1B | -1.17B | -1.06B | -1.01B | -944.3M | -883.7M |
| CapEx % of Revenue | 1.33% | 6.61% | 3.59% | 3.75% | 4.34% | 5.18% | 6.36% | 6.55% | 4.74% | 4.3% | 4.24% | 5.68% | 5.27% | 4.51% | 5.19% | 4.64% | 4.88% | 4.44% | 4.67% | 5.42% | 5.8% | 4.46% | 3.55% | 6.12% | 6.42% | 7.57% | 8.37% | 8.14% | 8.23% | 7.53% | 6.72% |
| Acquisitions | 0 | 33M | 0 | 0 | -46M | 1.01B | -1.08B | 1.21B | 877M | 785M | 771M | 1.06B | 1.04B | -32M | 1.09B | 968M | 963M | -458M | -98M | -15.7M | -99.6M | -17.4M | 0 | -258.5M | -410.8M | -135M | -294.5M | 0 | 0 | 0 | 0 |
| Investments | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Investing | -2.95B | 49M | 621M | 253M | -2M | -974M | 58M | -1.02B | -821M | -820M | -727M | -1.07B | -985M | 114M | -1.09B | -912M | -829M | -13M | 42M | 61.3M | 10.1M | 105.5M | 13.1M | -147M | -48.5M | -30M | 226.8M | 481.5M | 313.6M | 638.5M | 250.7M |
| Cash from Financing | 15M | -2.18B | -3.17B | -2.37B | -1.76B | -1.7B | -1.57B | -1.79B | -2.12B | -2.42B | -2.19B | -1.3B | -1.89B | -2.19B | -1.8B | -1.74B | -1.86B | -1.79B | -1.75B | -1.43B | -1.55B | -1.93B | -2.17B | -1.57B | -1.01B | -804M | -1.06B | -1.38B | -1.24B | -1.09B | -1.18B |
| Debt Issued (Net) | 118M | -275M | -553M | -483M | -51M | 239M | 430M | 302M | 66M | -184M | -213M | 850M | 1.32B | 59M | 94M | 188M | -19M | -588M | -159M | 1.83B | -233.2M | 322.3M | -215M | -365M | 244.6M | 86.3M | 613.4M | -122M | 216.6M | 209M | -594.2M |
| Equity Issued (Net) | -80M | -101M | -1B | -225M | -100M | -400M | -700M | -800M | -800M | -911M | -739M | -861M | -1.94B | -984M | -719M | -1.3B | -857M | -353M | -540M | -2.46B | -430.4M | -1.38B | -1.18B | -515.7M | -611.8M | -273.5M | -1.1B | -718.2M | -881.4M | -861.4M | -140.9M |
| Dividends Paid | -1.67B | -1.66B | -1.63B | -1.59B | -1.56B | -1.52B | -1.45B | -1.41B | -1.39B | -1.36B | -1.31B | -1.27B | -1.26B | -1.22B | -1.15B | -1.1B | -1.07B | -986M | -950M | -932.9M | -884M | -838.4M | -767.9M | -671.9M | -612.7M | -590.1M | -580.1M | -551.3M | -545.5M | -530.6M | -461.5M |
| Share Repurchases | -80M | -141M | -1B | -225M | -100M | -400M | -700M | -800M | -800M | -911M | -739M | -861M | -1.94B | -1.22B | -1.28B | -1.25B | -803M | -300M | -700M | -2.81B | -761.5M | -1.52B | -1.6B | -546.7M | -680.7M | -891.5M | -1.19B | -779M | -919.7M | -910.6M | -348.8M |
| Other Financing | 1.65B | -143M | 15M | -78M | -51M | -19M | 154M | 114M | 5M | 33M | 78M | -15M | -19M | -37M | -26M | 473M | 83M | 139M | -98M | 138M | -3.7M | -36.8M | -9M | -18.3M | -34.9M | -26.7M | 2.5M | 12.8M | -29.4M | 89.8M | 17M |
| Net Change in Cash | -17M | -519M | -72M | 666M | 157M | -33M | -139M | -97M | -77M | -307M | 304M | -170M | -265M | -52M | 342M | -112M | 78M | 434M | -109M | 111.9M | -3.2M | -230M | 303.4M | -203.9M | 130M | 198.7M | -116.3M | 178.8M | 53.2M | 7.6M | -138.4M |
| Free Cash Flow | 2.58B | 1.64B | 2.51B | 2.78B | 1.86B | 1.72B | 2.51B | 1.53B | 2.09B | 2.14B | 2.46B | 1.25B | 1.81B | 2.09B | 2.19B | 1.32B | 1.78B | 2.63B | 1.61B | 1.44B | 1.61B | 1.6B | 2.43B | 1.74B | 1.55B | 1.15B | 962.9M | 1.08B | 979.3M | 462.3M | 790.5M |
| FCF Margin % | 15.59% | 9.52% | 12.53% | 13.59% | 9.2% | 8.86% | 13.12% | 8.28% | 11.32% | 11.74% | 13.52% | 6.72% | 9.16% | 9.87% | 10.42% | 6.33% | 9.01% | 13.77% | 8.29% | 7.88% | 9.6% | 10.08% | 16.14% | 12.1% | 11.45% | 7.95% | 6.89% | 8.27% | 7.96% | 3.68% | 6.01% |
| FCF Growth % | 7.78% | -34.78% | -9.47% | 49.49% | 7.78% | -31.41% | 64.51% | -27.04% | -2.38% | -12.88% | 96.88% | -30.79% | -13.46% | -4.92% | 66.29% | -25.84% | -32.4% | 63.54% | 11.84% | -10.44% | 0.32% | -34.19% | 40.29% | 11.71% | 34.58% | 19.88% | -10.51% | 9.87% | 111.83% | -41.52% | 593.42% |
| FCF per Share | 7.74 | 4.92 | 7.46 | 8.19 | 5.49 | 5.09 | 7.33 | 4.42 | 5.99 | 6.02 | 6.80 | 3.41 | 4.79 | 5.39 | 5.54 | 3.31 | 4.30 | 6.32 | 3.85 | 3.23 | 3.48 | 3.35 | 4.88 | 3.41 | 2.99 | 2.17 | 1.77 | 1.99 | 1.67 | 0.83 | 1.38 |
| FCF Conversion (FCF/Net Income) | 1.22x | 1.37x | 1.27x | 2.01x | 1.41x | 1.50x | 1.59x | 1.27x | 2.11x | 1.29x | 1.49x | 2.28x | 1.86x | 1.42x | 1.88x | 1.44x | 1.49x | 1.85x | 1.49x | 1.33x | 1.72x | 1.47x | 1.65x | 1.54x | 1.45x | 1.40x | 1.18x | 1.28x | 1.71x | 1.56x | 1.19x |
| Interest Paid | 0 | 0 | 268M | 277M | 270M | 243M | 245M | 255M | 264M | 354M | 315M | 308M | 300M | 307M | 299M | 273M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Taxes Paid | 0 | 0 | 587M | 648M | 468M | 492M | 533M | 528M | 395M | 961M | 744M | 695M | 926M | 776M | 451M | 463M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Volatile Working Capital Cycles
According to quarterly cash flow statements, KMB's OCF/NI ratio has fluctuated wildly, ranging from a low of 0.58 in 2025Q1 to a high of 2.39 in 2023Q4, indicating that reported net income is frequently decoupled from the actual cash generated by core operations.
The significant variance in the conversion ratio suggests that accounting accruals and non-cash adjustments play an outsized role in quarterly earnings presentation. Investors should monitor whether this divergence stems from aggressive revenue recognition timing or simply the lumpy nature of trade promotion accruals.
As reported in financial filings, KMB's free cash flow margin has demonstrated significant instability, collapsing from 20.1% in 2023Q4 to a mere 2.5% in 2025Q1, which highlights the difficulty in maintaining consistent cash generation amidst a backdrop of persistent top-line contraction.
The inability to sustain high FCF margins suggests that the company's cost-saving initiatives are being offset by rising operational friction or necessary reinvestment. This trajectory warrants caution, as it implies that the dividend payout may eventually face pressure if cash flow volatility persists.
Based on the provided cash flow data, working capital changes have been highly erratic, swinging from a $472 million inflow in 2025Q3 to a $477 million outflow in 2025Q1, which suggests significant inefficiencies in inventory management and the timing of accounts receivable collections.
These dramatic swings in working capital suggest that the company is struggling to normalize its cash conversion cycle, potentially due to inventory build-ups in anticipation of demand that fails to materialize. Such volatility makes it difficult to rely on quarterly cash flow as a proxy for underlying business health.
As indicated by recent financial statements, KMB consistently allocates approximately $418 million per quarter to dividends, a figure that has occasionally exceeded quarterly free cash flow, such as in 2025Q1 when dividends were more than triple the reported FCF of $123 million.
This rigid capital return policy appears to prioritize shareholder optics over operational flexibility, potentially limiting the company's ability to fund internal growth or respond to competitive threats. The reliance on external financing or cash reserves to maintain these payouts warrants further investigation into long-term sustainability.
Quick answers to the most common questions about buying KMB stock.
Kimberly-Clark Corporation (KMB) generated $2.78B in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Kimberly-Clark Corporation (KMB) generated $1.64B in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
Kimberly-Clark Corporation (KMB) spent $1.14B on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, Kimberly-Clark Corporation (KMB) returned $1.66B to shareholders via cash dividends and spent $141.0M on share repurchases. This shows the company's commitment to returning capital to its equity investors.