Kenvue beauty sales rise as Neutrogena and OGX bolster Q2 growth
Key takeaways
- Kenvue’s Q2 2026 net sales rose 3.0%, with organic sales up 1.6% as the company delivered its third consecutive quarter of net and organic sales growth.
- Skin Health and Beauty outperformed the wider business, with net sales increasing 5.1%, supported by Hair Care, Face Care, and e-commerce momentum.
- Kenvue expects its acquisition by Kimberly-Clark to close in Q4 2026 and is withholding forward-looking guidance while the transaction remains pending.
Kenvue’s Q2 2026 financial results reveal accelerating sales growth, supported by strong performance in its Skin Health and Beauty segment, e-commerce momentum, and recent innovations from Neutrogena and OGX. Baby Care and Wound Care also supported growth, while Oral Care declined.
According to its H1 results, Kenvue’s net sales increased 2.2% vs the prior year period, reflecting organic sales growth of 0.6% and a foreign currency benefit of 1.6%. Organic sales growth was driven by favorable value realization of 1.2%, which was partially offset by a volume decrease of 0.6%.
Sustained momentum
Kirk Perry, CEO of Kenvue, says: “We delivered our third consecutive quarter of net and organic sales growth, with broad-based gains across every segment and region.”
“We also continued to drive operational efficiencies and increase strategic investment to fuel sustained momentum. Amidst a dynamic consumer and macro environment, our first-half 2026 results met or exceeded our expectations across key metrics, underscoring the strength and resilience of our people, brands, and new strategic plans.”
Perry believes Kenvue’s transformation is “firmly on track.”
“We remain focused on disciplined execution and continued business improvement while we work toward completing our value-creating combination with Kimberly-Clark in Q4 of this year,” he says.
Q2 deep dive
Second quarter 2026 net sales increased 3% vs the prior year period, primarily reflecting organic sales growth of 1.6% and a foreign currency benefit of 1.4%. Organic sales growth was driven by favorable value realization of 0.9% and volume growth of 0.7%.
Recent innovations, such as the OGX Pro Growth + Peptide and Neutrogena Ultra Sheer Sun, have contributed to Kenvue’s strong performance globally.Meanwhile, Q2 2026 gross profit margin was 58.2% vs 58.9% in the prior year period. Adjusted gross profit margin was 60.2% vs 60.9% in the prior year period. According to Kenvue, this year-over-year change in both measures primarily reflects the impact of inflation, tariffs, and unfavorable transactional foreign exchange.
Skin health and beauty contribute to sales growth
In this segment, Q2 2026 net sales increased 5.1% vs the prior year, reflecting organic sales growth of 3.7% and a foreign currency benefit of 1.4%.
Organic sales growth was driven by favorable value realization of 2.7% and a volume increase of 1%, as organic sales grew vs the prior year period across every region, largely driven by Hair Care and Face Care.
Strong e-commerce momentum, focused commercial execution, and recent innovations, such as the OGX Pro Growth + Peptide and Neutrogena Ultra Sheer Sun, contributed to this strong performance globally, according to Kenvue.
In the US, the company’s brand-building actions behind Neutrogena, the largest brand in the segment, helped improve household penetration for the third consecutive quarter, with gains across all generational cohorts.
Essential health boosts
Organic sales grew compared with the prior-year period in Asia Pacific, Latin America, and North America, with growth in Wound Care and Baby Care more than offsetting a decline in Oral Care.
Strong e-commerce momentum, US distribution gains, and targeted activation behind recent innovations also supported performance. These included Band-Aid Pro Heal 5 Day Protect in North America, the global Listerine restage, and the rollout of Listerine On-The-Go Alcohol Free Mouthwash Sachets, which Kenvue says contributed to stronger sequential global consumption growth.
Across Latin America, Kenvue continued to gain market share across major brands.
Kimberly-Clark transaction
Kenvue entered into a definitive merger agreement on November 2, 2025, under which Kimberly-Clark will acquire all of the outstanding shares of Kenvue common stock in a cash and stock transaction. Shareholders of each company voted overwhelmingly to approve all of the proposals necessary for Kimberly-Clark to complete its acquisition.
The transaction is expected to close in Q4 of 2026, subject to approvals and other closing conditions as described in the merger agreement.
Due to the pending transaction with Kimberly-Clark, the company is not providing forward-looking guidance.
