Is KMB (Kimberly-Clark Corporation) Halal or Haram?

Based on our AAOIFI-standard shariah screening, KMB is Halal and considered permissible for Muslim investors. It passed all 4 of 4 compliance screens including business activity review, debt-to-market-cap ratio (22.69% vs ≤33% threshold), interest income ratio (0.14% vs ≤5% threshold), and cash & securities ratio (2.18% vs ≤33% threshold).

Kimberly-Clark Corporation is a global leader in household and personal care products, operating across three main segments: Personal Care, Consumer Tissue, and K-C Professional. The company manufactures everyday essentials under highly recognizable brand names, including Huggies diapers, Kotex feminine care, and Depend incontinence products. For Muslim investors, KMB stands out as a fully Halal stock, having successfully passed all four AAOIFI shariah screening criteria. Its core business operations involve permissible household goods, meaning investors do not have to worry about exposure to haram industries like alcohol, gambling, or conventional finance. From an Islamic finance perspective, Kimberly-Clark demonstrates strong financial discipline, highlighted by a compliant debt-to-market cap ratio of 22.7%. Additionally, the company maintains a very low cash and securities ratio of 2.2% and generates only 0.14% of its revenue from interest, making it an excellent defensive stock for a halal portfolio. While there is no scholarly debate regarding the permissibility of everyday consumer tissues and diapers, Muslim investors should continue to monitor KMB's debt levels during quarterly earnings reports to ensure they remain comfortably below the 33% AAOIFI threshold. Kimberly-Clark Corporation operates in the Consumer Defensive sector under the Household & Personal Products industry and is headquartered in Dallas, TX, US. The company is led by CEO Michael D. Hsu and employs approximately 38,000 people.

KMB was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. KMB passed 4 of these 4 screens.

Although KMB passes all shariah screens, it does earn $24.0M in interest income (0.14% of revenue). Many scholars recommend purifying this portion by donating the equivalent percentage of any dividends received to charity. For example, if you receive $100 in dividends, you would donate approximately $0.14 to purify the income.

KMB was last screened on 2026-04-29. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.