Clorox Company Fiscal Q1 Results

OAKLAND – Shares of The Clorox Company (NYSE:CLX) surged 2.8% following better-than-expected fiscal first quarter results and an increase in full-year earnings guidance.

Clorox posted adjusted earnings per share of $1.86 for the quarter ended September 30, significantly outperforming the analyst consensus estimate of $1.39. Revenue increased 27% YoY to $1.76 billion, surpassing expectations of $1.64 billion.

The company attributed its strong performance to higher volumes, rebounding from last year's cyberattack. Organic sales, which exclude divestitures and currency fluctuations, jumped 31% in the quarter.

Chair and CEO Linda Rendle stated, "We achieved better-than-expected results this quarter and fully restored overall market share, enabling us to maintain our sales outlook and raise our gross margin and EPS outlook for the year."

Clorox now expects full-year fiscal 2025 adjusted EPS of $6.65 to $6.90, an increase from previous guidance of $6.55 to $6.80 and above the $6.65 Wall Street consensus.

The company maintained its outlook for flat to 2% lower net sales in fiscal 2025 but anticipates organic sales growth of 3% to 5%.

Gross margin expanded 740 basis points to 45.8% in Q1, credited to higher volume and cost savings. The company now expects gross margin to improve by 100 to 150 basis points for the full year, an increase from the prior forecast of about 100 basis points of expansion.

Rendle added, "As our consumers remain under pressure, we're focused on delivering superior value, strong innovation, and continued investment in our brands to win with consumers and grow share."

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