- Clorox projects fiscal year organic sales growth of 4% to 5%, slightly below analysts’ estimate of 5.42%.
- Earnings per share (EPS) for the fiscal year is expected to range from $5.73 to $6.13, above previous guidance of $5.52 to $5.92, but close to the estimate of $5.85.
- Net sales for the fiscal year might decrease by up to 1% or remain flat.
- Adjusted EPS is anticipated to be between $6.95 and $7.35, aligning with the estimate of $7.11.
- For the third quarter, adjusted EPS was $1.45, down from $1.71 year-over-year, missing the estimate of $1.57.
- Third-quarter net sales totaled $1.67 billion, representing an 8% decrease year-over-year, not meeting the $1.72 billion estimate.
- The household segment reported net sales of $469 million, down 11% year-over-year, below the projected $517.1 million.
- Lifestyle net sales fell by 2.9% year-over-year to $306 million, missing the forecast of $316.8 million.
- Health and wellness net sales increased by 3.4% year-over-year to $630 million, surpassing the $598.2 million estimate.
- International net sales were $263 million, a 15% decrease year-over-year, closely aligning with the $263.1 million projection.
- Organic sales dipped 2% in the third quarter, against expectations for a 0.74% increase.
- Gross margin improved to 44.6% from 42.2% year-over-year, exceeding the estimate of 43.8%.
- Reported EPS was $1.50, compared to a loss per share of 41 cents in the previous year.
- SG&A expenses are expected to remain at 15% to 16% of full-year net sales.
- Advertising and sales promotion spending is projected to be 11% to 11.5% of full-year net sales.
- Excluding the impact of the ERP transition, organic sales are expected to rise about 2% for fiscal 2025.
- The CEO noted that macroeconomic uncertainties have altered consumer shopping behaviors, leading to temporary category slowdowns and lower sales, which are anticipated to continue into the fourth quarter.
Clorox Company on Smartkarma
Analysts from Baptista Research have provided insightful coverage on Clorox Company on Smartkarma, an independent research network. In a report titled “Clorox Company: Executing Professional Channel Expansion To Catalyze Its Growth!”, the analysts highlighted key points from the company’s second-quarter earnings call for fiscal year 2025. They discussed the CFO transition, with outgoing CFO Kevin Jacobsen’s support until retirement and Luc Bellet taking over from April 1, showcasing Clorox’s focus on internal leadership continuity.
In another report titled “The Clorox Company: Its Enhanced Focus On High Margin Products As A Vital Tool For Growth! – Major Drivers”, the analysts emphasized the company’s strong first-quarter performance for fiscal year 2025. CEO Linda Rendle highlighted the recovery from a cyber attack in August 2023 and the company’s success in expanding market share across categories through strategic investments in marketing and innovation. This coverage provides valuable insights for investors following Clorox Company on Smartkarma.
A look at Clorox Company Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 4 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Clorox Company‘s long-term outlook appears promising. With a strong dividend score of 4, investors can expect consistent payouts over time. Furthermore, the growth score of 4 indicates potential for expansion and increased market presence. This, combined with a resilience score of 3, suggests that Clorox is well-positioned to withstand economic fluctuations.
Although the value score is at 2, signaling room for improvement in terms of stock valuation, the momentum score of 3 implies a positive trend in the company’s performance. Overall, Clorox Company, known for its household cleaning and consumer products, seems to have a solid foundation for sustained growth and stability in the future.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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