Key facts
- Clorox anticipates its 2027 net sales will increase by 13% to 14%, surpassing analyst projections.
- The company expects fiscal 2027 adjusted earnings per share to range from $5.70 to $6.
- Fourth-quarter sales declined 2% year-over-year to $1.95 billion, exceeding analyst estimates.
- Clorox reported adjusted quarterly earnings of $1.66 per share, slightly above the estimated $1.65.
- The company acquired GOJO Industries, maker of Purell, for $2.25 billion to expand its health and hygiene offerings.
Clorox forecast annual sales above analysts' expectations on Monday, anticipating improved demand for its health and wellness products and from international customers, despite macroeconomic uncertainty. The company expects its 2027 net sales to rise between 13% and 14%, exceeding the 12.8% estimated by analysts. Fiscal 2027 adjusted earnings are projected to be between $5.70 and $6 per share, compared to the analyst expectation of $5.97.
For the fourth quarter ended June 30, Clorox's sales fell 2% to $1.95 billion from a year ago, but still surpassed the analyst estimate of $1.90 billion. On an adjusted basis, the company earned $1.66 per share, beating the estimate of $1.65 per share. However, its quarterly gross margin decreased by 520 basis points to 41.3%.
In April, Clorox acquired GOJO Industries, the maker of Purell, for $2.25 billion as part of its strategy to expand its presence in the health and hygiene sectors. CEO Linda Rendle acknowledged that the company anticipates the operating environment will remain challenging, with ongoing cost volatility and a value-seeking consumer.