| The Clorox Company (NYSE: CLX) today reported results for the fourth quarter and fiscal year 2024, which ended June 30, 2024. Alongside these results, the company also announced it has entered into a definitive agreement to divest its Better Health Vitamins, Minerals and Supplements (VMS) business in its entirety to Piping Rock Health Products, LLC. |
| Fourth-Quarter Fiscal Year 2024 Summary: |
| The following is a summary of key fourth-quarter results. All comparisons are with the fourth quarter of fiscal year 2023 unless otherwise stated. |
| Net sales: decreased 6% to $1.9 billion compared to an increase of 12% in the year-ago quarter. The net sales decrease was driven largely by the impacts of the Argentina divestiture, unfavourable price mix and lower volume. Organic sales decreased 3%. |
| Gross margin: increased 380 basis points to 46.5% from 42.7% in the year-ago quarter primarily due to lower manufacturing and logistics costs, the benefit of cost savings initiatives and favourable commodity costs, partially offset by the impact of higher trade promotion spending. |
| Diluted net earnings per share (diluted EPS): increased 22% to $1.73 from $1.42 in the year-ago quarter. This includes insurance recoveries related to the cyberattack, net of incremental costs (17 cents), partially offset by continued investments in the company's long-term strategic digital capabilities and productivity enhancements (14 cents) as well as implementation of the company's streamlined operating model (12 cents). |
| Adjusted EPS1: increased 9% to $1.82 from $1.67 in the year-ago quarter, due in part to higher gross margin and lower selling and administrative expenses. Lower net sales and higher advertising investments partially offset these factors. |
| "We closed out the fiscal year with strong margin expansion and double-digit adjusted EPS growth despite substantial disruption and consumption loss from the cyberattack. While fully restoring supply and distribution, as well as recovering nearly all of our market share, we remained relentless in driving our IGNITE strategy forward. We made strong progress as we evolved our portfolio to accelerate profitable growth, completed the implementation of our streamlined operating model and advanced our digital transformation. We achieved all of this while continuing to invest strongly behind our brands to provide superior value in a challenging environment where consumers continue to seek value," said Chair and CEO Linda Rendle. "While there is more work to do, we are confident that the actions we have taken, combined with the strength of our portfolio, position us well to deliver strong performance led by a return to volume growth in fiscal year 2025, consistent with our long-term goals." |
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The Clorox Company |
