Clorox Earnings: Everything You Must Know Now

Clorox Corporation (NYSE:CLX) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

Clorox Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 4.55% to $1.38 in the quarter versus EPS of $1.32 in the year-earlier quarter.

Revenue: Rose 0.39% to $1.55 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Clorox Corporation reported adjusted EPS income of $1.38 per share. By that measure, the company beat the mean analyst estimate of $1.34. It missed the average revenue estimate of $1.57 billion.

Quoting Management: “Clorox people around the world delivered solid results this fiscal year,” said Chairman and CEO Don Knauss. “We grew sales in all four segments behind product innovation across multiple brands and delivered strong gross margin expansion.”
Commenting on the company’s fourth-quarter results, Knauss said, “In Q4 we delivered strong margin expansion and diluted EPS growth from continuing operations of 5 percent. Excluding the impact of foreign currencies, sales grew nearly 1.5 percent in the quarter. While sales results came in slightly lower than anticipated, I feel good about our plans to address the competitive pressures we’re facing, including increased merchandising activity as well as product innovation scheduled to launch in fiscal year 2014.”

Key Stats (on next page)…

Revenue increased 9.48% from $1.41 billion in the previous quarter. EPS increased 38% from $1.00 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $1.07 and has not changed. For the current year, the average estimate has moved down from a profit of $4.3 to a profit of $4.29 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)