Clorox Plunges Most Since 2000 as Pandemic Boom Fades Away
- Company projects sales decline as higher costs pressure margin
- CEO had predicted that pandemic-era trends would stick around
Photographer: Matt Odom/Bloomberg
This article is for subscribers only.
Clorox Co. plummeted the most in more than two decades after forecasting a decline in sales, casting doubt on Chief Executive Officer Linda Rendle’s all-in gamble that the maker of disinfecting wipes and bleach would hang on to the pandemic-driven customers it picked up over the last year.
The company, which also sells Glad trash bags and Kingsford charcoal, posted sales of $1.8 billion in its fiscal fourth quarter, below the lowest analyst estimate. Clorox expects organic sales, which strip out items like currency swings and acquisitions, to decline by 2% to 6% in the current fiscal year, with “uncertain” consumer demand playing a central role in the expected performance.