The large EPS beat was heavily influenced by the GOJO acquisition and ERP lapping effects, which are non-recurring. Monitor whether the company can sustain organic sales growth of ~3.5%-4.5% in the back half of the year as these tailwinds fade, and watch for further gross margin pressure from inflation.
How the stock moved after the report
⚠ Clustered NEUTRAL VIEWSTOCK ABOVE ENTRY AT T+1- T+0 · Nov 2 $93.80entry
- T+1 · yesterday +5.71%α +4.06% · $99.16
- T+2 · todayOpen
- T+5 · in 4d Pending
- T+20 · in 26d Pending
- T+60 · in 3mo Pending
Price Chart
REPLAYWatch the reaction play outHow similar events traded
Executive Summary
Clorox reported Q1 FY2027 adjusted EPS of $1.55, beating the $1.07 consensus by 44.9%, and revenue of $1.91B, above the $1.88B estimate. The strong beat was driven by the GOJO acquisition and lapping the prior-year ERP inventory drawdown, but gross margin declined 130 bps to 40.4% due to higher commodity and logistics costs. The company maintained its full-year adjusted EPS guidance range of $5.70-$6.00 but expects results near the low end, reflecting persistent inflationary headwinds.
Key Financial Metrics
Key Facts
- Q1 FY2027 net sales increased 33% YoY to $1.91B, with GOJO contributing ~15 points and organic sales up 18%
- Adjusted EPS of $1.55 beat consensus of $1.07 by 44.9%
- GAAP diluted EPS was $1.39, up 114% from $0.65 in the year-ago quarter
- Gross margin decreased 130 bps to 40.4%, with GOJO inventory step-up contributing ~50 bps of the decline
- Full-year FY2027 adjusted EPS guidance maintained at $5.70-$6.00 but expected near low end; net sales growth outlook unchanged at 13%-14%
- Gross margin guidance lowered to ~41.5% from prior expectations due to higher inflation and negative mix
- Operating cash flow was $143M, up 54% from $93M in the year-ago period
Financial Impact
Adjusted EPS beat consensus by $0.48 (44.9%); revenue beat by $30M (1.6%); gross margin decline of 130 bps
Segment Breakdown
| Segment | Revenue | Growth |
|---|---|---|
| Health and Wellness | $918.0M | +62.0% |
| Household | $423.0M | +17.0% |
| Lifestyle | $283.0M | +16.0% |
| International | $281.0M | +11.0% |
Risk Factors
- Persistent commodity cost inflation and higher manufacturing/logistics costs are pressuring gross margins
- Full-year adjusted EPS guidance near the low end implies weaker second-half performance relative to consensus
- GOJO integration costs and inventory step-up will continue to weigh on reported earnings through FY2027
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-prn-302926739 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Nov 2, 2026 2d ago | 8-K | No price | awaiting T+5 | awaiting T+5 | No price |
Nov 2, 2026 2d ago | Press Release | $93.80 | awaiting T+5 | awaiting T+5 | $93.80 (+0.00%) |
Oct 29, 2026 6d ago | DEFA14A | $88.67 | awaiting T+5 | awaiting T+5 | $93.80 (+5.79%) |
Oct 29, 2026 6d ago | 8-K | $88.67 | awaiting T+5 | awaiting T+5 | $93.80 (+5.79%) |
Oct 27, 2026 8d ago | SC 13G/A | $86.84 $99.16 | ▲ +14.19% | ▲ +14.90% | $93.80 (+8.01%) |
Oct 16, 2026 19d ago | Institutional Cluster | $85.56 $86.35 | ▲ +0.92% | ▲ +1.06% | $93.80 (+9.63%) |
Oct 7, 2026 28d ago | DEFA14A | $83.44 $86.20 | ▲ +3.31% | ▲ +3.58% | $93.80 (+12.42%) |
Oct 7, 2026 28d ago | DEF 14A | $83.44 $86.20 | ▼ −3.31% | ▼ −3.58% | $93.80 (−12.42%) |
Sep 23, 2026 6w ago | Press Release | $81.80 $80.65 | ▼ −1.41% | ▼ −0.99% | $93.80 (+14.67%) |
Aug 26, 2026 10w ago | Institutional Cluster | $104.23 $94.27 | ▼ −9.56% | ▼ −9.44% | $93.80 (−10.01%) |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Create a free account Live analysis, Telegram alerts, watchlists and the MCP server for subscribers