Clorox Announces Earnings, Sales and Volume Growth in the Second Quarter.Business Editors OAKLAND, Calif.--(BUSINESS WIRE)--Jan. 27, 2000 The Clorox Company (NYSE NYSE See: New York Stock Exchange :CLX (library, graphics) CLX - The Common Lisp library providing a low-level interface to the X Window System, equivalent to Xlib. Graphics toolkits can be built on top of CLX, e.g. McCLIM, Garnet, CLUE and CLIO. )(PE:CLX) today announced earnings of $80 million, or 33 cents per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, before merger-related and other one-time charges, for its fiscal second quarter ended December 31, 1999. This compares with earnings of $74 million, or 31 cents per diluted share, in the year-ago quarter. Results reflect the company's January 29, 1999 merger with First Brands Corporation, accounted for as a pooling of interests Pooling of Interests An accounting method, used in mergers and acquisitions, where the balance sheet items of the two companies are simply added together. Notes: The opposite of pooling of interests is the purchase acquisition method. ; Clorox results for prior quarters have been restated to include First Brands results. Sales for the quarter increased by 1 percent to $954 million, compared with $947 million in the prior-year quarter. Unit volumes also increased by 1 percent compared with the same period a year ago. &uot;Overall, our results were in line with our expectations,&uot; said Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Craig Sullivan Craig Sullivan, American Known for being an Exceptional EMS Director Currently operating a successful EMS in Boone NC]. born and raised in Ashe County NC. Currently living in Zionville NC with wife and 3 kids External links
A summary of key results by business segment follows: U.S. Household Products and Canada Home-care product shipments enjoyed strong growth during the quarter. Contributing to the surge in volumes were heavy demand for Clorox Disinfecting Spray and Liquid-Plumr Foaming Pipe Snake Pipe snake may refer to:
Shipments of laundry additives declined slightly versus the prior-year quarter, primarily due to category softness for color-safe bleach bleach Solid or liquid chemical compound used to whiten or remove the natural colour of fibres, yarns, paper, and textile fabrics. Sunlight was the chief bleaching agent up to the discovery of chlorine in 1774 by Karl Wilhelm Scheele (b. 1742—d. additives and increased merchandising of competitive private-label bleach products. Partially offsetting these factors was the continued market growth for Clorox FreshCare fabric refresher, introduced in mid-1999. Shipments of Brita water filtration systems also declined in the quarter, primarily due to lower demand for pour-through pitchers. U.S. Specialty Products Shipments of Glad products were up slightly for the quarter. Volumes for food storage products grew during the period, while disposer product volumes declined as Clorox eliminated inefficient promotional practices by First Brands that had boosted volumes in the prior-year quarter. For largely the same reason, cat litter volumes also declined for the quarter. Clorox's food products business enjoyed strong volume growth on record shipments of Hidden Valley bottled dressings and K C Masterpiece sauces, fuelled by strong demand for club-size products and for the recently introduced &uot;spicy original&uot; barbecue barbecue [West Indian or South American], in the United States, traditionally an open-air gathering, political or social, in which meats are roasted whole over a pit of embers and food and drink are liberally enjoyed. sauce. International Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. enjoyed record volumes, spurred by the successful launch of Clorox-brand bleach in Brazil earlier in the fiscal year and an improving economic climate in several countries. Strong U.S. export shipments of Clorox products also contributed to growth in overall international volumes for the quarter. Looking ahead, Sullivan said: &uot;We're now poised to realize the significant benefits of the First Brands transaction. The consolidation of distribution networks and manufacturing, and the elimination of unprofitable items in the former First Brands businesses, will generate significant savings. We're also rolling out more new products, including five new Glad items; improving packaging; and targeting improved merchandising across our portfolio. Combining these initiatives with the exciting array of recently introduced products, we now have a strong platform for future growth.&uot; Except for historical information, matters discussed above, including statements about future growth or opportunities or realization of synergies, are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. based on management's estimates, assumptions and projections. Important factors that could cause results to differ materially from management's expectations are described in &uot;Forward-Looking Statements and Risk Factors&uot; and &uot;Management's Discussion and Analysis Management's discussion and analysis (MD&A) A report from management to shareholders that accompanies the firm's financial statements in the annual report. It explains the period's financial results and enables management to discuss topics that may not be apparent in the financial of Financial Condition and Results of Operation&uot; in the company's SEC Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ending June 30, 1999, as updated from time to time in the company's SEC filings. Those factors include, but are not limited to, marketplace conditions and events, the company's costs, risks inherent in litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. or international operations Internal Operations (I.O., IO or I/O) is a fictional American Intelligence Agency in Wildstorm comics. It was originally called International Operations. I.O. first appeared in WildC.A.T.S. volume 1 #1 (August, 1992) and was created by Brandon Choi and Jim Lee. , the success of new products, integration of acquisitions, and environmental, regulatory and intellectual property matters.
The Clorox Company
Statements of Consolidated Earnings
(In millions, except earnings per-share amounts)
Unaudited
Three Months Ended Six Months Ended
12/31/99 12/31/98 12/31/99 12/31/98
Net Sales $954 $947 $1,896 $1,912
Cost and Expenses
Cost of products sold 478 459 940 917
Selling, Delivery
and administration 192 201 374 392
Advertising 110 122 226 237
Research and development 15 15 29 30
Merger, integration
and restructuring 6 -- 8 --
Interest expense 23 25 46 53
Other expense, net 10 7 16 7
834 829 1,639 1,636
Earnings before
income taxes 120 118 257 276
Income taxes 44 44 94 102
Net Earnings $76 $74 $163 $174
Earnings per
common share
before restructuring
Basic $0.34 $0.32 $0.71 $0.74
Diluted 0.33 0.31 0.70 0.73
Earnings per
common share
after restructuring
Basic $0.32 $0.32 $0.69 $0.74
Diluted 0.32 0.31 0.68 0.73
Weighted Average
Shares Outstanding
(in thousands)
Basic 236,475 234,588 236,747 234,522
Diluted 239,737 239,598 240,211 239,348
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