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Clorox Posts Sales Gains In Third Quarter

November 15, 2005

The Clorox Company, Oakland, CA, reported that sales growth across all segments drove the company’s strong earnings results for the third quarter ended March 31.
Third quarter net earnings were $126 million, an 18% increase from a year ago. Third quarter sales grew 7% to $1.086 billion. Clorox executives said sales growth outpaced the 4% growth in volume primarily due to reduced coupon spending, price increases and favorable foreign exchange rates. Volume growth was driven by new products, record shipments of Clorox disinfecting wipes and Glade trash bags and increased shipments of Brita water-filtration products, food products, charcoal and cat litter.
Sales of household products in North America grew 6% and volume jumped 3%, executives reported. Sales were driven by increased shipments of new products, including Clorox Bleach Pen gel and Tilex Mildew Root penetrator and remover. Household product sales grew in other regions as well; for example, 13% in Latin America.
“We are delighted with our third quarter performance,” commented Jerry Johnston, president and chief executive officer of the company. “We continued to build momentum and displayed fundamental strength across the company. The continued focus and hard work of Clorox people around the world helped drive our strong top- and bottom-line results.
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