Clorox (NYSE: CLX) reported Q1 EPS of $0.93, $0.20 better than the analyst estimate of $0.73. Revenue for the quarter came in at $1.74 billion versus the consensus estimate of $1.69 billion.

Fiscal Year 2023 Outlook:

The company is confirming its fiscal year 2023 outlook with the following elements:

• Net sales from a 4% decrease to a 2% increase compared to the prior year (organic sales from a 3% decrease to a 3% increase).
• Foreign exchange headwinds now represent about a 2-point reduction in sales from 1.5 points assumed in the prior outlook.
• Gross margin increase of about 200 basis points, primarily due to the combined benefit of pricing, cost savings and supply chain optimization, offset by continued cost inflation.
• Selling and administrative expenses between 15% and 16% of net sales, including about 1.5 points of impact from the company's strategic investments in digital capabilities and productivity enhancements.
• Advertising and sales promotion spending of about 10% of net sales, reflecting the company's ongoing commitment to invest in its brands.
• Effective tax rate of about 24%, with year-over-year increase primarily reflecting lower excess tax benefits from equity compensation.
• Diluted EPS between $3.10 and $3.47, or a 17% to 7% decrease, respectively.
• Adjusted EPS between $3.85 and $4.22, or a 6% decrease to a 3% increase, respectively. It reflects continued normalization of demand in parts of the portfolio that saw the most significant surge over the last two years and progress rebuilding gross margin. It also reflects the company's long-standing commitment to continue investing in its brands as well as a return to more normalized levels of incentive compensation and a higher effective tax rate. To provide greater visibility into the underlying operating performance of the business, adjusted EPS outlook excludes the long-term strategic investment in digital capabilities and productivity enhancements, estimated to be about 55 cents, and an estimated 20-cent charge related to the previously announced streamlined operating model.

For earnings history and earnings-related data on Clorox (CLX) click here.