The Clorox Company (CLX)
Gross profit margin
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit (ttm) | US$ in thousands | 3,168,000 | 3,190,000 | 3,318,000 | 3,043,000 | 3,026,000 | 3,060,000 | 2,814,000 | 2,908,000 | 2,714,000 | 2,563,000 | 2,501,000 | 2,545,000 | 2,545,000 | 2,670,000 | 2,949,000 | 3,199,000 | 3,460,000 | 3,518,000 | 3,320,000 | 3,063,000 |
| Revenue (ttm) | US$ in thousands | 7,019,000 | 7,165,000 | 7,469,000 | 7,093,000 | 7,209,000 | 7,310,000 | 7,035,000 | 7,389,000 | 7,171,000 | 7,065,000 | 7,041,000 | 7,107,000 | 7,108,000 | 7,080,000 | 7,231,000 | 7,341,000 | 7,522,000 | 7,524,000 | 7,131,000 | 6,721,000 |
| Gross profit margin | 45.13% | 44.52% | 44.42% | 42.90% | 41.98% | 41.86% | 40.00% | 39.36% | 37.85% | 36.28% | 35.52% | 35.81% | 35.80% | 37.71% | 40.78% | 43.58% | 46.00% | 46.76% | 46.56% | 45.57% |
March 31, 2025 calculation
Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $3,168,000K ÷ $7,019,000K
= 45.13%
Analyzing the gross profit margin of The Clorox Company over the specified period reveals notable trends and fluctuations. From June 30, 2020, to December 31, 2020, there was a modest upward trajectory, with margins increasing from 45.57% to 46.76%. This suggests an initial improvement in profitability per unit of sales, potentially driven by favorable cost management or product mix.
Subsequently, during the first quarter of 2021, the gross profit margin slightly declined to 46.00%. This slight decrease was followed by a more pronounced downward trend beginning in the second quarter of 2021, where the margin declined substantially from approximately 43.58% on June 30, 2021, to 40.78% on September 30, 2021. The decline continued into the remainder of 2021, with margins dropping further to 37.71% by December 31, 2021, and then to 35.80% in the first quarter of 2022.
Throughout 2022, a relatively stable but modestly fluctuating pattern was observed, with margins oscillating around the low to mid-30% range. The lowest point in this period occurred in March 2022 at approximately 35.80%, followed by a slight recovery to 36.28% by the end of the year. Starting in the first quarter of 2023, a gradual upward trend re-emerged, with margins increasing to 37.85%, then further to 39.36% in June 2023, and reaching 40.00% by September 2023.
From this point onward, the margin continued to improve steadily, with figures of 41.86% at the end of 2023, and further increases in 2024, reaching 41.98% in March, 42.90% in June, 44.42% in September, and 44.52% at year-end. The upward trend persisted into the first half of 2025, culminating in a projected gross profit margin of 45.13%.
Overall, the company's gross profit margin experienced an initial period of growth, followed by a significant decline throughout 2021 and 2022, and subsequently a consistent recovery starting in early 2023. This pattern indicates shifts in either cost structures, pricing strategies, product mix, or market conditions affecting gross profitability. The recent upward trajectory suggests improved cost control, pricing power, or a favorable product mix contributing to higher gross margins.