The Clorox Company (CLX)
Net 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 694,000 | 457,000 | 357,000 | 280,000 | 240,000 | 82,000 | 88,000 | 151,000 | 76,000 | 435,000 | 405,000 | 462,000 | 458,000 | 247,000 | 437,000 | 710,000 | 923,000 | 1,225,000 | 1,151,000 | 939,000 |
| 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 |
| Net profit margin | 9.89% | 6.38% | 4.78% | 3.95% | 3.33% | 1.12% | 1.25% | 2.04% | 1.06% | 6.16% | 5.75% | 6.50% | 6.44% | 3.49% | 6.04% | 9.67% | 12.27% | 16.28% | 16.14% | 13.97% |
March 31, 2025 calculation
Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $694,000K ÷ $7,019,000K
= 9.89%
The Clorox Company's net profit margin has exhibited notable fluctuations over the period from June 2020 to March 2025. Initially, during the fiscal year ending June 30, 2020, the net profit margin stood at 13.97%, indicating a relatively strong profitability position during the early phase of the COVID-19 pandemic. The margin increased significantly through September and December of 2020, reaching 16.14% and 16.28%, respectively, reflecting improved operational efficiency or favorable market conditions.
However, beginning in March 2021, the net profit margin experienced a downward trend. It dropped to 12.27% and subsequently declined more sharply to 9.67% by June 2021, then further to 6.04% in September 2021, and plummeted to a low of 3.49% in December 2021. This sustained reduction suggests increasing costs, pricing pressures, or competitive challenges impacting profitability.
In early 2022, the margin showed signs of recovery, rising slightly to 6.44% in March and maintaining around 6.50% in June, before decreasing marginally again to 5.75% in September and 6.16% in December 2022. Despite this moderate rebound, the margin remained well below historical peaks.
Throughout 2023, the profit margin generally persisted at lower levels, with a significant decline to 1.06% in March 2023. Subsequently, the margin experienced slight improvement, achieving 2.04% in June and 1.25% in September, before modestly increasing to 1.12% in December. These low figures imply ongoing pressure on profitability.
The subsequent quarters of 2024 demonstrated a positive trend. The net profit margin increased to 3.33% in March, then further to 3.95% in June, 4.78% in September, and reached 6.38% in December 2024, indicating a recovery phase. This upward movement suggests either cost management improvements, product mix shifts, or favorable market conditions.
Looking into the first quarter of 2025, the margin continued its ascent to 9.89%, marking a significant rebound to near pre-pandemic levels. Overall, the data indicate that while The Clorox Company experienced substantial profitability peaks prior to mid-2020, it faced considerable margin compression during the 2021-2023 period, shortly after the pandemic’s initial impact. The subsequent quarters suggest a gradual recovery, driven by factors that may include operational restructuring, pricing strategies, or market dynamics, culminating in a marked improvement in profitability outlook by early 2025.