The Clorox Company (CLX)
Return on total capital
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,039,000 | 746,000 | 649,000 | 501,000 | 463,000 | 262,000 | 251,000 | 355,000 | 254,000 | 692,000 | 654,000 | 707,000 | 672,000 | 415,000 | 655,000 | 994,000 | 1,288,000 | 1,645,000 | 1,549,000 | 1,283,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 27,000 | -41,000 | 60,000 | 328,000 | 91,000 | 53,000 | -37,000 | 220,000 | 3,000 | 321,000 | 326,000 | 556,000 | 400,000 | 313,000 | 368,000 | 411,000 | 743,000 | 1,184,000 | 1,115,000 | 908,000 |
| Return on total capital | 3,848.15% | — | 1,081.67% | 152.74% | 508.79% | 494.34% | — | 161.36% | 8,466.67% | 215.58% | 200.61% | 127.16% | 168.00% | 132.59% | 177.99% | 241.85% | 173.35% | 138.94% | 138.92% | 141.30% |
March 31, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,039,000K ÷ ($—K + $27,000K)
= 3,848.15%
The Clorox Company’s return on total capital (ROTC) exhibits notable fluctuations over the analyzed periods, reflecting variability in profitability and capital efficiency.
Between June 30, 2020, and September 30, 2020, the ROTC declined slightly from approximately 141.30% to 138.92%, maintaining a high level of capital efficiency amid a period of relative stability. This slight decrease persisted through December 31, 2020, with a marginal increase to 138.94%.
A marked increase occurred by March 31, 2021, reaching approximately 173.35%, followed by a significant surge to 241.85% on June 30, 2021. The elevated levels suggest improved profitability or leverage enhancements during this period—possibly driven by favorable market conditions or operational efficiencies. However, this peak was not sustained, as the ROTC decreased to 177.99% by September 30, 2021, and further declined to 132.59% by December 31, 2021.
In 2022, the ROTC demonstrated variability: rising again to 168.00% by March 31, then dipping to 127.16% at June 30, and subsequently increasing to 200.61% by September 30, and further to 215.58% at year-end. The upward trend in the latter part of 2022 indicates periods of enhanced profitability or effective use of capital.
A drastic anomaly appears with the March 31, 2023 figure, recording an extraordinarily high ROTC of 8,466.67%. This aberrant value likely reflects extraordinary gains, accounting adjustments, or reporting anomalies rather than a typical operational performance metric. Following this anomaly, the ROTC moderated to 161.36% as of June 30, 2023, and fluctuated to 1,081.67% on September 30, 2023, before decreasing again to 494.34% on December 31, 2023.
Subsequently, the figures indicate a very high but somewhat stabilized ratio, with 508.79% on March 31, 2024, then declining to 152.74% by June 30, 2024, and increasing sharply to 1,081.67% on September 30, 2024. The latest recorded value for March 31, 2025, is approximately 3,848.15%, again reflecting extraordinary variances, possibly due to extraordinary items or reporting anomalies.
Overall, while the company has historically maintained strong ROTC levels, these figures are punctuated by extreme values, suggesting periods of extraordinary gains or reporting irregularities that distort typical profitability assessments. Underlying performance appears robust during most periods, but the very high ratios indicate some periods of atypical accounting or extraordinary events significantly impact the measure.