NEW YORK – Clorox Co. (CLX) on Monday said its quarterly profit rose more than six-fold, driven by gains its transfer of some businesses to Henkel KGaA (search) and on higher sales and cost-savings.
Results topped Wall Street estimates, and shares of Clorox rose 4 percent in premarket trade.
Profit at Clorox, which in addition to its namesake bleach makes Glad trash bags and Hidden Valley Ranch salad dressing, was $699 million, or $3.68 per share, in the fiscal second quarter ended Dec. 31, compared with $109 million, or 51 cents a share, a year earlier.
Earnings from continuing operations rose to $136 million, or 72 cents per share, from $101 million, or 47 cents a share, in the year-ago period, Clorox said.
Last year, German soaps and adhesives company Henkel shed its 29 percent stake in Clorox, raising money to pay for its purchase of Dial Corp (search). The deal also gave Henkel ownership of some Clorox brands and Clorox's 20-percent stake in a joint venture, Henkel Iberica.
Excluding one-time items related to the Henkel deal, Clorox said it earned 59 cents per share from continuing operations in the quarter.
Analysts, on average, expected Oakland, Calif.-based Clorox to earn 52 cents per share, according to Reuters Estimates.
Sales climbed 9 percent to $1.0 billion, led by home care, Glad trash bags (search) and Latin America, as well as price increases and the benefit of foreign exchange rates, Clorox said.
Analysts, on average, forecast revenue of $979.2 million.
Volume, which factors out price and currency changes, rose 8 percent, the company said.
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