New York (CNN Business)It’s been seven months since the pandemic hit American shores, but as coronavirus cases rise again, many people are still wiping down surfaces — and that’s continuing to boost sales for Clorox.
Clorox reported earnings for its fiscal first quarter Monday that topped Wall Street’s forecasts and also boosted its outlook. Overall sales were up 27% from a year ago and Clorox reported double-digit increases in eight of its 10 business units because of Covid-19 and people spending more time at home.
Shares of Clorox (CLX) rose nearly 4% on the news. The stock is now up more than 35% this year.People are using Clorox’s namesake disinfectant products to clean household surfaces, cell phones and laptops — but the company is also benefiting from people cooking more at home instead of going out. Read MoreThat’s because Clorox also owns the plastic bag brand Glad and the charcoal line Kingsford. Sales for Clorox’s household division, the unit that includes these products, soared 39% compared to last year.
Worried about more shortages, grocery stores are stockpiling goods
The demand for Clorox wipes and other disinfectant products has been so strong that it’s led to a shortage that the company expects to last until 2021. Clorox CEO Linda Rendle, who took over as head of the company this summer, said in the earnings release that “our priority remains maximizing the supply of our products — leveraging all available resources to help ensure people can access what they need.”
Source: edition.cnn.com