Parents may be afraid to inoculate their children against H1N1 swine flu, but that doesn't apply to other methods of protection. Clorox reported its first quarter profits on Monday, and saw a big boost, attributed to swine flu fears.
Clorox is not just about bleach, but a whole line of disinfecting and cleaning solutions. Thus it was no real surprise to see its fiscal first-quarter profit rise 23 percent, much of it on the strength of disinfecting wipes.
Clorox's net income rose to $157 million, or $1.11 a share, from $128 million, or 90 cents, a year earlier. Analysts had projected net income of 95 cents a share.
Although Clorox admitted that consumers are still under pressure, the company does not intend to lower prices. There are plenty of cheaper knock-offs, many which disinfect as well as Clorox, including store brands. Clorox intends to use marketing to prevent defections.
Forecasting for the full fiscal year, Clorox raised its profit estimates to between $4.05 per share and $4.20 per share, from a previous range of $4 to $4.15. Additionally, the company expects sales to rise 1 to 2 percent.
Analysts meanwhile expect earnings per share of $4.18 and sales of $5.57 billion. Shares of Clorox rose 17 cents to $59.40 at 4 PM on the New York Stock Exchange.
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