Clorox sees FY26 gross margin down 2500-300 basis points

Gross margin is now expected to be down 250 to 300 basis points. This compares to the company’s prior expectation at the low end of 50 to 100 basis pointsdecline range. Impact from the GOJO acquisition is expected to be about 60 basis points of headwinds, of which about 50 basis points is transaction-related costs mainly associated with inventory step up. The reversal of the impact from incremental shipments associated with ERP transition in the prior fiscal year is expected to result in about 100 basis points of headwinds. Gross margin expectation also includes headwinds associated with higher energy costs from the Middle East conflict.