OxiClean maker Church & Dwight forecasts tepid annual sales on muted demand

Church & Dwight

31/01/2025 13:15

Jan 31 (Reuters) - Church & Dwight  CHD.N  forecast
full-year sales below Wall Street expectations on Friday, as
cost-conscious consumers continue to hunt for deals on household
products such as detergent and mouthwash.
    Still-high inflation has pinched consumer budgets, pushing
them to seek more discounts and opt for cheaper private-label
brands for daily essentials.
    "The sales outlook reflects a continued cautious view of the
U.S. consumer as inflationary pressures are unchanged and
interest rates remain high," CEO Matthew Farrell said in a
statement.
    Net sales for 2025 are seen growing between 2.5% and 3.5%,
below analysts' expectations of about 3.6% growth, according to
data compiled by LSEG. The company achieved a 4.1% growth in
2024.
    The New Jersey-based company also expects full-year adjusted
profit growth of between 7% and 8%, compared with analysts'
estimates of about 8.5% growth.
    However, the Arm & Hammer detergent maker beat
fourth-quarter sales estimates, driven by promotions and new
product launches.
    The sales beat mirror those of peers including
Kimberly-Clark  KMB.N  and Procter & Gamble  PG.N  which topped
estimates on demand recovery in the U.S. and international
markets in the latest quarter.
    The household products maker's revenue rose 3.5% to $1.58
billion for the fourth quarter ended Dec. 31, compared with
analysts' estimates of $1.56 billion.
    On an adjusted basis, the company earned 77 cents per share,
in line with analyst projections.
    Shares of the Trojan condom maker were flat in premarket
trade, after falling about 37% in 2024.

 (Reporting by Neil J Kanatt in Bengaluru; Editing by Vijay
Kishore)
 ((Neil.JKanatt@thomsonreuters.com;))