Clorox on Wednesday warned that its sales and profit took big hit during the quarter ended Sept. 30, largely due to the after affects of a cyberattack that significantly affected operations.
The bleach and cleaning products maker said it expects net sales to decrease 23% to 28%. Clorox also estimates its gross margin for the quarter will be down from the year-ago period. It expects to post a per-share loss of 35 cents to 75 cents. On an adjusted basis, it projects a loss of of up to 40 cents a share.
Clorox also said the cyberattack, which it disclosed in August, continues to hurt production, although the impact is lessening. “The Company also expects to begin to benefit from the restocking of retailer inventories as it ramps up fulfillment” during the current quarter, it said in a release.
Clorox said it is still assessing what impact the hack could have on the current fiscal year and beyond.
The effects of the attack were widescale, the company disclosed in a September securities filing. While operational systems were repaired, Clorox resorted to going manual on many of its procedures, slowing down product fulfillment. Nonetheless, the company has said the threat is contained.
Scattered Spider, a group of hackers tied to recent cyberattacks on casino companies MGM and Caesars, is suspected of being tied to the August attack on Clorox, Bloomberg reported Wednesday. MGM also warned in September that the attack could have a material impact on company finances.
