The Clorox Company reported QQ1 2026 results that were broadly pressurized by the U.S. ERP rollout and a softer U.S. consumer environment. Revenue of $1.429 billion and gross margin of 41.6% accompanied net income of $80 million and earnings per share of $0.65. Management framed the quarter as a pivotal transition period, noting the ERP launch as a foundational step that strengthens the digital backbone and unlocks new value streams, even as it introduced near-term operational headwinds. Management guided for a difficult first half of the year with organic sales declines, followed by a modest rebound in the second half driven by major innovations, a demand-creation plan, and market-share recovery in both international and professional channels. The company expects gross margin expansion in the second half as price/mix discipline, cost management, and net revenue management momentum offset ongoing promotional activity and a modest commodity environment. Cash generation remained positive, with operating cash flow of $93 million and free cash flow of $57 million, though the balance sheet shows meaningful leverage and a compressed equity position in the disclosed period, underscoring capital-allocation considerations for investors. Overall, the near-term trajectory hinges on ERP stabilization, execution of the back-half innovation slate, and the pace of category recovery, with a constructive longer-term growth trajectory underpinned by core brands and price-pack architecture.