Clorox (CLX) shares plummeted 5.33% in pre-market trading on Tuesday following the release of disappointing fiscal third-quarter results and lowered full-year guidance. The consumer goods giant reported adjusted earnings and sales that fell short of Wall Street expectations, citing weakened consumer sentiment and changing shopping habits.

The company's fiscal third-quarter sales dropped 8% to $1.67 billion, missing analysts' expectations of $1.72 billion. Adjusted earnings per share came in at $1.45, significantly lower than the $1.71 reported in the same quarter last year and below the consensus estimate of $1.55. Clorox CEO Linda Rendle noted that economic uncertainty led to "temporary category slowdowns and lower sales," with consumer sentiment weakening substantially in the latter half of the quarter.

In response to the challenging economic environment, Clorox updated its fiscal 2025 guidance, now expecting sales to range from a 1% decline to flat growth, compared to its previous forecast of a 1% decline to 2% growth. The company cited recent changes in the macroeconomic and geopolitical landscape, as well as the impact of tariffs on earnings, as reasons for the revised outlook. Despite the setbacks, Clorox maintained that its fundamentals remain strong, with overall market shares holding steady and continued margin expansion while investing in its brands.