Kingsford’s parent company, Clorox, reported earnings this week for their quarter ending in March. In what is hopefully a good, early sign of things to come in grilling this year, they reported an increase in grilling sales.
Grilling sales increased, driven primarily by increased consumption supported by strong early season merchandising.
Clorox Q3 2024 Press Release
Most of their revenue obviously comes through the summer months, but it’s still good news nonetheless. Kingsford has the overwhelming majority of the charcoal market, so “strong early season merchandising” should be a warning sign other charcoal brands trying to increase their floorspace and positioning.
Cyberattack
Clorox was hit by a cyberattack at the end of last summer that took down production lines and had a large impact sales from supply constraints. It’s been a while since it happened, but they are still feeling the effects of it.
While we experienced short-term cyberattack-related supply constraints in a few areas, which impacted sales, we expect to fully restore lost distribution by the end of the fourth quarter. We are on track to exit fiscal year 2024 with strong fundamentals and the right investments and plans in place to deliver against our strategic and financial objectives to enhance long-term shareholder value.
Clorox Chair and CEO Linda Rendle
It’s unknown if Kingsford is still being impacted by the supply constraints from the cyberattack.