WDFC · WD-40 Company

WD-40 Company delivered a strong fiscal third quarter with net sales rising 24% to $195.1 million, driven by double-digit growth in all three trade blocs—Americas (up 29%), EIMEA (up 17%), and Asia-Pacific (up 24%). Maintenance product sales, which represent 97% of total revenue, increased 26%, led by WD-40 Multi-Use Product gains in the U.S., EIMEA, and China. Gross margin improved 40 basis points to 56.6% despite inflationary pressures, while SG&A expenses grew only 10%. Operating income surged 47% to $40.3 million, demonstrating operating leverage. Net income rose 44% to $30.2 million ($2.24 diluted EPS), and on an adjusted basis (excluding a $1.3 million one-time amortization catch-up), net income was $31.5 million ($2.33 EPS). Management updated fiscal 2026 guidance, now expecting non-GAAP net sales of $675–$690 million (10–12% growth), non-GAAP operating income of $107–$113 million, and non-GAAP diluted EPS of $6.05–$6.35. The outlook includes the reclassification of Americas homecare/cleaning brands as held for use, adding approximately $12 million in sales. Additionally, the board approved a new $100 million share repurchase program effective September 1, 2026. The company repurchased 31,250 shares for $6.8 million in the quarter and declared a quarterly dividend of $1.02 per share.