WD-40 Company ( (WDFC) ) has released its Q2 earnings. Here is a breakdown of the information WD-40 Company presented to its investors.
WD-40 Company, a global marketing organization, is renowned for its maintenance products that solve everyday problems in workshops, factories, and homes worldwide. The company operates primarily in the consumer goods sector and is headquartered in San Diego, California.
In its second fiscal quarter of 2025, WD-40 Company reported a 5% increase in total net sales, reaching $146.1 million. This growth was primarily driven by a 6% rise in maintenance product sales. The company also revised its fiscal year 2025 guidance upward for gross margin and earnings per share (EPS).
Key financial highlights include an 11% increase in operating income to $23.3 million and a significant 92% rise in net income to $29.9 million, attributed to a favorable income tax adjustment. Excluding this one-time benefit, net income still saw a 15% increase. The company’s gross margin improved to 54.6%, and diluted EPS rose to $2.19 from $1.14 in the previous year.
Regionally, the EIMEA segment showed the strongest growth with a 10% increase in net sales, while the Americas saw a 3% rise. The Asia-Pacific region experienced a slight decline in sales, but signs of recovery were noted. The company also announced plans to divest its homecare and cleaning product portfolios in the Americas and the UK.
Looking ahead, WD-40 Company remains optimistic about its growth trajectory, projecting net sales growth between 6% and 11% for the fiscal year. The company anticipates a gross margin between 55% and 56% and expects diluted EPS to range from $5.25 to $5.55, reflecting continued confidence in its strategic initiatives and market performance.