# WD-40 Company (NASDAQ:WDFC) Reports Third Quarter 2025 Financial Results
**Release Date:** July 10, 2025
WD-40 Company, known for its range of maintenance and cleaning products, announced its financial results for the third quarter of the fiscal year that ended on May 31, 2025. Here are the key highlights and a summary of the report:
– **Total Net Sales:**
– Total net sales were $156.9 million, a 1% increase from the prior year fiscal quarter.
– Maintenance product sales were $150.4 million, up by 2% compared to the previous year.
– Gross margin increased to 56.2%, up from 53.1% in the prior year fiscal quarter.
– Operating income was $27.4 million, representing a 1% increase.
– Net income saw a growth of 6% to reach $21.0 million.
– Diluted earnings per share were $1.54, a 5% increase from the same quarter last year.
– **Segment Performance:**
– **Americas:**
– Net sales in the Americas segment increased by 4%.
– Strong performance of WD-40 Multi-Use Product in the United States drove the growth.
– **EIMEA:**
– Net sales in the EIMEA segment decreased by 5%.
– Decline in sales of WD-40 Multi-Use Product in certain regions like Turkey and the Middle East impacted overall performance.
– **Asia-Pacific:**
– Net sales in the Asia-Pacific segment grew by 7%.
– Significant growth in WD-40 Multi-Use Product sales in China and the Asia distributor markets contributed to the increase.
– **Dividend and Share Repurchase:**
– The company declared a regular quarterly dividend of $0.94 per share scheduled for payment on July 31, 2025.
– An extension of the expiration date to August 31, 2026, was approved for the 2023 Repurchase Plan.
– The company repurchased 39,000 shares at a total cost of $9.7 million during the period.
– **Financial Guidance for Fiscal Year 2025:**
– Net sales growth is projected to be between 6% and 9%, between $600 million and $620 million.
– Gross margin is expected to be between 55% and 56% for the full year.
– Operating income is projected to be between $96 million and $101 million, reflecting growth of 7% to 12% compared to the previous year.
– Diluted earnings per share are expected to be between $5.30 and $5.60, reflecting a growth of 12% to 18% compared to the previous year.
The financial report reflects a mixed performance across different segments for WD-40 Company in the third quarter. Despite challenges in certain regions, the company has managed to achieve overall growth in sales and profitability. The company’s focus on maintenance products seems to be paying off, with noticeable improvements in gross margin and operating income.
### CONDENSED CONSOLIDATED BALANCE SHEETS
*(Unaudited and in thousands, except share and per share amounts)*
| Description | May 31, 2025 | August 31, 2024 |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | 51,682 | 46,699 |
| Trade and other accounts receivable, net | 112,409 | 117,493 |
| Inventories | 77,249 | 79,088 |
| Other current assets | 25,117 | 12,161 |
| Total current assets | 266,457 | 255,441 |
| Property and equipment, net | 60,101 | 62,983 |
| Goodwill | 96,951 | 96,985 |
| Other intangible assets, net | 2,356 | 6,222 |
| Right-of-use assets | 13,492 | 11,611 |
| Deferred tax assets, net | 1,068 | 993 |
| Other assets | 15,527 | 14,804 |
| Total assets | 455,952 | 449,039 |
| Liabilities and Stockholders’ Equity | ||
| Current liabilities: | ||
| Accounts payable | 27,801 | 35,960 |
| Accrued liabilities | 29,091 | 31,272 |
| Accrued payroll and related expenses | 25,962 | 26,055 |
| Short-term borrowings | 10,264 | 8,659 |
| Income taxes payable | 603 | 1,554 |
| Total current liabilities | 93,721 | 103,500 |
| Long-term borrowings | 85,562 | 85,977 |
| Deferred tax liabilities, net | 9,766 | 9,066 |
| Long-term operating lease liabilities | 8,388 | 5,904 |
| Other long-term liabilities | 1,453 | 14,066 |
| Total liabilities | 198,890 | 218,513 |
| Stockholders’ equity: | ||
| Common stock | 20 | 20 |
| Additional paid-in capital | 178,475 | 175,642 |
| Retained earnings | 532,180 | 499,931 |
| Accumulated other comprehensive loss | -28,075 | -29,268 |
| Common stock held in treasury, at cost | -425,538 | -415,799 |
| Total stockholders’ equity | 257,062 | 230,526 |
| Total liabilities and stockholders’ equity | 455,952 | 449,039 |
### CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
*(Unaudited and in thousands, except per share amounts)*
| Description | Three Months Ended May 31, 2025 | Three Months Ended May 31, 2024 | Nine Months Ended May 31, 2025 | Nine Months Ended May 31, 2024 |
|---|---|---|---|---|
| Net sales | 156,915 | 155,045 | 456,514 | 434,566 |
| Cost of products sold | 68,804 | 72,657 | 204,600 | 203,684 |
| Gross profit | 88,111 | 82,388 | 251,914 | 230,882 |
| Operating expenses: | ||||
| Selling, general and administrative | 51,541 | 45,564 | 151,054 | 134,722 |
| Advertising and sales promotion | 9,160 | 9,345 | 24,957 | 23,053 |
| Amortization of definite-lived intangible assets | 45 | 303 | 136 | 806 |
| Total operating expenses | 60,746 | 55,212 | 176,147 | 158,581 |
| Income from operations | 27,365 | 27,176 | 75,767 | 72,301 |
| Other income (expense): | ||||
| Interest income | 104 | 136 | 358 | 276 |
| Interest expense | -887 | -1,182 | -2,781 | -3,336 |
| Other income (expense), net | 880 | -283 | 813 | -516 |
| Income before income taxes | 27,462 | 25,847 | 74,157 | 68,725 |
| Provision for income taxes | 6,485 | 6,005 | 4,404 | 15,865 |
| Net income | 20,977 | 19,842 | 69,753 | 52,860 |
| Earnings per common share: | ||||
| Basic | 1.54 | 1.46 | 5.13 | 3.89 |
| Diluted | 1.54 | 1.46 | 5.13 | 3.88 |
| Shares used in per share calculations: | ||||
| Basic | 13,544 | 13,552 | 13,548 | 13,556 |
| Diluted | 13,567 | 13,577 | 13,570 | 13,581 |
