San Diego Business Journal

Sales Advance, Net Income Slides as WD-40 Caps Off Year

Wednesday, October 17, 2012

WD-40 Co., the San Diego maker of global consumer products, reported fourth quarter net income of $9 million, down 12 percent from the like quarter that ended Aug. 31 last year. Sales for the quarter were $84.9 million, down 6 percent from the same quarter in 2011.

For the full fiscal year, WD-40 reported net income of $35.5 million on sales of $342.8 million, compared with net income of $36.4 million on sales of $336.4 million in fiscal 2011.

CEO Garry Ridge said while the results were disappointing, he is excited about the company’s future and the foundation in place to build long term growth.

The company’s business in Europe was down 17 percent in the fourth quarter, and down 7 percent for the year compared to the prior fiscal year.

Some sales that were expected to come in the fourth quarter have slipped into the first quarter of fiscal 2013, Ridge said.

WD-40 forecast its 2013 net sales to come in at $356 million to $370 million, and net income to finish in a range from $36.5 million to $38 million. Diluted earnings per share should finish from $2.31 to $2.40.

Shares of WD-40, traded on the Nasdaq exchange under WDFC, were down $4 at midday Oct. 16 to $47.01. The stock’s 52-week range is $37.86 to $54.42.