WD-40 Co. sales increase 2% in Q3
San Diego-based WD-40, whose brands include a variety of lubricants and cleaning products, reported net sales of $87.0 million for the third quarter of fiscal 2012, an increase of 2% from the same quarter of its last fiscal year. Year-to-date net sales were $257.9 million, up 5% from the same period last fiscal year.
Net income for the third quarter was $9.1 million, an increase of 13% compared with the prior-year fiscal quarter. Year-to-date net income was $26.5 million, an increase of 1% from a year ago.
Third-quarter multi-purpose maintenance products sales, which include the WD-40 multi-use product, 3-in-1 Blue Works and the WD-40 specialist product lines, were $73.7 million, up 1% from the same period last year, and $215.9 million year-to-date, up 6% from the same period last fiscal year. The multi-purpose maintenance products are considered a primary focus for the company.
Homecare and cleaning products sales, which include all other brands, were $13.3 million for the third quarter, up 4%, and were $42.0 million year-to-date, up 3%, compared with the prior fiscal year periods. The U.S. homecare and cleaning products are considered harvest brands providing healthy profit returns to the company and are becoming a smaller part of the business as the multi-purpose maintenance products sales grow.
“We are pleased with our overall results so far this year, and our tribe continues to focus their energy on our key strategic initiatives," said Garry Ridge, WD-40 president and CEO. "However, we are cautious about the continuing volatility of commodity prices and the uncertain economic conditions in Europe and their impact on our overall sales. We expect Europe to come in flat at best for the full year as compared with the prior fiscal year."
Net sales by segment as a percent of total net sales were as follows: for the Americas, 50% for the third quarter and 51% year-to-date; for Europe, 35% for the third quarter and 34% year-to-date; and for Asia-Pacific, 15% for both the third quarter and year-to-date.
WD-40 continues to expect fiscal year 2012 net sales of $353.0 million to $370.0 million. The company expects net income of $37.2 million to $39.2 million.