WD-40 Co. reported net income of $13.3 million for the quarter ending Nov. 30, a 5 percent increase from $12.6 million in the same period a year earlier.
Diluted earnings per share for the San Diego-based company reached 95 cents per share, up from 90 cents per share last year. WD-40s fiscal year goes from Sept. 1 to Aug. 31.
For the maintenance products segment - which includes WD-40 lubricants - net sales reached $92.5 million for the first fiscal quarter, up 5.1 percent from a year earlier. The company attributed this increase primarily to strong sales of WD-40 Multi-Use Product in the European, Middle East and Africa segment and the United States, and to strong sales of WD-40 Specialist in the U.S.
In the Americas, sales reached $47.8 million, up 3.4 percent from the $46.1 million it earned last year, primarily due to higher sales of maintenance products in the United States. This increase was slightly offset by lower sales of maintenance products in Canada and Latin America, according to the company.
Sales hit $38.7 million in the EMEA region, up 9.5 percent from $35 million in 2018. The company attributed the increase to strong sales of its WD-40 Multi-Use Product in European direct and distributor markets, though foreign currency exchange rates had an unfavorable impact.
In Asia-Pacific, sales were down 11.2 percent, from $16.4 million in 2018 to $14.7 million in 2019. A 13 percent decrease in sales in Asia-Pacific distributor markets and in Australia caused the decrease.
"While we saw strength in our Americas and EMEA segments, our Asia-Pacific segment reported sales declines of 10 percent year over year, Garry Ridge, WD-40 president and CEO, said in the companys earnings release. Due to the geographically diverse nature of our business and depending on what is going on in a region at any given time, some of our markets may over perform, while others may underperform. This is quite normal for a business like ours that operates in 176 countries and territories.