WD-40 on Monday reported $9.4 million net income for its first quarter ending Nov. 30, up 22 percent compared to the year-ago period, on net sales of $78 million, down 7 percent.
Earnings per share were 56 cents in WD-40s first quarter, up from 46 cents per share in the year-earlier period. San Diego-based WD-40s fiscal year runs from Sept. 1 to Aug. 31.
WD-40s net sales for the first quarter ending Nov. 30 reached $77.7 million, down 7 percent from the year-earlier quarter. First quarter sales in the Americas declined 4 percent to $43.7 million, sales in Europe fell 9.6 percent to $27.2 million, and Asia-Pacific sales dropped 14.4 percent to $6.8 million, all compared to the year-earlier period.
Worldwide net sales for the WD-40 and 3-in-One lubricants segment declined 7.9 percent to $60.7 million for the quarter ending Nov. 30, compared to the year-earlier quarter.
WD-40s gross margin was 51.4 percent in the first quarter ending Nov. 30, compared to 46.3 percent in the year-earlier quarter. Gross margin represents net sales minus the cost of goods sold.
“Staying focused has helped us get our gross margin back where we like it through a combination of product development initiatives such as the Smart Straw conversion, supply chain enhancements, including new manufacturing partners, and the benefits of the price increases we implemented last year to compensate for our increased cost of goods, said Garry Ridge, WD-40 Company president and chief executive officer.