Is WDFC's EPS growth sustainable long-term?

**WD-40's EPS growth appears to be sustainable long-term**, based on several key points:

1. **Consistent Growth**: The company has shown a consistent growth trajectory in its EPS, with an 8.59% year-over-year increase in the most recent quarter. This consistency suggests a strong underlying business performance that supports long-term sustainability.

|code|Ticker|Name|Date|Net Income YoY|Total Revenue YoY|Diluted EPS YoY|market_code|
|---|---|---|---|---|---|---|---|
|WDFC|WDFC.O|WD-40|2024 Q2|-5.9905603291782645|6.845222093353713|-5.7851239669421535|185|
|WDFC|WDFC.O|WD-40|2024 Q3|5.011907912146071|9.404658580128002|5.797101449275368|185|
|WDFC|WDFC.O|WD-40|2024 Q4|1.2609351432880844|11.063566200552502||185|
|WDFC|WDFC.O|WD-40|2025 Q1|8.254204324448004|9.314465587967183|8.593749999999991|185|

2. **Strategic Focus**: WD-40's strategic focus on maintenance products and its "Must-Win Battles" strategy are likely contributing to its strong EPS growth. This strategic direction indicates a deliberate approach to growth that could be sustained over the long term.
3. **Market Position**: The company's strong brand presence and diverse product portfolio provide a competitive edge, which is crucial for sustaining EPS growth over time. Its iconic product, the WD-40 Multi-Use Product, is a market leader in many countries, ensuring a steady demand for its core offerings.
4. **Financial Health**: WD-40's financial health, as indicated by its financial metrics such as ROE, ROA, Operating Margin, and Gross Margin, supports the notion of sustainable EPS growth. The company's robust profitability and operational efficiency are key factors in ensuring that EPS growth is not a one-time event but rather a sustainable long-term trend.

|code|Ticker|Name|Date|Gross Profit Margin|Operating Profit Margin|ROA|ROE(Average)|market_code|
|---|---|---|---|---|---|---|---|---|
|WDFC|WDFC.O|WD-40|2024 Q2|53.1245|15.423170352138122|10.2029|15.4848|185|
|WDFC|WDFC.O|WD-40|2024 Q3|53.1293|15.933368003939563|16.2856|24.4485|185|
|WDFC|WDFC.O|WD-40|2024 Q4|53.3779|15.669613602073973|21.4928|31.6058|185|
|WDFC|WDFC.O|WD-40|2025 Q1|54.7816|15.894328805498551|5.5739|8.2855|185|

5. **Dividend History**: WD-40's history of maintaining dividend payments also suggests a commitment to shareholder value and financial stability, which are positive indicators for the sustainability of EPS growth.
6. **Market Outlook**: Despite facing challenges such as supply chain management and competition, the company's positive market reaction to its strategic initiatives and operational efficiency improvements indicate investor confidence in its long-term growth prospects.

In conclusion, WD-40's EPS growth seems to be supported by a combination of strategic initiatives, strong market position, financial health, and a commitment to shareholder value, which collectively suggest that its EPS growth is likely sustainable in the long term.