What is the market's earnings forecast for WD-40 next quarter?

What were the key takeaways from WD-40’s earnings call?

What were the key takeaways from WD-40's earnings call?

What is the revenue and EPS growth rate for WD-40 year over year?

What guidance did WD-40's management provide for the next earnings period?

What factors drove the changes in WD-40's revenue and profit?

Did WD-40 beat or miss consensus estimates last quarter?

What is WD-40's gross profit margin?

- **Revenue Resilience**: 5% YoY growth driven by 6% maintenance product expansion, beating mid-single-digit targets
- **Gross Margin Milestone**: 55.1% FY25 (vs. 53.4% FY24), 730bps improvement since Q4 2021; targeting >55% FY26
- **Strategic Wins**: 
  - 11% growth in WD-40 Specialists ($82M FY25)
  - 10% e-commerce growth
  - 44% Asia distributor market expansion
- **Divestiture Discipline**: U.K. home care sale completed; Americas deal could add $0.20 EPS
- **FY26 Outlook**: 5-9% sales growth, 55.5-56.5% gross margin, $5.75-$6.15 EPS

**【CEO Summary Section】**
- **Revenue Growth**: Reported consolidated net sales of $163 million for Q4 and $620 million for FY25, each up 5% YoY. Maintenance products (95% of sales) grew 6% Q4 and FY25, aligning with mid-single-digit targets.
- **Gross Margin Recovery**: Full-year gross margin of 55.1% (55.6% excluding divestiture impact), up 170bps YoY. Q4 margin of 54.7% reflects 730bps improvement since Q4 2021. Target to sustain above 55% in FY26.
- **Strategic Progress**: 
  - **Geographic Expansion**: 44% growth in Asia distributor markets; 20% in India, 19% France, 14% DACH.
  - **Premiumization**: Smart Straw/Easy Reach products account for 50% of multi-use sales, targeting >10% CAGR.
  - **WD-40 Specialists**: $82 million FY25 sales (+11% YoY), with 12% of $665M benchmark potential captured.
  - **Digital Commerce**: E-commerce up 10% FY25.
- **Divestitures**: Completed U.K. home care sale; Americas divestiture discussions ongoing.

**【CFO Financial Commentary】**
- **FY25 Results**: 
  - Pro forma net sales $603M (+6% YoY)
  - Operating income $98.1M, EPS $5.50 (vs. guidance of $5.30-$5.60)
  - Adjusted EBITDA margin 18% (vs. 18% FY24)
- **FY26 Guidance**: 
  - Net sales $630-655M (+5-9%)
  - Gross margin 55.5-56.5%
  - EPS $5.75-$6.15
- **Key Drivers**: 
  - 110bps A&P investment (6% of sales)
  - 140bps mix headwinds offset by 110bps premiumization gains
  - $9.5M debt repayment using $30M cash flow
  - $30M remaining buyback authorization

**【Q&A Highlights】**
- **Gross Margin Mix**: 140bps headwinds from product/distributor mix vs. 110bps tailwinds from premiumization
- **Specialist Premiumization**: Smart Straw already applied to specialists; targeting >10% CAGR
- **Asia Pacific Growth**: China +10%, Indonesia +20% FY25; long runway in distributor markets
- **Divestiture Impact**: $12.5M net sales, $3.6M op income if Americas deal closes

WD-40 (WDFC)-22 Oct 25-2025 Q4 Earnings call transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

WDFC

WDFC fundamentals

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