Quarterly ResultApr 9, 2026, 04:12 PM
WD-40 Reports Q2 2026 Net Sales Up 11% to $161.7M, Non-GAAP EPS Rises 14% to $1.50; Reaffirms FY2026 Guidance
AI Summary
WD-40 Company announced strong financial results for its second fiscal quarter ended February 28, 2026, with total net sales increasing 11% to $161.7 million, or 4% in constant currency. The company's core maintenance product sales grew 13%, or 6% in constant currency, aligning with long-term growth expectations. Gross margin expanded by 100 basis points to 55.6%, driven by recent supply chain initiatives, contributing to a 13% increase in operating income. Despite a 32% decrease in GAAP net income and EPS due to a one-time tax benefit in the prior year, non-GAAP adjusted diluted EPS increased 14% to $1.50, and management confidently reaffirmed its fiscal year 2026 guidance, anticipating robust growth in the Americas.
Key Highlights
- Total net sales for Q2 2026 increased 11% to $161.7 million, or 4% on a non-GAAP constant currency basis to $152.4 million, compared to the prior year.
- Maintenance product sales rose 13% to $156.8 million, reflecting a 6% increase in constant currency, consistent with long-term growth targets.
- Gross margin expanded by 100 basis points to 55.6% from 54.6% in the prior year fiscal quarter, supported by supply chain initiatives.
- Operating income increased 13% to $26.3 million compared to the prior year fiscal quarter.
- GAAP diluted earnings per share (EPS) decreased 32% to $1.50 from $2.19 in the prior year, primarily due to a $0.87 per share favorable income tax adjustment in Q2 2025; non-GAAP adjusted diluted EPS increased 14% to $1.50 compared to $1.32 in the prior year (excluding the one-time benefit).
- President and CEO Steve Brass stated, "Maintenance products remain our core strategic focus, and sales of these brands grew 6 percent in constant currency in the second quarter in line with our long‑term growth expectations," and confirmed the company is "confidently reaffirming our full fiscal year 2026 guidance."