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Feb 28

WD-40 Q2 2025 Earnings Report

WD-40 Company reported solid performance with increased sales and profit margins in Q2 2025.

Key Takeaways

WD-40 delivered a strong second quarter with increased revenue, improved gross margin, and a notable tax-related income boost. Core maintenance products drove growth, especially in the Americas and EIMEA regions.

Total net sales reached $146.1 million, up 5% from the previous year.

Net income rose to $29.9 million due to both operational performance and a one-time tax benefit.

Adjusted EPS increased to $1.32 from $1.14 last year.

Gross margin improved to 54.6% from 52.4% in Q2 2024.

Total Revenue
$146M
Previous year: $139M
+5.0%
EPS
$1.32
Previous year: $1.14
+15.8%
Gross Margin
54.6%
Previous year: 52.4%
+4.2%
Ad & Promo Expenses
$7.4M
Previous year: $6.73M
+10.1%
SG&A Expenses
$49M
Previous year: $45M
+8.8%
Gross Profit
$79.7M
Previous year: $71.6M
+11.3%
Cash and Equivalents
$53M
Previous year: $55.4M
-4.4%
Total Assets
$458M
Previous year: $442M
+3.7%

WD-40

WD-40

WD-40 Revenue by Segment

WD-40 Revenue by Geographic Location

Forward Guidance

WD-40 raised its full-year guidance with improved EPS and margin expectations, while remaining cautious about global uncertainties.

Positive Outlook

  • FY25 EPS guidance raised to $5.25–$5.55.
  • Gross margin projected between 55% and 56%.
  • Revenue forecast between $600M and $630M.
  • Expected operating income between $95M and $100M.
  • Advertising investment planned at 6% of net sales to support growth.

Challenges Ahead

  • Continued unfavorable FX impact projected.
  • Slower Asia-Pacific growth may persist into early H2.
  • Uncertainty around successful divestiture of homecare and cleaning products.
  • Inflation and input cost volatility could impact margins.
  • Tariffs and global economic conditions remain potential risks.

Revenue & Expenses

Visualization of income flow from segment revenue to net income