WD-40 Company (NASDAQ: WDFC) reported financial results for the third quarter ended May 31st. Net sales amounted to USD 98.2 Million. Net income for the third quarter amounted to USD 14.5 Million, a 20% fall compared to the same period a year ago. Gross margin reached 54% compared to 54.5% the prior year fiscal quarter.
“Our total sales in the third quarter declined by 14 percent due to disruptions related to the COVID-19 pandemic,” said Garry Ridge, WD-40 Company’s chairman and chief executive officer. “As a global business that operates in 176 countries around the world, each of our locations has been impacted by COVID-19 in different ways but our tribe members everywhere adapted quickly to the unprecedented situation which enabled us to hold our own this quarter even while confronted with extremely challenging circumstances.”
“I have often said that physical awareness and mental awareness of our product – or said simply, making our end-users aware of our products and making them easy to buy – is core to our continued success. COVID-19 has reinforced this lesson for me. In geographies and trade channels where our products remained easy to buy, like in e-commerce and in certain countries that were not subject to movement restrictions, we performed very well in the third quarter. However, in markets with strict movement restrictions in place or less developed e-commerce adoption, our sales were more severely impacted.”
“Though the global health crisis is not over yet, I do believe that we have maneuvered through the immediate crisis very well. We have always had a very clear strategy with very clear targets enabled by an enviable culture. What this crisis has required us to do is pause, reset, and become even more laser-focused on how we will achieve our growth aspirations,” concluded Ridge.
The company reported a quarterly dividend of USD 0.67 per share payable July 31st to shareholders of record at the close of July 17th.