WD-40 profits and sales surge in Q1

Maintenance products manufacturer WD-40 reported that first quarter net sales jumped 26% to $124.6 million compared to net sales of $98.6 million for the same period last year.

The San Diego, Calif.-based manufacturer also reported a first quarter net income of $23.6 million, soaring 94% from a net income of $12.2 million for the same period in the previous year.

WD-40 reported that net sales of maintenance products, which are considered the primary growth focus for the company, increased 28% in the first quarter when compared to the prior year fiscal quarter. 

The increase is primarily due to heightened sales of WD-40 Multi-Use Product driven by increased demand linked to renovation trends associated with the pandemic and increased sales through the e-commerce channel, the company said.

Sales of homecare and cleaning products increased 15% in the first quarter. The company said that it experienced a significant increase in sales of homecare and cleaning products beginning in the third quarter of fiscal year 2020 due to increased demand as a result of the COVID-19 pandemic. 

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The Bottom Line: Profits at WD-40 nearly double to $23.6 million in the first quarter as sales soar 26%.

What the CEO said: "We offer a variety of maintenance and cleaning products that have been in very high demand during these highly unusual times," said Garry Ridge, WD-40 chairman and CEO. "Our sales increased 26% compared to the first quarter of last year due primarily to increased demand for our products linked to renovation trends associated with the pandemic. We call this phenomenon 'isolation renovation' and we are experiencing it in nearly all of our direct markets around the world."   

Company info: The full first quarter 2021 report from WD-40 can be read here.