WD-40 said its home care and cleaning products sales fell 16% to $11.9 million in the fiscal fourth quarter ended Aug. 31, 2013 and dropped 15% on the year to $47.6 million. The company noted that US home care and cleaning products are considered harvest brands providing healthy profit returns to the company but are becoming a smaller part of the business.
Overall, WD-40’s fourth quarter sales rose 10% to $93.5 million. Full-year sales rose 8% to $368.5 million. Net income fell 9% to $8.1 million in Q4, but rose 12% to $39.8 million on the year.
Fourth quarter multi-purpose maintenance products sales, which include the WD-40, 3-in-One, and Blue Works brands were up 16% to $81.6 million from the prior year fiscal quarter, and 12% for the full year to $320.9 million.
By region, sales in the Americas rose 1% to $47.3 million for the fourth quarter and 2% to $180.5 million on the year. Sales in Europe, Middle East and Africa jumped 25% to $35.9 million in Q4 and increased 16% to $136.0 million on the year. Asia-Pacific sales in the quarter were up 10% to $10.3 million and rose 7% to $52.0 million for the year.
“We have been celebrating our 60th anniversary and are pleased to report a record year for the company during this important milestone,” said Garry Ridge, WD-40 Company president and chief executive officer. “Our continued focus on our key strategic initiatives and thinking big about our future has paid off in spades with great results across all trading blocs. We continue to see ourselves as a growth company, and our performance supports that.”
Ridge added, “We continue to maintain the home care and cleaning products as harvest brands that continue to generate profits while we work to develop strategic alternatives for their future.”
WD-40 Company expects fiscal year 2014 net sales of $383.3 million to $398.0 million and net income of $40.5 million to $42.8 million.