Sales Performance - Consolidated net sales increased by $13.1 million or 9% to $153.5 million compared to the prior year, driven by higher sales volume and price increases[97] - Americas segment sales grew 8% to $69.4 million, led by 9% growth in WD-40 Multi-Use Product sales[98][99] - EIMEA segment sales surged 18% to $57.5 million, with WD-40 Multi-Use Product sales up 21%[98][105] - Asia-Pacific segment sales declined 4% to $26.6 million, with WD-40 Multi-Use Product sales down 6%[98][108] - Net sales increased to $153.5 million in Q3 2024, up 9.3% from $140.4 million in Q3 2023[16] - Total net sales for the three months ended November 30, 2024, were $153.495 million, up from $140.416 million in the same period in 2023[68] - WD-40 Multi-Use Product sales increased to $118.547 million in Q3 2024 from $107.677 million in Q3 2023[68] - WD-40 Specialist sales rose to $19.172 million in Q3 2024 from $16.842 million in Q3 2023[68] - Foreign currency exchange rates favorably impacted consolidated net sales by $1.5 million[97] - Asia-Pacific segment net sales decreased, with WD-40 Multi-Use Product sales down $1.3 million (6%), driven by a $2.6 million decline in Asia distributor markets, partially offset by a $1.0 million increase in China[109] - WD-40 Specialist sales in the Asia-Pacific segment increased $1.2 million (17%), driven by higher sales volume in Iberia, U.K., and Italy, each up $0.5 million, $0.3 million, and $0.3 million respectively[109] Profitability and Margins - Gross profit margin improved to 54.8% from 53.8% in the prior year period[97] - Net income rose 8% to $18.9 million, with diluted EPS increasing 9% to $1.39[97] - Gross profit increased to $84.1 million, up $8.5 million, with gross margin improving to 54.8% from 53.8% (100 basis points increase)[111] - Net income rose to $18.9 million in Q3 2024, an 8.3% increase from $17.5 million in Q3 2023[16] - Gross profit margin improved to 54.8% in Q3 2024, up from 53.8% in Q3 2023[16] - Net income for the three months ended November 30, 2024, was $18.925 million, compared to $17.482 million for the same period in 2023[19] - Net income for the three months ended November 30, 2024, was $18.925 million, compared to $17.482 million for the same period in 2023[67] Expenses and Costs - SG&A expenses increased to $50.5 million, up $6.4 million (14%), representing 32.9% of net sales compared to 31.4% in the prior year[113] - Advertising and sales promotion expenses increased to $8.4 million, up $1.4 million (20%), representing 5.5% of net sales compared to 5.0% in the prior year[116] - Operating expenses increased to $59.0 million in Q3 2024, up 14.8% from $51.4 million in Q3 2023[16] - Americas segment operating income decreased to $12.7 million, down $1.5 million (11%), with operating expenses increasing $4.1 million primarily due to higher employee-related costs[121] Shareholder Returns and Capital Allocation - The company repurchased 13,750 shares at an average price of $263.75 per share for a total cost of $3.6 million under its $50 million share repurchase plan[161][163] - Returned $15.6 million to stockholders through share repurchases and dividends in the quarter[97] - The company declared a 7% increase in the regular quarterly cash dividend, raising it from $0.88 per share to $0.94 per share, payable on January 31, 2025[88] - Treasury stock purchases totaled $3.6 million in Q3 2024, up 50.2% from $2.4 million in Q3 2023[22] - Dividends paid increased to $12.0 million in Q3 2024, up 5.9% from $11.3 million in Q3 2023[22] - Cash dividends paid in Q3 2024 were $0.88 per share, totaling $11.958 million, compared to $0.83 per share and $11.297 million in Q3 2023[19] - The company repurchased 13,750 shares at an average price of $263.75 per share, totaling $3.6 million, leaving $38.3 million authorized under the 2023 Repurchase Plan[66] Cash Flow and Liquidity - Cash and cash equivalents grew to $54.9 million as of November 30, 2024, up 17.6% from $46.7 million at August 31, 2024[14] - Total current assets increased to $262.8 million as of November 30, 2024, up 2.9% from $255.4 million at August 31, 2024[14] - Net cash provided by operating activities was $14.9 million in Q3 2024, down 44.5% from $26.9 million in Q3 2023[22] - The company extended its revolving credit facility maturity date to April 30, 2029, under the Second Amended and Restated Credit Agreement[58] - The company's revolving credit agreement includes a $125.0 million limit on other unsecured indebtedness[62] Tax and Financial Adjustments - The release of an unrecognized tax benefit is expected to generate a favorable income tax adjustment of $11.9 million in the fiscal second quarter ending February 28, 2025[89] - The effective tax rate decreased by 2.2% from 24.2% in 2023 to 22.0% in 2024, primarily due to increased excess tax benefits from stock-based equity awards[81] Inventory and Assets - Total inventories decreased from $79.088 million as of August 31, 2024, to $74.887 million as of November 30, 2024, with finished goods inventory increasing from $60.331 million to $63.874 million[45] - Total assets held for sale as of November 30, 2024, were $9.865 million, including intangibles, goodwill, and inventory[44] - Goodwill decreased by $1.069 million due to assets held for sale, with the balance as of November 30, 2024, at $96.584 million[47] - The carrying amount of definite-lived intangible assets decreased from $6.222 million as of August 31, 2024, to $2.287 million as of November 30, 2024, due to amortization and translation adjustments[52] - The gross carrying amount of definite-lived intangible assets increased slightly from $38.863 million as of August 31, 2024, to $39.091 million as of November 30, 2024[51] - The company's goodwill showed no indicators of impairment as of November 30, 2024, with no impairment losses recorded[48] Liabilities and Debt - Total liabilities decreased to $221.0 million as of November 30, 2024, down 1.1% from $218.5 million at August 31, 2024[14] - The fair value of the company's senior notes was estimated at $60.3 million as of November 30, 2024, compared to a carrying value of $66.4 million[39] Operational and Strategic Changes - The company changed the functional currency of its U.K. subsidiary from Pound Sterling to Euro effective September 1, 2024[36] - The company has no outstanding commitments for purchasing finished goods and components as of November 30, 2024[75] Homecare and Cleaning Products - Homecare and cleaning product sales decreased 3% to $7.99 million, with a 7% decline in the Americas segment[97][99] - Homecare and cleaning product sales in the Asia-Pacific segment decreased $0.4 million (19%) due to reduced demand in the U.K. from lower advertising and promotional activities[109]

Sales Performance - Global net sales grew 9% to $153.5 million in Q1 2025 compared to the prior year fiscal quarter[5] - Total maintenance product sales increased 10% to $145.5 million, representing 95% of total net sales[5][13] - EIMEA segment net sales increased 18% to $57.5 million, driven by 21% growth in WD-40 Multi-Use Product sales[6][10] - Americas segment net sales grew 8% to $69.4 million, with WD-40 Multi-Use Product sales up 9%[6][10] - Asia-Pacific segment net sales decreased 4% to $26.6 million, primarily due to a 6% decline in WD-40 Multi-Use Product sales[6][10] - Net sales increased to $153.5 million in Q3 2024, up 9.3% from $140.4 million in Q3 2023[29] Profitability - Gross margin improved to 54.8%, up 100 basis points from the prior year quarter[5][14] - Net income increased 8% to $18.9 million, with diluted EPS up 9% to $1.39[5] - Gross profit rose to $84.1 million in Q3 2024, an 11.3% increase from $75.6 million in Q3 2023[29] - Net income grew to $18.9 million in Q3 2024, up 8.3% from $17.5 million in Q3 2023[29] Financial Position - Cash and cash equivalents increased to $54.9 million as of November 30, 2024, up 17.6% from $46.7 million as of August 31, 2024[27] - Total assets decreased slightly to $447.3 million as of November 30, 2024, down 0.4% from $449.0 million as of August 31, 2024[27] - Total liabilities increased to $221.0 million as of November 30, 2024, up 1.2% from $218.5 million as of August 31, 2024[27] - Inventory levels decreased to $74.9 million as of November 30, 2024, down 5.3% from $79.1 million as of August 31, 2024[27] - Accounts receivable decreased to $111.4 million as of November 30, 2024, down 5.2% from $117.5 million as of August 31, 2024[27] - Short-term borrowings increased to $23.4 million as of November 30, 2024, up 170.5% from $8.7 million as of August 31, 2024[27] Expenses and Investments - Advertising and sales promotion expenses rose 20% to $8.4 million, representing 5.5% of total net sales[5] - The company repurchased 13,750 shares at a total cost of $3.6 million under its $50.0 million share repurchase plan[13] Guidance and Outlook - Fiscal year 2025 guidance projects net sales growth of 6-11% to $600-630 million and diluted EPS of $5.20-$5.45[13][14] Cash Flow - Operating cash flow decreased to $14.9 million in Q3 2024, down 44.5% from $26.9 million in Q3 2023[31]

Company Performance - WD-40 Company reported Q4 revenue of $156 million, an 11% increase YoY, surpassing consensus estimates by 450 basis points [1] - Sales in the Americas grew by 6%, APAC by 21%, and emerging markets by 16%, reflecting strong global performance [1] - Maintenance Products segment grew by 12%, driven by a 13% increase in WD-40 Multi-Use product sales, while Harvest Brands declined by 2% [1] - Gross margin widened by 270 basis points due to revenue leverage and product mix, though net income only increased by 1% to $16.8 million [2] - The company expects revenue growth of 6%-11% in 2025, with earnings growth projected at 9%-14% [2] Financial Health and Strategy - WD-40 Company maintains a robust balance sheet with $46.7 million in cash and low leverage, with total liabilities at less than 0.5x assets and 1x equity [3] - Equity, a measure of shareholder value, increased by nearly 10% [3] - The company plans to divest its Harvest Brand Cleaning Products segment to focus on core business growth, despite its good margins [2] - Cash flow was negative due to growth investments, but cash burn was only 3% of total cash, indicating strong capitalization [3] Dividend and Capital Returns - WD-40 Company has a reliable dividend with a yield of 1.33%, aligning with the S&P 500 average [1][3] - The company has a 16-year track record of dividend increases, with an annualized 3-year dividend growth rate of 7.40% [3] - The payout ratio is high at 68.88%, but it is supported by strong cash flow and growth prospects [3] Market and Analyst Sentiment - Analysts from DA Davidson and Jefferies Financial Group rate WD-40 stock as "Moderate Buy," with price targets ranging from $280 to $322, indicating a potential upside of 7.75%-20% [4] - Technical indicators suggest the stock is near equilibrium, with a bias towards upward movement due to growth, cash flow, and capital return prospects [5] Growth Opportunities - With 51% of revenue coming from the U.S., which represents only 15% of the global economy, WD-40 has significant growth potential in international markets [1] - Management is actively investing in new opportunities to drive future growth [1]

Sales Performance - Consolidated net sales increased by $53.3 million, or 10%, for fiscal year 2024 compared to the prior fiscal year, with sales volume contributing $41.3 million and average selling price contributing $4.2 million[124] - WD-40 Multi-Use Product sales increased by $45.3 million, or 11%, for fiscal year 2024 compared to the prior fiscal year[127] - WD-40 Specialist sales increased by $7.2 million, or 11%, for fiscal year 2024 compared to the prior fiscal year[127] - EIMEA segment net sales increased by $30.2 million, or 16%, for fiscal year 2024 compared to the prior fiscal year[128] - Americas segment net sales increased by $15.1 million, or 6%, for fiscal year 2024 compared to the prior fiscal year[128] - Latin America sales of WD-40 Multi-Use Product increased by $14.8 million, or 40%, primarily due to the transition to a direct marketing model in Brazil[132] - EIMEA segment net sales increased by $30.2 million (16%) to $221.0 million, driven by a 17% growth in maintenance products, with WD-40 Multi-Use Product sales up $25.5 million (18%) and WD-40 Specialist sales up $3.8 million (14%)[135][138] - Asia-Pacific segment net sales increased by $7.9 million (10%) to $87.6 million, with WD-40 Multi-Use Product sales up $5.7 million (9%) and WD-40 Specialist sales up $1.5 million (17%)[141][144] - Constant currency net sales in EIMEA increased by 12% ($22.2 million) and in Asia-Pacific by 11% ($9.1 million), reflecting underlying growth excluding currency impacts[135][141] - Net sales for fiscal year 2024 were $590.557 million, up from $537.255 million in 2023 and $518.820 million in 2022[177] Profitability and Margins - Gross profit as a percentage of net sales increased to 53.4% for fiscal year 2024 compared to 51.0% for the prior fiscal year[125] - Consolidated net income increased by $3.7 million, or 6%, for fiscal year 2024 compared to the prior fiscal year, with foreign currency exchange rates contributing $1.5 million[125] - Diluted earnings per common share for fiscal year 2024 were $5.11 versus $4.83 in the prior fiscal year[125] - Gross margin increased by 240 basis points to 53.4%, driven by favorable sales mix (130 bps), lower specialty chemical costs (80 bps), and reduced warehousing/distribution costs (80 bps)[149][151] - Americas operating income increased by 7% to $65.0 million in 2024, driven by a $15.1 million increase in sales and higher gross margin, which rose from 48.9% to 50.9%[159] - EIMEA operating income grew by 19% to $46.8 million in 2024, supported by a $30.2 million increase in sales and a gross margin improvement from 52.2% to 54.7%[161] - Asia-Pacific operating income rose by 15% to $29.7 million in 2024, with gross margin increasing from 55.3% to 58.0% due to favorable sales and market mix changes[162] - Net income for 2024 was $69.6 million, or $5.11 per diluted share, compared to $66.0 million, or $4.83 per diluted share, in 2023[169] - Gross margin improved to 53% in 2024, up from 51% in 2023, reflecting progress toward the company's long-term target of 55%[174] - Adjusted EBITDA as a percentage of net sales remained stable at 18% in both 2024 and 2023, consistent with the company's long-term target of 25%[174] - Adjusted EBITDA for fiscal year 2024 was $105.998 million, an increase from $98.697 million in 2023 and $95.042 million in 2022[177] - Adjusted EBITDA as a percentage of net sales remained consistent at 18% for fiscal years 2024, 2023, and 2022[177] Expenses and Costs - SG&A expenses increased by $29.2 million (19%) to $183.9 million, primarily due to higher employee-related costs ($16.1 million) and professional services fees ($6.1 million)[152][153] - Research and development investment increased by $1.8 million to $8.0 million, focused on sustainability, innovation, and product renovation[154] - A&P expenses increased to $33.9 million in 2024, up 18% from $28.8 million in 2023, driven by higher promotional programs and marketing support, particularly in the Americas and EIMEA segments[156][157] - Total expenditure on A&P activities reached $66.6 million in 2024, representing 11.2% of net sales, compared to $57.9 million (10.8% of net sales) in 2023[157] - Unallocated corporate expenses increased by 24% to $45.2 million in 2024, primarily due to higher employee-related costs and ERP system implementation expenses[163] - Cost of doing business as a percentage of net sales increased to 36% in 2024, compared to 33% in 2023, driven by higher operating expenses[176] Cash Flow and Financial Position - Net cash provided by operating activities decreased to $92.034 million in 2024 from $98.391 million in 2023[183] - Net cash used in investing activities increased to $9.735 million in 2024, primarily due to the purchase of the Brazilian distributor Theron[187] - Net cash used in financing activities decreased to $83.936 million in 2024, driven by lower net repayments on the revolving credit facility[187] - The company had $46.7 million in cash and cash equivalents as of August 31, 2024[181] - The 2023 Repurchase Plan authorized the company to acquire up to $50.0 million of outstanding shares, with $41.9 million remaining available as of August 31, 2024[182] - The company increased its regular quarterly cash dividend by 6% to $0.88 per share in December 2023[191] Debt and Interest Rates - The company's consolidated leverage ratio cannot exceed 3.5:1, and the consolidated interest coverage ratio cannot be less than 3:1[181] - The company has a $27.8 million outstanding balance on its $125.0 million revolving credit facility as of August 31, 2024, with interest rates based on SOFR, SONIA, and EURIBOR[207] - A one percentage point increase in variable interest rates would result in a pretax reduction of earnings and cash flows by approximately $0.3 million annually[207] - The weighted average cost of short-term debt, including fixed and variable rate borrowings, was 6.1% as of August 31, 2024[207] Foreign Currency and Hedging - Foreign currency exchange rates favorably impacted EIMEA net sales by $8.1 million but unfavorably impacted Asia-Pacific net sales by $1.1 million[140][145] - The company's U.K. subsidiary uses foreign currency forward contracts to manage exposure to net asset balances held in non-functional currencies[204] - The company does not engage in hedging activities to mitigate foreign currency translation risk, which affects sales, expenses, profits, assets, and liabilities[203] - Unremitted earnings of foreign subsidiaries are generally not considered indefinitely reinvested, except for specific statutory remittance restrictions in China[201] - The company's international subsidiaries operate in functional currencies other than the U.S. Dollar, exposing it to foreign currency risk during financial statement consolidation[203] Product and Market Performance - Homecare and cleaning product sales in the Americas segment decreased by $1.6 million, or 10%, due to reduced demand in the U.S.[134] - WD-40 Multi-Use Product sales in EIMEA benefited from volume recovery and price increases, with significant growth in France ($5.2 million), DACH ($5.0 million), and Iberia ($2.1 million)[138][139] - Asia-Pacific sales growth was driven by successful promotional programs in Indonesia, Korea, and Taiwan ($4.3 million) and increased sales volume in China ($1.6 million)[144][145] - The company expanded its direct market presence in Brazil and implemented a new ERP system in the U.S., contributing to increased professional services costs[153] Commodity and Raw Material Risks - The company does not hedge crude oil price volatility, which impacts the cost of specialty chemicals and aerosol cans, potentially affecting gross margins and operating results[206]

Quarterly Performance - WD-40 reported Q4 fiscal 2024 earnings of $1 23 per share missing the Zacks Consensus Estimate of $1 31 per share but marking an increase from $1 21 per share in the year-ago quarter [2] - Net sales rose 11 1% year over year to $156 million driven by increased sales of WD-40 Multi-Use Product in EIMEA Latin America and China [3] - Gross profit increased 16 9% to $84 3 million with gross margin expanding 270 basis points to 54 1% [3] - SG&A expenses escalated 26 6% to $49 1 million accounting for 31 5% of net sales [3] Segmental Sales - Americas net sales grew 6% to $79 2 million driven by a 7% increase in WD-40 Multi-Use Product sales particularly in Latin America [4] - EIMEA net sales increased 15 5% to $58 6 million with WD-40 Multi-Use Product sales up 16% [4] - Asia-Pacific net sales rose 21 4% to $18 2 million driven by a 26% increase in WD-40 Multi-Use Product sales [5] Strategic Initiatives - WD-40 is focusing on its new mantra 'few things many places bigger impact' to enhance efficiencies and returns on global investments [1] - The company plans to pursue the sale of its homecare and cleaning product portfolios in the Americas and the U K aligning with its Four-by-Four Strategic Framework [7] Financial Health - WD-40 ended Q4 with $46 7 million in cash and cash equivalents $86 million in long-term borrowings and $230 5 million in stockholders' equity [8] - The company repurchased 34 250 shares for $8 1 million under a $50 million share repurchase plan [8] FY25 Outlook - WD-40 projects net sales growth of 6-11% with total net sales expected to range from $600 million to $630 million [8] - Gross margin is anticipated to be 54-55% with operating income forecast between $95 million and $100 million [9] - Earnings per share are projected between $5 20 and $5 45 indicating growth of 9-14% [9] Industry Comparison - Shares of WD-40 lost 2 1% in the past month compared with the industry's decline of 0 3% [9]

Company Overview - The WD-40 Company (NASDAQ: WDFC) stock is one of the longest-held positions [1] - The company has maintained a hold rating due to expensive valuations despite its growth [1] Investment Strategy - The company promotes a blended trading and investing approach to grow wealth [1] - A sale is currently available, offering 75% savings compared to the regular price of $1,668 [1] - The sale will end once 3 more members sign up [1] - The company offers a money-back guarantee for new members [1]

Q4 & FY24 Earnings Results OCTOBER 17, 2024 Forward-Looking Statements Except for the historical information contained herein, this presentation contains "forward-looking statements" within the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Our forward-looking statements are generally identified with words such as "believe," "expect," "intend," "plan," "project," "could," "may," "aim," "anticipate," "target," "estimate" and similar expressions. Such statements reflect the ...

Financial Data and Key Metrics Changes - The company reported fourth quarter net sales of $156 million, representing an increase of over 11% compared to the prior year, marking the second consecutive record-breaking sales quarter [6][51] - For the full fiscal year, revenue reached $583 million, up 8% on a non-GAAP constant currency basis, aligning with expectations [32] - Gross margin improved to 54.1% in the fourth quarter, an increase of 270 basis points year-over-year, and is moving closer to the target of 55% [7][35] Business Line Data and Key Metrics Changes - Sales of WD-40 Multi-Use Product reached $453 million for the fiscal year, an 11% increase over the prior year [7] - In the Americas, sales grew approximately 6% to $79 million, driven primarily by higher sales volumes in Latin America, which increased by 63% [8][12] - Sales of WD-40 Specialist products increased by 11% to nearly $74 million for the fiscal year, with notable growth in all three trade blocks [22] Market Data and Key Metrics Changes - Sales in EIMEA grew approximately 16% to $59 million, with a constant currency increase of 15% [13] - Asia Pacific sales increased by 21% to $18 million, driven by a 26% increase in WD-40 Multi-Use Product sales [15] - The company experienced strong growth in key markets, including 206% in India and 66% in Turkey [57] Company Strategy and Development Direction - The company is focused on its Four-by-Four strategic framework, which includes geographic expansion, premiumization, driving WD-40 Specialist growth, and accelerating digital commerce [17][21] - The company estimates a global benchmark sales opportunity of approximately $1.6 billion for WD-40 Multi-Use Product, with only 28% achieved to date, indicating significant growth potential [19][52] - The divestiture of home care and cleaning brands is expected to enhance focus on higher growth, higher margin maintenance products [34][46] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate challenges and capitalize on opportunities, emphasizing the strong foundation built over seven decades [5] - The company anticipates gross margin recovery to 55% by the end of fiscal year 2026, with potential for earlier achievement post-divestiture [36] - Management highlighted the importance of employee engagement and operational excellence as key drivers of future success [25][28] Other Important Information - The company has reduced inventory levels by nearly $40 million or 34% since peaking in the first quarter of fiscal year 2023 [43] - Cash flow from operations for fiscal year 2024 was approximately $92 million, with plans to pay down higher interest rate borrowings [44] - The company is committed to sustainability and has taken significant steps to embed it into the business strategy [26][27] Q&A Session Summary Question: Pricing headwinds in the second half of '24 - Management indicated that the pricing headwinds were primarily related to mix rather than significant pricing changes [54] Question: Expectations for elevated SG&A expenses - Management confirmed that SG&A expenses are expected to remain elevated due to ongoing ERP investments and the integration of Brazil expenses [55] Question: Opportunities for direct business model expansion - Management expressed optimism about further direct market opportunities, highlighting strong growth in Brazil and Mexico [56][57] Question: Guidance for operating profit excluding household cleaning business - Management confirmed that the guidance for operating profit excludes the household cleaning business, reflecting uncertainty in the timing of the divestiture [60] Question: Gross margin guidance and oil price assumptions - Management explained that the gross margin guidance reflects ongoing supply chain initiatives and included an oil price assumption range of $70 to $90 [62][64] Question: Pro forma sales growth cadence - Management noted that sales growth is expected to be weighted towards the second half of the fiscal year, similar to the previous year [65][66]

EXHIBIT 99.1 WD-40 Company Reports Fourth Quarter and Fiscal Year 2024 Financial Results ~ Global net sales grew 11 percent in the fourth quarter compared to the prior year fiscal quarter ~ ~ Management issues fiscal year 2025 guidance ~ SAN DIEGO — October 17, 2024 — WD-40 Company (NASDAQ:WDFC), a global marketing organization dedicated to creating positive lasting memories by developing and selling products that solve problems in workshops, factories and homes around the world, today reported financial re ...

Alexandr Lebedko Since 1953, WD-40 Company (NASDAQ:WDFC), a brand that spans the globe, has stood as a leading supplier of maintenance, home care, and cleaning products under the WD-40 Multi-Use product line of versatile maintenance products in aerosol, non-aerosol trigger spray, and liquid-bulk types. Its footprint is huge—the Americas, Europe, Middle East, Africa, Asia Pacific—and then down under in Australia. Its distribution network snakes from warehouse club stores, hardware stores, and automotive part ...