Financial Data and Key Metrics Changes - Consolidated net sales for Q4 were $163 million and $620 million for the full fiscal year, reflecting approximately 5% growth year-over-year [5][26] - Gross margin improved to 55.1% for the full fiscal year, with Q4 gross margin at 54.7%, marking a 730 basis point improvement from Q4 FY2021 [6][7][47] - Operating income for Q4 was $28 million, a 17% increase over the prior period, while net income improved to $21.2 million, a 27% increase [37] Business Line Data and Key Metrics Changes - Maintenance products accounted for approximately 95% of total net sales, with Q4 sales reaching $156 million, a 6% year-over-year increase [6][5] - Home care and cleaning product sales declined by $600,000 in Q4, reflecting a strategic shift towards higher margin maintenance products [8][11] Market Data and Key Metrics Changes - Sales in the Americas decreased by 2% to $77 million in Q4, primarily due to lower sales in Latin America [7][8] - IMEA sales grew by 7% to $63 million in Q4, with maintenance product sales increasing by 8% [9][10] - Asia-Pacific sales grew by 28% to $23 million in Q4, driven by a 30% increase in maintenance product sales [11][12] Company Strategy and Development Direction - The company is focused on a four-by-four strategic framework aimed at driving profitable growth and sustainable value creation [14][15] - Key strategic initiatives include geographic expansion, premiumization, growth in WD-40 Specialist products, and acceleration of digital commerce [16][19][20] Management's Comments on Operating Environment and Future Outlook - Management highlighted resilience in navigating global challenges, including geopolitical tensions and economic policy shifts [4] - For FY2026, the company expects net sales growth between 5% and 9%, with gross margin projected between 55.5% and 56.5% [43][44] Other Important Information - The company completed the divestiture of its UK home care and cleaning product businesses, allowing a sharper focus on maintenance products [11][41] - The company maintains a disciplined capital allocation strategy, with a focus on returning capital to shareholders through dividends and buybacks [39][40] Q&A Session Summary Question: Clarification on initial guidance and home care sales - Management confirmed that initial guidance excluded home care sales, while reported results included them [50][51] Question: Mixed headwinds affecting gross margin - Management explained that the mixed headwinds were related to sales mix impacts, including product and market mix [56][60] Question: Potential gross margin headwinds and tailwinds for 2026 - Management indicated stability in cost inputs and successful cost-saving initiatives as potential tailwinds for gross margin in FY2026 [66][68] Question: Growth potential in distributor markets in Asia-Pacific - Management expressed confidence in long-term growth potential in distributor markets, particularly in regions like Indonesia [70]

Financial Data and Key Metrics Changes - Consolidated net sales for Q4 were $163 million and $620 million for the full fiscal year, reflecting approximately 5% growth year-over-year [5][26] - Gross margin improved to 55.1% for the full fiscal year, with Q4 gross margin at 54.7%, marking a 730 basis point improvement from Q4 FY 2021 [6][7][47] - Operating income for Q4 was $28 million, a 17% increase over the prior period, while net income improved to $21.2 million, a 27% increase [37] Business Line Data and Key Metrics Changes - Maintenance products accounted for approximately 95% of total net sales, with Q4 sales reaching $156 million, a 6% year-over-year increase [6][5] - Home care and cleaning product sales declined by $600,000 in Q4, reflecting a strategic shift towards higher-margin maintenance products [8][11] Market Data and Key Metrics Changes - Sales in the Americas decreased by 2% to $77 million in Q4, primarily due to lower sales in Latin America [7][8] - IMEA sales grew by 7% to $63 million in Q4, with maintenance product sales increasing by 8% [9][10] - Asia-Pacific sales grew by 28% to $23 million in Q4, driven by a 30% increase in maintenance product sales [11][12] Company Strategy and Development Direction - The company is focused on a four-by-four strategic framework aimed at driving profitable growth and sustainable value creation [14][15] - Key strategic initiatives include geographic expansion, premiumization, growth in WD-40 Specialist products, and acceleration of digital commerce [16][19][20] - The company aims to introduce a new bio-based format of its multi-use product to enhance environmental sustainability [23] Management's Comments on Operating Environment and Future Outlook - Management highlighted resilience in navigating global challenges such as geopolitical tensions and economic policy shifts [4] - For FY 2026, the company projects net sales growth between 5% and 9%, with gross margin expected between 55.5% and 56.5% [43][44] Other Important Information - The company completed the divestiture of its UK home care and cleaning product brands for up to $7.5 million [41] - The company plans to accelerate share buyback activity, reflecting confidence in long-term fundamentals [39][48] Q&A Session Summary Question: Clarification on initial guidance and home care sales - Management confirmed that initial guidance excluded home care sales, while reported results included them [50][51] Question: Insights on gross margin headwinds and tailwinds - Management indicated that both headwinds and tailwinds were built into the guidance, with stability in cost inputs expected [66][68] Question: Growth potential in distributor markets in Asia-Pacific - Management expressed confidence in long-term growth potential in distributor markets, particularly in regions like Indonesia [70]

Financial Data and Key Metrics Changes - The company reported consolidated net sales of $163 million for Q4 2025 and $620 million for the full fiscal year, each reflecting approximately 5% growth compared to the prior year, marking a record quarter for the company [7][8] - Gross margin improved to 55.1% for the full fiscal year, surpassing the target of 55%, and was 54.7% for Q4, showing a 730 basis point improvement from 2021 [9][10] Business Line Data and Key Metrics Changes - Maintenance products accounted for approximately 95% of total net sales, with Q4 sales reaching $156 million and $591 million for the full year, each reflecting a 6% year-over-year increase [8][9] - Home Care and Cleaning product sales declined by $600,000 compared to last year, reflecting a strategic shift towards higher margin maintenance products [12] Market Data and Key Metrics Changes - Sales in The Americas decreased by 2% to $77 million, primarily due to lower sales in Latin America and macroeconomic challenges [11] - EMEA sales grew by 7% to $63 million, with maintenance product sales increasing by 8% [13][14] - Asia Pacific sales grew by 28% to $23 million, driven by a 30% increase in maintenance product sales [15][16] Company Strategy and Development Direction - The company is focused on a 4x4 strategic framework aimed at driving profitable growth and sustainable value creation, emphasizing geographic expansion, premiumization, growth in WD-40 Specialist products, and digital commerce [18][24] - The company estimates a global attainable market for WD-40 Multi Use Product of approximately $1.9 billion, having achieved only 25% of this benchmark [20] Management's Comments on Operating Environment and Future Outlook - Management highlighted resilience in navigating global headwinds, including geopolitical tensions and economic policy shifts, while maintaining a focus on strategic progress [6][34] - For fiscal year 2026, the company expects net sales growth between 5% and 9%, with gross margin projected to be between 55% and 56.5% [55][56] Other Important Information - The company completed the divestiture of its UK Home Care and Cleaning product businesses, allowing for a sharper focus on higher growth maintenance products [14][53] - The company reported a return on invested capital of 26.9%, improving from 25.5% the previous year [52] Q&A Session Summary Question: Clarification on initial guidance and Home Care sales - Management confirmed that initial guidance excluded Home Care sales, but reported figures included them on a GAAP basis [63][64] Question: Insights on gross margin headwinds and tailwinds - Management indicated that premiumization is a tailwind, but sales mix and other miscellaneous impacts created headwinds [70][72] Question: Potential for premiumization in the Specialist product line - Management confirmed that premiumization strategies are being applied to both core and Specialist products, enhancing gross margins [74] Question: Thoughts on gross margin expectations for 2026 - Management noted stability in cost inputs and ongoing cost-saving initiatives that could benefit margins in FY 2026 [79][80] Question: Growth potential in distributor markets in Asia Pacific - Management emphasized a long runway for growth in distributor markets, particularly in regions like Indonesia [81][82]

Financial Data and Key Metrics Changes - The company reported consolidated net sales of $163 million for Q4 and $620 million for the full fiscal year, each reflecting approximately 5% growth compared to the prior year [5] - Gross margin improved to 55.1% for the full fiscal year, with Q4 gross margin at 54.7%, marking a 730 basis point improvement from Q4 of fiscal year 2021 [6][47] - Operating income for Q4 was $28 million, an increase of 17% over the prior period, while net income improved to $21.2 million, a 27% increase compared to the prior period [37] Business Line Data and Key Metrics Changes - Maintenance products accounted for approximately 95% of total net sales, with Q4 sales reaching $156 million, a 6% year-over-year increase [5] - Sales of WD-40 Specialist products were $82 million, up 11% over the prior year, with growth across all trade blocks [18] - Home care and cleaning product sales declined, reflecting a strategic shift towards higher margin maintenance products [8][11] Market Data and Key Metrics Changes - Sales in the Americas decreased 2% to $77 million, primarily due to lower sales in Latin America [7] - IMEA sales grew 7% to $63 million, with maintenance product sales increasing 8% [9][10] - Asia-Pacific sales grew 28% to $23 million, driven by a 30% increase in maintenance product sales [11][12] Company Strategy and Development Direction - The company is focused on geographic expansion, premiumization, growth in WD-40 Specialist, and accelerating digital commerce as part of its four-by-four strategic framework [14][19] - The estimated global attainable market for WD-40 Multi-Use Product is approximately $1.9 billion, with only 25% of that benchmark achieved [16][46] - A new bio-based format of the multi-use product is set to launch in select European markets, emphasizing environmental sustainability [23] Management's Comments on Operating Environment and Future Outlook - The management highlighted resilience in navigating global headwinds, including geopolitical tensions and economic policy shifts [4] - For fiscal year 2026, the company expects net sales growth between 5% and 9%, with gross margin projected between 55.5% and 56.5% [43][44] - The management remains optimistic about long-term growth potential despite current economic uncertainties [41] Other Important Information - The company completed the divestiture of its UK home care and cleaning product businesses for up to $7.5 million [40] - The company plans to accelerate share buyback activity, reflecting confidence in long-term fundamentals [39][47] Q&A Session Summary Question: Clarification on initial guidance and home care sales - The company confirmed that initial guidance excluded home care sales, while reported results included them [49][50] Question: Insights on gross margin headwinds and tailwinds - Management indicated that stability in cost inputs and successful cost-saving initiatives would benefit gross margins in FY2026 [65] Question: Growth potential in distributor markets in Asia-Pacific - Management expressed confidence in long-term growth potential in distributor markets, particularly in regions like Indonesia [67]