WD-40 Company (NASDAQ:WDFC) reported upbeat earnings for its second quarter, while sales missed estimates. The company reaffirmed 2019 earnings and sales guidance.
The San Diego-based manufacturer announced total net sales for the second quarter were $101.3 million, relatively constant compared to the prior year fiscal quarter. Year-to-date total net sales were $202.6 million, an increase of 2% compared to the prior-year fiscal period.
Net income for the second quarter was $15.9 million, an increase of 7% compared to the prior year fiscal quarter. Year-to-date net income was $29.2 million, an increase of 6% from the prior-year fiscal period.
Diluted earnings per share were $1.14 in the second quarter, compared to $1.05 per share for the prior year fiscal quarter. Year-to-date diluted earnings per share were $2.09 compared to $1.95 in the prior-year fiscal period.
CEO Garry Ridge said, "We experienced two 'events' in the United States this quarter that resulted in a 6% decline in sales of WD-40 Multi-Use Product in the country compared to last year. This decline in sales was driven by the rotation of products that periodically occurs in the warehouse club channel as well as some delayed promotions with a key U.S. customer."
WD-40 Company's board of directors declared in March a quarterly dividend of $0.61 per share payable April 30, to stockholders of record at the close of business on April 19.
In terms of guidance, net sales growth is projected to be between 4% and 7% with net sales expected to be between $425 million and $437 million.
Still, shares took their lumps, collapsing $9.71, or 5.6%, to $162.63
