WD-40 Sales Down 3% In Q2, Maintenance Sales Dip 2%

The company posted a significant jump in profit year-over-year despite a decline in sales.

San Diego-based WD-40 reported its 2016 second quarter fiscal results on Thursday, posting a significant profit increase from last year despite a dip in total sales.

The company had Q2 sales of $94.6 million down 3 percent year-over-year, while year-to-date sales were down 3 percent as well. WD-40's profit in Q2 jumped 21 percent from last year to $13.7 million, while year-to-date profit was up 16 percent.

The company's maintenance products sales of $84.6 million — which represented 90 percent of total revenue — decreased 2 percent in Q2, while sales of homecare and cleaning products fell 8 percent to $9.9 million.

Total Q2 sales increased by 2 percent in the Americas year-over-year, but decreased 8 percent in EMEA and 4 percent in Asia-Pacific. WD-40 did 48 percent of its sales in the Americas, 38 percent in EMEA and 14 percent in Asia-Pacific.

"The increase in sales in the Americas in the second quarter was primarily driven by a higher level of promotional activities which resulted in strong growth of WD-40 Multi-Use Product in Latin America and the WD-40 Specialist product line in the United States," the company said in its earnings report. "This growth was partially offset by sales declines in Canada which were attributable to the unfavorable impact of foreign currency exchange rate changes and unstable market conditions in the industrial channel in Western Canada.'

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