Benzinga - WD-40 Co (NASDAQ: WDFC) shares are trading higher on Monday after-hours after the company reported worse-than-expected financial results.
What Happened: WD-40 said first-quarter revenue was down 7% year-over-year to $124.89 million, which missed average analyst estimates of $140.73 million, according to Benzinga Pro. The company reported quarterly earnings of $1.02 per share, which missed average estimates of $1.09 per share.
During the first quarter, WD-40 repurchased 22,420 shares at a total cost of $4.1 million under its $75 million share repurchase plan.
"Today we are happy to report that in the first quarter, gross margin improved sequentially by 400 basis points compared to the fourth quarter of fiscal year 2022. This is evidencing the positive impact of the gross margin restoration plan we put into place to combat the current inflationary environment," said Steve Brass, president and CEO of WD-40.
WD-40 said sales volumes were soft in some regions due to disruptions in the market linked to the pricing actions it previously executed, however underlying volumes remained in line with company expectations.
WD-40 reiterated that it expects full-year 2023 revenue growth between 5% and 10%. The company anticipates full-year net sales between $545 million and $570 million versus estimates of $544.22 million.
WDFC Price Action: WD-40 shares are up 0.71% in after-hours at $163.76 at the time of publication, according to Benzinga Pro.
Photo: wd40 in from Flickr.
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