# EDGAR Filing Document

**Accession Number:** 0000105132
**File Stem:** 0000105132-23-000005
**Filing Date:** 2023-1
**Character Count:** 31000
**Document Hash:** 8d05f8e58bb98f34c19f7430f74fdb7f
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0000105132-23-000005.hdr.sgml**: 20230109

**ACCESSION NUMBER**: 0000105132-23-000005

**CONFORMED SUBMISSION TYPE**: 8-K

**PUBLIC DOCUMENT COUNT**: 13

**CONFORMED PERIOD OF REPORT**: 20230109

**ITEM INFORMATION**: Results of Operations and Financial Condition

**ITEM INFORMATION**: Financial Statements and Exhibits

**FILED AS OF DATE**: 20230109

**DATE AS OF CHANGE**: 20230109

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** WD 40 CO
- **CENTRAL INDEX KEY:** 0000105132
- **STANDARD INDUSTRIAL CLASSIFICATION:** MISCELLANEOUS CHEMICAL PRODUCTS [2890]
- **IRS NUMBER:** 951797918
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 0831

**FILING VALUES:**
- **FORM TYPE:** 8-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-06936
- **FILM NUMBER:** 23518182

**BUSINESS ADDRESS:**
- **STREET 1:** 9715 BUSINESSPARK AVENUE
- **CITY:** SAN DIEGO
- **STATE:** CA
- **ZIP:** 92131
- **BUSINESS PHONE:** 6192751400

**MAIL ADDRESS:**
- **STREET 1:** 9715 BUSINESSPARK AVENUE
- **CITY:** SAN DIEGO
- **STATE:** CA
- **ZIP:** 92131

?xml version="1.0" encoding="utf-8"? wdfc-20230109x8k

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

# **Washington, D.C. 20549** 
**__________**

## **FORM 8-K** 
**__________**

# **CURRENT REPORT** 
**PURSUANT TO SECTION 13 OR 15(d) OF THE**

**SECURITIES EXCHANGE ACT OF 1934**

### **Date of Report (date of earliest event reported): January 9, 2023** 

#### **WD-40 COMPANY** 
**(Exact Name of Registrant as specified in its charter)**

**__________**

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| | | |
|:---|:---|:---|
| **Delaware** <br>**(State or other jurisdiction of incorporation or organization)** | **000-06936**<br>**(Commission File Number)**<br>**WD 40 CO**<br>**(Commission Company Name)** | **95-1797918**<br>**(I.R.S. Employer**<br>**Identification Number)**<br>|
|  | **9715 Businesspark Avenue, San Diego, California 92131**<br> **(Address of principal executive offices, with zip code)**<br>|  |
|  | **(619) 275-1400**<br>**(Registrant's telephone number, including area code)**<br>|  |
|  | **n/a**<br>**(Former name or former address, if changed since last report)**<br>|  |

---

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;□ Written Communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;□ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;□ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;□ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

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| | | |
|:---|:---|:---|
| **Title of each class** | **Trading Symbol** | **Name of exchange on which registered** |
| Common stock, par value $0.001 per share | WDFC | NASDAQ |

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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter)

Emerging Growth Company □

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act □

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| | |
|:---|:---|
| **ITEM 2.02.** | **Results of Operations and Financial Condition**<br>|
|  | On January 9, 2023, WD-40 Company issued a news release with respect to earnings for the quarter ended November 30, 2022. The full text of the news release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.<br>All of the information furnished in this Item 2.02 and Item 9.01 (including Exhibit 99.1) shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and shall not be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as shall be expressly set forth by specific reference in such a filing. |
| **ITEM 9.01.** | **Financial Statements and Exhibits**<br>|
|  | (d) Exhibits |

---

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| | |
|:---|:---|
| <u>Exhibit No.</u> | <u>Description</u> |
| 99.1 | [<u>News Release by WD-40 Company dated January 9, 2023.</u>](wdfc-20230109xex99_1.htm) |
| 104 | The cover page from this Current Report on Form 8-K, formatted in Inline XBRL. |

---

‎

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**SIGNATURE**

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

      <br>     <u>WD-40 Company </u> <br>     <u>(Registrant)</u>

---

| | |
|:---|:---|
| Date: January 9, 2023 | /s/ SARA K. HYZER |
|  | Sara K. Hyzer<br>|
|  | Vice President, Finance<br>|
|  | Treasurer and Chief Financial Officer |

---

## Exhibit 99.1

**Exhibit 99.1**

**<u>WD-40 Company Reports</u> <u>First</u> <u>Quarter</u> <u>2023</u> <u>Financial Results</u>**

*~ Gross margin improves 400 basis points sequentially compared to fourth fiscal quarter ~*

*~ Management reiterates fiscal year 2023 guidance ~*

SAN DIEGO — January 9, 2023 ― 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 results for its first fiscal quarter ended November 30, 2022.

**Financial Highlights and Summary**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Total net sales for the first quarter were $124.9 million, a decrease of 7 percent compared to the prior year fiscal quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Translation of the Company's fo reign subsidiary results from their functional currencies to U.S. dollars had an unfavorable impact on sales for the first quarter. On a constant currency basis, total net sales would have been $134.4 million for the first q uarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net income for the first quarter was $14.0 million, a decrease of 25 percent from the prior year fiscal quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Diluted earnings per share were $1.02 compared to $1.34 in the prior year fiscal quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Gross margin percentage was 51.4 percent compared to 50.8 percent in the prior year fiscal quarter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Selling, general and administrative expenses were up 4 percent in the first quarter to $40.0 million compared to the prior year fiscal quarter .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Adv ertising and sales promotion expenses were down 5 percent to $5.3 million compared to the prior year fisca l quarter .

"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," said Steve Brass, WD-40 Company's president and chief executive officer. "This is evidencing the positive impact of the gross margin restoration plan we put into place to combat the current inflationary environment."

"While we saw topline growth in our Asia-Pacific and Americas segments, our EMEA segment reported sales that were softer than we would like to see. In EMEA, we've experienced significant headwinds from fluctuating currency exchange rates, a lower level of customer orders, weaker economic conditions, and a reduction in sales linked to our decision to suspend sales in Russia in 2022."

"Though sales volumes were soft in some regions due to disruptions in the market linked to the pricing actions we recently executed, underlying volumes remain in line with our expectations. We shared with investors last quarter that we expected much of our topline growth in fiscal year 2023 would be weighted toward the second half of the fiscal year. We expect volume performance to improve in the second half of the fiscal year as price-related disruptions abate, and accordingly, today we are reiterating our guidance for the full fiscal year," Brass concluded.

**Net Sales by Segment (in thousands):**

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| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended November 30,** | **Three Months Ended November 30,** | **Three Months Ended November 30,** |
|  | **2022** | **2021** | **Change** |
| Americas | $58014 | $56288 | 3% |
| EMEA | 40772 | 57555 | (29)% |
| Asia-Pacific | 26107 | 20903 | 25% |
| &nbsp;&nbsp; Total | $124893 | $134746 | (7)% |

---

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales by segment as a percent of total net sale s for the first quarter were as follows: for the Americas, 46 percent; for EMEA, 33 percent ; for Asia-Pacific, 21 percent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales in the Americas increased 3 percent in the first quarter due primarily to higher sales of maintenance products in the United States, which increased 1 5 percent compared to the prior year fiscal quarter. Higher sales of maintenance products in the United States were primarily driven by strong sales of WD-40 <sub>®</sub><sub> </sub> Multi-Use Product, WD-40 Specialist <sub>®</sub> , and 3-IN-ONE <sub>®</sub> due to the impact of price increases, as well as increased production capacity , and improved availability as our supply chain continues to strengthen. These increases were significantly offset by a lower level of customer orders and promotional programs as customers adjust to the price increases, which resulted in decreased sales volume s . In Canada , sales remained constant period over period. Higher sales in the United States were mostly offset by lower sales of WD-40 <sub>®</sub> Mu l ti-Use Product in Latin America. S ales of maintenance products were down 31 percent in Latin America compared to the prior year fiscal quarter due primarily to the timing of marketing distributor orders from period to period .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales in EMEA decreased 29 percent i n the first quarter due to lower sales of maintenance products in both the EMEA direct and distributor markets, which de creased 2 2 percent and 43 percent, respectively. Changes in foreign currency exchange rates had a n un favorable impact on sales for the EMEA segment in the first quarter . On a constant currency basis , EMEA sales for the first quarter would have de creased by 1 5 percent compared to the prior fiscal year quarter. Lower sales of maintenance products in the EMEA direct markets were also due to a lower level of customer orders partially offset by the favorable impact of price increases. In addition, lower sales were due to reduced demand driven by weaker market s and economic conditions. Lower sales of maintenance products in the EMEA distributor markets were primarily attributable to the suspension in sales of our products to our marketing distributor customers in Russia and Belarus in March of 2022.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales in Asia-Pacifi c increased 25 percent in the first quarter due to higher sales of maintenance products in the Asia-Pacific distributor markets and China , which increased 41 percent and 22 percent, respectively. In the Asia-Pacific distributor markets , higher sales of maintenance products were primarily attributed to successful promotional programs and the easing of COVID-19 lockdown measures in the region. Higher sales of maintenance products in China were primarily due to successful promotional programs as well as the timing of customer orders. In Australia , sales remained constant period over period . Changes in foreign currency exchange rates had a n un favorable impact on sales for the Asia-Pacific segment. On a constant currency basis, Asia-Pacific sales would have increased by 31 percent compared to the prior year fiscal quarter.

**Net Sales by Product Group (in thousands):**

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| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended November 30,** | **Three Months Ended November 30,** | **Three Months Ended November 30,** |
|  | **2022** | **2021** | **Change** |
| Maintenance products | $116312 | $126030 | (8)% |
| Homecare and cleaning products | 8581 | 8716 | (2)% |
| &nbsp;&nbsp; Total | $124893 | $134746 | (7)% |

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales of maintenance products, which are considered the primary growth focus for the Company, decreased 8 percent in the first quarter when compared to the prior year fiscal quarter. This decrease was primarily due to lower sales of WD-40 <sub>®</sub> Multi-Use Product , which decreased 12 percent compared to the prior fiscal year quarter. This decline was driven by lower sales volume s linked to recent pricing actions which resulted in a lower level of customer orders and promotional programs. Sales declines were also due to unfavorable changes in foreign currency exchanges rates and weaker economic conditions in some regions. 2

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These sales declines were partially offset by the sales price increases implemented over the last twelve months.<br>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales of homecare and cleaning products decreased 2 percent in the first quarter compared to the prior year fiscal quarter. The homecare and cleaning products, particularly those in the United States, are considered harvest brands providing healthy profit returns to the Company and are becoming a smaller part of the business as net sales of maintenance products grow in alignment with the Company's strategic initiatives.

**Dividend and Share Repurchase Update**

As previously announced, WD-40 Company's board of directors declared on Tuesday, December 13, 2022, a quarterly dividend of $0.83 per share reflecting an increase of more than 6 percent compared to the previous quarter's dividend. The quarterly dividend is payable on January 31, 2023 to stockholders of record at the close of business on January 13, 2023.

On October 12, 2021, the Company's board of directors approved a share buy-back plan that became effective on November 1, 2021. Under the plan, the Company is authorized to acquire up to $75.0 million of its outstanding shares through August 31, 2023. The timing and amount of repurchases will be based on terms and conditions acceptable to the Company and in compliance with applicable laws and regulations. During the period from November 1, 2021 through November 30, 2022, the Company repurchased 160,982 shares at a total cost of $33.2 million under this $75.0 million plan. During the first quarter, the Company repurchased 22,420 shares at a total cost of $4.1 million under this $75.0 million plan.

**Reiterated Fiscal Year 2023 Guidance** 

The Company reiterated the following guidance for fiscal year 2023:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net sales growth is projected to be between 5 and 10 percent with net sales expected to be between $545 million and $570 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Gross margin percentage for the full year is expected to be between 51 and 53 percent .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Advertising and promotion investments are projected to be between 5.0 and 6.0 percent of net sales .

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· The provision for income tax is expected to be around 22 percent.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Net income is projected to be between $69.0 million and $71.0 million.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;· Diluted earnings per share is expected to be between $5.09 and $5.24 based on an estimated 13.6 million weighted average shares outstanding.

This guidance is expressed in good faith and is based on management's current view of anticipated results. Net sales guidance was calculated using recent foreign currency exchange rates and reflects currency headwinds of approximately 5 percent. This guidance does not include any future acquisitions or divestitures. Unanticipated inflationary headwinds, COVID-19 related impact, and other unforeseen events may further affect the Company's financial results.

**Webcast Information**

As previously announced, WD-40 Company management will host a live webcast at approximately 5:00 p.m. ET / 2:00 p.m. PT today to discuss these results. Other forward-looking and material information may also be discussed during this call. Please visit http://investor.wd40company.com for more information and to view supporting materials.

**About WD-40 Company**

WD-40 Company is 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. The Company owns a wide range of well-known brands that include maintenance products and homecare and cleaning products: WD-

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40<sub>®</sub> Multi-Use Product, WD-40 Specialist<sub>®</sub>, 3-IN-ONE<sub>®</sub>, GT85<sub>®</sub>, 2000 Flushes<sub>®</sub>, no vac<sub>®</sub>, 1001<sub>®</sub>, Spot Shot<sub>®</sub>, Lava<sub>®</sub>, Solvol<sub>®</sub>, X-14<sub>®</sub>, and Carpet Fresh<sub>®</sub>.

Headquartered in San Diego, California, USA, WD-40 Company recorded net sales of $518.8 million in fiscal year 2022 and its products are currently available in more than 176 countries and territories worldwide. WD-40 Company is traded on the NASDAQ Global Select Market under the ticker symbol "WDFC." For additional information about WD-40 Company please visit <u>http://www.wd40company.com</u>.

**Forward-Looking Statements**

Except for the historical information contained herein, this press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements reflect the Company's current expectations with respect to currently available operating, financial and economic information. These forward-looking statements are subject to certain risks, uncertainties and assumptions that could cause actual results to differ materially from those anticipated in or implied by the forward-looking statements. These forward-looking statements are generally identified with words such as "believe," "expect," "intend," "plan," "could," "may," "aim," "anticipate," "target," "estimate" and similar expressions.

Our forward-looking statements include, but are not limited to, discussions about future financial and operating results, including: growth expectations for maintenance products; expected levels of promotional and advertising spending; anticipated input costs for manufacturing and the costs associated with distribution of our products; plans for and success of product innovation; the impact of new product introductions on the growth of sales; anticipated results from product line extension sales; expected tax rates and the impact of tax legislation and regulatory action; the length and severity of the current COVID-19 pandemic and its impact on the global economy and our financial results; changes in the political conditions or relations between the United States and other nations; the impacts from inflationary trends and supply chain constraints; and forecasted foreign currency exchange rates and commodity prices.

The Company's expectations, beliefs and forecasts are expressed in good faith and are believed by the Company to have a reasonable basis, but there can be no assurance that the Company's expectations, beliefs or forecasts will be achieved or accomplished. All forward-looking statements reflect the Company's expectations as of January 9, 2023. We undertake no obligation to revise or update any forward-looking statements.

Actual events or results may differ materially from those projected in forward-looking statements due to various factors, including, but not limited to, those identified in Part I—Item 1A, "Risk Factors," in the Company's Annual Report on Form 10-K for the fiscal year ended August 31, 2022, and in the Company's Quarterly Report on Form 10-Q for the period ended November 30, 2022, which the Company expects to file with the SEC on January 9, 2023.

**Table Notes and General Definitions**

&nbsp;&nbsp;&nbsp;&nbsp;(1) The Company markets maintenance products under the WD-40 <sub>®</sub> , GT85 <sub>®</sub> and 3-IN-ONE <sub>®</sub> brand names. Currently included in the WD-40 brand are the WD-40 <sub>®</sub> Multi-Use Product, WD-40 Specialist <sub>®</sub> and WD-40 BIKE <sub>®</sub> product lines.

&nbsp;&nbsp;&nbsp;&nbsp;(2) The Company markets the following homecare and cleaning brands: X-14 <sub>®</sub> automatic toilet bowl cleaners, 2000 Flushes <sub>®</sub> automatic toilet bowl cleaners, Carpet Fresh <sub>®</sub> and no vac <sub>®</sub> rug and room deodorizers, Spot Shot <sub>®</sub> aerosol and liquid carpet stain removers, 1001 <sub>®</sub> household cleaners and rug and room deodorizers and Lava <sub>®</sub> and Solvol <sub>®</sub> heavy-duty hand cleaners.

&nbsp;&nbsp;&nbsp;&nbsp;(3) The Americas segment consists of the U.S., Canada, and Latin America.

&nbsp;&nbsp;&nbsp;&nbsp;(4) The EMEA segment consists of countries in Europe, the Middle East, Africa and India.

&nbsp;&nbsp;&nbsp;&nbsp;(5) The Asia-Pacific segment consists of Australia, China and other countries in the Asia region.

&nbsp;&nbsp;&nbsp;&nbsp;(6) Constant currency represents the translation of the current quarter results from the functional currencies of the Company's subsidiaries to U.S. dollars using the exchange rate in effect for the corresponding period of the prior fiscal year.

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| | | |
|:---|:---|:---|
| **WD-40 COMPANY** | **WD-40 COMPANY** | **WD-40 COMPANY** |
| **CONDENSED CONSOLIDATED BALANCE SHEETS** | **CONDENSED CONSOLIDATED BALANCE SHEETS** | **CONDENSED CONSOLIDATED BALANCE SHEETS** |
| **(Unaudited and in thousands, except share and per share amounts)** | **(Unaudited and in thousands, except share and per share amounts)** | **(Unaudited and in thousands, except share and per share amounts)** |
|  | **November 30,** | **August 31,** |
|  | **2022** | **2022** |
| **Assets** |  |  |
| Current assets: |  |  |
| &nbsp;&nbsp; Cash and cash equivalents | $36882 | $37843 |
| &nbsp;&nbsp; Trade and other accounts receivable, net | 87285 | 89930 |
| &nbsp;&nbsp; Inventories | 119067 | 104101 |
| &nbsp;&nbsp; Other current assets | 12122 | 17766 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total current assets | 255356 | 249640 |
| &nbsp;&nbsp; Property and equipment, net | 65658 | 65977 |
| &nbsp;&nbsp; Goodwill | 95277 | 95180 |
| &nbsp;&nbsp; Other intangible assets, net | 5362 | 5588 |
| &nbsp;&nbsp; Operating lease right-of-use assets | 8435 | 7559 |
| &nbsp;&nbsp; Deferred tax assets, net | 629 | 679 |
| &nbsp;&nbsp; Other assets | 10776 | 9672 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total assets | $441493 | $434295 |
| **Liabilities and Stockholders' Equity** |  |  |
| Current liabilities: |  |  |
| &nbsp;&nbsp; Accounts payable | $31826 | $32852 |
| &nbsp;&nbsp; Accrued liabilities | 24728 | 27161 |
| &nbsp;&nbsp; Accrued payroll and related expenses | 14251 | 11583 |
| &nbsp;&nbsp; Short-term borrowings | 42537 | 39173 |
| &nbsp;&nbsp; Income taxes payable | 301 | 51 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total current liabilities | 113643 | 110820 |
| &nbsp;&nbsp; Long-term borrowings | 107902 | 107139 |
| &nbsp;&nbsp; Deferred tax liabilities, net | 10715 | 10528 |
| &nbsp;&nbsp; Long-term operating lease liabilities | 6629 | 5999 |
| &nbsp;&nbsp; Other long-term liabilities | 11234 | 11185 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total liabilities | 250123 | 245671 |
| Commitments and Contingencies |  |  |
| Stockholders' equity: |  |  |
| &nbsp;&nbsp; Common stock ― authorized 36,000,000 shares, $0.001 par value; |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; 19,896,477 and 19,888,807 shares issued at November 30, 2022 and |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; August 31, 2022, respectively; and 13,587,596 and 13,602,346 shares |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; outstanding at November 30, 2022 and August 31, 2022, respectively | 20 | 20 |
| &nbsp;&nbsp; Additional paid-in capital | 168092 | 165973 |
| &nbsp;&nbsp; Retained earnings | 459439 | 456076 |
| &nbsp;&nbsp; Accumulated other comprehensive loss | (34873) | (36209) |
| &nbsp;&nbsp; Common stock held in treasury, at cost ― 6,308,881 and 6,286,461 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; shares at November 30, 2022 and August 31, 2022, respectively | (401308) | (397236) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total stockholders' equity | 191370 | 188624 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total liabilities and stockholders' equity | $441493 | $434295 |

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| | | |
|:---|:---|:---|
| **WD-40 COMPANY** | **WD-40 COMPANY** | **WD-40 COMPANY** |
| **CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS** | **CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS** | **CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS** |
| **(Unaudited and in thousands, except per share amounts)** | **(Unaudited and in thousands, except per share amounts)** | **(Unaudited and in thousands, except per share amounts)** |
|  | **Three Months Ended November 30,** | **Three Months Ended November 30,** |
|  | **2022** | **2021** |
| Net sales | $124893 | $134746 |
| Cost of products sold | 60638 | 66276 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Gross profit | 64255 | 68470 |
| Operating expenses: |  |  |
| &nbsp;&nbsp; Selling, general and administrative | 39984 | 38423 |
| &nbsp;&nbsp; Advertising and sales promotion | 5339 | 5624 |
| &nbsp;&nbsp; Amortization of definite-lived intangible assets | 253 | 363 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total operating expenses | 45576 | 44410 |
| Income from operations | 18679 | 24060 |
| Other income (expense): |  |  |
| &nbsp;&nbsp; Interest income | 44 | 25 |
| &nbsp;&nbsp; Interest expense | (1169) | (620) |
| &nbsp;&nbsp; Other income (expense), net | 150 | (329) |
| Income before income taxes | 17704 | 23136 |
| Provision for income taxes | 3707 | 4581 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net income  | $13997 | $18555 |
| Earnings per common share: |  |  |
| &nbsp;&nbsp; Basic | $1.03 | $1.35 |
| &nbsp;&nbsp; Diluted | $1.02 | $1.34 |
| Shares used in per share calculations: |  |  |
| &nbsp;&nbsp; Basic | 13590 | 13716 |
| &nbsp;&nbsp; Diluted | 13609 | 13752 |

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| | | |
|:---|:---|:---|
| **WD-40 COMPANY** | **WD-40 COMPANY** | **WD-40 COMPANY** |
| **CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS** | **CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS** | **CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS** |
| **(Unaudited and in thousands)** | **(Unaudited and in thousands)** | **(Unaudited and in thousands)** |
|  | **Three Months Ended November 30,** | **Three Months Ended November 30,** |
|  | **2022** | **2021** |
| Operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Net income | $13997 | $18555 |
| &nbsp;&nbsp;&nbsp;&nbsp; Adjustments to reconcile net income to net cash provided by |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Depreciation and amortization  | 1896 | 1987 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net gains on sales and disposals of property and equipment | 122 | 9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Deferred income taxes | 271 | 738 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Stock-based compensation | 2719 | 2891 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Unrealized foreign currency exchange losses (gains) | (1481) | 541 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Provision for credit losses | 30 | 30 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Changes in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trade and other accounts receivable | 2847 | (7980) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Inventories | (14203) | (13054) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other assets | 4573 | (1793) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Operating lease assets and liabilities, net | 26 | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accounts payable and accrued liabilities | (3336) | 4126 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Accrued payroll and related expenses | 2627 | (7324) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Other long-term liabilities and income taxes payable | 349 | 325 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net cash provided by operating activities | 10437 | (947) |
| Investing activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Purchases of property and equipment | (1458) | (2434) |
| &nbsp;&nbsp;&nbsp;&nbsp; Proceeds from sales of property and equipment | 158 | 72 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net cash used in investing activities | (1300) | (2362) |
| Financing activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp; Treasury stock purchases | (4072) | (7386) |
| &nbsp;&nbsp;&nbsp;&nbsp; Dividends paid | (10634) | (9905) |
| &nbsp;&nbsp;&nbsp;&nbsp; Repayments of long-term senior notes  | (400) | (400) |
| &nbsp;&nbsp;&nbsp;&nbsp; Net proceeds (repayments) of revolving credit facility | 3364 | &nbsp;&nbsp;&nbsp;&nbsp;- |
| &nbsp;&nbsp;&nbsp;&nbsp; Shares withheld to cover taxes upon conversions of equity awards | (600) | (4246) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net cash used in financing activities | (12342) | (21937) |
| Effect of exchange rate changes on cash and cash equivalents | 2244 | (1196) |
| Net (decrease) increase in cash and cash equivalents | (961) | (26442) |
| Cash and cash equivalents at beginning of period | 37843 | 85961 |
| Cash and cash equivalents at end of period | $36882 | $59519 |

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