The last fiscal year was a squeaky one for ecommerce for a well-known maker of product lubricants, but digital sales are now looking up.
WD-40 fiscal 2022 revenue
For the fiscal year 2022 ended Aug. 31, WD-40 Co., manufacturer and distributor of WD-40, a highly known penetrating oil on store and distributor shelves since 1953 reported a steep decline in ecommerce sales.
Steve Brass, president and CEO, WD-40 Co.
“In fiscal year 2022, global ecommerce sales were down 8% compared to the last fiscal year, partially due to the continued rebalancing of sales toward brick-and-mortar locations. Despite our slow results this fiscal year, there is a significant opportunity ahead of us in the digital commerce space,” CEO Steve Brass told analysts on the company’s year-end earnings call. “In the Americas, digital commerce sales rolled back in the latter part of the year, which gives us great confidence that we’re through the worst of the downturn.”
WD-40 doesn’t break out specific ecommerce sales, but for fiscal 2022, total revenue grew 6% to $518.2 million. Net income was $67.3 million.
Ecommerce is an important channel to WD-40, which also manufactures other lubrication and cleaning products.
“Despite our slow results this fiscal year, there is a significant opportunity ahead of us in the digital commerce space,” Brass said. “Our vision for digital commerce is to engage with end users at scale, making it easier to access, learn about and purchase our brands.”
Ecommerce at WD-40
Digital commerce is now on the rebound, the company says. For the first quarter of fiscal 2o23 ended Nov. 30, sales decreased year over year to about $124 million while net income was about $14 million.
Ecommerce sales rose 51% in Q1 fiscal 2023, the company says, but did not break out specific numbers.
“We expect ecommerce would be the fastest-growing retail sales channel globally for the duration of fiscal year 2023,” Brass said. “We see a world where almost every transaction in the future will be influenced by a digital touchpoint somewhere on the path to purchase, and we believe we’re well-equipped to thrive in that world.”
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