WD-40 Company Reports Updated Fiscal Year 2011 Guidance

SAN DIEGO, June 22, 2011 /PRNewswire/ -- WD-40 Company (Nasdaq: WDFC) today reported updated fiscal year 2011 guidance.

WD-40 Company now expects fiscal year 2011 net sales of $330.0 million to $340.0 million, or sales growth between 2.6% and 5.7% versus fiscal year 2010. The Company expects net income of $34.9 million to $36.6 million and diluted earnings per share of $2.05 to $2.15 for fiscal year 2011 based on an estimated 17.0 million weighted average shares outstanding. Gross margin for the full year is expected to be close to 50.0%. The Company expects advertising and promotion expenses to be close to 7.5% of net sales.

"More than ever before, our business is poised for growth as we continue to invest in our four core strategic initiatives, which are to expand into global growth markets, to bring innovation into existing markets, to develop our business through acquisitions and strategic partnerships and to take advantage of new marketing strategies to leverage our loyal end-users' affinity for our brands. However, this year we have seen challenges in terms of rising commodity prices impacting the gross margin unfavorably which requires us to update our 2011 fiscal year guidance. We will continue to work hard to manage these short term hurdles as we continue to invest for the future," said Garry O. Ridge, WD-40 Company president and chief executive officer.

The Company will report its third quarter fiscal 2011 earnings on Thursday, July 7, 2011.

WD-40 Company, with headquarters in San Diego, is a global consumer products company dedicated to delivering unique, high-value and easy-to-use solutions for a wide variety of maintenance needs of "doer" and "on-the-job" users by leveraging and building the brand fortress of the company. The company markets three multi-purpose maintenance product brands - WD-40(R), 3-IN-ONE(R) and BLUE WORKS (TM) - and eight homecare and cleaning product brands: X-14(R) mildew stain remover and automatic toilet bowl cleaners, 2000 Flushes(R) automatic toilet bowl cleaners, Carpet Fresh(R) and No Vac(R) rug and room deodorizers, Spot Shot(R) aerosol and liquid carpet stain removers, 1001(R) household cleaners and rug and room deodorizers, and Lava(R) and Solvol(R) heavy-duty hand cleaners.

WD-40 Company markets its products in more than 160 countries worldwide and recorded sales of $322 million in fiscal year 2010. Additional information about WD-40 Company can be obtained online at http://www.wd40company.com.

Except for the historical information contained herein, this news release contains forward-looking statements concerning WD-40 Company's outlook for sales, earnings, dividends and other financial results. These statements are based on an assessment of a variety of factors, contingencies and uncertainties considered relevant by WD-40 Company. Forward-looking statements involve risks and uncertainties, which may cause actual results to differ materially from the forward-looking statements, including the impact of commodity prices, changes in foreign currency exchange rates, and fluctuating global market conditions, both in the United States and internationally. The company's expectations, beliefs and projections 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 projections will be achieved or accomplished.

The risks and uncertainties are detailed from time to time in reports filed by WD-40 Company with the SEC, including Forms 8-K, 10-Q, and 10-K, and readers are urged to carefully review these and other documents.

SOURCE WD-40 Company