WD-40 Company reported first-quarter results with revenue of $154.4 million, missing analyst expectations by $0.5 million, and EPS of $1.29, falling short of the consensus estimate of $1.36. The miss on both top and bottom lines led several sell-side analysts to reiterate a sell rating, arguing that the stock’s valuation, trading above 30 times trailing earnings, is unjustified given the stalled growth trajectory and potential for flat or negative EPS growth in fiscal 2026.

During Q1, SG&A expenses rose by 210 basis points as a percentage of net sales, driven by increased marketing investments and headcount additions in support of long-term growth initiatives. Gross margin expanded by 140 basis points thanks to higher specialty product mix, but the benefit was more than offset by the rise in overhead. As a result, operating income declined by 6% year-over-year, while operating cash flow fell by 8%, underscoring near-term profitability challenges despite management’s emphasis on premium product lines.

WD-40 executives Steve Brass, president and CEO, and Sara Hyzer, vice president of finance and CFO, will deliver a presentation at the 28th Annual ICR Conference in Orlando on January 13, 2026, at 10:00 a.m. Eastern Time. The live webcast will be accessible via the company’s investor relations site and will remain archived for 90 days, offering investors further insight into the strategic roadmap aimed at expanding international sales—currently representing 40% of total net sales—and driving long-term shareholder value.