WD-40 Company Announces New $75.0 Million Share Repurchase Plan

Rhea-AI Summary

WD-40 Company (NASDAQ: WDFC) announced a new share repurchase plan authorized by its board, effective November 1, 2021. The plan allows for the acquisition of up to $75 million of outstanding shares through August 31, 2023. This decision comes after a suspension of stock repurchases during the pandemic, emphasizing the company's confidence in its long-term growth and commitment to returning capital to shareholders. In fiscal year 2020, WD-40 reported $408.5 million in net sales, with products sold in over 176 countries.

Positive

• New share repurchase plan of $75 million indicates strong confidence in long-term growth.
• Reinstatement of share buybacks suggests improved financial stability and cash flow management.

Negative

• None.

SAN DIEGO, Oct. 13, 2021 /PRNewswire/ -- WD-40 Company (NASDAQ:WDFC) today announced that its board of directors approved a new share repurchase plan.  Under the new plan, which will become effective on November 1, 2021, 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 all laws and applicable regulations.

"Today I am happy to share with you that our board of directors approved a new share repurchase plan," said Jay Rembolt, vice president and chief financial officer of WD-40 Company. "When the pandemic began, we elected to suspend stock repurchases under our previous share repurchase plan in order to conserve our cash while we monitored the long-term impacts of the pandemic. The newly authorized share repurchase plan reflects our confidence in our long-term growth outlook, commitment to our capital allocation strategy, and capacity to return capital to our stockholders."

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 markets a wide range of maintenance products and homecare and cleaning products under the following well-known brands: WD-40®, 3-IN-ONE®, GT85®, X-14®, 2000 Flushes®, Carpet Fresh®, no vac®, Spot Shot®, 1001®, Lava® and Solvol®. 

Headquartered in San Diego, WD-40 Company recorded net sales of $408.5 million in fiscal year 2020 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 http://www.wd40company.com.

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SOURCE WD-40 Company

FAQ

What is the amount of the new share repurchase plan by WD-40 Company?

WD-40 Company has authorized a new share repurchase plan for up to $75 million.

When will the new share repurchase plan become effective for WDFC?

The new share repurchase plan will become effective on November 1, 2021.

Until when is the share repurchase plan valid for WDFC?

The share repurchase plan is valid through August 31, 2023.

Why did WD-40 Company suspend its previous share repurchase plan?

The previous share repurchase plan was suspended to conserve cash during the pandemic.

How does the new share repurchase plan affect WDFC stockholders?

The new share repurchase plan reflects WD-40 Company's commitment to returning capital to stockholders, potentially enhancing shareholder value.