07:01 AM EDT, 07/11/2024 (MT Newswires) -- WD-40 ( WDFC ) reported higher fiscal third-quarter results year over year and reiterated its full-year outlook, sending its stock higher early on Thursday.

The maker of lubricants and cleaning products earned $1.46 a share during the three months through May 31, up from $1.38 the year before. Sales grew 9% to about $155 million. The stock jumped 12% in recent premarket activity.

"We delivered another strong quarter with record sales driven by robust volume growth across all three of our trade blocs," Chief Executive Steve Brass said in a late Wednesday statement. "We are satisfied with our performance and remain confident in our ability to consistently deliver sustainable, profitable growth."

Sales of the WD-40 ( WDFC ) multi-use product gained 11% to $119.1 million, while WD-40 ( WDFC ) specialist advanced 13% to $20.2 million. Other maintenance products declined 5% to $7.9 million. Homecare and cleaning products revenue decreased 6% to $7.9 million, mainly due to lower sales in the US and the UK. The company reported revenue growth across all its operating regions.

WD-40 ( WDFC ) is making progress on the proposed sale of its US and UK homecare and cleaning product portfolios, Chief Financial Officer Sara Hyzer said. The company is in talks with potential buyers through an investment bank and expects to complete the sale during the 2025 fiscal year, Hyzer said during an earnings call, according to a Capital IQ transcript. In April, the company announced its decision to sell the portfolios to focus on its core business.

Gross margin improved by 250 basis points year on year to 53.1% in the quarter, aided by favorable sales mix and lower costs of specialty chemicals, according to Hyzer. Selling, general, and administrative expenses increased to $45.6 million from $38.2 million last year.

For fiscal 2024, the company continues to project sales between $570 million and $600 million on an adjusted constant-currency basis, while EPS is expected to range from $5 to $5.30. The company also reaffirmed its gross margin guidance of 51.5% to 53% for the ongoing year.

"This guidance assumes no major changes to the current economic environment," Hyzer told analysts. "Unanticipated inflationary headwinds and other unforeseen events may affect our view of fiscal year 2024."

Price: 247.10, Change: +27.35, Percent Change: +12.45