SAN DIEGO – Shares of WD-40 fell in extended trading after the maintenance and cleaning products maker lowered its annual forecasts, pointing to the strong dollar and the conflict in eastern Ukraine.
The strong dollar makes U.S. goods more expensive in overseas markets, an also affects companies when they convert foreign revenue back into the dollar. That's been an ongoing issue for U.S. companies. WD-40 also said its sales are being hurt by the crisis in Ukraine, now nearly a year and a half old. Russian annexed Ukraine's Crimean peninsula last year and has been supporting separatist rebels in the eastern part of the country.
WD-40 is now forecasting an annual profit of $3.03 to $3.09 per share on $383 million to $390 million in revenue. Three months ago it projected a larger profit of $3.07 to $3.13 per share and $387 million and $400 million in revenue.
Analysts surveyed by FactSet expect the company to earn $3.11 per share on revenue of $394.8 million, on average.
Shares of WD-40 Co. sank $4.37, or 4.9 percent, to $84.45 in aftermarket trading.
The San Diego-based company said its quarterly net income rose 5 percent to $11 million, or 75 cents per share, and its revenue fell 3 percent to $92.5 million.
Analysts surveyed by Zacks Investment Research expected net income of 76 cents per share. The company's fiscal third quarter ended on May 31.
WD-40 shares rose $1.57 to $88.82 in regular trading Wednesday. The stock is up 4.4 percent in 2015 and set an all-time high of $89.49 in April.
Elements of this story were generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on WDFC at http://www.zacks.com/ap/WDFC
Keywords: WD-40, Earnings Report