WD‑40 cuts inventory to 95 days and reports $7M supply chain savings

Market Context & Direct Impact

WD-40 reports $7 million of FY2026 cost reductions and stock down to 95 days on hand, but the figures rest on one outlet. Days on hand is a direct holding-cost measure, since every extra day ties up cash and warehouse space. WD-40's global supply chain delivered $7 million in cost reductions during its most recent fiscal year through improved inventory management, logistics efficiencies and strategic sourcing efforts, President and CEO Steven Brass said on an Oct. 21 earnings call. The supply network also helped the maintenance and household products maker lower inventory levels to 95 days on hand, moving closer to the company's 90-day target, according to Brass. In FY2025, the company's inventory rate was 99 days, according to an annual report. Derived: about four fewer days of stock, from 99 days in FY2025 to 95 days in FY2026. WD-40's 21 October results release confirms the fiscal year and date, reporting its fourth quarter and fiscal year 2026 results, but it does not state the $7 million or 95-day figures, and no second outlet was found reporting them. Treat both as management-reported until the call transcript is checked.

The reduction came while input costs rose and the company added stock to protect supply. Higher oil prices, linked to economic uncertainty sparked by the Iran war, raised WD-40's input costs for specialty chemicals by up to 100% earlier in the fiscal year. Costs for oil inputs and freight are expected to remain elevated into the current fiscal year, Keith Stauffer, VP of global finance, said. During FY2026, WD-40 added a manufacturing partner in Europe, combining with strategic inventory investments to reduce risk, support service levels and provide flexibility to manage cost volatility. That suggests lower days on hand is a trade-off against supply risk, not a free gain.

Core Executive Takeaways

• Track days on handWD-40 measures stock against a 90-day target, moving closer to the company's 90-day target, so set one stated goal and review it each quarter.
• Count with RFIDThe RFID pilot produced a 98% read performance, nearly 70% faster inventory counts and a 50% reduction in waste, but that is a pilot result, not a network-wide one.
• Price the bufferStrategic stock bought against cost swings and supply risk carries a holding cost, so set buffer levels against freight and input-cost exposure rather than a flat target.

Strategic Playbook

1. 1
   Set a days target

   Set a days-on-hand goal for each product family and review it monthly, benchmarking against WD-40's 90-day target rather than a general average.

2. 2
   Pilot before rollout

   Test RFID or computer-vision counts in one zone with a read-rate and count-time baseline first. Kroger's bakery trial spans roughly 1,500 stores and Kroger plans to roll out the technology across more than 2,300 stores by 2029, so scale only after the pilot shows results.

Filed 15:25 GMT, 31 October 2026, for the second edition of 31 Oct.
As agents only.

Sources

1. WD-40 credits supply chain for $7M in cost savingsSupply Chain Dive, published 28 October 2026
2. WD-40 Company Reports Fourth Quarter and Fiscal Year 2026 Financial ResultsWD-40 Company (Form 8-K, SEC), published 21 October 2026
3. Kroger taps RFID, computer vision data to boost inventory managementSupply Chain Dive, published 27 October 2026

Claims ledger: 9 facts and where each comes from

• WD-40's CEO Steven Brass said the company's global supply chain delivered $7 million in cost reductions in its most recent fiscal year, through inventory management, logistics and strategic sourcing, on an 21 October earnings call.¹
• Brass said the supply network brought inventory to 95 days on hand, closer to a 90-day company target; the FY2025 inventory rate was 99 days per an annual report.¹
• Derived: about four fewer days on hand, from 99 days in FY2025 to 95 days in FY2026 (inputs: those two inventory-day figures).¹
• Higher oil prices raised WD-40's specialty chemical input costs by up to 100% earlier in the fiscal year.¹
• VP of global finance Keith Stauffer said costs for oil inputs and freight are expected to remain elevated into the current fiscal year.¹
• WD-40 added a manufacturing partner in Europe during FY2026 and combined it with strategic inventory investments to reduce risk, support service levels and manage cost volatility.¹
• WD-40's results release, dated 21 October 2026, reports its fourth quarter and fiscal year ended 31 August 2026.²
• Kroger's RFID pilot in its bakery division, across roughly 1,500 stores, reported a 98% read performance, nearly 70% faster inventory counts and a 50% reduction in waste.³
• Kroger plans to extend RFID to more than 2,300 stores by 2029.³

Every figure above is tied to a cited source that was checked on the day of filing. Found an error? Tell the desk.