Revenue: As of FY2026 Q3, the actual value is USD 935.49 M, missing the estimate of USD 939.28 M.

EPS: As of FY2026 Q3, the actual value is USD 0.55, beating the estimate of USD 0.535.

EBIT: As of FY2026 Q3, the actual value is USD 86.4 M.

Third Quarter Fiscal 2026 (Three Months Ended June 30, 2026) Financial Highlights

Consolidated net sales were $935 million, an increase of 0.2% compared to the prior year, with global e-commerce sales increasing 11% to $110 million, representing 12% of net sales. Consolidated comparable sales were flat.GAAP gross margin expanded by 90 basis points to 52.4%, while Adjusted Gross Margin expanded by 40 basis points to 52.4%.GAAP selling, general and administrative expenses were $404 million, an increase of $1 million compared to the prior year, and Adjusted Selling, General and Administrative Expenses were $404 million, an increase of $5 million compared to the prior year.GAAP operating earnings were $86 million, with a GAAP operating margin of 9.2%. Adjusted Operating Earnings were $87 million, with an Adjusted Operating Margin of 9.3%.Cash flow from operations was $81 million, and Free Cash Flow totaled $62 million. Sally Beauty Holdings, Inc. repaid $20 million in term loan debt and repurchased $25 million in shares.As of June 30, 2026, cash and cash equivalents were $173 million, and inventory was $996 million, which was down 1% versus a year ago. The net debt leverage ratio was 1.4x.

Segment Performance (Three Months Ended June 30, 2026)

Sally Beauty Supply (Sally)

Net sales for Sally Beauty Supply were $538,570 thousand, up 2.2% from the prior year. Comparable sales growth was 1.6%, an increase of 270 basis points. Gross margin was 61.5%, an increase of 60 basis points. Operating earnings were $89,356 thousand, up 7.3%, with an operating margin of 16.6%, an increase of 80 basis points.

Beauty Systems Group (BSG)

Net sales for Beauty Systems Group were $396,920 thousand, a decrease of -2.4% from the prior year. Comparable sales growth was -2.1%, a decrease of 260 basis points. Gross margin was 40.1%, an increase of 70 basis points. Operating earnings were $48,973 thousand, a decrease of -3.4%, with an operating margin of 12.3%, a decrease of 20 basis points.

Nine Months Ended June 30, 2026 Financial Highlights

Consolidated net sales were $2,782,040 thousand, an increase of 1.0% compared to the prior year. Operating earnings were $234,261 thousand, a decrease of -5.5% compared to the prior year. Net earnings were $142,334 thousand, a decrease of -2.5% compared to the prior year. Cash flow from operations was $247,461 thousand, an increase of 60.7% compared to the prior year. Free cash flow was $163,204 thousand, an increase of 18.0% compared to the prior year.

Operational Metrics

As of June 30, 2026, Sally Beauty had 3,066 stores, a decrease of 30 stores from the prior year, and Beauty Systems Group had 1,320 stores (1,189 company-operated, 131 franchise), a decrease of 9 stores. Total consolidated stores were 4,386, a decrease of 39 stores.For the nine months ended June 30, 2026, Sally reported 1.4% comparable sales growth, while BSG reported a -0.9% decline, leading to a consolidated comparable sales growth of 0.4%.

Fiscal Year 2026 Guidance

Sally Beauty Holdings, Inc. narrowed its full-year fiscal 2026 guidance, expecting consolidated net sales between $3.725 billion and $3.733 billion, with comparable sales estimated at approximately 0.5%. Adjusted operating earnings are projected to be between $329 million and $335 million. Free cash flow is expected to be approximately $200 million.