Overview

• Helen of Troy reported a fiscal Q2 net loss of $308.6 million, while adjusted EPS of $0.59 and revenue of $431.8 million topped Zacks’ estimates.
• The company forecast Q3 adjusted EPS of $1.55 to $1.80 on revenue of $491 million to $512 million and set full-year targets of $3.75 to $4.25 EPS and $1.739 billion to $1.780 billion in sales.
• Management increased its estimate of China-tariff exposure to 25%–30% of cost of goods sold by fiscal 2026 and plans to diversify production and raise prices to limit the net hit to operating income to under $20 million.
• Operational pressure deepened as sales fell 8.9% year over year, Home & Outdoor declined 13.7%, Beauty & Wellness slipped 4.0%, and adjusted operating margin narrowed to 6.2%.
• Shares fell about 16% in pre-market trading as the company ended the quarter with $22.4 million in cash and $528.9 million in inventory and outlined cost cuts including project suspensions and personnel and travel reductions.