Particle.news
Download on the App Store

Sally Beauty Soars on Q4 Beat, Upgraded FY2026 Outlook and Buyback-Heavy Multi‑Year Plan

The retailer beat profit expectations before outlining a three-year roadmap prioritizing buybacks.

Overview

  • Sally Beauty posted adjusted EPS of $0.55 for Q4, up 10% year over year and above estimates, on net sales of $947.08 million with 1.3% comparable growth.
  • Fiscal 2026 guidance calls for $3.71–$3.77 billion in sales, adjusted operating earnings of $328–$342 million, and adjusted EPS of $2.00–$2.10.
  • Management issued Q1 FY2026 guidance of $935–$945 million in sales and $0.43–$0.47 in adjusted EPS, roughly in line to slightly below some analyst forecasts.
  • Quarterly cash generation reached $121 million from operations and $78 million in free cash flow, funding $21 million of term-loan repayment and $20 million of share repurchases.
  • Shares jumped intraday by roughly 16% after the report, as market watchers noted elevated short interest of about 35.7% of the float.