Sally Beauty Reports Q4 2026 Results and Provides Fiscal 2027 Guidance

Sally Beauty Holdings, Inc. released its financial results for the fourth quarter and full year ended September 30, 2026, on November 10, 2026. The company reported consolidated net sales of $953 million for the fourth quarter, a slight increase of 0.6% compared to the prior year. During the same period, consolidated comparable sales grew by 0.9%. Global e-commerce sales increased by 8% to $113 million, representing 12% of total net sales.

For the full fiscal year 2026, consolidated net sales reached $3.73 billion, up 0.9% year-over-year. The company reported GAAP diluted net earnings per share of $2.02 for the year, representing a 7% increase, while adjusted diluted net earnings per share increased by 9% to $2.08. The company generated $323 million in cash flow from operations and $210 million in free cash flow during the fiscal year. Capital allocation included $80 million in term loan repayments and $113 million in share repurchases.

For the fourth quarter of fiscal 2026, GAAP diluted net earnings per share increased 22% to $0.60, while adjusted diluted net earnings per share increased 13% to $0.62. The company ended the quarter with cash and cash equivalents of $158 million and no outstanding borrowings under its asset-based revolving line of credit. Inventory stood at $1.00 billion, up 1% from the previous year.

Sally Beauty Holdings has provided initial guidance for fiscal year 2027. The company expects consolidated net sales between $3.77 billion and $3.81 billion, with comparable sales growth projected between 1% and 2%. Adjusted diluted EPS is expected to be between $2.20 and $2.30. The company anticipates capital expenditures of approximately $140 million and free cash flow of approximately $200 million, assuming 50% of free cash flow goes toward share repurchases.

For the first quarter of fiscal 2027, the company projects consolidated net sales between $945 million and $955 million, with comparable sales growth expected between 0.5% and 1.5%. Adjusted diluted EPS for the quarter is expected to range from $0.48 to $0.52.