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Helen of Troy Q4 2025 Earnings Report
Helen of Troy reported a slight decline in consolidated net sales, but an increase in GAAP diluted EPS for the fourth quarter of fiscal 2025.
Key Takeaways
Helen of Troy Limited reported fourth quarter fiscal 2025 results with a consolidated net sales decline of 0.7% to $485.9 million. GAAP diluted EPS grew by 24.0% to $2.22, while adjusted diluted EPS declined by 4.9% to $2.33. The company recognized significant non-cash asset impairment charges during the quarter.
Consolidated net sales revenue decreased by 0.7% to $485.9 million, primarily due to a decline in Organic business, partially offset by the acquisition of Olive & June.
GAAP diluted EPS increased by 24.0% to $2.22, driven by a transitional income tax benefit, despite lower operating income and non-cash asset impairment charges.
Non-GAAP adjusted diluted EPS decreased by 4.9% to $2.33, impacted by lower adjusted operating income and higher interest expense.
The company completed its Project Pegasus restructuring plan, incurring total pre-tax restructuring charges of $60.9 million, and expects significant annualized pre-tax operating profit improvements.
Helen of Troy
Helen of Troy
Helen of Troy Revenue by Segment
Helen of Troy Revenue by Geographic Location
Revenue by Segment
Home & Outdoor Revenue
CapyFin.comBeauty & Wellness Revenue
CapyFin.comRevenue by Geographic Location
US Revenue
CapyFin.comInternational Revenue
CapyFin.com Forward Guidance
Due to evolving global tariff policies and macroeconomic uncertainty, Helen of Troy is not providing a specific outlook for fiscal 2026. However, the company is implementing measures to reduce costs and preserve cash flow, expecting to offset 70% to 80% of the tariff impact.
Positive Outlook
- Intensified efforts to diversify production outside of China to regions with lower tariffs or overall costs.
- Aim to reduce cost of goods sold exposed to China tariffs to less than 20% by the end of fiscal 2026.
- Considering price increases to customers as a mitigation strategy.
- Implementing cost reduction measures to preserve margins and maximize cash flow.
- Expects to offset 70% to 80% of the tariff impact in fiscal 2026 through mitigation actions and cost reductions.
Challenges Ahead
- Not providing an outlook for fiscal 2026 due to evolving global tariff policies and macroeconomic uncertainty.
- Significant uncertainty in the marketplace due to rapidly changing global tariff actions.
- Believes tariff actions will have a profound impact on the economy and consumer sentiment.
- High probability of unfavorable cascading impacts on inflation, consumer confidence, and employment.
- Suspension of non-critical projects and capital expenditures, and reduction/deferral of marketing, promotional, and new product development expense.
Revenue & Expenses
Visualization of income flow from segment revenue to net income