•
Sep 30, 2024

Sally Beauty Q4 2024 Earnings Report

Reported a 1.5% increase in consolidated net sales and an adjusted operating margin expansion of 80 basis points to 9.4% for the fourth quarter.

Key Takeaways

Sally Beauty Holdings reported strong fourth quarter results with a 1.5% increase in consolidated net sales and a 2.0% increase in consolidated comparable sales. The company's GAAP operating margin expanded by 50 basis points to 8.8%, and the adjusted operating margin expanded by 80 basis points to 9.4%. Strong cash flow from operations was utilized to repay debt and fund share repurchases.

Consolidated net sales increased by 1.5% and consolidated comparable sales increased by 2.0% in Q4.

GAAP operating margin expanded 50 basis points to 8.8%, and adjusted operating margin expanded 80 basis points to 9.4% in Q4.

Strong Q4 cash flow from operations of $111 million was utilized to repay debt and fund share repurchases.

Beauty Systems Group acquired a professional beauty distributor in Florida.

Total Revenue
$935M
Previous year: $921M
+1.5%
EPS
$0.5
Previous year: $0.42
+19.0%
Gross Profit
$479M
Previous year: $467M
+2.7%
Cash and Equivalents
$108M
Previous year: $123M
-12.2%
Free Cash Flow
$73.3M
Previous year: $90M
-18.5%
Total Assets
$2.79B
Previous year: $2.73B
+2.5%

Sally Beauty

Sally Beauty

Sally Beauty Revenue by Segment

Forward Guidance

The Company is providing the following guidance for fiscal year 2025: Consolidated net sales and comparable sales are expected to be flat to up 2% compared to the prior year and Adjusted Operating Margin is expected to be in the range of 8.5% to 9.0%

Positive Outlook

  • Consolidated net sales are expected to be flat to up 2% compared to the prior year.
  • Consolidated comparable sales are expected to be flat to up 2% compared to the prior year.
  • Adjusted Operating Margin is expected to be in the range of 8.5% to 9.0%.

Revenue & Expenses

Visualization of income flow from segment revenue to net income