The turnaround attempt at Sally Beauty Holdings Inc. is in full force.
While the company posted continued declines for the second fiscal quarter, it reduced debt and launched its first mobile-first, e-commerce platform.
For the quarter, sales dipped 3 percent to $945.8 million. Net earnings were up 7.1 percent to $65.7 million. Earnings per share were 55 cents, up 12.2 percent from the prior-period’s 49 cents.
“During the quarter, we made solid progress on our transformation plan as we completed the launch of Sally Beauty’s new mobile-first e-commerce platform, launched new brands, had success against our supply chain modernization plans and reduced our debt levels,” said Chris Brickman, president and chief executive officer.
“We continued to see good momentum in our largest business, Sally Beauty Supply’s U.S. and Canadian retail business, which is on the leading edge of many of our transformation efforts. While the second quarter was impacted by an Easter calendar shift and cautious retail consumers in February, we are still on track with our transformation plan for the year and are maintaining our full-year guidance based on the performance of recent brand launches and our expectation of improved vendor supply chain execution compared to the prior year,” Brickman added.
Turnaround efforts in the second half of the year will include a nationwide launch of Sally Beauty’s app, new mobile and e-commerce capabilities for the Beauty Systems Group, the launch of a new system to run buy online, pick up in store offerings, and other initiatives.