Sally Beauty Holdings Faces Revenue Decline Amid Foreign Exchange and Store Closures

Sally Beauty Holdings (SBH) expects a 75 basis points decline in consolidated net sales, attributed to foreign exchange and store closures. The company's FY25 revenue forecast is $3.68 billion, a slight decrease from FY24's $3.72 billion. Sally Beauty operates as a professional beauty-products retailer with a market capitalization of $1.01 billion and a diverse product range across North America, South America, and Europe. The company faces challenges in the cyclical sector, including fluctuating consumer spending and foreign exchange impacts.

Sally Beauty Holdings Inc (NYSE: SBH), a leading professional beauty-products retailer, is set to release its third-quarter fiscal 2025 earnings on August 5, 2025. The company's Q3 2025 revenue is expected to be $928.77 million, according to consensus estimates, with earnings per share (EPS) projected at $0.45 [1]. The full-year 2025 revenue forecast is $3.68 billion, a slight decrease from the previous year's $3.72 billion [2].

Sally Beauty Holdings operates across North America, South America, and Europe, with a market capitalization of $1.01 billion. The company faces challenges in the cyclical sector, including fluctuating consumer spending and foreign exchange impacts. The recent decline in revenue estimates, from $3.72 billion to $3.68 billion for FY25, and from $3.77 billion to $3.73 billion for FY26, reflects these challenges [1].

Over the past three months, EPS estimates have seen five downward revisions, while revenue estimates have seen four downward revisions. This trend suggests that analysts are cautious about the company's performance, given the ongoing macroeconomic uncertainties [2].

Despite the challenges, Sally Beauty Holdings has shown resilience in its financial performance. The company reported a 10.6% increase in global e-commerce sales, which accounted for $99 million of its $933.3 million consolidated net sales for Q3 2025 [3]. Additionally, the company's adjusted operating margin expanded by 30 basis points to 9.2%, reflecting its ongoing cost management efforts.

Looking ahead, Sally Beauty Holdings is expected to report its third-quarter results before the market opens on August 5, 2025. The company's conference call to discuss these results is scheduled for 7:30 a.m. Central Time.

References:
[1] https://finance.yahoo.com/news/sally-beauty-holdings-inc-sbh-134726898.html
[2] https://seekingalpha.com/news/4477366-sally-beauty-q3-2025-earnings-preview
[3] https://www.morningstar.com/news/business-wire/20250805495220/sally-beauty-holdings-reports-third-quarter-fiscal-2025-results