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Sally Beauty results beat Street on higher demand

By
Reuters
Published
May 3, 2012
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Sally Beauty Holdings Inc's profit topped Wall Street estimates for the ninth consecutive quarter as the cosmetic products retailer saw higher demand at its Beauty Supply segment and improved margins.


Photo: Dwight Burdette


Sally Beauty, which competes with Ulta Beauty, reported a second-quarter profit of $67.8 million, or 35 cents per share, up from $49.3 million, or 26 cents per share, a year earlier.

Sally Beauty, which offers products for hair, skin, and nails under labels such as Clairol, L'Oreal, Wella and Conair, said revenue rose 11 percent to $889.3 million.

Analysts had expected the company to earn 32 cents per share on revenue of $865.6 million, according to Thomson Reuters I/B/E/S.

Gross profit as a percentage of sales expanded 20 basis points to 49.1 percent.

Shares of the Texas-based company closed at $26.54 on Wednesday on the New York Stock Exchange.

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