Helen of Troy’s fourth-quarter net income fell just short of a Wall Street estimate, while revenue surpassed expectations at a time when the company reported it is advancing a program to reinforce brand value and streamline operating performance in an economy rife with uncertainty.
Net income was $50.9 million, or $2.22 per diluted share, versus $42.7 million, or $1.79 per diluted share, in the year-prior quarter. Adjusted for one-time events, the company reported, net income was $53.4 million, or 2.33 per diluted share, versus $58.6 million, $2.45 per diluted share, in the year-earlier period.
A Zacks Investment Research analyst consensus estimate called for earnings per adjusted diluted share of $2.34 and revenues of $480.3 million.
Net revenue was $485.9 million versus $489.2 million, in the year-previous quarter. Operating income was $2 million versus $66.2 million in the year-before period, while adjusted operating income was $75 million versus $83.3 million.
Net revenue in Helen of Troy’s Home & Outdoor segment — including Oxo kitchenware (pictured above), Hydro Flask beverageware and Osprey outdoor travel gear — decreased 1.6%, to $219.8 million in the quarter year over year. The decline was led by insulated beverageware category, partially offset by growth in packs and the home category. Segment operating income was $32.3 million compared to $35 million in the year-past period while adjusted operating income was $39.3 million versus $41.7 million.
Net revenue in the Beauty & Wellness segment — including Revlon hair appliances, Honeywell home environment appliances, Vicks and Braun health care products and PUR water filters — increased 0.1%, to $266.1 million in the quarter year over year. The gain was attributed to the contribution of $23 million from the Olive & June acquisition, partially offset by a decrease from organic business of $21.2 million related to a decline in hair appliances and prestige hair liquids. Segment operating loss was $30.3 million compared to $31.2 million in the year past period, while adjusted operating income was $35.8 million versus $41.5 million.
For the full fiscal calendar, Helen of Troy net income was $123.8 million, or $5.37 per diluted share, versus $168.6 million, or $7.03 per diluted share, in the year prior. Adjusted net income, the company noted, was $165.4 million, or $7.17 per diluted share, versus $213.5 million, or $8.91 per diluted share, in the year earlier.
Net sales were $1.91 billion versus $2.01 billion in the year previous. Operating income was $142.7 million versus $260.6 million in the year before while adjusted operating income was $252.3 million versus $301.5 million.
In announcing the financial results, Noel Geoffroy, Helen of Troy CEO said, “We reported fourth quarter net sales and adjusted diluted EPS that met the outlook range we provided in January. During the quarter, we saw strength in Wellness, OXO, Osprey and International, and a better-than-expected contribution from Olive & June. Stepping back to look at the full fiscal year, we accomplished a number of important objectives, including taking the necessary and focused actions to ‘Reset & Revitalize’ our brands and business, delivering the largest year of ‘Project Pegasus’ savings, and adding an immediately accretive brand to our global portfolio with the acquisition of Olive & June. Our efforts to improve the health of our brands and our operating performance are producing results. In fiscal 2025, we grew or maintained market share in five of our key categories in our U.S. measured channels, where seven of our brands hold number one or number two positions in their respective categories, and we grew international net sales.”
As the company enters fiscal 2026, Geoffroy said: “We find ourselves in volatile times. The rapidly changing global tariff actions are creating significant uncertainty in the marketplace which we believe will have a profound impact on the economy broadly, and consumer sentiment specifically, making business planning a challenge. We are focusing on what is within our control and are encouraged by the progress we made during Fiscal 2025 in executing our ‘Reset & Revitalize’ action plan. We believe we strengthened our position to navigate fiscal 2026 and beyond. We have proven that as an organization we can navigate difficult economic times, as we did during COVID, by continuing to stay true to our purpose, vision and values, which center around our consumer-loved brands. Further, as we have seen in prior recessionary periods, many of our brands resonate well during economic downturns as they offer value to consumers who are looking to stretch their budgets. While we continue to plan for the longer term, we have taken near-term steps to preserve margins, continue to pay down our debt and maximize cash flow.”
