Helen Of Troy Reports Strong Second Quarter

Helen of Troy has posted strong sales and income for the second quarter of its fiscal 2016, ended August 31. For the quarter, net sales revenue increased 15.4% to $369.1 million compared to $319.9 million in the second quarter of fiscal year 2015.

The company’s net income for the second quarter was $24.5 million, or $0.84 per diluted share, compared to net income in the second quarter of fiscal year 2015 of $18.8 million, or $0.65 per diluted share.

By division, the company said that health care/home environment sales rose 13.5%, driven by successful new product introductions, strong retail sell-through of fans due to the sustained high summer temperatures in many regions, partially offset by declines in water filtration and air purification and a negative impact of $5.7 million, or 4.5%, from foreign currency fluctuations.

Housewares segment sales increased 13.2%, primarily due to new product introductions and strong point-of-sale activity. Beauty increased 9.6%, which included a negative impact of $2.6 million, or 2.6%, from foreign currency fluctuations. Growth was driven by new product distribution in foot care, increases in the professional curling iron category, the resolution of the West Coast port disruption that pushed sales from the first quarter into the second quarter of fiscal year 2016, and the comparative impact of inventory reductions by a major retailer in the same period last year, the company said.

The company’s Nutritional Supplements segment contributed net sales revenue of $38.1 million for the quarter. 

“We had a strong second quarter, with year-over-year revenue growth of 15.4% and core business revenue growth of 10.9%,” stated Julien Mininberg, CEO, Helen of Troy. “All business segments grew in the second quarter, including beauty. We continue to make progress on our key initiatives in product innovation, brand marketing, talent development, shared services and collaboration across our business segments, positioning us well to accomplish the goals we have set for this full fiscal year.”