Second quarter net revenue at Helen of Troy was up more than 14% as strong growth in the company’s housewares and health and home divisions were the key drivers.
Total sales for the quarter ended August 31 was $393.5 million, up 14.1% year-over-year. Net income was $44 million, up from net income of $8.9 million in the comparable quarter the previous year. Diluted earnings per share were $1.98, up from $1.65 per share in the comparable quarter the previous year.
“Our business generated excellent results in the second quarter as we continue to benefit from the strategic choice we made as part of our transformation plan,” said Julien Mininberg, Helen of Troy’s CEO. “These choices included disciplined investments in our leadership brands, our infrastructure and our people.”
In the quarter, sales in the housewares division grew 19.4% to $115.1 million while sales in the health and home division were up 20.3% to $146.1 million. Sales in the beauty division were down 4.2% to $83.8 million.
Housewares sales growth was attributed to point of sale growth with existing domestic customers, higher sales in the club channel, an increase in online sales, new product introductions and an increase in certain customer inventory levels, company officials said.
Health and home sales were up primarily due to higher sales of seasonal products, online growth, shelf space gains with existing customers and growth in international sales.
The drop in beauty revenue was largely the result of a decline in brick and mortar sales and rationalization of certain brands and products, company officials said.
Following the strong second quarter, the company has raised its guidance for the remainder of fiscal 2019. Helen of Troy has increased its outlook for consolidated net sales revenue to be in the range of $1.535 to $1.560 billion, which would be sales growth of 3.8% to 5.5%.