Helen of Troy reported fiscal 2027 second-quarter net sales of $440.9 million, up 2.1% from $431.8 million in the prior-year period.
GAAP net income totaled $4.6 million, or $0.19 per diluted share.
Adjusted income reached $19 million, representing adjusted diluted EPS of $0.79 compared with $0.59 a year earlier.
Gross margin expanded to 52.2% from 44.2%.
Adjusted operating margin increased to 8.6% from 6.2%, while adjusted EBITDA margin improved to 11.2% from 8.4%.
Cash flow from operations reached $57.1 million compared with a $10.5 million use of cash in the prior-year quarter.
Results included $26.9 million of gross pre-tax tariff refunds, approximately $23 million of which Helen of Troy reinvested during the quarter.
The company said the net pre-tax benefit from tariff refunds was approximately $4 million.
Helen of Troy reduced total debt to $672.6 million from $893.2 million a year earlier.
Inventory declined to $480.3 million from $528.9 million.
For fiscal 2027, Helen of Troy narrowed its net sales outlook to between $1.768 billion and $1.822 billion.
The company raised its GAAP diluted EPS outlook to $3.63 to $4.26 and adjusted diluted EPS guidance to $3.60 to $4.15.
Adjusted EBITDA guidance increased to $203 million to $210 million.
Helen of Troy also raised its expected operating cash flow to $163 million to $179 million and free cash flow to $120 million to $140 million.
KEY QUOTES:
“Our second quarter results reflect continued progress against our multi-year roadmap. Sales were in line, and Adjusted EBITDA and Adjusted EPS were better than expected, without including the net tariff refund benefit in the quarter.”
“While there is still meaningful work ahead, we are encouraged by the progress we are making to build a Better Helen of Troy on the road to becoming a Bigger Helen of Troy.”
G. Scott Uzzell, CEO of Helen of Troy
