Sally Beauty reports continued e-commerce growth as stores reopen
Sally Beauty said on Monday that its e-commerce business is continuing to skyrocket, as sales in June jumped 9 percent year-over-year and 33 percent compared to the prior month.
The Denton, Texas-based company’s preliminary sales totaled $348 million in June, and $705 million in the full fiscal third quarter, as the majority of its stores opened in the United States, Canada, the European Union and the United Kingdom.
Likewise, Sally Beauty continued to experience growth in its e-commerce operations. Following strong digital gains in April and May, with sales increasing 353 percent and 317 percent, respectively, online sales jumped 155 percent in June.
Sally Beauty previously said it intends to hire 120 new associates to support e-commerce, digital product development, technology and analytics.
The company added that it is continuing “its efforts to aggressively manage cash and to ensure ample liquidity.” It estimates that it has more than $815 million of cash on-hand, with an additional $200 million of undrawn capacity on its asset-based line of credit.
The beauty company said it has substantially completed its retail and wholesale store reopening process, while it still expects to open a small portion of its store fleet in parts of Mexico and South America, in the next 60 days.
As it closed stores in March on Covid-19 concerns, the beauty giant withdrew its prior full-year fiscal year 2020 financial guidance. Sally Beauty now expects to report its full third-quarter results in late July.
Copyright © 2020 FashionNetwork.com All rights reserved.