The US beauty company’s business has been damaged from the recent security breach
Sally Beauty Holdings’ President and CEO Christian Brickman has admitted that the company is “disappointed” with its latest set of financial results.
The beauty supplier saw store net sales grow 2% in Q3 2015 to reach $967.9m, while gross profit lifted 1.2% to reach $481.3m. While this doesn’t seem like particularly bad news for the company, it does represent a shift away from the traditionally higher percentage growth figures it has become used to.
Brickman said: “We are disappointed in the Q3 results for our Sally business, but not discouraged. It is taking longer than we expected for traffic from the non-Beauty Club Card customer to recover, but we still have great confidence that we are moving in the right direction. Over the next several quarters, we expect continued progression in our consolidated Sally same store sales back to historical trend levels of 3% to 4% as we plan to complete the execution of our planned initiatives and our customers have the chance to experience these changes in our stores.”
He added: “As we enter Q4, we believe the disruption caused by the recent data security incident is now behind us. We intend to further enhance our systems and culture to ensure the security of our networks and customer data, and our Sally team continues to be laser focused on driving sales progression.”
Sally Beauty was hit by a data breach earlier in the year, whereby customers were subjected to illegal activity that took place through the business’ payment card systems (for more, click here).