Sally Beauty Holdings (NYSE: SBH) is a specialty retail and distribution company that sells professional beauty supplies through two segments: Sally Beauty Supply, which serves retail consumers, and Beauty Systems Group (BSG), which serves licensed salon professionals. Revenue comes from transactional store and e-commerce sales of hair color, hair care, styling tools, and related beauty products. As of September 30, 2025, the company operated 3,096 Sally Beauty company-operated stores, 1,194 BSG company-operated stores, and 132 BSG franchise locations across the United States, Canada, Mexico, the United Kingdom, and several European countries. Global e-commerce sales represented approximately 10.7% of consolidated sales in fiscal year 2025. The company is headquartered in the United States and carries $875.0 million in outstanding debt as of September 30, 2025, consisting of $600.0 million in 2032 Senior Notes and $275.0 million on a term loan B, making it a debt-heavy capital structure.

Revenue model

Transactional retail and wholesale distribution. Customers purchase beauty products in physical stores or online, with no subscription component disclosed. BSG also distributes through a network of 591 salon-facing consultants as of September 30, 2025. E-commerce represented approximately 10.7% of consolidated sales in FY2025.

Products and services

Hair color, hair care products, styling tools, nail products, and related beauty supplies. Products are sold under both third-party professional brands and the company's own private-label offerings. BSG carries brand-partner products sold exclusively or primarily to licensed salon professionals. Sally Beauty Supply carries products for DIY retail consumers. Digital services include a Licensed Colorist on Demand (LCOD) feature on sallybeauty.com and buy-online-pick-up-in-store (BOPIS) and 2-hour delivery options.

Customers and end markets

Two distinct customer bases: retail consumers purchasing DIY beauty products through Sally Beauty Supply, and licensed salon professionals and salons purchasing through BSG. The company appeals to a wide demographic consumer profile across both segments. End-market demand is tied to discretionary consumer spending on beauty products and the frequency of salon services.

Value-chain role

Specialty retailer and distributor sitting between product manufacturers and end consumers or salon professionals. Operates its own warehouse network, including facilities in Reno, Nevada (253,000 sq ft), Columbus, Ohio (246,000 sq ft), Jacksonville, Florida (237,000 sq ft), and Ronse, Belgium. Relies on vendor relationships and owns registered trademarks across countries of operation.

Geographic exposure

United States (including Puerto Rico): 2,300 Sally company-operated stores, 1,076 BSG company-operated stores, 132 BSG franchise locations as of September 30, 2025. International Sally stores: Mexico (265), United Kingdom (218), Canada (110), France (69), Belgium (52), Chile (33), Netherlands (23), Germany (14), Ireland (12). BSG international: Canada (118 company-operated). Total store count: 4,422 across all formats as of September 30, 2025.

Source: SEC 10-K, filed 2025-11-13

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