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How Sally Beauty Holdings (SBH) makes money

Sally Beauty Holdings (SBH) made $935M of revenue in the third quarter fiscal 2026 (Q3 FY26), +0.2% from a year earlier. Of every dollar of revenue, 52¢ was left as gross profit, 9¢ was left as operating profit, 6¢ was left as net earnings.

Drawing the Sankey…

Sally Beauty Holdings: revenue by line, Q4 FY24 to Q3 FY25Sally Beauty Holdings: revenue by line, Q4 FY24 to Q3 FY25Sally Beauty SupplyBeauty Systems GroupSally Beauty Supply: $527M latest$527MBeauty Systems Group: $407M latest$407MQ4 FY24Q2 FY25Q3 FY25
The mix barely moved between Q4 FY24 and Q3 FY25.
Sally Beauty Holdings revenue by quarterSally Beauty Holdings revenue by quarter$935MQ4 FY24$883MQ2 FY25$933MQ3 FY25$947MQ4 FY25$943MQ1 FY26$903MQ2 FY26$935MQ3 FY26
Sally Beauty Holdings: where each dollar of revenue goesSally Beauty Holdings: where each dollar of revenue goesCost of revenue48¢Gross profit52¢Operating expenses43¢Operating profit9¢Income tax2¢Net earnings6¢Operating cash flow9¢Free cash flow7¢

Where each dollar of revenue goes

LineQ3 FY26% of revenue
Revenue$935M100.0%
Cost of revenue$445M47.6%
Gross profit$490M52.4%
Operating expenses$404M43.2%
Operating profit$86.4M9.2%
Income tax$18.6M2.0%
Net earnings$54.1M5.8%
Operating cash flow$80.9M8.7%
Free cash flow$61.6M6.6%

Revenue, quarter by quarter

QuarterRevenueY/Y
Q3 FY26$935M+0.2%
Q2 FY26$903M+2%
Q1 FY26$943M+0.6%
Q4 FY25$947M+1%
Q3 FY25$933M-1%
Q2 FY25$883M-3%
Q4 FY24$935M+2%

From Sally Beauty Holdings' 10-Q filed Aug 3, 2026 (on EDGAR).

Questions

How does Sally Beauty Holdings make money?

Sally Beauty Holdings (SBH) made $935M of revenue in the third quarter fiscal 2026 (Q3 FY26), +0.2% from a year earlier. Of every dollar of revenue, 52¢ was left as gross profit, 9¢ was left as operating profit, 6¢ was left as net earnings.

What is Sally Beauty Holdings' profit margin?

Net earnings were $54.1M, 5.8% of revenue, in the third quarter fiscal 2026; the operating margin was 9.2%.

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Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.