Leslie’s, Inc. Announces Third Quarter Fiscal 2025 Financial Results

Core Insights - Leslie's, Inc. reported financial results for the third quarter of fiscal 2025, indicating a challenging sales environment during the peak selling season due to adverse weather and competitive pricing pressures [2][4][5] - The company is focusing on cost mitigation strategies and strategic initiatives to enhance profitability and long-term growth [3][4] Financial Performance - Total sales for the third quarter were $500.3 million, a decrease of 12.2% from $569.6 million in the same period last year [5] - Comparable sales decreased by 12.4%, with new store contributions of $1.2 million [5] - Gross profit was $197.9 million, down 13.5% from $228.8 million, resulting in a gross margin of 39.6% compared to 40.2% in the prior year [5] - Net loss for the quarter was $21.7 million, compared to a net income of $60.7 million in the prior year [5][23] - Adjusted net loss ranged from $31 million to $39 million, with adjusted EBITDA between $50 million and $60 million for the full fiscal year [4] Cash Flow and Liquidity - Cash and cash equivalents decreased to $42.7 million as of June 28, 2025, down from $74.4 million a year earlier [5][27] - The company repaid approximately $27 million on its Term Loan during the nine months ended June 28, 2025 [4] Strategic Initiatives - The management is conducting a strategic and operational review to stabilize the company and position it for long-term growth [3] - Additional resources have been allocated to support the execution of strategic priorities aimed at improving profitability [2][3] Market Position - Leslie's is recognized as the largest direct-to-customer brand in the U.S. pool and spa care industry, serving both residential customers and pool professionals [9]