Leslie's misses Q3 adjusted EPS estimates

Leslies

06/08/2025 21:37

Overview

Leslie's fiscal Q3 sales fall 12.2% yr/yr to $500.3 million, amid challenging market conditions

Adjusted EPS and net income miss analyst expectations, per LSEG data

Adjusted EBITDA also falls short of estimates, reflecting operational difficulties

Outlook

Leslie's expects full-year sales of $1,210 mln to $1,235 mln

Company projects full-year net loss of $57 mln to $65 mln

Leslie's forecasts adjusted EBITDA of $50 mln to $60 mln

Company anticipates adjusted net loss of $31 mln to $39 mln

Result Drivers

WEATHER IMPACT - Leslie's cites adverse weather conditions as a significant factor affecting sales during peak season

COMPETITIVE PRICING - Competitive pricing dynamics contributed to a challenging sales environment, per CEO Jason McDonell

COST ALIGNMENT - Company reduced labor hours to align with decreased demand and store traffic

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Adjusted EPS
Miss
$0.2
$0.28 (12 Analysts)
Q3 EPS
$0.12
Q3 Adjusted Net Income
Miss
$37.90 mln
$49.80 mln (9 Analysts)
Q3 Net Income
$21.70 mln
Q3 Adjusted EBITDA
Miss
$81.60 mln
$89.90 mln (9 Analysts)
Q3 Operating Income
Miss
$68.30 mln
$84.70 mln (9 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 10 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the miscellaneous specialty retailers peer group is "buy."

Wall Street's median 12-month price target for Leslie's Inc is $0.75, about 53.3% above its August 5 closing price of $0.35

The stock recently traded at 4 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nGNX6vlcNM

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)