Sally Beauty Holdings, Inc. SBH has teamed up with Uber Technologies, Inc. UBER to revolutionize the way beauty enthusiasts access their favorite products. This partnership makes Sally Beauty the first national beauty retailer to join Uber Eats, offering customers fast, flexible and seamless delivery of must-have hair and nail essentials.
Through this partnership, customers can now experience unmatched convenience by accessing Sally Beauty's wide range of products directly through the Uber Eats app. Whether looking for a quick styling fix, a hair color update, or nail care essentials, customers can have their favorite beauty items delivered fast.
To celebrate this exciting collaboration, Uber Eats is offering an exclusive launch promotion. Customers can enjoy 50% off on orders of $50 or more through March 31. Uber One members will also continue to receive exclusive benefits, including no delivery fees on eligible orders.
SBH Stock Past Three-Month Performance
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Accessing SBH products through Uber Eats is a straightforward process. Customers need to open the Uber Eats app and navigate to the Retail or Beauty category. From there, they can search for Sally Beauty, explore an extensive selection of beauty products, add items to their cart, and place an order. Real-time tracking allows users to follow their delivery every step of the way, ensuring their beauty essentials arrive at their doorstep quickly and efficiently.
Sally Beauty’s Uber Eats storefront features a variety of best-selling brands, including bondbar, Dashing Diva, Eva NYC, ion, OPI, Sauce Beauty, Wella and XMONDO. Whether looking for salon-quality hair treatments, vibrant nail colors, or innovative styling tools, customers can find it all with just a few taps.
As consumer habits continue to evolve, on-demand delivery is becoming an integral part of the retail landscape. With this initiative, Sally Beauty and Uber Eats are at the forefront of this transformation, making professional-grade beauty products more accessible than ever before.
Sally Beauty, the premier destination for professional hair color and care, demonstrated continued growth in the first quarter of fiscal 2025, driven by strong performance across its Sally Beauty Supply (“SBS”) and Beauty Systems Group (“BSG”) business segments. The company achieved positive comparable sales for the third consecutive quarter at SBS and the fifth at BSG.
Digital sales showed remarkable progress, with SBS's e-commerce business growing 18% year over year, supported by partnerships with DoorDash and Instacart. Additionally, the company saw positive customer engagement, with successful reactivation efforts and customer acquisitions contributing to revenue stability.
Operational efficiency also played a key role in the company's expansion, particularly through its Fuel for Growth program, which delivered gross margin improvements of 100 basis points (bps) for SBS and 130 bps for BSG. The company's investment in store refresh initiatives and product innovations, such as the K18 haircare line and expanding partnerships with brands like Moroccanoil and Amika, helped strengthen its market presence.
However, one notable challenge was a 60-bps year-over-year unfavorable impact of foreign exchange headwinds, which affected consolidated net sales. In addition, the shortened holiday shopping period resulted in fewer chair hours for stylists at BSG, limiting service opportunities and product demand.
Macroeconomic factors, including a severe flu season, wildfires in Los Angeles and political uncertainties, contributed to a choppy start to the fiscal second quarter, leading to softer consumer traffic and purchase behaviors.
Shares of this Zacks Rank #3 (Hold) company have lost 20.1% in the past three months compared with the industry’s decline of 11.3%.
Some better-ranked stocks are The Gap, Inc. GAP and Tapestry, Inc. TPR.
The Gap is a premier international specialty retailer offering a diverse range of clothing, accessories and personal care products. It sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for The Gap’s fiscal 2025 earnings and revenues indicates growth of 7.7% and 1.6%, respectively, from the fiscal 2024 reported levels. GAP delivered a trailing four-quarter average earnings surprise of 77.5%.
Tapestry is the designer and marketer of fine accessories and gifts for women and men. It currently has a Zacks Rank of 2 (Buy).
The Zacks Consensus Estimate for TPR’s fiscal 2025 earnings and revenues implies growth of 14.5% and 3%, respectively, from the year-ago actuals. TPR delivered a trailing four-quarter average earnings surprise of 11.9%.
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Sally Beauty Holdings, Inc. (SBH) : Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).
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