0000916789-25-000040
SEC filingHelen of Troy recognized $414.4M impairment charges, resulting in a net loss of $450.7M; cash at $22.7M, debt at $871.0M.
As of May 31, 2025, the company held cash and cash equivalents of $22.7 million, with additional marketable securities (U.S. Treasury Bills) of $11.4 million. Total debt stood at $871.0 million (including current maturities of $20.3 million), down from $916.9 million at February 28, 2025, reflecting a net reduction of $45.9 million. Shareholders' equity decreased sharply to $1,227.7 million from $1,683.4 million, primarily due to the $450.7 million net loss. Inventory increased to $484.1 million from $452.6 million, while receivables fell to $314.8 million from $428.3 million.
No purchase commitments were disclosed in the Notes. The company disclosed ongoing litigation (Brita patent case) and EPA regulatory matters, but no material loss is currently estimated. Remaining restructuring liabilities of $4.8 million from Project Pegasus are accrued.
During Q1 FY2026, the company repurchased $1.3 million of common stock (24,660 shares in net exercises) and had $498.6 million remaining under its $500 million buyback authorization (expiring August 2027). Capital expenditures totaled $13.4 million (3.6% of sales). No dividends were paid. Debt activity included $131.5 million in revolving borrowings, $424.2 million in revolving repayments, $250.0 million in term loan proceeds, and $2.3 million in scheduled term loan repayments, resulting in net debt reduction of $45.0 million.
Both reportable segments reported operating losses after $414.4 million in impairment charges: Home & Outdoor generated $178.0 million in revenue (down 10.3% YoY) and an operating loss of $213.8 million; Beauty & Wellness generated $193.7 million in revenue (down 11.3% YoY) and an operating loss of $193.2 million. Excluding impairments, segment operating income would have been $5.3 million (Home & Outdoor) and $2.0 million (Beauty & Wellness). Geographically, domestic sales (U.S. and Canada) accounted for 74.8% of revenue, with international at 25.2%.