Leslie's Inc (Leslie's (LESL)) shares are making a big splash in extended trading Wednesday after the pool supply company reported better-than-expected second-quarter results. Here's what you need to know.
The company posted Q2 revenue of $184.74 million, crushing analyst estimates of $162.19 million. That's a 4.3% increase year-over-year, with comparable sales up 6.6%. Adjusted loss per share came in at $5.36, wider than the expected $4.51 loss, but investors seemed to focus on the top-line beat and the early success of a new pricing strategy.
Leslie's launched a "Price Drop" initiative in March, and it's already paying off. The company reported strong transaction growth and higher customer engagement, with total customers jumping 8% compared to last year. CEO Jason McDonell credited the company's transformation plan for the results: "Our comprehensive transformation plan delivered measurable results in the second quarter as we position Leslie's for sustainable profitable growth. Second quarter performance demonstrated the effectiveness of our strategic initiatives."
Looking ahead, Leslie's affirmed its full-year 2026 revenue guidance of $1.1 billion to $1.25 billion, which brackets the consensus estimate of $1.15 billion. That vote of confidence helped send shares soaring.
Leslie's shares were up 27.97% in after-hours trading Wednesday, changing hands at $1.83 at the time of publication. The stock has been under pressure recently, but this earnings report could signal a turnaround for the pool products retailer.
