Sally Beauty Holdings, Inc. (NYSE: SBH) (the “Company”) today announced that its Board of Directors has approved a new share repurchase program authorizing the Company to repurchase up to $700 million of its common stock. The announcement is the first repurchase authorized by the Company in 2013, but the third in the last twelve months. In August 2012, the Company announced the approval of a share repurchase program to repurchase up to $300 million of its common stock and, in May 2012, the Company repurchased approximately $200 million of its common stock. As of today, the Company has repurchased $266.4 million of its common stock under its $300 million repurchase program announced in August 2012. The remaining $33.6 million authorized under that program is included in the $700 million repurchase program announced today.
“Our strong cash flow allows us to continue the repurchases of our stock while continuing to invest in growth opportunities and other long-term initiatives,” said Gary Winterhalter, Chairman, President and CEO. “We believe our recent stock repurchases have returned value to our shareholders and this new share repurchase program underscores our continued commitment to building shareholder value.”
Sally Beauty Holdings, Inc. expects to fund the share repurchase through a combination of cash on hand, future cash flow from operations and borrowings. Repurchases will be made in compliance with all Securities and Exchange Commission rules, including Rule 10b-18, and other legal requirements and may be made in part under a Rule 10b5-1 plan, which permits stock repurchases when the Company might otherwise be precluded from doing so.
About Sally Beauty Holdings, Inc.
Sally Beauty Holdings, Inc. (NYSE: SBH) is an international specialty retailer and distributor of professional beauty supplies with revenues of $3.5 billion annually. Through the Sally Beauty Supply and Beauty Systems Group businesses, the Company sells and distributes through 4,500 stores, including approximately 200 franchised units, throughout the United States, the United Kingdom, Belgium, Chile, France, the Netherlands, Canada, Puerto Rico, Mexico, Ireland, Spain and Germany. Sally Beauty Supply stores offer more than 6,000 products for hair, skin, and nails through professional lines such as Clairol, L’Oreal, Wella and Conair, as well as an extensive selection of proprietary merchandise. Beauty Systems Group stores, branded as CosmoProf or Armstrong McCall stores, along with its outside sales consultants, sell up to 9,800 professionally branded products including Paul Mitchell, Wella, Sebastian, Goldwell, Joico, and Aquage which are targeted exclusively for professional and salon use and resale to their customers. For more information about Sally Beauty Holdings, Inc., please visit sallybeautyholdings.com.