Leslie's Inc
NASDAQ:LESL
Leslie's Inc
Leslie's, Inc. engages in the provision of direct-to-consumer pool and spa care services. The company is headquartered in Phoenix, Arizona and currently employs 3,700 full-time employees. The company went IPO on 2020-10-29. The firm is serving residential, professional, and commercial consumers. The firm offers its products under the brand Jacuzzi, Hayward, Natural Chemistry, Dolphin, Zodiac, Nature2, Pentair, Waterway, Leslie’s, Jandy and Pleatco. The company offers direct-to-consumer pool and spa care brand. The firm offers its products under various categories, which include pool chemicals, pool equipment, pool maintenance, lifestyle, covers, pools, spas and parts. The Company’s offered products include sanitizers, water balancers, specialty chemicals, algae control, water testing, automatic pool cleaners, pool filters, pumps, heating and cooling, lighting, pool closing, solar covers, liners, spa chemicals and spa accessories and products. The firm market its products through approximately 959 locations in 38 states and e-commerce websites.
Leslie's, Inc. engages in the provision of direct-to-consumer pool and spa care services. The company is headquartered in Phoenix, Arizona and currently employs 3,700 full-time employees. The company went IPO on 2020-10-29. The firm is serving residential, professional, and commercial consumers. The firm offers its products under the brand Jacuzzi, Hayward, Natural Chemistry, Dolphin, Zodiac, Nature2, Pentair, Waterway, Leslie’s, Jandy and Pleatco. The company offers direct-to-consumer pool and spa care brand. The firm offers its products under various categories, which include pool chemicals, pool equipment, pool maintenance, lifestyle, covers, pools, spas and parts. The Company’s offered products include sanitizers, water balancers, specialty chemicals, algae control, water testing, automatic pool cleaners, pool filters, pumps, heating and cooling, lighting, pool closing, solar covers, liners, spa chemicals and spa accessories and products. The firm market its products through approximately 959 locations in 38 states and e-commerce websites.
Sales Decline: Leslie's reported Q1 net sales of $147.1 million, down 16% year-over-year, mainly due to last year's hurricane benefit, a 53rd week in 2025, and recent store closures.
Gross Margin Pressure: Gross profit margin dropped to 18.4% from 27.2% last year, partly due to a noncash impairment charge and lower margins on core chemicals.
Transformation Progress: The company closed 80 underperforming stores and executed cost cuts, expecting $4–10 million in annual EBITDA improvement from these actions.
Full-Year Guidance Reaffirmed: Management reaffirmed 2026 guidance for net sales between $1.1 billion and $1.25 billion and adjusted EBITDA of $55–75 million.
Pricing Strategy Shift: Leslie's is rolling out new, lower everyday prices nationally to regain lost customers, with expected annual gross margin impact of 100–150 basis points.
Cost & Efficiency Initiatives: Additional cost savings and operational efficiencies, including SKU reduction and distribution center consolidation, are expected to deliver incremental EBITDA benefits.
Positive Early Trends: Q2 started with positive comparable store sales in January, and management is optimistic heading into the core pool season.
