Revenue growth remains under pressure with a 4.3% print in 2026Q2, while gross margins have experienced significant volatility, contracting from a 40.2% peak in 2024Q3 to 18.4% in 2026Q1.
Leslie's, Inc. (LESL) annual income statement — 8-year revenue, gross profit & net income history
| Metric | TTM | Oct'25 | Sep'24 | Sep'23 | Oct'22 | Oct'21 | Oct'20 | Sep'19 | Sep'18 |
|---|
| Sales/Revenue | 1.18B | 1.24B | 1.33B | 1.45B | 1.56B | 1.34B | 1.11B | 928.2M | 892.6M |
| Revenue Growth % | -5.68% | -6.63% | -8.34% | -7.1% | 16.32% | 20.74% | 19.83% | 3.99% | - |
| Cost of Goods Sold | 781.94M | 802.27M | 853.33M | 902.99M | 888.38M | 747.76M | 651.52M | 548.46M | 535.46M |
| COGS % of Revenue | - | 64.6% | 64.15% | 62.22% | 56.87% | 55.68% | 58.58% | 59.09% | 59.99% |
| Gross Profit | 397.63M | 439.65M | 476.79M | 548.22M | 673.74M | 595.16M | 460.71M | 379.74M | 357.14M |
| Gross Margin % | 33.71% | 35.4% | 35.85% | 37.78% | 43.13% | 44.32% | 41.42% | 40.91% | 40.01% |
| Gross Profit Growth % | - | -7.79% | -13.03% | -18.63% | 13.2% | 29.18% | 21.32% | 6.33% | - |
| Operating Expenses | 399.9M | 425.68M | 419.67M | 446.04M | 434.99M | 386.07M | 314.34M | 258.15M | 241.67M |
| OpEx % of Revenue | - | 34.28% | 31.55% | 30.74% | 27.85% | 28.75% | 28.26% | 27.81% | 27.07% |
| Selling, General & Admin | 400.61M | 425.68M | 419.67M | 446.04M | 434.99M | 386.07M | 314.34M | 258.15M | 241.67M |
| SG&A % of Revenue | - | 34.28% | 31.55% | 30.74% | 27.85% | 28.75% | 28.26% | 27.81% | 27.07% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | -708K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.76M |
| Operating Income | -2.27M | 13.97M | 57.12M | 102.18M | 238.75M | 209.09M | 146.38M | 121.59M | 115.47M |
| Operating Margin % | -0.19% | 1.13% | 4.29% | 7.04% | 15.28% | 15.57% | 13.16% | 13.1% | 12.94% |
| Operating Income Growth % | - | -75.54% | -44.1% | -57.2% | 14.19% | 42.84% | 20.39% | 5.3% | - |
| EBITDA | 29.09M | 47.44M | 90.19M | 136.32M | 269.52M | 235.64M | 175.3M | 152.01M | 147.08M |
| EBITDA Margin % | 2.47% | 3.82% | 6.78% | 9.39% | 17.25% | 17.55% | 15.76% | 16.38% | 16.48% |
| EBITDA Growth % | -28% | -47.41% | -33.84% | -49.42% | 14.38% | 34.42% | 15.32% | 3.35% | - |
| D&A (Non-Cash Add-back) | 31.35M | 33.47M | 33.08M | 34.14M | 30.77M | 26.55M | 28.93M | 30.42M | 31.61M |
| EBIT | -195.07M | -169.85M | 57.12M | 102.18M | 238.36M | 197.54M | 145.29M | 121.59M | 113.71M |
| Net Interest Income | -57.54M | -62.92M | -70.39M | -65.44M | -30.24M | -34.41M | -84.1M | -98.58M | -91.66M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 57.54M | 62.92M | 70.39M | 65.44M | 30.24M | 34.41M | 84.1M | 98.58M | 91.66M |
| Other Income/Expense | -250.34M | -246.75M | -70.39M | -65.44M | -30.64M | -45.96M | -85.19M | -106.03M | -93.42M |
| Pretax Income | -252.61M | -232.77M | -13.28M | 36.74M | 208.12M | 163.13M | 61.19M | 15.56M | 22.05M |
| Pretax Margin % | -21.42% | -18.74% | -1% | 2.53% | 13.32% | 12.15% | 5.5% | 1.68% | 2.47% |
| Income Tax | -1.16M | 4.2M | 10.1M | 9.5M | 49.09M | 36.49M | 2.63M | 14.86M | 4.93M |
| Effective Tax Rate % | 0.46% | -1.8% | -76.07% | 25.85% | 23.59% | 22.37% | 4.29% | 95.49% | 22.34% |
| Net Income | -250.49M | -236.97M | -23.38M | 27.24M | 159.03M | 126.63M | 58.56M | 702K | 17.13M |
| Net Margin % | -21.24% | -19.08% | -1.76% | 1.88% | 10.18% | 9.43% | 5.27% | 0.08% | 1.92% |
| Net Income Growth % | -197.93% | -913.6% | -185.82% | -82.87% | 25.58% | 116.24% | 8242.02% | -95.9% | - |
| Net Income (Continuing) | -251.45M | -236.97M | -23.38M | 27.24M | 159.03M | 126.63M | 58.56M | 702K | 17.13M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -26.85 | -25.51 | -2.60 | 2.96 | 17.00 | 13.40 | 6.20 | 0.08 | 1.84 |
| EPS Growth % | -196.6% | -881.15% | -187.84% | -82.59% | 26.87% | 116.13% | 8057.89% | -95.86% | - |
| EPS (Basic) | - | -25.51 | -2.53 | 2.96 | 17.20 | 13.60 | 6.20 | 0.08 | 1.84 |
| Diluted Shares Outstanding | 9.33M | 9.29M | 9.23M | 9.24M | 9.31M | 9.5M | 9.33M | 9.33M | 9.33M |
| Basic Shares Outstanding | 9.33M | 9.29M | 9.23M | 9.19M | 9.22M | 9.27M | 9.33M | 9.33M | 9.33M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | 176.64% | - |
Quick answers to the most common questions about buying LESL stock.
For fiscal year 2025, Leslie's, Inc. (LESL) reported total revenue of $1.24B. This represents a 39.1% increase compared to $892.6M in 2018.
Leslie's, Inc. (LESL) reported a net loss of $237.0M for the fiscal year ending 2025.
Leslie's, Inc. (LESL) reported an operating income of $14.0M, resulting in an operating profit margin of 1.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Leslie's, Inc. (LESL) generated $439.6M in gross profit for the year, representing a gross profit margin of 35.4%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Seasonal Fixed Cost Deleveraging
Metrics are mathematically derived from official filings.
Persistent Revenue Contraction Trends
As indicated by recent financial filings, Leslie's has struggled with sustained top-line pressure, evidenced by a 4.3% revenue growth in 2026Q2 following a series of negative quarterly prints, suggesting that the post-pandemic demand normalization continues to weigh heavily on the company's core residential consumer segment.
The inconsistent revenue performance highlights a struggle to maintain volume in a high-interest-rate environment that discourages discretionary pool upgrades. Investors should monitor whether the recent modest growth in 2026Q2 represents a genuine stabilization or merely a seasonal fluctuation against a depressed prior-year baseline.
Structural Margin Erosion and Volatility
Based on reported income statements, gross margins have exhibited significant volatility, dropping to 18.4% in 2026Q1 from a peak of 40.2% in 2024Q3, which implies that the company is facing substantial challenges in maintaining pricing power amidst a shifting competitive landscape and inventory management difficulties.
The sharp contraction in gross margins suggests that Leslie's may be forced into aggressive discounting to clear seasonal inventory or compete with big-box retailers. This margin volatility complicates the outlook for profitability, as the company's high fixed-cost base requires consistent, high-margin throughput to achieve break-even status.
Operating Leverage Constrained by Seasonality
According to the provided quarterly data, the company's operating income remains highly sensitive to seasonal volume, with operating margins swinging from -37.8% in 2026Q1 to 14.1% in 2025Q3, demonstrating that the current cost structure lacks the flexibility to absorb revenue declines during off-peak periods.
The inability to scale SG&A expenses down in proportion to revenue declines during the off-season indicates a rigid cost structure that exacerbates losses. This operating leverage profile suggests that the company remains vulnerable to any prolonged weakness in consumer demand during its critical second and third fiscal quarters.
Net Income Quality and Impairment
As reported in financial statements, the company's net income has been deeply negative, including a significant loss of $162.8 million in 2025Q4, which warrants further investigation into whether these figures reflect non-cash impairment charges or a fundamental deterioration in the underlying profitability of the store fleet.
The disparity between operating performance and net income suggests that non-operating items or asset impairments are significantly impacting the bottom line. Analysts should scrutinize the nature of these losses to determine if they represent one-time accounting adjustments or a structural decline in the value of the company's physical assets.
Sustainability of the Retail Moat
Based on an analysis of recent performance, the market's assumption of an 'Amazon-proof' moat appears increasingly questionable, as the company's inability to maintain positive net margins suggests that its specialized service model may not be sufficient to offset the broader cyclical downturn in the pool industry.
Short-term observers may focus on the risk that the company's high-density physical footprint becomes a liability rather than an asset if foot traffic continues to migrate toward more convenient or lower-cost digital alternatives. The current financial trajectory suggests that the competitive advantage of the AccuBlue ecosystem may be insufficient to protect margins in a price-sensitive environment.