Leslie’s (NASDAQ:LESL) Releases Earnings Results, Misses Estimates By $0.95 EPS

Posted by on May 15th, 2026

Leslie’s (NASDAQ:LESL – Get Free Report) released its quarterly earnings data on Wednesday. The company reported ($5.36) EPS for the quarter, missing the consensus estimate of ($4.41) by ($0.95), FiscalAI reports. The firm had revenue of $184.74 million during the quarter, compared to analysts’ expectations of $162.48 million.

Here are the key takeaways from Leslie’s’ conference call:

  • Leslie’s said its fiscal Q2 2026 transformation plan is gaining traction, with revenue up 4.3%, comparable sales up 6.6%, adjusted EBITDA improving 26%, and total customer count up 8%.
  • The new Price Drop pricing strategy appears to be working, driving double-digit transaction growth, a more than 350 basis point conversion improvement, and strong customer response, especially in core chemical categories.
  • Management highlighted better operational execution, including a restructured field organization, stronger marketing, improved store signage, and expanded convenience options like BOPUS and nationwide Uber same-day delivery.
  • Gross margin expanded sharply to 28.9% from 24.8% a year ago, helped by higher sales, lower distribution and occupancy costs, and reduced inventory reserves. Management said some of these benefits are recurring, while the reserve-related boost was one-time.
  • The company kept its full-year outlook unchanged, reaffirming 2026 sales of $1.1 billion to $1.25 billion and adjusted EBITDA of $55 million to $75 million, while noting most sales and earnings are still expected in the second half due to seasonality.

Leslie’s Stock Down 10.1%

Shares of LESL traded down $0.36 during mid-day trading on Friday, hitting $3.15. 5,526,889 shares of the company’s stock traded hands, compared to its average volume of 660,321. Leslie’s has a 1 year low of $0.87 and a 1 year high of $18.56. The firm has a market capitalization of $29.30 million, a P/E ratio of -0.11 and a beta of 1.53. The business’s 50-day moving average price is $1.41 and its 200-day moving average price is $1.87.

Analyst Ratings Changes

LESL has been the subject of several recent research reports. Morgan Stanley set a $1.00 price objective on Leslie’s and gave the company an “underweight” rating in a research report on Wednesday, February 18th. Wolfe Research reissued an “outperform” rating and set a $3.00 price target (up from $2.00) on shares of Leslie’s in a research report on Thursday. Mizuho cut their price target on shares of Leslie’s from $4.00 to $3.50 and set a “neutral” rating on the stock in a report on Friday, May 8th. Weiss Ratings restated a “sell (e+)” rating on shares of Leslie’s in a research report on Wednesday, March 25th. Finally, Zacks Research raised shares of Leslie’s from a “strong sell” rating to a “hold” rating in a research note on Tuesday, March 17th. One equities research analyst has rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Reduce” and a consensus target price of $2.85.

View Our Latest Analysis on LESL

Institutional Trading of Leslie’s

Large investors have recently added to or reduced their stakes in the stock. Engineers Gate Manager LP increased its position in Leslie’s by 309.7% during the 2nd quarter. Engineers Gate Manager LP now owns 61,474 shares of the company’s stock valued at $26,000 after purchasing an additional 46,468 shares during the period. Quadrature Capital Ltd purchased a new stake in shares of Leslie’s in the 4th quarter worth about $34,000. Barclays PLC bought a new stake in shares of Leslie’s during the 4th quarter valued at about $35,000. Scopia Capital Management LP purchased a new position in shares of Leslie’s during the second quarter valued at about $41,000. Finally, Canada Pension Plan Investment Board increased its position in shares of Leslie’s by 38.5% during the second quarter. Canada Pension Plan Investment Board now owns 117,000 shares of the company’s stock valued at $49,000 after buying an additional 32,500 shares during the period.

About Leslie’s

(Get Free Report)

Leslie’s, Inc (NASDAQ: LESL) is the largest direct-to-consumer retailer of swimming pool supplies and related equipment in the United States. Through a network of more than 900 company-operated stores and a robust e-commerce platform, the company offers a comprehensive range of pool chemicals, cleaning tools, pumps, filters, heaters and pool accessories. In addition to product retailing, Leslie’s provides in-store and in-home water testing services, equipment installation, repair and ongoing maintenance programs designed to support both residential and commercial pool owners.

Founded in 1963 in North Miami Beach, Florida, Leslie’s has grown from a single neighborhood pool-supply shop into a national specialty retailer.

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Earnings History for Leslie's (NASDAQ:LESL)

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