Business Segments

3 Months Ended

Dec. 31, 2021

Segment Reporting [Abstract]

Business Segments

9.   Segment Reporting

Segment data for the three months ended December 31, 2021 and 2020, is as follows (in thousands):

	Three Months Ended December 31,
	2021		2020
Net sales:
Sally Beauty Supply ("SBS")	$	561,530	$	547,670
Beauty Systems Group ("BSG")		418,721		388,352
Total	$	980,251	$	936,022
Earnings before provision for income taxes:
Segment operating earnings:
SBS	$	100,623	$	95,128
BSG		58,546		48,572
Segment operating earnings		159,169		143,700
Unallocated expenses		45,290		39,146
Restructuring		1,099		232
Consolidated operating earnings		112,780		104,322
Interest expense		20,241		25,978
Earnings before provision for income taxes	$	92,539	$	78,344

Sales between segments, which are eliminated in consolidation, were not material during the three months ended December 31, 2021 and 2020.

Disaggregation of net sales by segment  

The following tables disaggregate our segment revenues by merchandise category. We have reclassified certain prior year amounts to conform to current year presentation.

	Three Months Ended December 31,
SBS	2021			2020
Hair color		36.8	%		36.0	%
Hair care		23.8	%		20.9	%
Styling tools and supplies		20.2	%		23.1	%
Nail		10.4	%		10.8	%
Skin and cosmetics		7.9	%		8.4	%
Other beauty items		0.9	%		0.8	%
Total		100.0	%		100.0	%

	Three Months Ended December 31,
BSG	2021			2020
Hair color		41.9	%		40.2	%
Hair care		39.9	%		39.1	%
Styling tools and supplies		10.8	%		12.6	%
Skin and cosmetics		3.6	%		3.7	%
Nail		3.5	%		4.0	%
Other beauty items		0.3	%		0.4	%
Total		100.0	%		100.0	%

The following tables disaggregate our segment revenue by sales channels:

	Three Months Ended December 31,
SBS	2021			2020
Company-operated stores		94.2	%		93.9	%
E-commerce		5.8	%		6.0	%
Franchise stores		0.0	%		0.1	%
Total		100.0	%		100.0	%

	Three Months Ended December 31,
BSG	2021			2020
Company-operated stores		67.5	%		69.6	%
Distributor sales consultants		13.6	%		14.3	%
E-commerce		11.7	%		8.5	%
Franchise stores		7.2	%		7.6	%
Total		100.0	%		100.0	%