SHARPE
Reported results
- Net sales and other revenue decreased 0.1% to $18,894.7 million (GAAP) in Q2 fiscal 2026 from $18,915.8 million in Q2 fiscal 2025
- Net income $51.5 million or $0.11 per share (GAAP) compared to $168.5 million or $0.30 per share (GAAP) in prior year
- Adjusted net income $179.0 million or $0.36 per share (non-GAAP) compared to $248.4 million or $0.44 per share (non-GAAP) in prior year
- Adjusted EBITDA $784.0 million or 4.1% of net sales and other revenue (non-GAAP) compared to $848.4 million or 4.5% (non-GAAP) in prior year
- Gross margin rate decreased to 26.8% (GAAP) from 27.0% (GAAP) in Q2 fiscal 2025; identical sales decreased 0.8%; digital sales increased 11%
- Interest expense, net increased to $125.0 million (GAAP) from $105.3 million (GAAP) in prior year; effective tax rate 17.9% versus 23.3% prior year
Guidance
- Company is no longer providing a fiscal 2026 outlook and will not provide an updated outlook until the comprehensive business review is completed during its fourth quarter
- Company expects to provide a refreshed financial framework, both short and long-term, alongside its comprehensive turnaround plan by its fourth quarter earnings call
- Company plans to host an investor day in Spring 2027
Notes
Company launched comprehensive business review to accelerate turnaround efforts and announced ACI Edge operating structure realignment in July 2026 consolidating 11 divisions into four regions. Loss on property dispositions and impairment losses increased to $42.4 million from $4.4 million primarily driven by retail store impairment losses and equipment disposals.
Price and volatility reaction
The stock moved +1.4% on the print. No front-expiry chain was on file, so there is no straddle expected move. 30-day ATM implied volatility moved -2.9 vol points across the event (constant-maturity series — not the front-week crush).
| Measure | Value | Basis |
|---|---|---|
| Close before release | 12.54 | 2026-10-12 |
| Close after release | 12.72 | 2026-10-13 |
| Realised move | +1.4% | close to close |
| 30d ATM IV change | -2.9 vol pts | constant-maturity series, not the front expiry |
Source
The figures above come from the earnings release the company filed with the SEC on 2026-10-13 (8-K, Item 2.02). Read the original filing on sec.gov.