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SharkNinja (SN) Q1 FY26 earnings call: guidance and Q&A

Earnings call· Mar 2026 (Q1 FY26)· Consumer Discretionary· May 6, 2026

Source: earnings call transcript

Executive summary

SharkNinja Q1 FY26 — Strong Growth Across Categories, Geographies, and Channels, Driven by AI and Culture

SharkNinja delivered a strong Q1 FY26, marked by nearly 16% net sales growth and over 25% adjusted EPS growth, fueled by broad-based strength across categories, geographies, and channels. The company is leveraging its unique "outrageously extraordinary" culture and a new "JailBreak SharkNinja" AI initiative to drive innovation and efficiency, positioning it for continued outperformance despite an unpredictable macro environment and tariff headwinds.

Highlights

5

  • Net sales increased nearly 16% year-over-year to $1.41 billion, driven by contributions from all three growth pillars.

  • International growth accelerated to almost 32% with broad-based strength across geographies.

  • Adjusted EBITDA increased roughly 18% to $235 million, with higher adjusted EBITDA margins compared to the prior period.

  • Adjusted EPS increased more than 25% year-over-year to $1.09 per diluted share, marking the fourth consecutive quarter of growth in excess of 23%.

  • Launched the company-wide "JailBreak SharkNinja" AI initiative with a $1 million prize fund, fostering broad-based experimentation and innovation.

Concerns

5

  • The U.S. market declined in the low single-digit to mid-single-digit range across all four major categories in Q1, excluding SharkNinja's performance.

  • Adjusted gross margin decreased approximately 100 basis points year-over-year to 49.2% due to sizable tariff headwinds.

  • Net sales in the food preparation category decreased 3.3% year-over-year, driven largely by lapping a very large sell-in period for frozen treats in Q1 '25.

  • GAAP general and administrative expenses increased 22.4% year-over-year to $116 million, primarily from tax related to share-based compensation.

  • Potential impact from the Middle East conflict on resin and other commodity prices, though viewed as manageable and incorporated into guidance.

Guidance & targets

CategoryTargetConfidence
Net sales growth
11.5% to 12.5% increase
high materiality
High
Adjusted net income per diluted share
$6.00 to $6.10
high materiality
High
Adjusted EBITDA
$1.29 billion to $1.30 billion
high materiality
High
Adjusted EBITDA growth
13.5% to 14.5% year-over-year
high materiality
High
Net interest expense
flat
medium materiality
High
GAAP effective tax rate
22% to 23%
medium materiality
High
Capital expenditures
$190 million and $210 million
medium materiality
High
International growth rate
low 20s range
medium materiality
Medium

Segment performance

SegmentRevenueYoYQoQMargin
Domestic
Point-of-sale growth was even higher in the double digits. Canada business was down year-on-year due to structural changes, but expected to change in the back half of the year.
$916 million8.4%——
International
Broad-based strength across geographies, including EMEA and Latin America. Strong performance despite business model transitions in certain EMEA countries like Italy and Spain.
$497 million31.6%——
UK
Accelerated growth after a strong second half of 2025, driven by category and channel diversification.
$220 million18%——
Cleaning
Uprights, the largest subcategory, and carpet extraction business performed well, highlighted by Shark Stainforce.
$517 million17%——
Cooking and Beverage
Strong consumer demand for Luxe Cafe espresso machine and Ninja Woodfire across multiple markets.
$415 million19.8%——
Food Preparation
Strong growth in blending franchise was offset by lapping a particularly large quarter of selling for frozen treats business in Q1 '25.
$288 million-3.3%——
Beauty and Home Environment
Shark beauty technology portfolio stood out, particularly the skin care business led by Shark SmoothStyle.
$194 million40.8%——

SN operating KPIs by quarter

SN operating KPIs stated on its earnings calls, by fiscal quarter
KPIThis call Mar 2026 Q1 FY26 Jun 2026 Q2 FY26Change vs prior quarter
Product subcategories
39 This innovative multifunctional solution represents a new subcategory for SharkNinja, taking our total to 39. Source: earnings call transcript
40 This is an incredible adjacency for us in an established multibillion-dollar market, adding a TAM that is brand new to SharkNinja and taking our total subcategory count 40. Source: earnings call transcript
+2.6%

Operating figures the company stated on at least two of the calls shown, checked against each call's transcript. Click a figure to read the sentence. A dash means it was not stated that quarter.

Product announcements

ProductTypeDetails
SharkBlastBosslaunch
SharkChillPilllaunch
Shark FlexStyleupdate
Ninja Luxe Cafe Color Collectionlaunch
Shark Stainforce cordless spot and stain cleanerupdate

Deals & partnerships

Justin Bieber and Skylark Collaboration for a limited edition SharkChillPill and exclusive chilled zone at [indiscernible].

Justin Bieber headlined [indiscernible] with an exclusive chilled zone featuring a SharkChillPill. Partnered with Bieber and his lifestyle brands, Skylark, on a limited edition SharkChillPill in a custom heat color wage.

David Beckham Collaboration for a limited-edition Luxe Cafe Color Collection.

David Beckham, global ambassador for SharkNinja, collaborated on a one-of-a-kind version of Luxe Cafe featuring a matt black stainless steel body, black chestnut wood grain, and gold accents.

Mercado Libre Strategic partnership to reach Latin American consumers.

SharkNinja is excited about its partnership with Mercado Libre as a great pathway to reach Latin American consumers, especially following strong momentum in Mexico.

Risks & headwinds

Unpredictable macro environment Ongoing

U.S. market declined in the low single-digit to mid-single-digit range across all four major categories in Q1.

Mitigation:Operational discipline, diversification across categories, geographies, and channels; built company to handle uncertainty.

Tariff headwinds Full year 2026

Adjusted gross margin decreased approximately 100 basis points year-over-year in Q1.

Mitigation:Cost optimization efforts, favorable trends within pricing and mix, supply chain diversification (66% of business has tariff parity in/outside China).

Raw material price volatility Unknown duration

Potential impact on resin and other commodity prices due to Middle East conflict.

Mitigation:Actively assessing the situation, taking action on cost mitigation and supply procurement; potential impact viewed as manageable and incorporated into guidance.

Business model transitions in EMEA Rectified by end of Q2 FY26

Took a bit of a hit in Q1 from transitioning Italy and Spain from a distributor market to a direct market.

Mitigation:Successful transitions, increased ad spending in H2, deeper relationships with retail partners.

Lapping prior-year strong sell-in periods Q1 FY26

Food preparation category net sales decreased 3.3% year-over-year due to lapping a very large sell-in period for frozen treats in Q1 '25.

Mitigation:Power of category diversification, more innovation coming in frozen treats in the second half of the year.

What to watch in Q2 FY26

International Business Model Transition Completion

End of Q2 FY26
Current Italy and Spain transitioning, caused a "hit" in Q1.
Target Rectified and completed.

Why it matters

Completion of transitions is expected to remove headwinds and enable stronger international growth.

There's also some noise within the international business because we're in the midst right now of transitioning Italy and Spain from a distributor market to a direct market. So we took a bit of a hit in that in Q1. That will get rectified as we close out Q2.

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Q&A highlights

How do U.S. industry trends look for the rest of the year, and how bullish is SharkNinja on international growth, especially with new DTC platforms and TikTok Shop expansion?

Mark noted the U.S. market declined low to mid-single digits in Q1, but SharkNinja's domestic POS was up double digits. He expressed strong bullishness on international, citing new DTC platform launches in the UK, Germany, France, Spain, and Italy, and TikTok Shop expansion to 7 countries by the end of Q2. He also highlighted successful transitions to direct models in EMEA and Mexico, expecting a strong holiday season.

“when we come out of Q2, Randy, I mean, we're now going to have the entire world on our new sales force platform. We're going to have TikTok Shop operating in 7 countries. It sets us up really well on the D2C business and the TikTok Shop business as we get into the second half of the year.”

asked by Randal Konik · answered by Mark Adam Barrocas

2 min read 5 chapters

Detailed narrative

AI Integration and "JailBreak SharkNinja" Initiative

SharkNinja has rapidly embraced AI across its business, launching a company-wide initiative called "JailBreak SharkNinja." This program incentivizes broad-based experimentation by proliferating AI tools and trainings, aiming to drive real business impact in product innovation, marketing, operations, and strategic thinking. The initiative has seen over 150 employee submissions and a $1 million prize fund, culminating in a global HackWeek to tackle complex problems and build long-term AI competency.

Cultural Superpower and Market Outperformance

Mark Barrocas highlighted SharkNinja's "outrageously extraordinary" (OE) culture as its most durable competitive advantage, fostering rapid iteration and entrepreneurial fearlessness. This cultural edge is credited for the company's 12th consecutive quarter of double-digit organic net sales growth, significantly outperforming the U.S. market which declined in the low to mid-single-digit range across major categories in Q1 FY26.

New Category Expansion and Product Innovation

The company continues to expand into new subcategories, launching the SharkBlastBoss, an indoor/outdoor air blasting system, bringing its total to 39 subcategories. Another notable launch is the SharkChillPill, a personal cooling system utilizing cryoinspired direct contact cooling technology, which generated tens of millions of social media impressions and partnered with Justin Bieber, showcasing the brand's cultural relevance and premium pricing strategy.

International Expansion and Omnichannel Strategy

International business saw robust results, with the U.K. accelerating to over 18% growth and Latin America experiencing exceptional momentum, particularly Mexico after transitioning to a direct business model. SharkNinja is enhancing its international omnichannel strategy by rolling out new DTC sites in major markets (U.K., France, Germany, Spain, Italy) and expanding its TikTok Shop presence to 7 countries by the end of Q2 FY26.

Supply Chain Flexibility and Tariff Management

Management emphasized the benefits of its diversified supply chain, noting that 66% of its business now has tariff parity in and outside China. This flexibility allows the company to easily move production, mitigating tariff headwinds and managing raw material price volatility. Despite a 100 bps decrease in adjusted gross margin due to tariffs, cost optimization and favorable pricing/mix helped manage the impact.

Summary of the company's earnings call; see how call summaries are prepared. Not investment advice.