Company: SBH
Filing Date: 2025-11-13
Form Type: 10-K
Source: 0001193125-25-280122
Chunk: 52

Company: Sally Beauty Holdings, Inc.
Filing Date: 2025-11-13
Form: 10-K
Item: Item 6
Chunk 52
---
,284

           $
           269,872

         Depreciation expense for the fiscal years 2025, 2024 and 2023 was $96.5 million, $106.6 million, and $99.0 million, respectively, and is included in selling, general and administrative expenses, or cost of goods sold if associated with our distribution centers, in our consolidated statements of earnings. No material impairments were recorded for the fiscal years presented.

F-9

Sally Beauty Holdings, Inc. and SubsidiariesNotes to Consolidated Financial StatementsFiscal Years ended September 30, 2025, 2024, and 2023 

In August 2024, our Board approved the sale of our corporate headquarters in Denton, Texas. During fiscal year 2025, we sold our corporate headquarters, including furniture, fixtures and some equipment, located in Denton, Texas, to Denton County, Texas, for $45.5 million, excluding $1.5 million in closing costs. As of September 30, 2024, we reclassified the following amounts out of property and equipment, net, (disposal group) into other current assets on our consolidated balance sheets for fiscal year 2024 (in thousands):

           September 30,

           2024

           Buildings and building improvements
            
           $
           11,629

           Land

           4,407

           Furniture, fixtures and equipment

           1,195

           Total assets held for sale
            
           $
           17,231

         As a result of the sale, we recognized a gain of approximately $26.6 million within selling, general and administrative expenses in our consolidated statements of earnings for the fiscal year 2025.Valuation of Long-Lived Assets and Definite-lived Intangible AssetsLong-lived assets, including operating lease assets and property and equipment, and purchased intangibles subject to amortization are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be fully recoverable. The recoverability of long-lived assets and intangible assets subject to amortization is assessed by comparing the net carrying amount of each asset to the total estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its undiscounted future cash flows, an impairment charge may be recognized for the amount by which the carrying amount of the asset exceeds the estimated fair value of the asset using a discounted