Prestige Consumer Healthcare Inc.
For the period ended Dec 31, 2025. Filed Feb 5, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Dec 31, 2025 · Filed Feb 5, 2026
PBH$42.98-3.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-06.
0001295947-25-000039
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSCurrent report: 10-Q
Period ended 2025-12-31; filed 2026-02-05.
0001295947-26-000008
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 116 previous paragraphs and 127 current paragraphs.
81 unchanged; 31 reworded; 14 added; 3 removed; 1 previous and 1 current paragraphs rearranged.
Tables are not compared: 8 previous and 8 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (14)
Current report
Acquisition
Current report
Acquisition of Pillar5
Current report
On December 18, 2025, we completed the acquisition of Pillar5 Pharma, Inc. ("Pillar5"), which was funded through a combination of cash on hand and our existing asset-based revolving credit facility.
Current report
Based in Ontario, Canada, Pillar5 is a leading sterile ophthalmic manufacturer and one of our current Clear Eyes suppliers.
Current report
The pro-forma effect of this acquisition on revenues and earnings was not material.
Current report
Gross profit for the three months ended December 31, 2025 decreased $3.7 million, or 2.3%, when compared with the three months ended December 31, 2024. As a percentage of total revenues, gross profit remained constant.
Current report
Depreciation and amortization expenses were $5.1 million for the three months ended December 31, 2025 and $5.0 million for the three months ended December 31, 2024.
Current report
Other Expense, Net
Current report
During the three months ended December 31, 2025, we wrote off a supplier loan of $10.3 million, previously included in Accounts receivable, net.
Current report
Nine Months Ended December 31, 2025 compared to the Nine Months Ended December 31, 2024
Current report
Revenues for the International OTC Healthcare segment decreased $2.1 million, or 1.6%, during the nine months ended December 31, 2025 versus the nine months ended December 31, 2024. The $2.1 million decrease was mainly attributable to a decrease in sales in the Eye & Ear Care, partly offset by an increase in sales in the Women's Health category.
Current report
Other Expense, Net
Current report
During the nine months ended December 31, 2025, we wrote off a supplier loan of $10.3 million, previously included in Accounts receivable, net.
Current report
At December 31, 2025, we had a $40.0 million balance outstanding on the 2012 ABL Revolver, which we drew during the quarter to partially fund our acquisition of Pillar5, as discussed above. At December 31, 2025, we had a borrowing capacity of $146.4 million.
Removed paragraphs (3)
Previous report
Gross profit for the three months ended September 30, 2025 decreased $5.8 million, or 3.7%, when compared with the three months ended September 30, 2024. As a percentage of total revenues, gross profit decreased to 55.3% during the three months ended September 30, 2025 from 55.5% during the three months ended September 30, 2024, primarily due to the decrease in revenue and the decrease in International OTC Healthcare segment gross margins.
Previous report
Six Months Ended September 30, 2025 compared to the Six Months Ended September 30, 2024
Previous report
Revenues for the International OTC Healthcare segment increased $1.5 million, or 1.9%, during the six months ended September 30, 2025 versus the six months ended September 30, 2024. The $1.5 million increase was mainly attributable to increases in sales in the Dermatologicals and Analgesics categories, partly offset by a decrease in sales in the Eye & Ear Care category.
Reworded paragraphs (31)
Previous wording
The volatile environment has impacted the supply of labor and raw materials and exacerbated rising input costs. We have and may continue to experience shortages, delays and backorders for certain ingredients and products, difficulty scheduling shipping for our products, as well as price increases from many of our suppliers for both shipping and product costs. Certain of our third-party manufacturers are currently having, and have had in the past, difficulty meeting demand, which is and has caused shortages of our products, particularly eye care products. These shortages negatively impacted our results of operations, and we expect further shortages may have a negative impact on our sales. If conditions cause further disruption in the global supply chain, the availability of labor and materials or otherwise further increase costs, it may materially affect our operations and those of third parties on which we rely, including causing material disruptions in the supply and distribution of our products. The extent to which these conditions impact our results of operations and liquidity will depend on future developments, which are highly uncertain and cannot be predicted, including global supply chain constraints, inflation, tariffs, global conflicts and trade actions/disputes. These effects could have a material adverse impact on our business, liquidity, capital resources and results of operations and those of the third parties on which we rely.
Current wording
The volatile environment has impacted the supply of labor and raw materials and exacerbated rising input costs. We have and may continue to experience shortages, delays and backorders for certain ingredients and products, difficulty scheduling shipping for our products, as well as price increases from many of our suppliers for both shipping and product costs. Certain of our third-party manufacturers are currently having, and have had in the past, difficulty meeting demand, which is and has caused shortages of our products, particularly eye care products. These shortages have negatively impacted our results of operations, and we expect further shortages will continue to have a negative impact on our sales. If conditions cause further disruption in the global supply chain, the availability of labor and materials or otherwise further increase costs, it may materially affect our operations and those of third parties on which we rely, including causing material disruptions in the supply and distribution of our products. The extent to which these conditions impact our results of operations and liquidity will depend on future developments, which are highly uncertain and cannot be predicted, including global supply chain constraints, inflation, tariffs, global conflicts and trade actions/disputes. These effects could have a material adverse impact on our business, liquidity, capital resources and results of operations and those of the third parties on which we rely.
Previous wording
Total revenues for the three months ended September 30, 2025 were $274.1 million, a decrease of $9.7 million, or 3.4%, versus the three months ended September 30, 2024.
Current wording
Total revenues for the three months ended December 31, 2025 were $283.4 million, a decrease of $6.9 million, or 2.4%, versus the three months ended December 31, 2024.
Previous wording
Revenues for the North American OTC Healthcare segment decreased $9.1 million, or 3.8%, during the three months ended September 30, 2025 versus the three months ended September 30, 2024. The $9.1 million decrease was primarily attributable to a decrease in sales in the Eye & Ear Care and Women's Health categories, partly offset by an increase in sales in the Gastrointestinal category.
Current wording
Revenues for the North American OTC Healthcare segment decreased $3.2 million, or 1.4%, during the three months ended December 31, 2025 versus the three months ended December 31, 2024. The $3.2 million decrease was primarily attributable to a decrease in sales in the Eye & Ear Care, Analgesics and Women's Health categories, partly offset by an increase in sales in the Oral Care and Gastrointestinal categories.
Previous wording
Revenues for the International OTC Healthcare segment decreased $0.6 million, or 1.4%, during the three months ended September 30, 2025 versus the three months ended September 30, 2024. The $0.6 million decrease was primarily attributable to a decrease in sales in the Eye & Ear Care category, partly offset by an increase in sales in the Dermatologicals category.
Current wording
Revenues for the International OTC Healthcare segment decreased $3.6 million, or 7.1%, during the three months ended December 31, 2025 versus the three months ended December 31, 2024. The $3.6 million decrease was primarily attributable to a decrease in sales in the Eye & Ear Care category, partly offset by an increase in sales in the Women's Health category.
Previous wording
Gross profit for the North American OTC Healthcare segment decreased $3.6 million, or 2.7%, during the three months ended September 30, 2025 versus the three months ended September 30, 2024. As a percentage of North American OTC Healthcare revenues, gross profit increased to 55.6% during the three months ended September 30, 2025 from 55.1% during the three months ended September 30, 2024, primarily due to a more favorable product mix.
Current wording
Gross profit for the North American OTC Healthcare segment decreased $0.2 million, or 0.1%, during the three months ended December 31, 2025 versus the three months ended December 31, 2024. As a percentage of North American OTC Healthcare revenues, gross profit increased to 55.5% during the three months ended December 31, 2025 from 54.8% during the three months ended December 31, 2024, primarily due to a more favorable product mix.
Previous wording
Gross profit for the International OTC Healthcare segment decreased $2.2 million, or 8.6%, during the three months ended September 30, 2025 versus the three months ended September 30, 2024. As a percentage of International OTC Healthcare revenues, gross profit decreased to 53.4% during the three months ended September 30, 2025 from 57.7% during the three months ended September 30, 2024, primarily due to increased inflation costs and product mix.
Current wording
Gross profit for the International OTC Healthcare segment decreased $3.5 million, or 11.6%, during the three months ended December 31, 2025 versus the three months ended December 31, 2024. As a percentage of International OTC Healthcare revenues, gross profit decreased to 55.9% during the three months ended December 31, 2025 from 58.7% during the three months ended December 31, 2024, primarily due to increased inflation costs and product mix.
Previous wording
Contribution margin for the North American OTC Healthcare segment decreased $0.8 million, or 0.8%, during the three months ended September 30, 2025 versus the three months ended September 30, 2024. As a percentage of North American OTC Healthcare revenues, contribution margin increased to 41.8% during the three months ended September 30, 2025 from 40.5% during the three months ended September 30, 2024. The contribution margin increase as a percentage of revenues was primarily due to the increase in gross profit margin above and a decrease in advertising and marketing spend during the quarter attributable to timing.
Current wording
Contribution margin for the North American OTC Healthcare segment decreased $1.9 million, or 1.9%, during the three months ended December 31, 2025 versus the three months ended December 31, 2024. As a percentage of North American OTC Healthcare revenues, contribution margin decreased to 41.6% during the three months ended December 31, 2025 from 41.8% during the three months ended December 31, 2024. The contribution margin decrease as a percentage of revenues was primarily due to an increase in advertising and marketing spend during the quarter attributable to timing.
Previous wording
Contribution margin for the International OTC Healthcare segment decreased $2.3 million, or 12.4%, during the three months ended September 30, 2025 versus the three months ended September 30, 2024. As a percentage of International OTC Healthcare revenues, contribution margin decreased to 38.1% during the three months ended September 30, 2025 from 42.8% during the three months ended September 30, 2024. The contribution margin decrease as a percentage of revenues was primarily due to the decrease in gross profit margin above.
Current wording
Contribution margin for the International OTC Healthcare segment decreased $3.9 million, or 16.9%, during the three months ended December 31, 2025 versus the three months ended December 31, 2024. As a percentage of International OTC Healthcare revenues, contribution margin decreased to 40.4% during the three months ended December 31, 2025 from 45.2% during the three months ended December 31, 2024. The contribution margin decrease as a percentage of revenues was primarily due to the decrease in gross profit margin above.
Previous wording
General and administrative expenses were $28.0 million for the three months ended September 30, 2025 and $26.1 million for the three months ended September 30, 2024. The $1.9 million increase in general and administrative expenses was primarily due to increases in professional fees and acquisition costs.
Current wording
General and administrative expenses were $29.7 million for the three months ended December 31, 2025 and $26.2 million for the three months ended December 31, 2024. The $3.5 million increase in general and administrative expenses was primarily due to an increase in our allowance for doubtful accounts pertaining to one specific customer.
Previous wording
Interest expense, net was $10.0 million during the three months ended September 30, 2025 versus $12.3 million during the three months ended September 30, 2024. The average indebtedness decreased to $1.0 billion during the three months ended September 30, 2025 from $1.1 billion during the three months ended September 30, 2024. The average cost of borrowing decreased to 4.5% for the three months ended September 30, 2025 from 4.7% for the three months ended September 30, 2024.
Current wording
Interest expense, net was $10.7 million during the three months ended December 31, 2025 versus $11.5 million during the three months ended December 31, 2024. The average indebtedness remained constant at $1.0 billion during the three months ended December 31, 2025 and the three months ended December 31, 2024. The average cost of borrowing decreased to 4.5% for the three months ended December 31, 2025 from 4.6% for the three months ended December 31, 2024.
Previous wording
The provision for income taxes during the three months ended September 30, 2025 was $26.9 million versus $17.3 million during the three months ended September 30, 2024. The effective tax rate during the three months ended September 30, 2025 was 38.9% versus 24.1% during the three months ended September 30, 2024. The increase in the effective tax rate for the three months ended September 30, 2025, compared to the three months ended September 30, 2024 was primarily due to establishing a taxable presence in a new state.
Current wording
The provision for income taxes during the three months ended December 31, 2025 was $15.1 million versus $19.1 million during the three months ended December 31, 2024. The effective tax rate during the three months ended December 31, 2025 was 24.5% versus 23.9% during the three months ended December 31, 2024. The increase in the effective tax rate for the three months ended December 31, 2025, compared to the three months ended December 31, 2024, was primarily due to establishing a taxable presence in a new state.
Previous wording
The following table represents total revenue by segment, including product groups, for the six months ended September 30, 2025 and 2024.
Current wording
The following table represents total revenue by segment, including product groups, for the nine months ended December 31, 2025 and 2024.
Previous wording
Total revenues for the six months ended September 30, 2025 were $523.6 million, a decrease of $27.3 million, or 5.0%, versus the six months ended September 30, 2024.
Current wording
Total revenues for the nine months ended December 31, 2025 were $807.1 million, a decrease of $34.2 million, or 4.1%, versus the nine months ended December 31, 2024.
Previous wording
Revenues for the North American OTC Healthcare segment decreased $28.8 million, or 6.1%, during the six months ended September 30, 2025 versus the six months ended September 30, 2024. The $28.8 million decrease was primarily attributable to a decrease in sales in the Eye & Ear Care category, due to limited ability to supply demand for Clear Eyes.
Current wording
Revenues for the North American OTC Healthcare segment decreased $32.0 million, or 4.5%, during the nine months ended December 31, 2025 versus the nine months ended December 31, 2024. The $32.0 million decrease was primarily attributable to a decrease in sales in the Eye & Ear Care category, due to limited ability to supply demand for Clear Eyes.
Previous wording
Gross profit for the six months ended September 30, 2025 decreased $11.5 million, or 3.8%, when compared with the six months ended September 30, 2024. As a percentage of total revenues, gross profit increased to 55.7% during the six months ended September 30, 2025 from 55.1% during the six months ended September 30, 2024, primarily due to favorable product mix.
Current wording
Gross profit for the nine months ended December 31, 2025 decreased $15.2 million, or 3.3%, when compared with the nine months ended December 31, 2024. As a percentage of total revenues, gross profit increased to 55.7% during the nine months ended December 31, 2025 from 55.2% during the nine months ended December 31, 2024, primarily due to favorable product mix.
Previous wording
Gross profit for the North American OTC Healthcare segment decreased $10.0 million, or 3.9%, during the six months ended September 30, 2025 versus the six months ended September 30, 2024. As a percentage of North American OTC Healthcare revenues, gross profit increased to 56.1% during the six months ended September 30, 2025 from 54.8% during the six months ended September 30, 2024, primarily due to favorable product mix.
Current wording
Gross profit for the North American OTC Healthcare segment decreased $10.2 million, or 2.6%, during the nine months ended December 31, 2025 versus the nine months ended December 31, 2024. As a percentage of North American OTC Healthcare revenues, gross profit increased to 55.9% during the nine months ended December 31, 2025 from 54.8% during the nine months ended December 31, 2024, primarily due to favorable product mix.
Previous wording
Gross profit for the International OTC Healthcare segment decreased $1.5 million, or 3.4%, during the six months ended September 30, 2025 versus the six months ended September 30, 2024. As a percentage of International OTC Healthcare revenues, gross profit decreased to 53.7% during the six months ended September 30, 2025 from 56.6% during the six months ended September 30, 2024, primarily due to increased inflation costs and product mix.
Current wording
Gross profit for the International OTC Healthcare segment decreased $5.0 million, or 6.7%, during the nine months ended December 31, 2025 versus the nine months ended December 31, 2024. As a percentage of International OTC Healthcare revenues, gross profit decreased to 54.5% during the nine months ended December 31, 2025 from 57.5% during the nine months ended December 31, 2024, primarily due to increased inflation costs and product mix.
Previous wording
Contribution margin for the North American OTC Healthcare segment for the six months ended September 30, 2025 decreased $2.3 million, or 1.2%, when compared with the six months ended September 30, 2024. As a percentage of North American OTC Healthcare revenues, contribution margin increased to 42.4% during the six months ended September 30, 2025 from 40.3% during the six months ended September 30, 2024, primarily due to the increase in gross profit margin above and a decrease in advertising and marketing spend.
Current wording
Contribution margin for the North American OTC Healthcare segment for the nine months ended December 31, 2025 decreased $4.2 million, or 1.4%, when compared with the nine months ended December 31, 2024. As a percentage of North American OTC Healthcare revenues, contribution margin increased to 42.1% during the nine months ended December 31, 2025 from 40.8% during the nine months ended December 31, 2024, primarily due to the increase in gross profit margin above and a decrease in advertising and marketing spend.
Previous wording
Contribution margin for the International OTC Healthcare segment decreased $2.0 million, or 6.3%, during the six months ended September 30, 2025 versus the six months ended September 30, 2024. As a percentage of International OTC Healthcare revenues, contribution margin decreased to 37.9% during the six months ended September 30, 2025 from 41.2% during the six months ended September 30, 2024. The contribution margin decrease as a percentage of revenues during the six months ended September 30, 2025 was primarily due to the decrease in gross profit margin above.
Current wording
Contribution margin for the International OTC Healthcare segment decreased $6.0 million, or 10.7%, during the nine months ended December 31, 2025 versus the nine months ended December 31, 2024. As a percentage of International OTC Healthcare revenues, contribution margin decreased to 38.9% during the nine months ended December 31, 2025 from 42.8% during the nine months ended December 31, 2024. The contribution margin decrease as a percentage of revenues during the nine months ended December 31, 2025 was primarily due to the decrease in gross profit margin above.
Previous wording
General and administrative expenses were $56.5 million for the six months ended September 30, 2025 and $55.0 million for the six months ended September 30, 2024. The $1.5 million increase in general and administrative expenses was primarily due to increases in compensation costs and acquisition costs, partially offset by a decrease in professional fees.
Current wording
General and administrative expenses were $86.2 million for the nine months ended December 31, 2025 and $81.2 million for the nine months ended December 31, 2024. The $5.0 million increase in general and administrative expenses was primarily due to an increase in our allowance for doubtful accounts pertaining to one specific customer and increases in compensation and acquisition related costs.
Previous wording
Depreciation and amortization expenses were $5.2 million for the three months ended September 30, 2025 and $5.6 million for the three months ended September 30, 2024. The decrease in depreciation and amortization expenses was primarily due to a decrease in amortization expense due to impairment charges taken on certain finite-lived brands in fiscal 2025, as well as certain intangible assets being fully amortized during fiscal 2025.
Current wording
Depreciation and amortization expenses were $15.5 million for the nine months ended December 31, 2025 and $16.2 million for the nine months ended December 31, 2024. The decrease in depreciation and amortization expenses was primarily due to a decrease in amortization expense due to impairment charges taken on certain finite-lived brands in fiscal 2025, as well as certain intangible assets being fully amortized during fiscal 2025.
Previous wording
Interest expense, net was $20.2 million during the six months ended September 30, 2025 versus $25.4 million during the six months ended September 30, 2024. The average indebtedness during the six months ended September 30, 2025 decreased to $1.0 billion from $1.1 billion during the six months ended September 30, 2024. The average cost of borrowing decreased to 4.5% for the six months ended September 30, 2025 compared to 4.8% for the six months ended September 30, 2024.
Current wording
Interest expense, net was $30.9 million during the nine months ended December 31, 2025 versus $36.9 million during the nine months ended December 31, 2024. The average indebtedness during the nine months ended December 31, 2025 decreased to $1.0 billion from $1.1 billion during the nine months ended December 31, 2024. The average cost of borrowing decreased to 4.5% for the nine months ended December 31, 2025, compared to 4.7% for the nine months ended December 31, 2024.
Previous wording
The provision for income taxes during the six months ended September 30, 2025 was $41.2 million versus $26.6 million during the six months ended September 30, 2024. The effective tax rate during the six months ended September 30, 2025 was 31.5% versus 20.5% during the six months ended September 30, 2024. The increase in the effective tax rate for the six months ended September 30, 2025, compared to the six months ended September 30, 2024 was primarily due to establishing a taxable presence in a new state.
Current wording
The provision for income taxes during the nine months ended December 31, 2025 was $56.4 million versus $45.8 million during the nine months ended December 31, 2024. The effective tax rate during the nine months ended December 31, 2025 was 29.2% versus 21.8% during the nine months ended December 31, 2024. The increase in the effective tax rate for the nine months ended December 31, 2025, compared to the nine months ended December 31, 2024, was primarily due to establishing a taxable presence in a new state.
Previous wording
As of September 30, 2025, we had cash and cash equivalents of $119.1 million, an increase of $21.2 million from March 31, 2025. The following table summarizes the change:
Current wording
As of December 31, 2025, we had cash and cash equivalents of $62.4 million, a decrease of $35.5 million from March 31, 2025. The following table summarizes the change:
Previous wording
Net cash provided by operating activities was $136.5 million for the six months ended September 30, 2025, compared to $124.6 million for the six months ended September 30, 2024. The $11.9 million increase was due to the timing of working capital and increased net income before non-cash items.
Current wording
Net cash provided by operating activities was $214.8 million for the nine months ended December 31, 2025, compared to $189.7 million for the nine months ended December 31, 2024. The $25.1 million increase was primarily due to the timing of working capital.
Previous wording
Net cash used in investing activities was $4.9 million for the six months ended September 30, 2025, compared to $4.2 million for the six months ended September 30, 2024. The $0.7 million increase in net cash used in investing activities was primarily due to changes in a short-term loan receivable.
Current wording
Net cash used in investing activities was $133.4 million for the nine months ended December 31, 2025, compared to $14.0 million for the nine months ended December 31, 2024. The $119.5 million increase in net cash used in investing activities was primarily due to acquisitions during the current year.
Previous wording
Net cash used in financing activities was $111.2 million for the six months ended September 30, 2025, compared to $116.7 million for the six months ended September 30, 2024. The $5.5 million decrease in cash used in financing activities was primarily due to a decrease in debt repayments of $75.0 million and a decrease in shares surrendered as payment of tax withholding of $1.6 million, partly offset by an increase in the repurchase of shares of our common stock in conjunction with our share repurchase program of $72.0 million.
Current wording
Net cash used in financing activities was $118.0 million for the nine months ended December 31, 2025, compared to $170.6 million for the nine months ended December 31, 2024. The $52.6 million decrease in cash used in financing activities was primarily due to a decrease in net debt repayments of $175.0 million, partly offset by an increase in the repurchase of shares of our common stock in conjunction with our share repurchase program of $115.4 million.
Previous wording
•$400.0 million of 5.125% 2019 senior unsecured notes, which mature on January 15, 2028 (the "2019 Senior Notes"); and
Current wording
•$400.0 million of 5.125% 2019 senior unsecured notes, which mature on January 15, 2028 (the "2019 Senior Notes");
Previous wording
•$600.0 million of 3.750% 2021 senior unsecured notes, which mature on April 1, 2031 (the "2021 Senior Notes").
Current wording
•$600.0 million of 3.750% 2021 senior unsecured notes, which mature on April 1, 2031 (the "2021 Senior Notes"); and
Previous wording
As of September 30, 2025, we had no outstanding balance on our asset-based revolving credit facility originally entered into on January 31, 2012 (the "2012 ABL Revolver”) and a borrowing capacity of $190.0 million.
Current wording
•$40.0 million of borrowings under our asset-based revolving credit facility originally entered into on January 31, 2012 (the "2012 ABL Revolver") due December 8, 2028.
Previous wording
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Although these estimates are based on our knowledge of current events and actions that we may undertake in the future, actual results could differ from those estimates. A summary of our critical accounting policies is presented in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025. There were no material changes to our critical accounting policies during the six months ended September 30, 2025.
Current wording
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Although these estimates are based on our knowledge of current events and actions that we may undertake in the future, actual results could differ from those estimates. A summary of our critical accounting policies is presented in our Annual Report on Form 10-K for the fiscal year ended March 31, 2025. There were no material changes to our critical accounting policies during the nine months ended December 31, 2025.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
The details of this acquisition are included in the notes to the unaudited Condensed Consolidated Financial Statements in Part I, Item I, Note 2 of this Quarterly Report on Form 10-Q.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
Depreciation and amortization expenses were $10.4 million for the six months ended September 30, 2025 and $11.3 million for the six months ended September 30, 2024. The decrease in depreciation and amortization expenses was primarily due to a decrease in amortization expense due to impairment charges taken on certain finite-lived brands in fiscal 2025, as well as certain intangible assets being fully amortized during fiscal 2025.