e.l.f. Beauty posts 51% sales surge, lifts full‑year outlook
The cosmetics retailer reported a 51% jump in second‑quarter net sales and upgraded its annual guidance.
e.l.f. Beauty reported a 51% rise in net sales for its second fiscal quarter, surpassing Wall Street expectations.
The quarter marked the company’s 31st consecutive period of net‑sales growth, which the firm attributes to solid results across its entire portfolio, including the Rhode skincare line acquired last year.
CEO Tarang Amin told CNBC, The thing I’m most pleased about is we saw strength across our entire portfolio. Every one of our brands contributed strong growth this quarter.
Amin also noted that e.l.f. is the most‑searched brand on TikTok Shop and the No. 2 cosmetics brand on the platform.
International channels surged, with business up 165%, though only about a quarter of total revenue now comes from outside the United States, leaving “tremendous opportunity” for further expansion, Amin said.
Following the strong quarter, e.l.f. lifted its full‑year guidance. Net‑sales are now projected between $2 billion and $2.03 billion, up from the prior $1.94 billion‑$1.97 billion range. Adjusted EBITDA guidance rose to $421 million‑$427 million, and adjusted earnings per share are now expected between $3.82 and $3.86, above the earlier $3.50‑$3.55 range. Net income is forecast at $231 million‑$233 million, up from $212 million‑$215 million.
For the quarter ended September 30, e.l.f. posted net income of $30.03 million, compared with roughly $3 million a year earlier.
Gross margin improved by 1.6%, helped by a 0.3% benefit from tariff refunds. The company plans to reinvest the refund amount—estimated at about $55 million for the year—into pricing and marketing.
Amin said the firm lowered the price of roughly 10% of its units by $1 due to the tariff benefit, noting “we’re seeing great unit momentum based on that.”
Looking ahead, Amin described the company as “very bullish” on the holiday season, expecting strong sales through year‑end.
