e.l.f. results show affordable cosmetics shine

e.l.f. results show affordable cosmetics shine

The beauty player’s results exceeded Wall Street’s expectations, with net sales rising an impressive 76% to $438 million for the first six months of the year, compared to the same period last year. This result was underpinned by second-quarter results that also rose 76% to $215.5 million.

The revenues were far more than financial market expectations and sent e.l.f. stock soaring by around 10% when they were first announced last week, leading to applause and a succession of affirmative ratings from the financial world. 

19 straight quarters of growth

“We continue to deliver exceptional, consistent, category-leading sales growth,”​ said Tarang Amin, e.l.f. Beauty‘s Chairman and Chief Executive Officer. 

“In Q2, we grew net sales by 76% and category share by 330 basis points, marking our 19th consecutive quarter of growth in each. As we look ahead, the significant whitespace we see across color cosmetics, skin care and international gives us confidence that we are in the early innings of unlocking the full potential we see for e.l.f. Beauty.”

Bucking the consumer trend

Melinda Fried, e.l.f. Beauty’s head of communications expressed her reaction to the latest results and pointed out how significant the achievement was in today’s precarious economic climate, where consumers generally watch their spending on beauty. 

“e.l.f. Beauty is one of only five public consumer companies, out of 274, that has grown for 19 straight quarters and averaged at least 20% sales growth per quarter.”

The company reported a net income of $33.3 million for the first quarter on a GAAP basis, which also contributed to a net income of $86.2 million over the first six months of the year on the same basis. 

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