E.l.f. Beauty has reported second-quarter financial results that topped Wall Street forecasts on both the top and bottom lines.
The cosmetics retailer announced earnings per share (EPS) of $1.10 U.S. compared to $0.84 U.S. that was the consensus expectation of analysts who cover the company.
Revenue of $324 million U.S. beat expectations for $305 million U.S. Sales rose 50% year over year during the quarter.
Management attributed the strong results to the introduction of new beauty products, including “Bronzing Drops” that became a bestseller after being launched in Q2.
E.l.f. Beauty raised its guidance for the remainder of the current fiscal year, saying it now expects sales of $1.28 billion U.S. to $1.30 billion U.S.
That compares to a previous outlook of $1.23 billion U.S. to $1.25 billion U.S. Analysts had expected sales guidance of $1.30 billion U.S.
The company also forecast earnings per share (EPS) of $3.36 U.S. to $3.41 U.S., up from $3.20 U.S. to $3.25 U.S. previously. Analysts had been looking for earnings of $3.42 U.S. a share.
E.l.f. Beauty sells its products primarily online and is popular with Gen Z and Gen Alpha consumers. The company mostly markets its products on social media sites such as TikTok.
During an earnings call, management said that they are not worried about a consumer pullback in the beauty category and remain optimistic about the remainder of 2024.
The stock of E.l.f. Beauty has risen 44% over the last 12 months to trade at $187.95 U.S. per share.
