E.l.f. Beauty raised its fiscal 2027 outlook after second-quarter net sales rose 51%, extending a 31-quarter growth streak and increasing its targets for net sales, adjusted EBITDA and adjusted net income.
For the three months ended Sept. 30, sales reached $520.8 million. Analysts surveyed by LSEG had expected $470.3 million in sales and adjusted earnings of 60 cents per share; E.l.f. reported adjusted earnings of $1.21 per share. Net income was $30.03 million, or 50 cents per share, compared with roughly $3 million, or 5 cents per share, a year earlier. The company said it had recorded 31 consecutive quarters of net sales growth.
E.l.f. now expects fiscal 2027 net sales of $2 billion to $2.03 billion, up from its prior range of $1.94 billion to $1.97 billion. Its adjusted EBITDA forecast rose to $421 million to $427 million from $401 million to $407 million. The company also raised its adjusted earnings-per-share outlook to $3.82 to $3.86 from $3.50 to $3.55, and its adjusted net income forecast to $231 million to $233 million from $212 million to $215 million. E.l.f. had already increased its guidance after the previous quarter.
The company linked growth to performance across its portfolio and sales through retail and e-commerce channels in the United States and internationally. Its international business grew 165%. CEO Tarang Amin told CNBC that about 25% of the company’s business came from outside the United States. On the company’s earnings call, Chief Financial Officer Mandy Fields said Rhode contributed about $160 million to the previous quarter’s sales, as noted in EconoTimes’ earlier coverage of Rhode’s sales and brand ranking.
Amin told CNBC that E.l.f. lowered prices by $1 on about 10% of its units, using tariff benefits to support the cuts. The company expects tariff refunds to total about $55 million for the year; it received most in its first fiscal quarter, with some flowing through the second. Amin said the company planned to reinvest the benefits in pricing and marketing, and expects strong sales through the holiday season.
