e.l.f. Beauty’s sales rose 40% to US$301.1m for the second quarter of fiscal year 2025, marking its 23rd consecutive quarter of growth.
The drugstore beauty brand said the boost for the three months ended 30 September 2024 was “driven by strength” in its retailer and e-commerce channels in the US and internationally.
e.l.f. Beauty has been given more shelf space at US retailers Target and Walgreens, while it has also recently expanded into Sephora Mexico.
The company’s gross margin also increased approximately 40 basis points to 71% during this time compared with the previous year.
Cost savings, favourable foreign exchange impacts and price increases in international markets, “partially offset by mix and higher transportation costs”, were cited by the brand as key reasons.
Diluted earnings per share were 33 cents on a GAAP basis, while adjusted diluted earnings per share were 77 cents.
As a result, e.l.f. Beauty has raised its full-year sales outlook to between $1.31bn and $1.35bn, up from the previous estimate of between $1.28bn and $1.3bn.
“Q2 marked another quarter of consistent, category-leading growth,” said Tarang Amin, e.l.f. Beauty’s CEO and Chairman.
“We delivered 40% net sales growth, fueled by 195 basis points of market share gains in the US and 91% net sales growth internationally.
“We continue to make progress across colour cosmetics, skin care and international.
“And believe our unique areas of advantage will fuel our ability to win in fiscal 2025 and beyond.”