E.l.f. Beauty lifts outlook as sales soar 76%
E.l.f Beauty has delivered a 76% increase in sales to £169 million ($216.3 million) for the first quarter ending 30 June 2023, boosted by its retail and e-commerce channels.
Gross margin lifted 280 basis points, primarily driven by favourable FX impacts, margin accretive mix and cost savings, lower inventory adjustments and improved transportation costs, partially offset by the costs associated with retailer activity and space expansion.
Net income totalled £41 million ($53 million), whilst Adjusted EBITDA increased 135% year-over-year to £58 million ($74.3 million).
Looking ahead, the company has increased its outlook for FY24. It now expects net sales to increase 37-39% to £619 million ($792 million), up from 22-24% previously.
Tarang Amin, Chairman and CEO of E.l.f. Beauty, said: "We are off to a terrific start in our new fiscal year with net sales growth of 76% in Q1.
"This marks our 18th consecutive quarter of delivering both net sales growth and market share gains. We are one of only five publicly traded consumer companies out of 274 that has grown for 18 straight quarters and averaged at least 20% sales growth per quarter over that period.
"As we look ahead, we believe we are in the early innings of unlocking the full potential we see for E.l.f. Beauty and are raising our fiscal 2024 outlook to reflect our continued momentum."
