E.l.f. Beauty reported an impressive 51% increase in net sales for its second fiscal quarter, reaching $520.8 million, significantly surpassing Wall Street’s expectations. This marks the company's 31st consecutive quarter of sales growth, driven by robust demand across both retail and e-commerce channels in the United States and internationally. CEO Tarang Amin highlighted that every brand in the company’s portfolio contributed to the growth, with E.l.f. securing top rankings on TikTok Shop and benefiting from strong performances by recently acquired skincare brand Rhode.

The company raised its full-year financial outlook following the strong quarterly results. It now anticipates net sales between $2 billion and $2.03 billion, up from a previous estimate of $1.94 billion to $1.97 billion. Adjusted EBITDA projections were also increased to a range of $421 million to $427 million from an earlier $401 million to $407 million. Meanwhile, adjusted earnings per share guidance was lifted to between $3.82 and $3.86, exceeding prior expectations of $3.50 to $3.55, with net income outlook similarly boosted.

E.l.f. posted adjusted earnings per share of $1.21 for the quarter, more than double analyst estimates of 60 cents, and net income rose sharply to $30.03 million from roughly $3 million the prior year. The company also saw international business jump by 165%, a promising signal as only a quarter of its business currently comes from outside the U.S. Gross margins improved by 1.6%, partly due to tariff refunds, some of which were reinvested into price reductions and increased marketing to fuel further growth.

Looking ahead, CEO Amin expressed confidence in a strong holiday season, expecting continued momentum through year-end. The company’s pricing strategy included lowering prices on about 10% of units by $1, leveraging tariff benefits to drive volume gains. With ongoing broad-based sales growth and expanded margin guidance, E.l.f. Beauty is positioned for sustained performance and significant expansion in both domestic and international markets.