e.l.f. Beauty Reports Strong Q3 2025 Growth

e.l.f. Beauty, Inc. ( (ELF) ) has released its Q3 earnings. Here is a breakdown of the information e.l.f. Beauty, Inc. presented to its investors.

e.l.f. Beauty, Inc. is a leading cosmetics company known for its clean, vegan, and cruelty-free products, operating primarily in the beauty and personal care industry with a mission to make beauty accessible to all.

In its latest earnings report, e.l.f. Beauty announced a robust 31% increase in net sales for the third quarter of fiscal 2025, marking its 24th consecutive quarter of growth and significant market share gains. The company also updated its fiscal 2025 outlook, reflecting a slightly more cautious revenue projection.

Key financial highlights include a net sales increase to $355.3 million for the quarter, driven by strong performance in both retail and e-commerce channels domestically and internationally. The gross margin improved by 40 basis points to 71%, while SG&A expenses rose significantly due to increased marketing and operational costs. e.l.f. Beauty reported a net income of $17.3 million, with adjusted net income at $43.0 million, and adjusted EBITDA reaching $68.7 million.

For the nine-month period, net sales surged 40% to $980.9 million, accompanied by an adjusted EBITDA of $215.5 million, up 11% year over year. Despite the strong performance, the company has slightly lowered its outlook due to softer than expected trends in January, projecting a 27-28% increase in net sales for fiscal 2025.

Looking ahead, e.l.f. Beauty remains optimistic about its growth potential, focusing on capitalizing on opportunities across digital platforms, color cosmetics, skincare, and international markets, while maintaining a prudent approach to its fiscal outlook for the coming quarter.