e.l.f. Beauty, a leading beauty company, recently announced its third-quarter fiscal 2024 results, showcasing strong growth and market performance. During the three months ending December 31, 2023, e.l.f. Beauty experienced a remarkable 85% increase in net sales, reaching $270.9 million. This growth was primarily driven by the brand’s success in both the retailer and e-commerce channels. The company achieved a net income of $26.9 million on a GAAP basis, while adjusted net income, excluding certain items, reached $42.9 million.
Over the nine months ending December 31, 2023, e.l.f. Beauty achieved its net sales rising by 80% to $702.8 million. The brand’s success across retailer and e-commerce channels contributed significantly to this growth. The company reported a net income of $113.1 million on a GAAP basis for the nine-month period.
The outstanding results prompted e.l.f. Beauty to raise its full-year outlook for the 2024 fiscal year. The company now expects sales to range between $980 million and $990 million, surpassing the previously raised outlook of $896 million to $906 million. This positive adjustment reflects the brand’s consistent growth and market dominance.
“Our vision is to create a different kind of beauty company and you can see that in the exceptional, consistent, category-leading growth we’ve delivered,” said Tarang Amin, e.l.f. Beauty’s Chairman and Chief Executive Officer. “In Q3, we grew net sales by 85% and market share by 305 basis points, marking our 20th consecutive quarter of growth in each. I’m extremely proud of our team and the progress we continue to make across color cosmetics, skin care and internationally.”
e.l.f. Beauty’s success can be attributed to several key factors. The brand’s commitment to offering affordable price points, viral products, and a digital-focused marketing strategy has resonated with consumers. CEO Tarang Amin highlighted the brand’s value-conscious approach, which aligns with the current market trends. One of e.l.f. Beauty’s popular products, the Power Grip Primer, remains a top-seller, while the recently launched Glow Reviver Tinted Lip Oil has also performed exceptionally well.
Digital marketing has played a crucial role in e.l.f. Beauty’s growth. The brand has leveraged platforms like TikTok, Roblox, and Twitch to expand its reach and engage with diverse audiences. Amin emphasized that the majority of the company’s marketing efforts are digitally oriented, setting e.l.f. Beauty apart from more traditional players in the industry. As a result, digital sales channels have seen significant growth, accounting for 24% of total sales compared to 16% the previous year. Sales through e.l.f. Beauty’s TikTok shop, direct-to-consumer (DTC) site, and Amazon have all contributed to this digital success.
