Overview

* e.l.f. Beauty fiscal Q2 net sales grow 14% yr/yr, missing analyst expectations

* Adjusted EPS for fiscal Q2 was $0.68, reflecting a decrease in adjusted EBITDA

* Company projects 18-20% increase in net sales for fiscal 2026

Outlook

* Company expects Fiscal 2026 net sales to rise 18-20% to $1.55-1.57 bln

* e.l.f. Beauty projects Fiscal 2026 adjusted EBITDA of $302-306 mln

* Company anticipates Fiscal 2026 adjusted net income of $165-168 mln

Result Drivers

* MARKET SHARE GAINS - e.l.f. brand gained 140 basis points in market share, contributing to sales growth

* PRODUCT LAUNCH - Record-breaking launch of rhode at Sephora North America boosted sales

* HIGHER SG&A EXPENSES - Increase in marketing, merchandising, and distribution costs drove SG&A expenses up

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales Miss $343.94 $366.43

mln mln (15

Analysts

)

Q2 Net $3 mln

Income

Q2 Gross $238.86

Profit mln

Q2 $7.72

Operatin mln

g Income

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the personal products peer group is "buy"

* Wall Street's median 12-month price target for elf Beauty Inc ( ELF ) is $150.00, about 21.1% above its November 4 closing price of $118.29

* The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 31 three months ago

Press Release:

For questions concerning the data in this report, contact [email protected]. For any other questions or feedback, contact .

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)