Group 1 - The meeting features e.l.f.'s management team, including Chairman and CEO Tarang Amin and CFO Mandy Fields [1] - The session is hosted by Bonnie Herzog, an analyst from Goldman Sachs specializing in beverages, household and personal care, nicotine, and convenience stores [1] - The meeting aims to discuss the company's performance and strategic direction [3]

Summary of e.l.f. Beauty Fireside Chat - November 14, 2025 Company Overview - **Company**: e.l.f. Beauty (NYSE: ELF) - **Key Speakers**: Tarang Amin (Chairman and CEO), Mandy Fields (CFO) Key Points Industry and Market Trends - The U.S. mass beauty market has shown a growth of 2% in the last quarter, consistent with a decade-long trend [3][4] - e.l.f. has gained 160 basis points of market share recently, marking 27 consecutive quarters of market share gains [3][4] - e.l.f. is the number one unit share brand and number two dollar share brand in the beauty market, with significant potential for future growth [4] Financial Performance - e.l.f. experienced a surprising stock price pullback following FQ2 results, which the management deemed an overreaction [2] - The company repurchased $50 million of shares, reflecting confidence in its business fundamentals [2] - Organic sales declined by 3% in FQ2, primarily due to a strategic decision to halt shipments to certain retailers [6][12] - Consumption trends remained strong, with a 7% increase in consumption despite shipment issues [16][20] Shipment and Inventory Management - The decision to stop shipments was a tactical move to ensure retailers reflected the correct pricing after a price increase [7][10] - Normal shipment patterns resumed post-Q2, with no lingering issues expected in FQ3 [13][20] - The company anticipates that shipments will continue to lag behind consumption in the second half of the year due to previous expansions in retail space [15][16] International Expansion - International growth was reported at 2% in FQ2, impacted by the previous year's launch at Rossmann [14][47] - The U.K. market has faced challenges due to increased promotional activity from competitors, but e.l.f. continues to gain market share [48] - Future growth is expected from markets like Germany and the GCC, with significant expansion plans in place [44][50] Product Innovation and Pricing Strategy - e.l.f. plans to launch new products in spring 2026, with expectations of strong performance following previous successful launches [27][78] - A 15% price increase was implemented, with management pleased with the resulting consumption trends [74] - The company maintains a strong value proposition, with 75% of its portfolio priced at $10 or less [80] Acquisition of rhode - The acquisition of rhode is seen as a strategic move to enter the prestige beauty segment, with strong initial sales performance [81][84] - rhode is expected to contribute positively to e.l.f.'s overall margins and growth trajectory [56][58] - The brand has shown significant momentum in retail launches, outperforming previous records at Sephora [82][84] Gross Margin and EBITDA Outlook - e.l.f. expects a 200 basis point sequential improvement in gross margins for the second half of the year, despite tariff challenges [55][63] - Marketing spend is projected to increase in the second half, impacting EBITDA margins but aimed at driving long-term growth [62][63] Technology and AI Integration - e.l.f. is in the early stages of leveraging AI for operational efficiencies, particularly in marketing and consumer engagement [68][71] Conclusion - e.l.f. Beauty remains optimistic about its growth prospects, driven by strong consumption trends, strategic pricing, and innovative product launches, alongside the successful integration of rhode into its portfolio [39][84]

e.l.f. Beauty, Inc. (NYSE:ELF) is one of the stocks Jim Cramer recently put under a microscope. A caller asked for Cramer’s thoughts on the stock given that it has been hit recently, and here’s what he had to say in response: “Boy, you know, I was shocked at that. I’m such a big believer in ELF, and it just keeps getting hit and hit and hit, and I don’t know, it’s only $4.6 billion now. That seems very, very low. I know that it did make some mistakes in terms of cost structure, but I’m willing to say that ...

Core Insights - e.l.f. Beauty is launching "The Sound of Kindness" campaign to promote positivity on social media platforms [1] - The initiative is in collaboration with Beekman 1802 and Kindness.org, aiming to combat negative online behaviors [1] - The campaign leverages the power of sound to encourage a movement of collective goodness and reduce doom scrolling [1] Company Initiatives - The campaign is set to celebrate World Kindness Day 2025, highlighting e.l.f. Beauty's commitment to social responsibility [1] - The partnership with Kindness.org emphasizes the research-backed approach to fostering kindness through sound [1] - The initiative aims to engage the community in a positive manner, shifting social algorithms towards more uplifting content [1]

Good morning. Amid persistent economic headwinds and shifting trade policy, e.l.f. Beauty is finding opportunity in constraint. The company’s focus on affordability continues to win over consumers, even as shoppers grow more selective, according to CFO Mandy Fields.“We’re still a value to our consumers when people are pulling back and being more choiceful with their spending,” Fields told me. Even after a recent $1 price increase, 75% of e.l.f. Beauty’s products remain priced at $10 or less, she said.“If a ...

Financial Performance - Net sales increased by $42.9 million, or 14%, to $343.9 million for the three months ended September 30, 2025, compared to $301.1 million for the same period in 2024[117] - Gross profit rose by $24.8 million, or 12%, to $238.9 million for the three months ended September 30, 2025, with a gross margin decrease to 69% from 71% due to tariffs[118] - For the six months ended September 30, 2025, net sales increased by $72.1 million, or 12%, to $697.7 million compared to $625.6 million for the same period in 2024[123] - Net income for the three months ended September 30, 2025, was $2.996 million, a decrease from $19.020 million in the same period of 2024[116] Expenses and Costs - Selling, general and administrative (SG&A) expenses increased by $45.0 million, or 24%, to $231.1 million for the three months ended September 30, 2025, with SG&A as a percentage of net sales rising to 67%[119] - Interest expense increased to $9.2 million for the three months ended September 30, 2025, compared to $3.8 million for the same period in 2024, primarily due to increased debt[121] Acquisition and Financing - The company acquired HRBeauty LLC ("rhode") for $896.5 million on August 5, 2025, funded through cash, equity, and potential earnout[113] - The company borrowed an incremental term loan of $600.0 million on August 5, 2025, to finance the acquisition of rhode[114] - Cash flows from financing activities for the six months ended September 30, 2025, provided $594.9 million, primarily related to the Fifth Amendment establishing the Term Facility[141] Cash and Liquidity - As of September 30, 2025, the company had $194.4 million in cash and cash equivalents and $243.3 million in borrowing capacity under its Amended Revolving Credit Facility[131] - The unused balance of the Amended Revolving Credit Facility as of September 30, 2025, was $243.3 million[135] - The company anticipates funding ongoing cash needs from existing cash, cash generated from operations, and if necessary, draws on the Amended Revolving Credit Facility[135] - The company expects to meet its planned operating, investing, and financing needs for the next twelve months through operating cash flow and available financing[135] Tax and Working Capital - The effective income tax benefit rate was 175.1% for the three months ended September 30, 2025, compared to an effective rate of 31.9% for the same period in 2024[122] - As of September 30, 2025, working capital was $246.0 million, an increase of 14.5% from $214.8 million as of March 31, 2025[133] Cash Flow Activities - Net cash provided by operating activities for the six months ended September 30, 2025, was $50.6 million, compared to $12.4 million for the same period in 2024, representing a significant increase of 308.1%[138][139] - Net cash used in investing activities for the six months ended September 30, 2025, was $595.0 million, primarily related to the rhode Acquisition[140] Interest Rates - The interest rate for the Term Facility as of September 30, 2025, was approximately 6.3%[152] - The interest rate for the Revolving Credit Facility as of September 30, 2025, was approximately 6.2%[152] Credit Facilities - The Fourth Amendment established a revolving credit facility of $500.0 million, available for working capital and acquisitions, with a maturity date of March 3, 2030[147]

Group 1: Q3 Earnings Overview - The Q3 earnings season has started positively, with 91% of S&P 500 companies reporting results, and analysts expect a 13.1% increase in earnings per share, marking the fourth consecutive quarter of double-digit growth [2][9] - Initial expectations were lower, with analysts predicting a 7.9% increase in earnings per share as of September 30 [3] - Companies have reported more positive earnings surprises (82%) than negative ones (18%), with 77% of companies also reporting positive revenue surprises [9] Group 2: Notable Company Earnings - Instacart reported GAAP earnings per share of $0.51, exceeding estimates of $0.50, with revenue of $939 million, surpassing expectations of $933 million [6] - Constellation Energy's stock fell nearly 6% after reporting GAAP earnings per share of $2.97, missing estimates of $3.05, although revenue of $6.57 billion exceeded expectations [12] - Wendy's reported revenue of $549 million, a 3% decline year-over-year but above estimates of $534 million, with earnings per share of $0.24 beating expectations of $0.20 [16][17] - Block's shares fell 15% after reporting earnings per share of $0.54 on revenue of $6.11 billion, missing estimates of $0.68 per share and $6.31 billion in revenue [23] - Airbnb's stock rose 5% as it reported 133.6 million nights booked, a 9% increase year-over-year, driven by international bookings [32][33] Group 3: Industry Trends and Challenges - The earnings growth rate for Q3 is on track to increase from Q2, driven by tech enthusiasm around artificial intelligence and ongoing tariff concerns [10] - Consumer-facing companies are experiencing pressures from affordability and sentiment, with mentions of government shutdown impacts increasing [11] - Under Armour reported a net loss of $0.04 per share, with revenue declining 4.7% year-over-year, attributed to challenging consumer demand [35][36]

I recently joined The REIT Forum and if you are looking for more investment ideas like this one, get them exclusively at The REIT Forum with access to our subscriber only portfolios.e.l.f. Beauty ( ELF ) just reported its Q2 FY26 earnings last week, and the stock crashed over 40% as the company missed both its revenue and earnings estimates, along with providing soft forwardAmrita runs a boutique family office fund in beautiful Vancouver, where she leads the investment strategy for the family fund. The fund ...

I recently joined The REIT Forum and if you are looking for more investment ideas like this one, get them exclusively at The REIT Forum with access to our subscriber only portfolios.e.l.f. Beauty ( ELF ) just reported its Q2 FY26 earnings last week, and the stock crashed over 40% as the company missed both its revenue and earnings estimates, along with providing soft forwardAmrita runs a boutique family office fund in beautiful Vancouver, where she leads the investment strategy for the family fund. The fund ...

Core Insights - e.l.f. Beauty has officially launched its products at ULTA Beauty in Mexico, expanding its market presence and accessibility for consumers [1][2] - The partnership with ULTA Beauty aims to make beauty products affordable and available to a wider audience, reflecting the companies' shared mission [2] Company Overview - e.l.f. Beauty (NYSE: ELF) is committed to making beauty accessible to all, with a focus on positivity, inclusivity, and clean, vegan products [3] - The company operates several brands, including e.l.f. Cosmetics and e.l.f. SKIN, and is recognized for its Fair Trade Certified facilities [3] Product Highlights - Key products from e.l.f. Cosmetics and e.l.f. SKIN include: - Power Grip Primer: A gel-based primer for long-lasting makeup wear [4] - Halo Glow Liquid Filter: A liquid glow booster for a soft-focus effect [4] - Glow Reviver Lip Oil Glimmer: A nourishing lip oil with shimmer [4] - Sheer For It Blush Tint: A buildable blush tint with a hydrating texture [4] - Holy Hydration! Thirst Burst Drops: A hydrating gel serum for a radiant complexion [4] - Holy Hydration! Makeup Melting Cleansing Balm: A solid cleansing balm that transforms into oil [4]