Published in 1996, The Millionaire Next Door remains an insightful book that offers a glimpse into the lives of people with net worth exceeding $1 million. They didn’t drive fancy cars or live in big homes. Further, they had modest lifestyles, saved money, and frequently invested their extra cash.In fact, many of these individuals didn’t make high-risk investments. Instead, they incurred risk strategically by diversifying their portfolios and understanding their risk tolerances. Growth stocks can deliver en ...

Financial Data and Key Metrics Changes - In Q2, net sales grew by 76% year-over-year, with adjusted EBITDA reaching $60 million, up 122% compared to the previous year [7][34] - Gross margin increased by 570 basis points to 71%, benefiting from lower inventory adjustments and improved transportation costs [35][48] - Adjusted net income was $47 million, or $0.82 per diluted share, compared to $20 million, or $0.36 per diluted share a year ago [37] Business Line Data and Key Metrics Changes - In color cosmetics, e.l.f. Cosmetics grew by 51% in tracked channels, significantly outperforming the category growth of 3% [8][10] - e.l.f. SKIN saw a remarkable growth of 129% in tracked channels, outpacing the category growth of 10% [10][12] - The acquisition of Naturium is expected to double the company's skin care presence to approximately 18% of retail sales [31][44] Market Data and Key Metrics Changes - International net sales grew by 157% in Q2, with significant growth in Canada and the U.K. [12][79] - e.l.f. is now the 4 brand in Canada with a 7% share and the 6 brand in the U.K. with a 5% share [13][79] Company Strategy and Development Direction - The company focuses on five strategic imperatives: building brand demand, powering digital, leading innovation, driving productivity with retail partners, and delivering profitable growth [14][22] - The marketing investment has increased from 7% of net sales to 22%, driving significant brand awareness and engagement [18][26] - The company aims to replicate its success at Target across other key retailers [9][60] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business fundamentals, citing strong market share growth and adjusted EBITDA growth [58][59] - The outlook for fiscal '24 has been raised, expecting net sales growth of approximately 55% to 57% and adjusted EBITDA between $197 million to $200 million [43][49] - The company sees significant white space in color cosmetics, skin care, and international markets, indicating continued growth potential [33][50] Other Important Information - The company has implemented a digital strategy that has driven over 75% year-over-year growth in digital consumption trends [27] - The acquisition of Naturium closed in early October, expected to contribute approximately $90 million in net sales and $17 million in adjusted EBITDA in the next 12 months [40][44] Q&A Session Summary Question: Trends in sales and performance in non-tracked channels - Management noted strong performance in both tracked and untracked channels, leading to an increase in guidance to 57% for net sales growth [54] Question: Confidence in maintaining growth momentum - Management expressed confidence in maintaining strong growth due to market share gains and a robust innovation pipeline [58][59] Question: Trade down benefits and market share growth - Management indicated that they are not seeing a wholesale trade down from prestige to mass, attributing growth to increased brand awareness and unit growth [62] Question: International market opportunities - Management highlighted strong growth in Canada and the U.K., with plans to expand into Italy and other markets in a disciplined manner [79][80] Question: Margin structure in international markets - Management stated that international margins are similar to U.S. margins, with the key difference being tariffs on products shipped to the U.S. [84] Question: Future marketing strategies - Management plans to continue leveraging successful digital marketing strategies while exploring new tactics to further increase brand awareness [68][69] Question: Pricing strategy and mix - Management clarified that recent pricing increases are primarily due to product mix rather than direct price hikes, with no pricing increases taken in fiscal '24 [95]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 _______________________________________________________________ FORM 10-Q _______________________________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from ______ to ______ Commission ...

Financial Data and Key Metrics - Q1 net sales grew 76% YoY, driven by broad-based strength across national and international retailers and digital commerce [43] - Gross margin increased by 280 basis points to 71% in Q1, benefiting from favorable FX rates, margin accretive mix, and cost savings [46] - Adjusted EBITDA was $74 million, up 135% YoY, with an adjusted EBITDA margin of 34% of net sales [48] - Adjusted net income was $63 million or $1.10 per diluted share, compared to $21 million or $0.39 per diluted share a year ago [48] - The company raised its full-year fiscal 2024 outlook, expecting net sales growth of 37% to 39%, up from 22% to 24% previously [49] Business Line Performance - In color cosmetics, e.l.f. grew 48% in tracked channels, well above category growth of 6%, and increased market share by 260 basis points [12] - In skincare, e.l.f. SKIN grew 127% in tracked channels, outperforming category growth of 10%, and grew market share by 75 basis points [13] - The company’s four largest franchises—Camo, Putty, Halo Glow, and Power Grip—continued to grow year-over-year, with new innovations driving further growth [15] Market Performance - Internationally, net sales grew 79% in Q1, fueled by strength in the UK and Canada, where e.l.f. outperformed category growth by nearly 10x and 3x, respectively [31] - In the UK and Canada, e.l.f. is the number six brand with about a 5% share, compared to the number one brand, which has over 17% share [31] Company Strategy and Industry Competition - The company’s strategy focuses on three key drivers: value proposition, powerhouse innovation, and disruptive marketing [32] - e.l.f. aims to double its market share in color cosmetics and skincare over the next few years, leveraging its strong innovation pipeline and international expansion [12][13] - The company’s supply chain offers the best combination of cost, quality, and speed, with diversification efforts underway in Thailand and other geographies [82] Management Commentary on Operating Environment and Future Outlook - Management highlighted the strong momentum in the business, with 18 consecutive quarters of growth and an average of 20% sales growth per quarter [21] - The company sees significant white space opportunities in color cosmetics, skincare, and international markets, which are expected to drive long-term growth [12][13][31] - Management raised the full-year fiscal 2024 outlook, reflecting strong Q1 performance and an improved outlook for the rest of the year [26][49] Other Important Information - The company’s Beauty Squad Loyalty Program now has over 3.9 million members, driving almost 80% of sales on elfcosmetics.com [45] - e.l.f. Beauty is committed to donating 2% of prior year profits annually to drive positive impact in communities [38] - The company’s marketing ROI remains strong, with plans to increase marketing spend to 22% to 24% of net sales in fiscal 2024 [74] Q&A Session Summary Question: Long-term top-line growth and gross margin ceiling [1] - Management has not revisited the long-term growth algorithm but remains confident in the momentum, with 18 consecutive quarters of growth and an average of 20% growth per quarter [2] - Gross margins are expected to improve by 150 basis points in fiscal 2024, driven by innovation, favorable mix, and cost savings [22][27] Question: Marketing ROI and spending ahead of sales growth [66] - Marketing ROI remains strong, with plans to increase marketing spend to 22% to 24% of net sales in fiscal 2024 [74] - The company is focused on driving productivity through innovation and marketing, with space gains complementing this strategy [70] Question: International growth strategy and product differentiation [100] - The company is prioritizing Western Europe for international expansion, with plans to enter additional markets in a disciplined manner [115] - Pricing strategy in international markets may include adjustments to align with local market conditions [111] Question: Gross margin outlook and sustainability [101] - Gross margin expansion in Q1 was driven by favorable FX rates, cost savings, and lower inventory adjustments, with further benefits expected from transportation costs and FX through fiscal 2024 [107] - The company expects gross margin to improve by 150 basis points in fiscal 2024, with innovation and cost savings driving sustainable margin expansion [27] Question: Skincare consumer overlap and trade dynamics [97] - Historically, skincare consumers have primarily been e.l.f. cosmetics consumers, but recent innovations like Suntouchable! Whoa Glow have attracted new consumers to the franchise [105] - The company sees significant white space in skincare, with a 1.5% market share compared to the market leader’s 15% [13]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 _______________________________________________________________ FORM 10-Q _______________________________________________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended June 30, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from ______ to ______ Commission File Number: 001 ...

e.l.f. Beauty, Inc. (NYSE:ELF) Q4 2023 Earnings Conference Call May 24, 2023 4:30 PM ET Company Participants KC Katten - Investor Relations Tarang Amin - Chairman and Chief Executive Officer Mandy Fields - Senior Vice President and Chief Financial Officer Conference Call Participants Olivia Tong - Raymond James Dara Mohsenian - Morgan Stanley Bill Chappell - Truist Securities Linda Bolton-Weiser - D.A. Davidson Anna Lizzul - Bank of America Andrea Teixeira - JPMorgan Susan Anderson - Canaccord Genuity Korin ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ___________________________________________________ FORM 10-K ___________________________________________________ ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-37873 _____________________________________ ...

e.l.f. Beauty, Inc. (NYSE:ELF) Q3 2023 Earnings Conference Call February 1, 2022 4:30 PM ET Company Participants KC Katten - VP of Corporate Development & IR Tarang Amin - Chairman, CEO Mandy Fields - SVP & CFO Conference Call Participants Olivia Tong - Raymond James Andrea Teixeira - JPMorgan Linda Bolton-Weiser - D.A. Davidson Anna Lizzul - Bank of America Susan Anderson - Canaccord Genuity Jon Andersen - William Blair Rupesh Parikh - Oppenheimer Tom Nass - Cowen Mark Astrachan - Stifel KC Katten Thank y ...

Financial Performance - Net sales increased by $48.4 million, or 49%, to $146.5 million for the three months ended December 31, 2022, compared to $98.1 million for the same period in 2021[72]. - Gross profit rose by $34.4 million, or 53%, to $98.7 million for the three months ended December 31, 2022, with a gross margin increase to 67% from 66% year-over-year[73]. - Net income for the three months ended December 31, 2022, was $19.1 million, compared to $6.2 million for the same period in 2021, reflecting a net income margin of 13%[71]. - For the nine months ended December 31, 2022, net sales increased by $104.5 million, or 36%, to $391.5 million, driven by a 35% increase in retailer channels and a 47% increase in e-commerce channels[78]. - Gross profit for the nine months ended December 31, 2022, increased by $77.0 million, or 42%, to $261.3 million, with a gross margin increase to 67% from 64%[79]. Expenses - Selling, general and administrative expenses (SG&A) increased by $20.1 million, or 36%, to $75.4 million for the three months ended December 31, 2022, while SG&A as a percentage of net sales decreased to 51% from 56%[74]. - SG&A expenses for the nine months ended December 31, 2022, were $201.2 million, an increase of $44.6 million, or 28%, with SG&A as a percentage of net sales decreasing to 51% from 55%[80]. Cash Flow and Liquidity - As of December 31, 2022, the company had $87.0 million in cash and cash equivalents and a borrowing capacity of $100.0 million under its Amended Revolving Credit Facility[84]. - For the nine months ended December 31, 2022, net cash provided by operating activities was $69.0 million, a significant increase from $7.8 million in the same period of 2021[90][91]. - The net increase in cash for the nine months ended December 31, 2022, was $43.7 million, compared to a decrease of $24.9 million in the prior year[89]. - Cash used in investing activities for the nine months ended December 31, 2022, was $1.6 million, down from $4.6 million in the same period of 2021, indicating reduced capital expenditures[92]. - Cash used in financing activities for the nine months ended December 31, 2022, was $23.7 million, primarily due to a $25.0 million prepayment on the Amended Term Loan Facility[93]. Taxation - The provision for income taxes was $4.3 million for the three months ended December 31, 2022, with an effective tax rate of 18.3%, compared to $2.0 million and 24.6% for the same period in 2021[77]. Assets and Liabilities - The company reported a $15.2 million increase in prepaid expenses and other assets, and a $20.6 million increase in accounts receivable for the nine months ended December 31, 2022[90]. - Working capital, excluding cash, was $88.3 million as of December 31, 2022, compared to $84.7 million as of March 31, 2022[86]. Debt and Financing - The Amended Revolving Credit Facility has a total availability of $100 million, with an unused balance of $100 million as of December 31, 2022[97]. - The interest rate for the Amended Term Loan Facility was approximately 6.0% as of December 31, 2022[98]. - The company anticipates that any additional funds necessary for long-term liquidity will be obtained through additional indebtedness or equity financings[88]. - As of December 31, 2022, the company was in compliance with all financial covenants under the Amended Credit Agreement[99]. - The company has no off-balance sheet arrangements[101].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 _______________________________________________________________ FORM 10-Q _______________________________________________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number: 001-37873 (State or other No.) | --- | --- | |--- ...