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e.l.f. Beauty slashes full-year sales forecast, shares sink
Proactiveinvestors NA· 2025-02-07 15:31
Group 1 - Proactive provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team covers medium and small-cap markets, as well as blue-chip companies, commodities, and broader investment stories [3] - Proactive's content includes insights across various sectors such as biotech, pharma, mining, natural resources, battery metals, oil and gas, crypto, and emerging technologies [3] Group 2 - Proactive is committed to adopting technology to enhance workflows and content production [4] - The company utilizes automation and software tools, including generative AI, while ensuring all content is edited and authored by humans [5]
E.l.f. Beauty Stock Plunges as Cosmetics Retailer Lowers Outlook on Weak January Sales
Investopedia· 2025-02-07 12:10
KEY TAKEAWAYSE.l.f. Beauty shares are sinking around 26% in premarket trading, a day after the cosmetics retailer lowered its outlook for its fiscal full year following soft sales in January. The retailer said it now expects full-year sales of between $1.3 billion and $1.31 billion, below the $1.315 billion to $1.335 billion it had forecast earlier.Shares in E.l.f. Beauty have lost almost half their value in the year through Thursday. E.l.f. Beauty (ELF) shares are sinking around 26% in premarket trading, a ...
e.l.f.(ELF) - 2025 Q3 - Earnings Call Transcript
2025-02-07 00:55
Financial Data and Key Metrics Changes - In Q3, the company achieved a net sales growth of 31% year-over-year, following an 85% growth in the same quarter last year [39][88] - Adjusted EBITDA for Q3 was $69 million, representing a 16% increase compared to the previous year [42][91] - Gross margin for Q3 was 71%, up approximately 40 basis points from the prior year, driven by favorable foreign exchange impacts and cost savings [41][90] - Adjusted net income remained stable at $43 million or $0.74 per diluted share, consistent with the previous year [43][92] Business Line Data and Key Metrics Changes - Digital consumption trends increased nearly 30% year-over-year, contributing 24% of total consumption in Q3 [15][64] - In color cosmetics, the company grew 16% in tracked channels, while the overall category declined by 5%, resulting in a 220 basis point market share increase [18][67] - The skincare segment has seen significant growth, with e.l.f. Skin becoming a top ten skincare brand, holding about 2% market share [25][72] Market Data and Key Metrics Changes - International net sales grew 66% in Q3, contributing 20% of total net sales, up from 15% a year ago [26][74] - The company achieved a top three ranking in new markets launched, including Germany and Mexico, reflecting strong global brand demand [75][76] Company Strategy and Development Direction - The company remains focused on four key growth areas: digital, color cosmetics, skincare, and international expansion [14][63] - The strategy includes leveraging a digitally native brand approach and enhancing the loyalty program, which has surpassed 5.6 million members [17][65] - The company aims to double its market share in the coming years, particularly in color cosmetics [19][67] Management's Comments on Operating Environment and Future Outlook - Management noted softer consumption trends at the start of calendar 2025, attributing this to a decline in the beauty category and external factors affecting consumer attention [10][60] - The outlook for Q4 has been adjusted to a net sales growth of -1% to +2%, reflecting cautious expectations based on current trends [13][62] - Despite the challenges, management remains confident in the company's ability to deliver market-leading growth and share gains [14][63] Other Important Information - The company ended Q3 with $74 million in cash and a strong liquidity position, with less than one times leverage in terms of net debt to adjusted EBITDA [44][93] - The adjusted EBITDA outlook for fiscal 2025 has been revised to between $289 million to $293 million, down from previous estimates due to foreign currency losses and a lowered top-line outlook [50][99] Q&A Session Summary Question: Guidance and January Trends - A participant inquired about the guidance and the duration of the observed slowdown in January, seeking clarity on whether the trends would improve in the coming months [104] - Management responded that the January decline was influenced by a promotional hangover and reduced social conversation, but they expect improvements as marketing activations ramp up [106][110] Question: International Market Trends - Another question focused on the performance of international markets and whether there were any slowdowns similar to the US [111] - Management highlighted a 66% growth in international sales and maintained a strong growth profile in new markets, indicating no significant slowdowns [112][114] Question: US Consumption and Channel Performance - A participant asked for details on US consumption trends and the impact of pipeline shipments on growth [118] - Management confirmed that Q3 consumption finished strong at about 12% but noted a decline in January, embedding cautious assumptions in their guidance [120][122]
E.l.f. Beauty (ELF) Q3 Earnings Miss Estimates
ZACKS· 2025-02-06 23:30
E.l.f. Beauty (ELF) came out with quarterly earnings of $0.74 per share, missing the Zacks Consensus Estimate of $0.76 per share. This compares to earnings of $0.74 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -2.63%. A quarter ago, it was expected that this cosmetics company would post earnings of $0.45 per share when it actually produced earnings of $0.77, delivering a surprise of 71.11%.Over the last four quarters, the c ...
e.l.f.(ELF) - 2025 Q3 - Earnings Call Transcript
2025-02-06 22:30
e.l.f. Beauty (ELF) Q3 2025 Earnings Call February 06, 2025 04:30 PM ET Company Participants Kristina Casey Katten - VP-IRTarang Amin - Chairman and CEOMandy Fields - Senior VP & CFOBill Chappell - Managing DirectorOlivia Tong - Managing DirectorDara Mohsenian - Managing Director - US Beverage/Household Products SectorsAshley Helgans - Senior Vice PresidentPatty Kanada - Vice President - Equity ResearchLinda Bolton Weiser - Managing DirectorAnna Lizzul - Vice President, Equity Research Conference Call Parti ...
E.l.f. cuts guidance after 'soft' January, citing TikTok ban saga and LA wildfires as headwinds
CNBC· 2025-02-06 21:09
Core Viewpoint - E.l.f. Beauty has cut its full-year guidance following a 36% drop in profits and weaker-than-expected sales trends in January, indicating a downturn for the brand despite previously strong performance [1][6]. Financial Performance - The company's net income for the fiscal third quarter ending December 31 was $17.3 million, or 30 cents per share, down from $26.9 million, or 46 cents per share, a year earlier [2]. - Sales increased to $355 million, a 31% rise from $271 million a year prior [3]. - For the full fiscal year, E.l.f. now expects sales between $1.3 billion and $1.31 billion, below the previous estimate of $1.32 billion to $1.34 billion [3]. - Adjusted earnings per share are now projected to be between $3.27 and $3.32, significantly lower than the previous estimate of $3.47 to $3.53 [4]. Market Trends - The overall beauty category has seen a decline, with mass cosmetics down 5% in January, attributed to holiday discounting and reduced social media engagement [7][8]. - E.l.f. acknowledges that while it is still growing and outperforming the overall category, the pace of growth is slowing, and recent product launches have not been as successful as before [9]. Strategic Focus - The company is focusing on using profits to invest in inventory management, infrastructure improvements, and international expansion [10].
E.l.f. Beauty CEO says company is 'relieved' China tariffs are only 10%
CNBC· 2025-02-06 21:07
The CEO of E.l.f. Beauty, which manufactures about 80% of its cosmetics in China, told CNBC on Thursday that it was "relieved" the new tariff on Chinese imports is only 10%. The retailer isn't sure yet if it'll need to raise prices. "[It] seems like a weird thing to say, but we actually were somewhat relieved when it was only 10 points, because at one time the rhetoric was as high as 60% tariffs," Tarang Amin said when discussing his company's fiscal third quarter earnings results. With regard to raising pr ...
e.l.f.(ELF) - 2025 Q3 - Quarterly Results
2025-02-06 21:06
Exhibit 99.1 e.l.f. Beauty Announces Third Quarter Fiscal 2025 Results – Delivered 24th Consecutive Quarter of Net Sales Growth and Market Share Gains – For the three months ended December 31, 2024, compared to the three months ended December 31, 2023: Nine Months Ended December 31, 2024 Results For the nine months ended December 31, 2024, compared to the nine months ended December 31, 2023: • Net sales increased 31% to $355.3 million, primarily driven by strength in both our retailer and e-commerce channel ...
INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of e.l.f. Beauty, Inc. - ELF
Prnewswire· 2025-02-04 22:10
NEW YORK, Feb. 4, 2025 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of e.l.f. Beauty, Inc. ("e.l.f. Beauty" or the "Company") (NYSE: ELF). Such investors are advised to contact Danielle Peyton at [email protected] or 646-581-9980, ext. 7980.  The investigation concerns whether e.l.f. Beauty and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices. [Click here for information about joining the class action] On November ...
E.l.f. Beauty (ELF) Rises Higher Than Market: Key Facts
ZACKS· 2025-01-28 23:50
e.l.f. Beauty (ELF) closed at $106.16 in the latest trading session, marking a +1.68% move from the prior day. The stock exceeded the S&P 500, which registered a gain of 0.92% for the day. At the same time, the Dow added 0.31%, and the tech-heavy Nasdaq gained 2.03%.The cosmetics company's shares have seen a decrease of 17.86% over the last month, not keeping up with the Consumer Staples sector's gain of 0.76% and the S&P 500's gain of 0.81%.The investment community will be paying close attention to the ear ...