Proactive Investors - e.l.f. Beauty, Inc. (NYSE:ELF) saw a strong holiday shopping quarter with the cosmetics brand beating earnings estimates for the period and raising its full-year sales and profit guidance.
For the fiscal third quarter, the three months ended December 31, 2023, e.l.f. reported sales of $270.9 million, more than $30 million ahead of the consensus estimate of $238.9 million.
Adjusted earnings per share (EPS) were $0.74, above estimates of $0.56.
“In Q3, we grew net sales by 85% and market share by 305 basis points, marking our 20th consecutive quarter of growth in each,” e.l.f. CEO Tarang Amin said in a statement.
“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.”
The company raised its full-year sales guidance, now expecting revenue in the range of $980 million to $990 million, representing an expected 69% to 71% increase, compared to its prior guidance of $896 million to $906 million, a 55% to 57% increase.
It expects adjusted EPS in the range of $2.84 to $2.87, up from $2.47 to $2.50.
Analysts had forecast adjusted EPS of $2.78 on revenue of $928.4 million, per Zacks Consensus Estimate.
But the beauty brand’s performance and optimistic outlook failed to convince investors, with the stock dropping 1.3% to $171 in early trade on Wednesday.