NYSE$ELF

elf Beauty Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Reported a 7% increase in net sales and a 100 basis points expansion in gross margin.

e.l.f. Beauty announced its Q2 Fiscal Year 2021 results, showcasing a 7% increase in net sales and a gross margin expansion of 100 basis points. The company's commitment to inclusive, accessible, and cruelty-free beauty continues to resonate with consumers, marking the seventh consecutive quarter of net sales growth.

  • Net sales increased by 7% to $72.4 million compared to the same period last year.
  • Gross margin increased by 100 basis points to 65%.
  • e.l.f. was the only top five color cosmetics brand in the U.S. to post growth and gain market share.
  • The company unveiled Keys Soulcare and launched its recharged W3LL PEOPLE brand.

Headline financials

Total Revenue

$72.4M

Previous: $67.6M+7.0%
EPS (adj)

$0.16

Previous: $0.15+6.7%
Gross Margin

65.0%

Previous: 64.0%+1.6%
Capital Expenditures

-$2.75M

Previous: -$5.53M+50.4%
Free Cash Flow

-$2.3M

Previous: $983K-333.9%
Net Income

$447K

Previous: $6.52M-93.1%
Operating Income

$1.97M

Previous: $9.1M-78.4%
Gross Profit

$47.1M

Previous: $43.3M+8.7%
Cash & Equivalents

$41M

Previous: $58.7M-30.1%
Total Assets

$473M

Previous: $437M+8.3%
Stock-Based Comp

$5.39M

No prior period

Revenue & EPS history

e.l.f. · Revenue · Quarterly

$72.4M

Q2 2021+7%vs Q2 2020
Beat estimate in 16 of 16 quarters(100%)
ActualEstimate

Forward guidance

The Company is providing the following outlook for fiscal 2021. When compared to net sales in fiscal 2020, the outlook for fiscal 2021 reflects an expected 5-7% increase in net sales.

Tailwinds

  • Net sales are expected to increase by 5-7% compared to fiscal 2020.
  • Digital strength
  • Core value proposition
  • Continued execution of strategic imperatives will fuel our performance
  • The company believes it has better visibility for the balance of its fiscal year

Headwinds

  • Uncertainty remains related to the duration and potential impact of the COVID-19 pandemic
  • Uncertainty related to the overall economic environment
  • Expect consumer behavior to be impacted by COVID-19 through the rest of our fiscal year
  • Guidance assumes no significant disruption to its consumers
  • Guidance assumes no significant disruption to its customers or supply chain for the remainder of fiscal 2021

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+1.0%

Avg return

Earnings day

+2.3%

Avg return

5 days after

+6.7%

Avg return

30 days after

59%

27 / 46 earnings

Positive

+23.7%

Q4 2025

Best reaction

-34.8%

Q2 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+4.8%+6.8%+26.8%
Q3 2026-9.2%-13.4%-2.6%
Q2 2026-34.8%-33.8%-30.9%
Q1 2026-9.4%+5.8%+21.4%
Q4 2025+23.7%+26.8%+39.6%
Q3 2025-19.6%-15.2%-20.1%
Q2 2025+8.3%+25.2%+30.3%
Q1 2025-11.5%-18.2%-32.5%
Q4 2024+16.2%+20.4%+29.5%
Q3 2024-2.9%+2.8%+23.7%
Q2 2024+5.8%+9.8%+32.2%
Q1 2024+14.1%+9.8%+18.8%
Q4 2023+22.5%+19.1%+27.6%
Q3 2023+16.9%+19.3%+30.7%
Q2 2023+10.0%+14.7%+26.5%
Q1 2023+6.2%+9.3%+12.5%
Q4 2022+17.0%+23.4%+34.6%
Q3 2022-4.2%-5.3%-15.6%
Q2 2022-8.2%-5.9%-8.4%
Q1 2022+4.3%+4.0%+7.2%
Q4 2021+0.1%-1.8%-1.8%
Q3 2021+2.1%+3.0%+13.8%
Q2 2021-6.5%-0.2%+7.6%
Q1 2021+13.1%+10.3%+5.1%
Q4 2020+18.6%+17.3%+28.0%
Q3 2020+10.5%+10.7%-8.6%
Q2 2020-0.5%-3.3%-12.1%
Q1 2020+3.8%-0.1%+5.1%
Q1 2019-6.3%-3.9%-2.7%
Q4 2018-22.8%-15.9%+13.1%
Q3 2018+21.7%+19.7%+7.0%
Q2 2018-31.8%-25.4%-6.3%
Q1 2018-4.6%-4.0%-4.3%
Q4 2017-13.6%-14.7%-9.2%
Q3 2017-8.3%-4.9%+5.8%
Q2 2017-3.1%-0.2%-20.7%
Q1 2016-7.0%-9.7%-5.9%
Q1 2017-3.7%-10.4%-9.3%
Q4 2014+0.8%+0.8%+6.2%
Q2 2016+0.8%+0.8%+6.2%
Q2 2015+0.8%+0.8%+6.2%
Q1 2015+0.8%+0.8%+6.2%
Q4 2016+9.6%+4.8%+4.6%
Q3 2015+7.4%+8.9%+8.0%
Q4 2015+7.4%+8.9%+8.0%
Q3 2016+7.4%+8.9%+8.0%

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