E.l.f. Beauty reported a 51% increase in net sales for its second fiscal quarter ending Sept. 30, beating Wall Street expectations. The company achieved its 31st consecutive quarter of net sales growth, driven by strength across retail and e-commerce channels in the U.S. and internationally.
Net income rose to $30.03 million, or 50 cents per share, compared with roughly $3 million, or 5 cents per share, in the year-ago period. CEO Tarang Amin told CNBC that every brand in the company's portfolio contributed strong growth.
E.l.f. raised its full-year guidance following the beat. The company now expects net sales between $2 billion and $2.03 billion, up from prior guidance of $1.94 billion to $1.97 billion. It lifted adjusted EBITDA guidance to $421 million to $427 million from $401 million to $407 million.
The company raised adjusted earnings per share guidance to $3.82 to $3.86 from $3.50 to $3.55. Net income guidance moved to $231 million to $233 million from $212 million to $215 million.
International channels saw business jump 165%, though only 25% of E.l.f.'s total revenue currently comes from outside the U.S. Gross margin expanded 1.6% during the quarter. Amin said the company is "very bullish" on the holiday season.
E.l.f. Beauty stock momentum hinges on maintaining guidance delivery through year-end and sustaining international expansion pace.