e.l.f. Beauty saw profit more-than-triple in the latest quarter and its gross margin and market share expand further without raising prices for its beauty products.
The cosmetics firm, known for selling makeup in drugstores, on Tuesday posted a net income for the fiscal first quarter ended June 30 of $53 million, or 93 cents a share, compared with $14.5 million, or 27 cents a share, for the same period a year earlier.
Stripping out one-time items, the company’s earnings per share came in at $1.10, beating analysts expectations of 43 cents a share.
Sales surged 76% to $216.3 million amid market share gains of 260 basis points. Analysts polled by FactSet had forecast lower sales of $184.6 million.
“There’s pent up demand for being out and expressing yourself,” Chief Executive Tarang Amin said in an interview.
e.l.f.’s gross margin increased about 280 basis points to 71% in the quarter, even though its selling, general and administrative expenses increased 49% to $91.9 million, the company said.