Abstract
e.l.f. Beauty Inc. will report quarterly results on February 04, 2026 Post Market; this preview compiles current-quarter forecasts and last-quarter performance, highlighting revenue, margins, adjusted EPS, and the prevailing institutional stance.
Market Forecast
Consensus forecasts for the current quarter point to revenue of $0.46 billion, EBIT of $63.32 million, and adjusted EPS of $0.71, with year-over-year growth of 38.72% for revenue and 6.92% for EBIT, while adjusted EPS is forecast to decline by 4.67% year over year. The company’s margin profile is expected to remain resilient, though gross profit margin and net profit margin guidance for the quarter is not explicitly provided in market estimates; investors will watch whether gross margin holds near recent levels and whether net margin stabilizes alongside EPS.
Highlights for its main business indicate sustained momentum in core cosmetics distribution across retail and digital channels, underpinned by brand reach and marketing efficiency. The most promising segment is expected to be continued expansion in color cosmetics driven by shelf gains and accelerated e-commerce sell-through; segment-level revenue and specific year-over-year data are not disclosed in consensus models.
Last Quarter Review
In the previous fiscal quarter, e.l.f. Beauty Inc. recorded revenue of $0.34 billion, a gross profit margin of 69.45%, GAAP net profit attributable to the parent company of $3.00 million, a net profit margin of 0.87%, and adjusted EPS of $0.68, with revenue up 14.24% year over year and EPS down 11.69% year over year.
A key highlight was resilient gross margin at 69.45% despite promotional intensity and mix investments, while net profit fell quarter on quarter by 91.01%, reflecting timing effects in operating expenses and one-off items. Main business performance showed steady sell-through across retail partners and digital channels, though detailed revenue breakdowns and segment year-over-year metrics were not disclosed.
Current Quarter Outlook
Core Cosmetics and Omni-Channel Execution
Core cosmetics across mass retail and digital channels remain the central revenue engine this quarter. The company’s revenue outlook at $457.33 million implies robust sell-in to retail partners and sustained demand from consumers, supported by strategic marketing cadence and consistent product innovation. The trajectory suggests continued shelf space gains and promotional plans designed to preserve share while balancing profitability. With gross margin previously at 69.45%, any continuation near that level would indicate strong sourcing and cost controls, but the market will monitor freight and input costs that could pressure margin. Inventory health and retailer reorder patterns will be crucial to translate the projected revenue growth into cash conversion, while careful expense discipline will be needed to support EBIT expansion of 6.92% year over year.
Color Cosmetics Acceleration and Product Launches
The most promising business this quarter is expected to be color cosmetics, which benefits from shelf resets, newness in face and eye categories, and amplified digital engagement. The forecasted topline growth suggests this category is a key contributor, with velocity gains spread across e-commerce and brick-and-mortar partners. Marketing efficiency—particularly social and influencer-driven campaigns—can translate into rapid trial and repeat rates, supporting price-point strength without materially diluting margin. As consumers seek value-aligned premiumized offerings, successful launches priced to balance affordability and perceived quality may sustain momentum; however, if competitive promotions intensify, maintaining price architecture will be critical to protect gross margin. The balance of assortment productivity and incremental distribution will determine whether growth is volume-led or supported by mix upgrades.
Stock Price Drivers: Margins, EPS Trajectory, and Retail Dynamics
The stock’s near-term performance will hinge on whether gross margin and net margin can align with revenue growth and whether EPS tracks to forecast. The market’s expectation for adjusted EPS at $0.71, down 4.67% year over year, signals sensitivity to operating cost timing and investment needs in brand building, international expansion, and supply chain. Evidence of cost normalization in selling and marketing and disciplined overhead can offset potential gross margin variability and support EBIT in line with $63.32 million. Retail dynamics—including weekly sell-through, on-shelf availability, and promotion cadence—will be scrutinized, as these factors can influence both revenue recognition and margin realization in the quarter. Clear commentary on inventory positioning and retailer order patterns will help investors gauge sustainability beyond the quarter, especially given the strong year-over-year revenue growth expectation.
Analyst Opinions
The prevailing institutional tone is broadly constructive on e.l.f. Beauty Inc., with the majority of recent analyst commentary leaning bullish based on expectations of sustained category momentum and brand-led execution in mass beauty. Analysts point to strong revenue visibility supported by distribution gains and digital traction, while acknowledging potential EPS pressure from growth investments. Well-followed institutions note the forecasted revenue increase of 38.72% year over year and anticipate margin resilience, suggesting upside risk if operating expenses come in lower than modeled. The bullish view emphasizes the company’s consistency in product innovation and effective marketing, framing the quarter as a test of balancing rapid growth with disciplined profitability; consensus expects delivery close to or above the revenue forecast with EBIT tracking guidance.Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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