E.l.f. Beauty has revised its annual sales forecast upward after posting a 51% increase in second-quarter net sales, with the company’s Rhode skincare line and overall portfolio performance driving the gains. Net sales reached $520.8 million for the three months ended September 30, 2026, compared with $343.9 million in the same period last year. The results surpassed analyst projections of $470.3 million.
The company adjusted its 2027 net sales growth guidance from the previous range of 18-20% to 22-24%, targeting between $2.003 billion and $2.029 billion, up from its earlier forecast of $1.938 billion to $1.968 billion. Chairman and CEO Tarang Amin credited the improvement to 31 straight quarters of sales growth, with Rhode serving as a major contributor.
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Launched by Hailey Bieber and acquired by E.l.f. in August 2025, Rhode has entered 19 European markets via Sephora, though it appears in fewer than 40% of the retailer’s stores. “Seventy-five percent of Rhode’s following is outside of the US, so we know that international growth is a big opportunity for the brand,” Chief Financial Officer Mandy Fields told Reuters. Rhode’s European rollout followed its UK debut in autumn 2025, while E.l.f. has also strengthened its lineup through acquisitions like Naturium and a fragrance partnership with H&M.
The company allocated $52 million from U.S. tariff refunds to marketing and price reductions on 10% of its products, though the chief financial officer said this level of spending would not continue next year. Gross margins rose by 160 basis points to 71%, though net income of $30 million fell below the expected $34.9 million. E.l.f. also promoted Kory Marchisotto to President of E.l.f. Brands in April, while Oshiya Savur took over as CMO.
