E.l.f. Beauty Lowers Fiscal Outlook Following Slower January Sales

The cosmetics brand cites Los Angeles wildfires, TikTok uncertainty, and industry-wide challenges as key factors behind reduced social media engagement and weaker demand.

E.l.f. Beauty adjusted its full-year revenue forecast to $1.3-$1.31 billion, down from a previous estimate of $1.315-$1.335 billion, reflecting softer-than-expected January sales.
CEO Tarang Amin attributed the slowdown to reduced social media engagement caused by the Los Angeles wildfires and uncertainty over TikTok's potential ban, which distracted consumers from beauty conversations.
Despite weaker demand in January, E.l.f. reported a 31% year-over-year increase in Q3 revenue to $355.3 million, surpassing Wall Street expectations.
The company's stock dropped over 20% following the announcement, with concerns about slowing growth and revised earnings per share guidance.
E.l.f. remains optimistic about long-term growth, focusing on international expansion, digital engagement, and diversification of its supply chain to address challenges like tariffs and inflation.