E.l.f. Beauty to walk back some tariff price increases amid high gas prices and consumer ‘suffering’
A $4 test cut on Halo Glow skin tint lifted sales about 40%, prompting more price reductions as consumers pull back.
- E.l.f. Beauty is rolling back select tariff-fueled price increases implemented less than a year ago after seeing demand slide in recent months. CEO Tarang Amin plans to test additional price reductions to reinforce the brand's value proposition.
- Last August, Beauty raised prices by $1 across its entire lineup, causing unit degradation as consumers struggled with higher costs. Amin told CNBC that recent months showed increased sensitivity, prompting the need for targeted price reversals.
- Testing a $4 reduction on its $18 Halo Glow skin tint yielded a nearly 40% sales lift, revealing consumer price "sensitivity." Amin said the company will test lower pricing on additional product families to drive unit growth.
- Sales reached $449 million during the quarter, though the company posted a $49.4 million loss driven by Rhode acquisition costs. Beauty expects a $55 million tariff refund to offset margin impacts from price cuts, Amin said.
- Beauty expects sales between $1.84 billion and $1.87 billion, below analyst expectations. With Rhode driving growth, the company intends "balanced growth" across its portfolio while expanding Rhode into 19 European countries this fall with Sephora.
13 Articles
13 Articles
e.l.f. Beauty plans to cut prices to drive sales as consumers become increasingly squeezed by costs
e.l.f. Beauty will be cutting prices on some of its productsMonica Schipper/Getty Images for The Business of Fashione.l.f. Beauty plans to slash prices on some products in response to more price-sensitive consumers.A price-cut test on its Halo Glow skin tint led to a nearly 40% increase in sales.Higher gas prices are forcing households to pull back on discretionary purchases.As gas prices climb and wallets tighten, e.l.f. Beauty is discovering t…
e.l.f. Beauty Q4 Earnings Call Highlights
e.l.f. Beauty (NYSE:ELF) reported what executives described as a seventh consecutive year of “industry-leading” results, with fiscal 2026 net sales up 25% and adjusted EBITDA up 13%, while also signaling a more cautious near-term outlook for its core e.l.f. brand. Chairman and Chief Executive Offic
Coverage Details
Bias Distribution
- 60% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
