In the first quarter of fiscal 2025, elf Beauty Inc (ELF) delivered a standout start to the year with net sales up 50% YoY to $324.5 million, supported by a broad-based lift across all channels and regions. Management attributed the acceleration to a combination of higher unit volume, favorable mix, and ongoing scale advantages from the Naturium acquisition, which contributed approximately 16 percentage points to net sales growth in Q1. International revenue surged 91% in the quarter, underscoring ELF’s successful geographic expansion and retailer partnerships (e.g., Rossmann in Germany, Atos in the Netherlands, Douglas in Italy). Gross margin expanded roughly 80 basis points to about 71.0%, aided by foreign exchange, lower transport costs, optimal pricing in international markets, and mix, though offset by elevated container costs from earlier disruptions. Adjusted EBITDA reached $77 million, up 4% YoY, reflecting ongoing investments in marketing, digital capabilities, and integration of Naturium, with adjusted EBITDA margin at 24% of net sales. The company reiterated its strategy pillars—color cosmetics, skincare, international growth, a defensible value proposition, disciplined marketing, and an asset-light supply chain—that collectively form a durable moat. ELF raised its full-year guidance for fiscal 2025: net sales growth of 25–27% (up from 20–22%), adjusted EBITDA of $297–$301 million, adjusted net income of $198–$201 million, and adjusted EPS of $3.36–$3.41. The management emphasized a cadence of marketing investment (roughly 24–26% of net sales) and noted that Naturium will be annualized in the back half of the year, with gross margins expected to improve modestly (roughly +20 bps YoY) as benefits from FX, mix, and cost savings offset higher freight and retailer-space expansion costs. In sum, ELF’s QQ1 2025 performance underscores a compelling narrative: a digitally native, high-velocity beauty platform driving share gains in mass cosmetics and skincare, backed by a scalable global footprint and a track record of profitable growth.