ELF Beauty Inc (ELF)

Net profit margin

		Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020
Net income (ttm)	US$ in thousands	101,874	116,401	107,990	122,241	127,663	129,382	121,599	100,038	61,530	46,840	33,949	27,963	21,770	20,190	18,273	12,996	6,232	5,915	9,620	15,690
Revenue (ttm)	US$ in thousands	980,872	1,302,015	1,217,638	1,132,070	1,023,932	890,146	765,740	672,582	578,844	496,622	448,203	417,709	392,155	379,691	370,135	350,630	318,110	300,151	292,349	287,614
Net profit margin		10.39%	8.94%	8.87%	10.80%	12.47%	14.53%	15.88%	14.87%	10.63%	9.43%	7.57%	6.69%	5.55%	5.32%	4.94%	3.71%	1.96%	1.97%	3.29%	5.46%

March 31, 2025 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $101,874K ÷ $980,872K
= 10.39%

ELF Beauty Inc's net profit margin has shown fluctuations over the past few years, reflecting changes in its profitability.

Starting from June 30, 2020, the net profit margin was 5.46%, indicating that for every dollar of revenue generated, the company retained $0.0546 as profit. Subsequently, the margin decreased to 3.29% in September 30, 2020, and further declined to 1.97% by December 31, 2020, suggesting a decrease in profitability during this period.

However, there was a gradual improvement in the net profit margin from March 31, 2021, to June 30, 2022, with the margin ranging from 1.96% to 6.69%. This indicates that the company implemented strategies to enhance its efficiency and control costs, leading to increased profitability.

Notably, there was a significant jump in the net profit margin to 15.88% on September 30, 2023, followed by a slight decrease in the subsequent quarters. Overall, ELF Beauty Inc's net profit margin has demonstrated a positive trend, peaking at 15.88%, before stabilizing around 10% in the latter part of 2024 and early 2025.

The increasing trend in the net profit margin suggests that ELF Beauty Inc has managed to improve its bottom line performance and generate higher profits relative to its revenue, which could be attributed to effective cost management, revenue growth, or both. Investors and stakeholders may view this sustained improvement in net profit margin positively as it reflects the company's ability to generate more profits from its operations.