“We are pleased with our strong progress in Q2 highlighted by a 27% increase in net sales and over 700 basis point expansion in gross margin,” stated Tarang Amin, chairman and CEO. “Our performance continues to demonstrate the successful execution of our mission to make luxurious beauty accessible for all.”
Adjusted net income increased to $6.2 million, or $0.12 per diluted share, based on a weighted-average share count of 49.5 million shares. This compares to adjusted net income of $1.2 million, or $0.02 per diluted share, based on a pro forma share count of 49.5 million shares in the second quarter of 2016, the company said.
Net sales for the six month increased 20%, or $19.6 million from the first half of 2016, to $116.4 million. Gross margin expanded to 64% from 56% in the first half of 2016.
Adjusted EBITDA was $21.7 million compared to adjusted EBITDA of $20.0 million in the first half of 2016.
The company reaffirmed its outlook for 2017, with expectations for strong revenue growth and expansion in gross margin, as well as the full-year impact of public company expenses and continued investments in people, infrastructure, and brand building. The company expects net sales in the area of $285-295 million for the year.