The move will “enable a reallocation of investment against the e.l.f. brand and prioritization of national retailer and digital channels,” according to a statement from the company.
“2018 was a challenging year with net sales of
e.l.f. said the drop was primarily driven by declining trends at select national retailers and a
e.l.f.'s retail stores contributed 5% of net sales in 2018.
The company currently expects to incur one-time accounting charges associated with the closing of approximately
e.l.f. Beauty also announced that John Bailey, president and CFO will be stepping down from his role at the company effective March 31, 2019. e.l.f. is working with a national search firm to hire a new CFO and said that Bailey’s responsibilities as president will be absorbed by Amin and members of the executive team.
“John has been a terrific strategic partner to me and the entire executive team from inception through the IPO and to this stage in the company’s journey. I thank him for his service and wish him the very best as he returns to the investment world,” said Amin.
“While it is a bittersweet decision to be leaving e.l.f., as the brand transitions, I am comforted by the strong talent that exists in and continues to be added to the Company,” noted Bailey.