--- title: "Beauty benchmarks from annual reports" description: "What 4 US-listed companies selling cosmetics, skin care and fragrance report: a median gross margin of 68.0%, from 62.9% to 75.5%. Read 13 October 2026." url: https://offersuite.io/benchmarks/beauty updated: 2026-10-13 --- # Beauty benchmarks from annual reports What 4 US-listed companies selling cosmetics, skin care and fragrance report: a median gross margin of 68.0%, from 62.9% to 75.5%. Read 13 October 2026. Gross margin, beauty: gross profit over revenue in each company's latest annual report. 1. The Estée Lauder Companies 75.5% 2. e.l.f. Beauty 70.7% 3. SkinHealth Systems 65.3% 4. Coty 62.9% Median 68.0%, marked on each bar. What each annual report states. A dash: the report gives no such figure. | Company | [Gross margin](https://offersuite.io/benchmarks/gross-margin) | [Average order value](https://offersuite.io/benchmarks/average-order-value) | [Return rate](https://offersuite.io/benchmarks/return-rate) | [Subscription share of sales](https://offersuite.io/benchmarks/subscription-share) | [Fulfilment cost as a share of sales](https://offersuite.io/benchmarks/fulfilment-cost) | | --- | --- | --- | --- | --- | --- | | e.l.f. Beauty ELF [Form 10-K for the year ended 31 March 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1600033/000160003326000020/elf-20260331.htm) | 70.7% Revenue $1.64 billion, gross profit $1.16 billion | Not stated | Not stated | Not stated | 6.0% | | The Estée Lauder Companies EL [Form 10-K for the year ended 30 June 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1001250/000100125026000041/el-20260630.htm) | 75.5% Revenue $15.05 billion, gross profit $11.36 billion | Not stated | Not stated | Not stated | 4.9% | | Coty [Form 10-K for the year ended 30 June 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1024305/000102430526000048/coty-20260630.htm) | 62.9% Revenue $5.81 billion, gross profit $3.65 billion | Not stated | Not stated | Not stated | Not stated | | SkinHealth Systems SKIN [Form 10-K for the year ended 31 December 2025, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1818093/000162828026017376/skin-20251231.htm) | 65.3% Revenue $300.8 million, gross profit $196.4 million | Not stated | Not stated | Not stated | Not stated | ## What the filings state Beyond the income statement, these are the figures the reports give, in their own words. - **e.l.f. Beauty: fulfilment cost as a share of sales 6.0% (shipping and handling for product distribution)** The shipping and handling costs associated with product distribution were $97.6 million, $74.1 million and $57.1 million [Form 10-K for the year ended 31 March 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1600033/000160003326000020/elf-20260331.htm) - **The Estée Lauder Companies: fulfilment cost as a share of sales 4.9% (shipping and handling, with distribution centers)** Shipping and handling expenses of $731 million, $729 million and $792 million in fiscal 2026, 2025 and 2024 [Form 10-K for the year ended 30 June 2026, read 13 October 2026 (opens in a new tab)](https://www.sec.gov/Archives/edgar/data/1001250/000100125026000041/el-20260630.htm) ## Use these figures Open a calculator with this vertical’s figures already entered, then replace them with your own. - [Free shipping threshold calculator, at this vertical's median gross margin](https://offersuite.io/calculators/free-shipping-threshold?productMargin=68) 68.0% as the margin on product revenue. Gross margin is before picking and card fees, so lower it by yours. - [Gift with purchase calculator, on beauty brands' figures](https://offersuite.io/calculators/gift-with-purchase-profit?price=34.00&unitCost=10.40&giftCost=6.24&refundRate=5) $34.00 hair treatment, unit cost $10.40, a three-piece mini set at $6.24, 5.0% refund reserve. Offers priced on these costs, with their sources and the offer document for each: - [Bundle pricing for beauty brands](https://offersuite.io/playbooks/bundle-pricing-for-beauty-brands) - [Gift with purchase for beauty brands](https://offersuite.io/playbooks/gift-with-purchase-for-beauty-brands) - [Free shipping threshold for beauty brands](https://offersuite.io/playbooks/free-shipping-threshold-for-beauty-brands) - [Buy 2, get 1 free for beauty brands](https://offersuite.io/playbooks/buy-2-get-1-free-for-beauty-brands) - [Tiered gifts with purchase for beauty brands](https://offersuite.io/playbooks/tiered-gifts-for-beauty-brands) - [Buy two, get another product free for beauty brands](https://offersuite.io/playbooks/buy-x-get-y-across-products-for-beauty-brands) ## How to read them Gross profit divided by revenue, both from the income statement of the annual report. Companies differ in what they put in cost of sales: some include store occupancy, warehousing or shipping to the customer, others report those below gross profit. Read a company's margin next to its own accounting policy before comparing two. The median of these 4 companies is 68.0%, between Coty at 62.9% and The Estée Lauder Companies at 75.5%. They are whole companies, most with stores or wholesale beside their own site, so treat the figures as reference points for your own costs. ## Embed this chart Paste this where you want the chart. It carries its sources and a link back to this page. **Show the embed code** ``` ``` ## Related - [Benchmarks **DTC benchmarks from public filings** Gross margin, order value, returns, subscription share and fulfilment cost at 60 US-listed consumer companies, each figure linked to its annual report.](https://offersuite.io/benchmarks) - [Calculator **Free shipping threshold calculator** Price a free-shipping threshold with the shipping you give away on orders that already reach it, and the share of smaller orders that must top up to pay for it.](https://offersuite.io/calculators/free-shipping-threshold) - [Calculator **Gift with purchase profit calculator** What a free gift costs per order, after its unit cost, its extra pick and its handling, and how much conversion it has to add to pay for itself.](https://offersuite.io/calculators/gift-with-purchase-profit) - [Playbook **Bundle pricing for beauty brands** Packs of one, two and three for beauty brands, priced by the margin engine on sourced costs: margin per order and the conversion each pack can lose.](https://offersuite.io/playbooks/bundle-pricing-for-beauty-brands) - [Playbook **Gift with purchase for beauty brands** What a free gift costs beauty brands per order on sourced costs, and how much conversion it has to add to pay for itself.](https://offersuite.io/playbooks/gift-with-purchase-for-beauty-brands) - [Benchmark **Gross margin of consumer brands, from annual reports** The gross margin 60 US-listed consumer companies report: a median of 48.4%, from 28.1% (PetMed Express) to 79.4% (ThredUp). Each links to its filing.](https://offersuite.io/benchmarks/gross-margin)