Rhode is becoming a star brand for e.l.f. Beauty

Skincare and makeup brand Rhode is one of the hottest brands in the beauty sector. Underscoring Rhode's recent momentum, the brand jumped to third in Piper Sandler's recent survey of the preference of teenagers after not being ranked in the top ten just a year ago.

Model Hailey Rhode Bieber started the Rhode skincare and makeup brand in June 2022 with co-founders Michael Ratner and Lauren Ratner. The initial launch included just three products, with all three selling out within days. For its first three years, Rhode sold only through its website, with about 10 products priced at $38 or less. It reached $212 million in net sales with a 34% EBITDA margin, which measures profit before interest, taxes, and some accounting charges.

Rhode's financial backing was mainly from Bieber, with investment firm One Luxury Group joining as a strategic partner and Angel Capital Management and Aser Ventures coming on as investors later. In May 2025, e.l.f. Beauty (ELF) agreed to buy Rhode for $600M in cash and $200M in stock, plus up to $200M more in financial incentives. At the time, J.P. Morgan called it the fastest billion-dollar sale of a beauty company. Bieber is still chief creative officer and also advises e.l.f. (ELF).

Looking ahead, e.l.f. Beauty (ELF) aims for Rhode to top $1B in sales and grow internationally. Earlier this year, Rhode arrived in more than 500 Sephora stores across 19 new European countries. It is also entering Australia and New Zealand through the retailer Mecca.

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