Many companies have faced backlash and stepped back from their previous diversity, equity, and inclusion (DEI) initiatives. But cosmetic brand e.l.f Beauty (ELF) is standing firm on its stance to promote diversity. FactSet notes that e.l.f. Beauty's board is comprised of 78% women members with 44% of directors being of diverse representation.

"For 20 years, we've been democratizing access to the best of beauty," e.l.f. Beauty Chairman and CEO Tarang Amin tells Yahoo Finance. "We want to use our platform for positive societal change and encourage other companies to give underrepresented populations a chance on their boards. Just given what we've seen and now the data that we've put out today, basically shows there's a strong correlation between board diversity and the results of a company delivers."

Amin goes on to say the cosmetic company is sponsoring individuals for National Association of Corporate Directors (NACD) training "to give them the credentials they need and the training they need to be good corporate directors." He details the brand's latest report in partnership with the North Carolina Agricultural and Technical State University that examines the relationship between diverse executive boards and the success of public US companies.

"The beauty of the study — or the 'Not So White Paper' — is it pulls from a lot of different data sources, and there's a number of different methodologies on those different data sources. But the conclusion is very simple, and it's what we found in our own performance is diverse, diverse teams, diverse boards lead to better actions. And that's really what we're here to help encourage other companies to pursue."

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This post was written by Luke Carberry Mogan.