Il Makiage parent Oddity Tech's Q2 profit beats on SpoiledChild brand growth
Il Makiage parent Oddity Tech's Q2 profit beats on SpoiledChild brand growth
Overview
US consumer tech firm's Q2 revenue fell 25% yr/yr, beating analyst expectations
Adjusted EPS for Q2 beat analyst expectations
Company repurchased $80 mln of shares and retired $50 mln of notes in Q2
Outlook
Company expects Q3 net revenue to decline about 5% year-over-year
Company sees Q3 adjusted EBITDA between $18 mln and $20 mln
ODDITY expects FY26 net revenue to decline about 19% year-over-year, adjusted EBITDA $30 mln-$32 mln
Result Drivers
IL MAKIAGE ADVERTISING DISLOCATION - Co said revenue decline was mainly due to technical issues with advertising algorithms for IL MAKIAGE
SPOILEDCHILD GROWTH - Double-digit revenue growth for SpoiledChild helped offset declines, per CEO Oran Holtzman
METHODIQ EARLY RESULTS - Strong early results for METHODIQ contributed positively to Q2 performance
Company press release: ID:nGNX25XGkc
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $181 mln | $177.60 mln (9 Analysts) |
Q2 Adjusted EPS | Beat | $0.20 | $0.16 (9 Analysts) |
Q2 EPS |
| $0.24 |
|
Q2 Adjusted Net Income | Beat | $11 mln | $6.49 mln (6 Analysts) |
Q2 Adjusted EBITDA | Beat | $13 mln | $8.84 mln (6 Analysts) |
Q2 Gross Margin |
| 68.70% |
|
Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 7 "hold" and 3 "sell" or "strong sell"
The average consensus recommendation for the personal products peer group is "buy."
Wall Street's median 12-month price target for ODDITY Tech Ltd. is $10.00, about 23.2% below its September 8 closing price of $13.03
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 13 three months ago
Reuters Recommended Reads
Sept 8 - Customer engagement platform Braze Q2 revenue beats estimates on customer growth
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Sept 8 - GameStop Q2 net sales fall on store closures, France business divestiture
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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