Oddity Enjoys Strong Third Quarter
The parent company of SpoiledChild and Il Makiage has raised its full-year forecast.
In its third time speaking to the public markets since its July IPO,
Oddity, the parent company of Il
Makiage and SpoiledChild, continued to paint a rosy picture.
Net revenue came in at $94 million in the third quarter ended Sept. 30, compared to $69 million in the same period a year earlier.
Net income was $3.8 million, up rom $2.8 million, while adjusted diluted earnings per share was 21 cents, compared to 7 cents in the third quarter of 2022.
“Our third quarter is our best third quarter ever, exceeding our guidance,” said Oran Holtzman, Oddity cofounder and chief executive officer. “Our large investments in technology and data capabilities over the past five years are enabling us to continue to grow fast without damaging our high margins and strong profitability.”
For 2023 as a whole, the company is now expecting net revenue between $493 million and $497 million, above its prior expectation for $475 to $480 million. SpoiledChild is on track to hit $100 million and is already profitable, according to the company.
Adjusted diluted EPS is forecast to come in between $1.21 and $1.23, above its prior expectation of $1.11-$1.17.
In an interview with WWD, global chief financial officer Lindsay Drucker Mann said that new brands, numbers three and four, will launch in 2025. While not many details are known, one of the brands is meant to be a medical grade skin and body care brand.
She also told WWD that there has been no real impact on operations in
Tel Aviv, Israel, where the company has an R&D office, amid the ongoing IsraelHamas war, although the staff is working from home.
Founders, brother and sister Oran Holtzman and Shiran Holtzman-Erel, relaunched cosmetics brand Il Makiage in 2018 after receiving a $29 million investment from L Catterton, which bought a 35.8 percent stake in the business in 2017. Oddity launched its second brand, SpoiledChild, in February 2022, with 17 refillable stock keeping units across hair care and skin care, priced from $45 to $95.