Financial Data and Key Metrics Changes - Revenue for the full year 2023 was $398 million, representing an 8.8% year-over-year growth, driven by steady consumables growth in the Americas and strong international performance [53] - Adjusted EBITDA for the full year was $24.3 million, a decline of 47.2% year-over-year, compared to $46.1 million in the prior year [55] - Gross margin for the full year was 39% compared to 68% in the prior year, primarily affected by the Syndeo 3.0 program and higher charges related to discontinued products [55] Business Line Data and Key Metrics Changes - Consumable sales increased 19.9% year-over-year to $191.4 million, representing 48.1% of total revenue [54] - Equipment revenue was relatively flat for the year, up 0.2%, primarily due to lower provider adoption in the Americas [53] - In Q4 2023, consumable sales were $52.2 million, accounting for 53.9% of revenue, while system sales declined 12% year-over-year to $44.6 million [58] Market Data and Key Metrics Changes - APAC revenue grew 17.3% year-over-year to $18.7 million in Q4, with China contributing $14.2 million, showing 71.8% year-over-year growth [57] - Americas revenue declined 8.5% year-over-year in Q4, primarily due to soft device sales related to Syndeo concerns [56] - EMEA Q4 revenue grew 8.4% year-over-year to $18.8 million, driven by consumables [57] Company Strategy and Development Direction - The company is focused on three key priorities: sales excellence, operational excellence, and financial discipline [41][45] - There is a strong emphasis on improving operational capabilities and addressing quality control issues with the Syndeo 3.0 program [37][44] - The company aims to increase consumable sales per system and stabilize the business while completing the Syndeo 3.0 replacement program [79] Management's Comments on Operating Environment and Future Outlook - Management believes there is significant growth potential in the China market, indicating they are still in the early stages of market penetration [4] - The company expects to return to growth in the back half of 2024, driven by improved system sales and consumable sales per system [82] - Management acknowledges challenges in the first half of 2024 but anticipates a recovery as provider confidence in Syndeo 3.0 improves [73] Other Important Information - The company ended Q4 2023 with approximately $523 million in cash and has $70 million remaining on its share repurchase authorization [63] - Inventory decreased to approximately $91.3 million at the end of December 2023, down from $109.7 million in December 2022 [64] - The company is reallocating cost savings towards investments in systems and processes to improve inventory management and controls [68] Q&A Session Summary Question: Concerns regarding Syndeo 3.0 and growth in China - Management addressed quality control issues with Syndeo 3.0, stating they are focused on ensuring product quality upon delivery [3] - They believe they are early in the China market and see significant growth potential [4] Question: Trends in consumable sales by region - Consumable growth was strong in the Americas and EMEA but down 30% year-over-year in APAC, primarily due to distributor channel softness [7][8] Question: Equipment sales and free cash flow - Equipment sales were down approximately 35% year-over-year, with management noting challenges related to Syndeo [10] - They expect to generate flat to some adjusted free cash flow, with CapEx projections of $15 million to $20 million [13] Question: Syndeo 3.0 issues and trade-up program changes - Management confirmed ongoing quality issues with Syndeo 3.0 but noted improvements compared to earlier versions [17] - The trade-up program is being restructured to offer incentives for upgrades without taking back existing devices [19] Question: Capital allocation priorities - Management is focused on capital allocation discussions with the Board and will provide updates as changes are made [22]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission file number 001-39565 The Beauty Health Company (Exact name of registrant as specified in its charter) Delaware 85-1908962 (State or other jurisdiction of incorporation or organization) 2165 Spring Street Long Beach, CA 90806 (Address of ...

Exhibit 99.1 "To close 2023, we delivered fourth quarter financial results consistent with the expectations we outlined on our last earnings call," said BeautyHealth Chief Executive Officer Marla Beck. "While the results reflect a necessary operational reset, the underlying strength of our business remains—a clinically proven treatment, passionate provider community, unique partner portfolio, beloved consumer brand, and growing addressable market. I am confident in the still-untapped global opportunity for ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________. Commission File Number: 001-39565 The Beauty Health Company (Exact name of registrant as specified in its charter) Delaware 85-1908962 (State ...

The Beauty Health Company (NASDAQ:SKIN) Q3 2023 Earnings Conference Call November 13, 2023 4:30 PM ET Company Participants Marla Beck - Interim CEO Michael Monahan - CFO Conference Call Participants Operator Good afternoon and welcome to The Beauty Health Company Third Quarter 2023 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] Please note this event is being recorded. I would like now to turn the conference over to [Norberto Aja], Investor Relations. Please ...

[PART I—FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%E2%80%94FINANCIAL%20INFORMATION) [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements for the period ended June 30, 2023, including balance sheets, statements of comprehensive income, stockholders' equity, and cash flows, along with detailed notes [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet as of June 30, 2023, shows total assets of **$1,007.474 million**, slightly increased from **$1,003.083 million** at year-end 2022, with total liabilities at **$845.632 million** and total stockholders' equity at **$161.842 million** Condensed Consolidated Balance Sheet Highlights (in thousands) | Balance Sheet Item | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Cash and cash equivalents | $549,728 | $568,197 | | Total current assets | $767,942 | $783,275 | | **Total Assets** | **$1,007,474** | **$1,003,083** | | Total current liabilities | $82,789 | $71,714 | | Convertible senior notes, net | $736,257 | $734,143 | | **Total Liabilities** | **$845,632** | **$836,030** | | **Total Stockholders' Equity** | **$161,842** | **$167,053** | [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20(Loss)) For Q2 2023, net sales increased 13.5% year-over-year to **$117.5 million**, but gross profit slightly decreased, leading to a wider operating loss of **$13.1 million** and a net income of **$3.4 million**, down from **$6.3 million** in Q2 2022 Q2 2023 vs Q2 2022 Performance (in thousands) | Metric | Q2 2023 | Q2 2022 | | :--- | :--- | :--- | | Net sales | $117,479 | $103,536 | | Gross profit | $67,876 | $70,040 | | Loss from operations | $(13,146) | $(5,027) | | Net income (loss) | $3,364 | $6,317 | | Basic EPS | $0.03 | $0.04 | H1 2023 vs H1 2022 Performance (in thousands) | Metric | H1 2023 | H1 2022 | | :--- | :--- | :--- | | Net sales | $203,757 | $178,951 | | Gross profit | $121,980 | $120,925 | | Loss from operations | $(30,456) | $(19,040) | | Net (loss) income | $(16,895) | $37,772 | | Basic EPS | $(0.13) | $0.25 | [Condensed Consolidated Statements of Cash Flows](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2023, net cash provided by operating activities significantly improved to **$9.0 million**, while net cash used in investing activities increased to **$24.9 million**, resulting in a **$19.7 million** decrease in cash and cash equivalents Cash Flow Summary for Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2023 | 2022 | | :--- | :--- | :--- | | Net cash provided by (used for) operating activities | $8,956 | $(69,806) | | Net cash used for investing activities | $(24,903) | $(8,304) | | Net cash used for financing activities | $(3,741) | $(2,763) | | **Net decrease in cash and cash equivalents** | **$(19,688)** | **$(80,873)** | | **Cash and cash equivalents, end of period** | **$549,728** | **$820,970** | [Notes to Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes provide crucial context to the financial statements, detailing revenue by product and geography, recent acquisitions, convertible debt, ongoing legal proceedings, and a revision of prior period financial statements - The company generates revenue from selling Delivery Systems and related Consumables, with Consumables sales growing **28% YoY to $92.8 million** and Delivery Systems sales growing **4.2% to $110.9 million** for the six months ended June 30, 2023[23](index=23&type=chunk)[25](index=25&type=chunk) Net Sales by Geographic Region (Six Months Ended June 30, in thousands) | Region | 2023 | 2022 | | :--- | :--- | :--- | | Americas | $116,622 | $119,960 | | Asia-Pacific (APAC) | $38,868 | $23,287 | | Europe, the Middle East and Africa (EMEA) | $48,267 | $35,704 | | **Total net sales** | **$203,757** | **$178,951** | - In February 2023, the company acquired Esthetic Medical, Inc (EMI) for **$11.8 million** in cash and **$1.3 million** in stock, plus potential contingent consideration, contributing to approximately **$24.9 million** in intangible assets from this and another asset acquisition[35](index=35&type=chunk)[37](index=37&type=chunk) - The company has **$750 million** in 1.25% Convertible Senior Notes due 2026 and an undrawn **$50 million** revolving credit facility[39](index=39&type=chunk)[41](index=41&type=chunk) - The company is involved in patent and trademark infringement lawsuits against Ageless Serums LLC and Cartessa Aesthetics, LLC[56](index=56&type=chunk)[58](index=58&type=chunk) - During the six months ended June 30, 2023, the company identified and corrected immaterial misstatements in its previously issued financial statements for fiscal years 2020-2022 and Q1 2023, related to the elimination of intercompany balances and right of return assets[20](index=20&type=chunk)[74](index=74&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the financial results, highlighting a 13.5% year-over-year revenue increase in Q2 2023 driven by strong Consumables sales, despite a decline in gross margin, while maintaining a strong liquidity position [Results of Operations](index=22&type=section&id=Results%20of%20Operations) For Q2 2023, net sales rose 13.5% to **$117.5 million**, propelled by a 33.9% increase in Consumables sales, but gross margin declined to **57.8%** from **67.6%** due to higher product costs and unfavorable mix, leading to a wider operating loss of **$13.1 million** Q2 2023 vs Q2 2022 Net Sales (in millions) | Product Line | Q2 2023 | Q2 2022 | Change (%) | | :--- | :--- | :--- | :--- | | Delivery Systems | $65.6 | $64.8 | 1.2% | | Consumables | $51.9 | $38.8 | 33.9% | | **Total net sales** | **$117.5** | **$103.5** | **13.5%** | - Q2 2023 gross margin declined to **57.8%** from **67.6%** in Q2 2022, primarily due to higher product costs, unfavorable changes in product mix, and higher amortization expense[92](index=92&type=chunk) - Q2 2023 General and administrative expense increased by **$7.5 million (27.2%)** YoY, driven by higher personnel-related compensation, share-based compensation, and severance/restructuring expenses[95](index=95&type=chunk) - For the six months ended June 30, 2023, the company reported a net loss of **$16.9 million**, compared to a net income of **$37.8 million** in the prior-year period[101](index=101&type=chunk) [Liquidity and Capital Resources](index=26&type=section&id=Liquidity%20and%20Capital%20Resources) The company ended Q2 2023 with a strong liquidity position, holding **$549.7 million** in cash and cash equivalents and access to an undrawn **$50.0 million** revolving credit facility, which management believes is sufficient for future operations - As of June 30, 2023, the company had cash and cash equivalents of **$549.7 million**[109](index=109&type=chunk) - The company has a **$50.0 million** revolving credit facility, which remained undrawn as of June 30, 2023[109](index=109&type=chunk)[114](index=114&type=chunk) - Net cash provided by operating activities for the first six months of 2023 was **$9.0 million**, a significant improvement from the **$69.8 million** used in the same period in 2022, mainly due to lower working capital usage[125](index=125&type=chunk)[126](index=126&type=chunk) [Known Trends or Uncertainties](index=28&type=section&id=Known%20Trends%20or%20Uncertainties) Management identifies several key uncertainties, including potential negative impacts from industry consolidation and lingering economic effects from the COVID-19 pandemic, while also disclosing a **$5 million** expense for a voluntary product update initiative and a **$5 million** Employee Retention Credit received - The company launched a voluntary initiative in Q3 2023 to replace certain components in Syndeo delivery systems, which is expected to result in an approximate **$5 million** expense[122](index=122&type=chunk) - In July 2023, the company received approximately **$5 million** for the Employee Retention Credit under the CARES Act[123](index=123&type=chunk) - The company faces uncertainty from potential consolidation in the medical, esthetician, and beauty retail industries, and the economic recovery from the COVID-19 pandemic, especially in China[119](index=119&type=chunk)[120](index=120&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=29&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company states that there have been no material changes to its market risks, which primarily relate to changes in interest rates, foreign currency, and inflation, since the disclosure in its Annual Report on Form 10-K - There were no material changes to the company's market risks (interest rates, foreign currency, and inflation) as disclosed in the Annual Report on Form 10-K[132](index=132&type=chunk) [Controls and Procedures](index=30&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of June 30, 2023, with no material changes in internal control over financial reporting during the second quarter - The company's principal executive officer and principal financial officer concluded that disclosure controls and procedures were effective as of June 30, 2023[134](index=134&type=chunk) - There were no changes in internal control over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, the company's internal control over financial reporting[136](index=136&type=chunk) [PART II—OTHER INFORMATION](index=31&type=section&id=PART%20II%E2%80%94OTHER%20INFORMATION) [Legal Proceedings](index=31&type=section&id=Item%201.%20Legal%20Proceedings) This section refers to Note 10 of the financial statements for details on material pending legal proceedings, primarily involving allegations of trademark and patent infringement against Ageless Serums LLC and Cartessa Aesthetics, LLC - The company is pursuing legal action against Ageless Serums LLC for trademark infringement and other claims, with a tentative settlement reached during mediation pending court approval[56](index=56&type=chunk)[57](index=57&type=chunk) - The company is in a patent infringement lawsuit against Cartessa Aesthetics, LLC, with a trial date pending for three of the patents-in-suit[58](index=58&type=chunk)[59](index=59&type=chunk) [Risk Factors](index=31&type=section&id=Item%201A.%20Risk%20Factors) The company notes no material changes to the risk factors disclosed in its Annual Report on Form 10-K, except for a newly added risk concerning cash balances held at financial institutions exceeding federally insured limits, highlighted by recent bank failures - A new risk factor was added concerning cash held in financial institutions in balances that may exceed FDIC insurance limits, prompted by the failures of Silicon Valley Bank and Signature Bank[141](index=141&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=31&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During the three months ended June 30, 2023, the company did not issue any unregistered equity securities, nor were any equity securities repurchased by the company or its affiliates - No unregistered sales of equity securities occurred during the three months ended June 30, 2023[142](index=142&type=chunk) - No purchases of the company's equity securities were made by the company or any affiliated purchasers during the three months ended June 30, 2023[143](index=143&type=chunk) [Defaults Upon Senior Securities](index=31&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities during the period - None[144](index=144&type=chunk) [Mine Safety Disclosures](index=31&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section is not applicable to the company - Not Applicable[145](index=145&type=chunk) [Other Information](index=32&type=section&id=Item%205.%20Other%20Information) This section discloses that subsequent to the filing of the 2022 Annual Report, the company identified and corrected immaterial misstatements in prior period financial statements related to intercompany balances and right of return assets, revising affected fiscal years and interim periods accordingly - The company identified and corrected immaterial prior period misstatements related to intercompany balances and right of return assets, electing to revise its previously issued consolidated financial statements for fiscal years 2021 and 2022, and interim periods[147](index=147&type=chunk) [Exhibits](index=35&type=section&id=Item%206.%20Exhibits) This section provides an index of all exhibits filed as part of the Quarterly Report on Form 10-Q, including certifications by the CEO and CFO, and XBRL data files

The Beauty Health Company (NASDAQ:SKIN) Q2 2023 Earnings Conference Call August 9, 2023 8:30 AM ET Company Participants Eduardo Rodriguez - Senior Director, M&A and Investor Relations Andrew Stanleick - President, Chief Executive Officer & Director Liyuan Woo - Chief Financial Officer Brad Hauser - Chief Operating Officer Michael Monahan - Incoming Chief Financial Officer Conference Call Participants Oliver Chen - TD Cowen Korinne Wolfmeyer - Piper Sandler & Co. Margaret Kaczor - William Blair Jon Block - S ...

Today's agenda In addition to results determined in accordance with accounting principles generally acospled in the United Statesof Americal (G40P), nanggement utilizes sertain nor-GAAP selling and nraketing expense, adjusted reseach and development expense, adjusted generaland administrative expense, and adjusted EBTDA for purposes of e-dauding grogong g purposes: Maraqqenent believes: that these non-GAP financial measures, when reviewed collectively with the Company is GAPP financial infromation provide u ...

◆ BEAUTYHEALTH® Q1 2023 Earnings Presentation May 10, 2023 Disclaime This Pesentation contains seriain fonard dobing statements. These statements may relate to, but re not limited to, expectations of fitnancial performance of The Beauty Wea expend flores, the htoduction of new products, expansion into new markets and the ability it execute certain strategul intistial ws. Some of the forward-booking schaments s "acped:" "suggeds," "dan: ""telieve," "fricend," "colinets," "thoreds," "broyads" "would" "would" ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________ to __________. Commission File Number: 001-39565 The Beauty Health Company (Exact name of registrant as specified in its charter) (State or other jurisdiction of ...