A Scientific Breakthrough in Skin Renewal: A Clinically Proven Dual-Action, Slow-Release, Overnight Skin Renewal Cream for a Resurfaced, Smoother, and More Even-Looking Complexion "At Obagi, our mission is to transform skin. We wanted to create a retinol solution that delivers real results while being accessible to those with sensitive skin, blemish concerns, or who aren't ready for higher-strength retinoids," said Justin Giouzepis, Chief Marketing Officer of Obagi. "This formula was designed with both prof ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F (Mark One) o REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR 12(g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934: For the fiscal year ended December 31, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 OR o SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF ...

DISCLAIMER Cautionary Statement Regarding Forward-Looking Statements All statements in this release that are not historical, are forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about: Waldencast's outlook and guidance for 2025; our ability to deliver financial results in line with expectations; expectations regarding sales, earnings or other future financial performance ...

Waldencast plc (NASDAQ:WALD) Q4 2024 Earnings Conference Call March 19, 2025 8:30 AM ET Company Participants Allison Malkin - Investor Relations Michel Brousset - Founder and Chief Executive Officer Manuel Manfredi - Chief Financial Officer Conference Call Participants Jonna Kim - TD Cowen Ashley Helgans - Jefferies Linda Bolton Weiser - D.A. Davidson Olivia Tong - Raymond James Operator Greetings, welcome to the Waldencast Fourth Quarter and Fiscal Year 2024 Earnings Call. At this time, all participants ar ...

Financial Data and Key Metrics Changes - Net revenue for Q4 reached $72.1 million, a 29.4% increase year-over-year, with Milk Makeup growing 31.9% and Obagi Medical growing 27.7% [18][19] - For the full fiscal year, net revenue was $273.9 million, a 27.5% increase compared to the previous year [20] - Adjusted EBITDA for Q4 doubled to $11.2 million, with an adjusted EBITDA margin of 15.5%, reflecting strong revenue momentum [19][21] - Adjusted gross profit for the full year rose to $203.6 million, a 35.3% increase, with an adjusted gross profit margin of 74.3% [20][21] Business Line Data and Key Metrics Changes - Milk Makeup generated Q4 net revenue of $29.9 million, a 31.9% increase, with adjusted EBITDA rising to $4.8 million [28][30] - Obagi Medical achieved Q4 net revenue of $42.2 million, a 27.7% increase, with adjusted EBITDA of $9.8 million [38][39] - For the fiscal year, Milk Makeup's net revenue was $124.6 million, a 24% increase, while Obagi Medical's net revenue was $149.3 million, a 30.7% increase [30][39] Market Data and Key Metrics Changes - The prestige beauty market grew 7% in 2024, with professional skincare growing 8% and prestige makeup growing 5% [7][8] - The company noted that its brands are outperforming the market, with Milk Makeup growing five times faster than the overall beauty market rate [14][47] Company Strategy and Development Direction - The company aims to build a multi-brand platform encompassing various strategic categories and geographies, focusing on operational efficiency and brand equity [12][16] - The growth strategy for Milk Makeup includes expanding brand awareness, launching innovative products, and broadening distribution both online and offline [31][34] - Obagi Medical's strategy focuses on dermatological brand DNA, cutting-edge innovation, and increasing brand awareness to fuel growth [40][44] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of beauty consumers despite a changing macro environment, emphasizing premiumization trends [72] - The company anticipates strong performance in 2025, expecting mid-teens net revenue growth and further expansion of adjusted EBITDA margins [25][26] Other Important Information - The company secured a new $205 million credit facility, enhancing financial flexibility and extending debt maturity [24] - Cash position at the end of 2024 was $14.8 million, with an additional $30 million available on the revolving credit facility [23] Q&A Session Summary Question: Can you provide details on the cadence of innovation and confidence in sales acceleration? - Management highlighted that Q1's flat guidance is due to anniversary effects of previous successful launches and retail inventory adjustments, with expectations for strong sequential growth throughout the year [50][52][54] Question: What are the marketing strategies for the year? - Management plans to increase marketing investments, focusing on broader paid campaigns while maintaining organic growth strategies [61][63] Question: How is the macro environment affecting consumer health? - Management noted that the beauty industry remains resilient, with consumers continuing to spend on premium products despite some normalization in growth rates [70][72] Question: Will the Ulta launch affect Sephora sales? - Management confirmed that there is no loss of space at Sephora due to the Ulta launch, and the overall impact is expected to be incremental [88][90]

Core Insights - Waldencast achieved significant growth in Q4 2024, with net revenue of $72.1 million, representing a 30.8% increase year-over-year, and a 29.4% increase in comparable net revenue growth [5][12] - The company reported an adjusted EBITDA of $11.2 million, doubling from Q4 2023, reflecting strong operational performance and effective cost management [8][16] - Obagi Medical was recognized as the fastest-growing professional skincare brand in the US for 2024, driven by increased brand awareness and successful product innovations [3][13] Financial Performance - For the year ended December 31, 2024, Waldencast's net revenue reached $273.9 million, a 27.5% increase in comparable net revenue growth compared to 2023 [15][19] - The gross profit for FY 2024 was $191.7 million, with an adjusted gross profit margin of 74.3%, improving by 530 basis points from the previous year [15][19] - The net loss for FY 2024 improved to $48.6 million from $106.0 million in FY 2023, primarily due to operational growth and reduced non-recurring costs [16][19] Brand Highlights - Obagi Medical's Q4 2024 net revenue was $42.2 million, up from $32.5 million in Q4 2023, with a comparable net revenue growth of 27.7% [13][19] - Milk Makeup's Q4 2024 net revenue increased by 31.9% to $29.9 million, supported by initial shipments to Ulta Beauty and growing consumer demand [20][19] - Both brands have introduced innovative products, contributing to their growth and market presence [3][20] Strategic Initiatives - Waldencast secured a new $205 million credit facility to enhance financial flexibility and extend debt maturity, supporting its strategic priorities [10][2] - The company plans to continue expanding its distribution footprint, including the launch of Milk Makeup in over 600 Ulta Beauty locations in spring 2025 [3][18] - Waldencast aims for mid-teens net revenue growth in FY 2025, with expectations for further expansion of adjusted EBITDA margins [17][18]

Group 1 - Waldencast plc will release its Fourth Quarter and Fiscal Year 2024 results on March 18, 2025, after the U.S. market closes [1] - A conference call to discuss the results is scheduled for March 19, 2025, at 8:30 am ET, with participation details provided for investors and analysts [2] - The company aims to build a global beauty and wellness platform by developing and scaling purpose-driven brands, having completed a business combination with Obagi Skincare and Milk Makeup in July 2022 [3] Group 2 - Waldencast's business model focuses on brand-led operations, ensuring customer proximity and market responsiveness while maintaining brand distinctiveness [3] - The platform offers operational scale, expertise in managing global beauty brands, and a balanced portfolio to mitigate category fluctuations [3]

Core Insights - Waldencast plc is participating in the TD Cowen 2 Annual Glowing Ahead: Beauty & Wellness Summit on February 26, 2025, in New York [1] - CEO Michel Brousset will engage in a fireside chat presentation and host investor meetings during the summit [2] - Waldencast aims to build a global beauty and wellness platform by developing and scaling purpose-driven brands, with a focus on operational efficiency and market responsiveness [3] Company Overview - Waldencast was founded by Michel Brousset and Hind Sebti, with a vision to create a best-in-class beauty and wellness operating platform [3] - The company’s strategy includes acquiring and accelerating high-growth brands while maintaining their unique identities [3] - The initial step in this strategy was the business combination with Obagi Skincare and Milk Makeup, which allows brands to leverage operational scale and expertise [3]

Core Viewpoint - Obagi Medical has launched new skincare products, the Super Antioxidant Serum and Moisture Restore Hydration Replenishing Cream, aimed at addressing skin discoloration, oxidative stress, and hydration for all skin types [1][5]. Product Details - The Super Antioxidant Serum is designed to combat oxidative stress and improve skin brightness, containing encapsulated Silymarin and stabilized Vitamin C [3][5]. - The Moisture Restore Hydration Replenishing Cream provides multi-layered hydration using both low and high-molecular-weight Hyaluronic Acids [4][5]. Clinical Testing and Results - Clinical tests showed that 94% of subjects felt their skin was refreshed and smoother after one application, and 97% observed an improvement in overall skin appearance after two weeks [5][6]. Expert Involvement - Dr. Suzan Obagi, a leading dermatologist and Chief Medical Director at Obagi, developed these products based on her extensive research and experience treating various skin concerns, particularly hyperpigmentation and sensitive skin [2][3]. Company Background - Obagi Medical is recognized for its advanced skincare solutions, with a legacy of 35 years in the industry, initially focusing on hyperpigmentation treatment [7].

Core Viewpoint - Waldencast plc is set to announce its financial performance for the fourth quarter and full fiscal year 2024, along with the first three quarters of fiscal year 2025, through a series of press releases and conference calls [1][2][3][4][5]. Financial Performance Announcements - The company will release its fourth quarter and full fiscal year 2024 financial results after the U.S. stock market closes on March 18, 2025, followed by a conference call on March 19, 2025 [2]. - For the first quarter of fiscal 2025, the financial results will be released after the market closes on May 13, 2025, with a conference call scheduled for May 14, 2025 [3]. - The second quarter results will be announced after the market closes on August 18, 2025, with a call on August 19, 2025 [4]. - The third quarter results will be released after the market closes on November 11, 2025, with a conference call on November 12, 2025 [5]. Company Overview - Waldencast aims to build a leading global beauty and wellness platform by developing and scaling purpose-driven brands, emphasizing a brand-led business model that ensures customer proximity and market responsiveness [6]. - The company’s strategy includes leveraging operational scale, expertise in managing global beauty brands, and maintaining a balanced portfolio to mitigate category fluctuations [6].