Waldencast plc(US:WALD)2024-04-30 10:40Financial Performance - Waldencast reported FY2023 Net Revenue of $218.1 million, a 31.4% increase from $166.1 million in FY2022[2][10] - Group Combined Comparable Revenue reached $212.5 million, reflecting a 15.3% growth compared to $184.3 million in 2022[2][10] - Group Combined Adjusted EBITDA improved to $24.4 million in FY2023, up from a loss of $8.8 million in FY2022, achieving an Adjusted EBITDA Margin of 11.2%[2][10] - The company reported a comprehensive loss of $106,115,000 for the year ended December 31, 2023[22] - The net loss for the year was $105,968, representing 48.6% of net revenue[36] - The net loss attributable to Class A shareholders for the year ended December 31, 2023, was $89,981,000, compared to $95,567,000 in the previous year[22] - The basic and diluted net loss per share attributable to Class A shareholders was $(0.99) for the year ended December 31, 2023[22] - The company incurred interest expense of $18,906,000 for the year ended December 31, 2023, compared to $6,652,000 in the previous year[22] Revenue Breakdown - Obagi Skincare's U.S. GAAP Net Revenue was $117.7 million in FY2023, down from $134.9 million in FY2022, with Comparable Net Revenue slightly increasing to $112.0 million[3][10][14] - Milk Makeup achieved U.S. GAAP Net Revenue of $100.5 million in FY2023, representing a 38.6% increase from $72.5 million in FY2022[3][10][17] - For the year ended December 31, 2023, the total net revenue was $218,138, with Obagi contributing $117,651 and Milk contributing $100,487[36] - Obagi's net revenue for the year ended December 31, 2023, was $117,651,000, a decrease of 12.8% from $134,850,000 in the previous year[23] - Milk's net revenue for the year ended December 31, 2023, was $100,487,000, reflecting a growth of 38.6% from $72,501,000 in the previous year[23] Adjusted EBITDA and Profitability - Milk Makeup's Adjusted EBITDA rose to $18.4 million in FY2023, compared to $6.9 million in FY2022, driven by strong sales growth and improving gross margin[10][18] - Adjusted EBITDA for the year ended December 31, 2023, was $24,395,000, representing a significant increase of 378.4% from the previous year[23] - Adjusted EBITDA for Obagi was $20,814, while Milk's adjusted EBITDA was $18,404 for the year ended December 31, 2023[40] - Gross profit for the year ended December 31, 2023, was $141,577,000, compared to $42,892,000 for the period from July 28, 2022, to December 31, 2022[22] - Gross profit for the year was $141,577, resulting in a gross margin of 64.9%[43] - The adjusted gross profit was $150,415, leading to an adjusted gross margin of 69.0%[43] Debt and Financial Position - As of December 31, 2023, Waldencast had net debt of $141.8 million, a reduction from $176.1 million at the end of 2022[10] - The net debt position as of December 31, 2023, was $141,754,000 after accounting for cash and cash equivalents of $21,089,000[45] Strategic Initiatives and Future Outlook - The company expects Group Comparable Net Revenue for Q1 2024 to grow by approximately 20% compared to Q1 2023[3] - The company plans to expand its brand presence internationally, particularly in Southeast Asia, following the acquisition of a local distributor[17] - Waldencast aims to build a global beauty and wellness platform by developing and acquiring high-growth brands, starting with Obagi Skincare and Milk Makeup[48] - The company emphasizes operational scale and market responsiveness to enhance brand performance and mitigate category fluctuations[48] - Waldencast's strategic initiatives include continuous innovation in existing products and responding to market trends and consumer preferences[52] - The company faces risks related to the integration of acquired brands and potential volatility in its securities[52] Shareholder Information - The diluted share count as of April 15, 2024, was 126,341,388 shares[47] - Waldencast has reserved 9,605,199 shares for future employee incentive awards as of April 15, 2024[47]