The Beauty Health pany(SKIN) - 2024 Q4 - Annual Results

Financial Performance - Fourth quarter net sales were $83.5 million, a decrease of 13.8% compared to Q4 2023, primarily due to lower delivery systems net sales[8] - Full year net sales for 2024 totaled $334.3 million, down 16.0% from the previous year, attributed to reduced delivery systems net sales[8] - Net sales for Q4 2024 were $83.5 million, a decrease of 13.6% from $96.8 million in Q4 2023[18] - Gross profit increased to $52.3 million in Q4 2024, up 14.4% from $45.7 million in Q4 2023, resulting in a gross margin of 62.7% compared to 47.2%[24] - Total operating expenses decreased to $59.5 million in Q4 2024, down 7.0% from $64.0 million in Q4 2023[18] - The net loss for the year ended December 31, 2024, was $29.1 million, significantly improved from a net loss of $100.1 million in 2023[23] - Adjusted EBITDA for Q4 2024 was $9.0 million, compared to $3.4 million in Q4 2023, reflecting lower operational spending and higher gross margins[8] - Adjusted EBITDA for Q4 2024 was $9.0 million, with an adjusted EBITDA margin of 10.8%, compared to $3.4 million and 3.5% in Q4 2023[26] Cash and Assets - Cash and cash equivalents were approximately $370.1 million as of December 31, 2024, down from $523.0 million a year earlier, mainly due to the repurchase of convertible senior notes[8] - Cash, cash equivalents, and restricted cash decreased to $370.1 million as of December 31, 2024, down from $523.0 million at the end of 2023[20] - Total assets decreased to $685.7 million in 2024, down from $929.1 million in 2023[20] Market and Operational Insights - The company placed 1,087 delivery systems in Q4 2024, down from 1,551 in the prior year, indicating challenges in the macroeconomic environment[8] - The active install base grew to 34,735 units in 2024, up from 31,446 in 2023, contributing to increased consumable net sales[5] - The company plans to convert its China market from a direct sales to a distributor model in 2025, as part of its strategic evaluation[5] - Research and development expenses were $1.2 million in Q4 2024, a decrease from $3.0 million in Q4 2023[18] Risks and Forward-Looking Statements - The Beauty Health Company emphasizes the importance of managing growth and executing its business plan effectively[31] - The company acknowledges potential litigation risks that may impact its operations[31] - Changes in applicable laws or regulations are identified as a significant factor that could affect the company's performance[31] - The Beauty Health Company warns that actual results may differ materially from forward-looking statements due to various risks and uncertainties[30] - The company does not undertake any obligation to update or revise forward-looking statements unless required by law[30] - The Beauty Health Company filed its Annual Report on Form 10-K for the year ended December 31, 2024, with the SEC, detailing risk factors[31] - The company highlights the potential adverse effects from economic, business, and competitive factors[31] - The forward-looking statements are not guarantees of future performance and involve known and unknown risks[30] - The company encourages caution in relying on forward-looking statements due to inherent uncertainties[30] Investor Relations - Contact information for investor relations and press inquiries is provided for further communication[32]