Waldencast Reports Q2 2024 Financial Results

Core Insights - Waldencast plc reported a net revenue of $63.3 million for Q2 2024, reflecting a 28.2% increase compared to Q2 2023, with a comparable growth of 25.7% driven by strong performances from Obagi Medical and Milk Makeup [1][11][17]. Financial Performance - The adjusted EBITDA for Q2 2024 was $6.3 million, representing a 64.5% increase from Q2 2023, with an adjusted EBITDA margin of 10.0% [1][14]. - Gross profit for Q2 2024 was $44.6 million, up from $31.2 million in Q2 2023, leading to an adjusted gross profit margin improvement to 75.0% [12][18]. - The net loss for Q2 2024 was $9.0 million, an improvement from a net loss of $23.5 million in Q2 2023, primarily due to fair value adjustments related to warrants [13][14]. Brand Performance - Obagi Medical achieved net revenue of $34.6 million in Q2 2024, a 35.9% increase year-over-year, with a comparable growth of 30.9% [19]. - Milk Makeup reported net revenue of $28.7 million, reflecting a 20.0% growth compared to Q2 2023, despite facing stock shortages [20]. - Both brands demonstrated significant growth in Earned Media Value (EMV), with Milk Makeup increasing by 100% and Obagi Medical by 165% year-over-year [3]. Product Innovations - Milk Makeup launched several new products, including the Hydro Grip + Glow Primer, aimed at attracting new consumers [6]. - Obagi Medical introduced two new products in its ELASTIderm® franchise, which are clinically proven to improve skin appearance [7][8]. Market Outlook - The company anticipates further acceleration in net revenue comparable growth for H2 2024, expecting adjusted EBITDA for the second half to exceed that of the first half [17]. - Waldencast is focused on increasing investments in brand development and community engagement to drive long-term growth [5].