Results above expectations

For the quarter ended March 31, Oddity reported adjusted earnings per diluted share of $0.69, up from $0.61 in Q1 2024. This result easily exceeded the  FactSet consensus of $0.62.

Revenue also rose sharply, reaching $268.1m, compared with $211.6m a year ago, representing growth of 27%. Here again, results exceeded expectations of $260.6m. Adjusted EBITDA came in at $52m, corresponding to a margin of 19.5%, demonstrating a particularly profitable business model. Another notable indicator is free cash flow, which amounted to $87m, confirming the company's strong self-financing capacity.

Uninterrupted growth trajectory

According to Oran Holtzman, CEO and co-founder of Oddity, this quarter marks the eighth consecutive quarter of exceeding forecasts since the IPO. In an economic environment that remains uncertain, this consistency is seen as proof of the resilience of the company's business model. Driven by these results, Oddity has raised its annual forecast, now expecting revenue of between $790m and $798m (up from $776m to $785m previously). Adjusted EPS for 2025 has also been raised to a range of $1.99 to $2.04 (from $1.94 to $1.98 previously). These figures are above the current consensus of $1.92.


Growth drivers: IL MAKIAGE and SpoiledChild

Oddity's brand portfolio is dominated by IL MAKIAGE, which continues to gain momentum with an ambitious target of $1bn in revenue by 2028. The IL MAKIAGE SKIN sub-segment alone is expected to account for 40% of the brand's revenue this year.

Meanwhile, SpoiledChild, a wellness and anti-aging brand, is also experiencing sustained growth, with revenues expected to exceed $200m in 2025. These results demonstrate Oddity's ability to build powerful brands around science and data.

Strategic international expansion

While 80% of Oddity's revenue still comes from the United States, the company is accelerating its international development, with a consolidated presence in the United Kingdom, Germany, Australia, and Israel. Tests are also underway in other promising markets, reflecting a desire for geographic diversification.

A third pillar to come: telehealth

Oddity is not limited to traditional beauty. The company plans to launch a telehealth platform dedicated to skin and body care in Q4, using advanced technologies such as computer vision to offer personalized treatments. This launch could open up a significant new growth lever and position Oddity at the crossroads of the beauty and health sectors.

Exemplary financial health

With $257m in cash and no debt, Oddity has significant flexibility to continue investing and seize potential acquisition opportunities. An unused $200m credit facility further strengthens this position. The company is targeting revenue growth of 22%-23% for the year and expects to maintain a gross margin of 71% and an adjusted EBITDA margin of 20%, despite significant investments in innovation and expansion.

A company to watch closely

Oddity Tech continues to prove that it is not just a fleeting digital success story, but a company that is transforming its industry. With a cutting-edge technology strategy, disciplined execution, and a capacity for continuous innovation, it is establishing itself as one of the most promising players in the global beauty market. While the 30% rise in the share price following the release of the results reflects investor enthusiasm, the company's valuation remains high. The coming quarters will therefore be important to monitor in order to confirm the company's ability to maintain this rapid and profitable growth.