ODDITY Tech Reports Third Quarter Financial Results
ODDITY Tech Ltd. (NASDAQ: ODD) has recently released its financial outcomes for the third quarter, marking a significant achievement. The company reported a net revenue of $148 million for this period, highlighting a remarkable growth of 24% compared to the previous year.
Overall Revenue and EBITDA Growth
During the first nine months, ODDITY recorded a total net revenue of $657 million, reflecting a year-over-year increase of 26%. The impressive adjusted EBITDA for the third quarter stood at $29 million, contributing to a total of $151 million for the nine-month period.
Profitability Highlights
The financial performance of ODDITY is impressive, with a net income of $18 million reported for the third quarter. Additionally, adjusted net income reached $25 million, marking a 26% increase from $20 million during the same period last year.
Cash Flow and Financial Position
ODDITY demonstrated strong operational efficiency with an operating cash flow of $93 million, complemented by a robust free cash flow of $90 million. As of the end of the third quarter, the company boasts a solid cash position, totaling $793 million, aided by undrawn credit facilities amounting to $200 million.
Strategic Initiatives and New Brand Launch
CEO Oran Holtzman expressed optimism regarding the company’s future, stating, "ODDITY delivered strong third quarter results, including financial performance that again exceeded our guidance across revenue, profit, and earnings per share. We are positioned well for a robust finish to the year, with various engines driving our growth as we invest in new brands, ODDITY Labs, and technological innovations." Among the recent initiatives is the official launch of their latest brand, METHODIQ, aimed at transforming medical care through cutting-edge technology.
Financial Expectations Moving Forward
In light of these positive results, ODDITY has adjusted its full-year financial outlook for 2025. The projected net revenue is expected to range between $806 million and $809 million, indicating year-over-year growth between 24% and 25%. The company aims for a gross margin of approximately 72.5% and anticipates an adjusted EBITDA between $161 million and $163 million.
Preparations for Q4
Looking forward to the fourth quarter, ODDITY expects to generate net revenue between $149 million and $152 million, which represents a year-over-year growth of 21% to 23%. The accompanying gross margin is anticipated to be around 69%, with adjusted EBITDA projected between $10 million and $12 million.
Frequently Asked Questions
What were ODDITY Tech's Q3 net revenues?
ODDITY Tech reported net revenues of $148 million for the third quarter, marking a 24% increase year-over-year.
How has ODDITY's adjusted EBITDA changed in the third quarter?
The adjusted EBITDA for the third quarter reached $29 million, showcasing significant growth compared to the previous year.
What is ODDITY's outlook for the full year ending December 31, 2025?
The company anticipates net revenue between $806 million and $809 million, with a gross margin goal of approximately 72.5%.
What initiatives is ODDITY pursuing for future growth?
ODDITY plans to invest in new brands, ODDITY Labs, and leverage technological innovations to drive future growth.
What are the projections for the fourth quarter of 2025?
For Q4, ODDITY expects net revenue between $149 million and $152 million with a projected adjusted EBITDA ranging from $10 million to $12 million.
