Waldencast plc

Waldencast plc reported FY 2025 net revenue of $272.1M, down 0.7% YoY from $273.9M, driven by U.S. direct-to-consumer (+$12.6M) and U.S. retail (+$3.9M) growth offset by international Milk Makeup declines (-$19.8M). Gross profit fell 4.6% to $183.0M (67.3% margin vs. 70.0% prior), impacted by inventory write-offs and product mix. Operating loss widened to -$217.5M from -$58.6M, primarily due to $152.0M goodwill impairment ($132.1M Obagi Medical, $20.0M Milk Makeup) and $248.0M SG&A. Net loss attributable to Class A shareholders was -$229.7M or -$2.01/share (vs. -$42.4M or -$0.39 prior). Cash position strengthened to $31.9M (up $15.6M), supported by $82.5M trademark sale proceeds and $76.2M investing inflow, offset by $47.2M financing outflow from debt refinancing. Debt stands at $136.5M net under Lumina facility (14.75% PIK interest). Strategic moves include Novaestiq acquisition for HA fillers and Japan trademark divestiture. Ongoing SEC investigation and material weaknesses persist, with remediation targeted for 2026 SOX compliance.

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