Il Makiage and Spoiled Child owner Oddity has raised its full year guidance to between 24% and 26%.
The move follows a record second quarter for the consumer tech firm.
Net revenue for the period grew 27% year-on-year to US$193m, while adjusted EBITDA reached $62m, a massive 49% increase on Q2 2022.
“Our business is firing on all cylinders,” said Oddity’s founder and CEO Oran Holtzman.
He attributed the company’s robust Q2 figures to strong and profitable growth across its brands, categories and products.
“I see massive growth for our business ahead.
“Our early investments in technology are transforming the industry, unlocking online and delivering huge financial rewards.
“We will continue investing our powerful cash flow in technology, science and building new brands to keep us years ahead of our competitors.”
In line with this, Oddity announced its hiring of a new Chief Science Officer.
Described by Holtzman as an “experienced scientific leader”, Ido Bachelet will lead the company’s Boston-based biotech innovation hub Oddity Labs.
The MIT and Harvard Medical School alum will replace departing Evan Zhao, who joined Oddity following its acquisition of Revela, the company Zhao founded.
Holtzman added that Oddity, which floated on the Nasdaq on 19 July last year in an “oversubscribed” IPO, had also begun share buybacks “to add value to our shareholders”.
During Q2, the company repurchased 250,000 shares for $10m, with $140m remaining on the $150m buyback authorisation.
Lindsay Drucker Mann, Global CFO at Oddity, commented: “We are pleased with our financial results for the second quarter, which beat our guidance across revenue, gross margin, adjusted EBITDA and adjusted diluted EPS.
“Our excellent Q2 24 results, combined with a strong start to Q3 and our sustained high repeat rates gives us excellent visibility into achieving our full year objectives and raising our financial outlook.”
The company, which had originally expected 20% revenue growth and adjusted EBITDA for the full year, now anticipates net revenue to fall between $633m and $640m, which would represent year-over-year growth between 24% and 26%.
Full year EBITDA is slated to be between $142m and $146m, with Oddity warning that its outlook incorporates “accelerated investments in future growth initiatives”.
These are expected to have a negative impact on its adjusted EBITDA margin in the second half of the year.
Oddity’s brands, Il Makiage and Spoiled Child, are considered disruptors in the make-up and skin and hair care spaces, respectively.
Oddity said two further brands, created to “disrupt additional large beauty and wellness categories”, are under development.
This record financial performance for the tech player was despite a mid-May dip in Oddity shares, following an accusation by a short seller that it had misled its investors.
A 50-page report, released by Ningi Research, claimed the company was inflating its worth by concealing a large bricks-and-mortar business based in Israel.
The document alleged that this stood in contrast to Oddity’s claim that it is a “pure-play digitally branded platform”.
Oddity branded the report “misinformed”.
