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  • Beauty Health (SKIN) Stock Rose Ahead Of Financial Results

    Beauty Health (SKIN) Stock Rose Ahead Of Financial Results

    The Beauty Health Company (NASDAQ: SKIN) shares exhibited an upward trajectory on Monday, registering an 8.33% increase to conclude the trading session at $3.90. This surge in the Beauty Health stock occurred in anticipation of the release of its quarterly results, which were made public after the close of the regular session.

    On Monday, Beauty Health (SKIN) disclosed its financial outcomes for the third quarter concluding on September 30, 2023. In the third quarter, SKIN reported a 10% rise in year-over-year net sales, reaching $97.4 million. The growth was fueled by strong performance in the Asia-Pacific region, specifically in China, and in EMEA.

    The company faced $63.1 million in restructuring charges linked to upgrading early-generation Syndeo devices during the quarter, somewhat overshadowing lower-than-expected U.S. revenue. As of December 31, 2022, the company held nearly $568 million in cash and cash equivalents which rose to $559 million at the end of reported period.

    In Q3 2023, SKIN incurred a net loss of $(73.8) million, compared to $(0.1) million in Q3 2022. This change from the previous year was primarily attributable to costs associated with the Syndeo Program. In order to maintain its commitment to customers and safeguard brand reputation, the management of Beauty Health decided that, concerning Syndeo devices, only Syndeo 3.0 devices will be marketed and sold due to issues with the provider experience with earlier generation Syndeo devices.

    SKIN will offer, at no charge to the customer, the option of a technician upgrade to Syndeo 1.0 or 2.0 devices to meet 3.0 standards in the field, or a replacement Syndeo 3.0 device for their existing one. As a gesture of gratitude to providers, Beauty Health will also extend all Syndeo warranties by one year.

    The decision to declare all Syndeo 1.0 and 2.0 devices obsolete led to a $18.8 million write-down in cost of sales for the three months ending September 30, 2023, classified as an inventory writedown. As part of the Syndeo Program, SKIN also faced $12.3 million in costs, along with an estimated $32.1 million for remediating, upgrading, or exchanging the remaining Syndeo 1.0 and 2.0 devices.

  • Beauty Health Co. (SKIN) stock Rallies After Hours on Record Q4 & Fiscal 2021 Results

    Beauty Health Co. (SKIN) stock Rallies After Hours on Record Q4 & Fiscal 2021 Results

    Beauty Health Co. (SKIN) declared its Q4 and fiscal 2021 results on February 22, 2022. Consequently, the stock rallied in the after-hours session.

    It seems investors were not sure of the company’s earnings and expected not-so-good results as the stock declined in the regular session. SKIN stock fluctuated between $12.78 and $13.60 at 2.5 million shares during regular trading. The stock closed the session at $12.84, losing a value of 4.18% or $0.56. Following the announcement, the stock rebounded to add 13.40% in the after-hours session. Hence, SKIN stock was trading at a price of $14.56 per share in the after-hours session on Tuesday.

    The serum-based hydradermabrasion systems and aesthetic products manufacturer, Beauty Health Co. was founded in 1997. Currently, the company has a market capitalization of $2.01 billion with 149.64 million shares outstanding. 2022 has not been fruitful for the stock thus far, as it has lost 46.85% year to date. Comparatively, SKIN added 12.83% last year.

    SKIN’s Q4 2021

    In Q4 2021, the company had net sales of $77.9 million with a growth of 105.6% YOY. This compares to $37.9 million in Q4 2020.

    Moreover, SKIN had an adjusted net income of $1.6 million in Q4 2021, against an adjusted net loss of $2.0 million in the year-ago quarter.

    Furthermore, the company reported adjusted EBITDA of $8.5 million against $3.6 million in the prior-year period.

    The company ended the quarter with cash and cash equivalents of $901.9 million on December 31, 2021. Comparatively, the same was just $9.5 million on December 31, 2020.

    Future Guidance

    For fiscal 2022, the company expects the net sales to be between $320.0 million and $330.0 million. The expected adjusted EBITDA for fiscal 2022 is $50.0 million approx. Additionally, $20.0 million is expected in capital expenditure for fiscal 2022.

    Additions to SKIN’s Team

    On January 20, 2022, the company announced the appointment of Andrew Stanleick as the President and CEO, effective February 07, 2022. In addition, he was also appointed to the company’s board of directors.

    On January 10, SKIN had announced Kellie Sears as the Chief Human Resource Officer of the company.

    Recent Participation

    Recently, the company’s CFO participated in a fireside chat at the 2022 ICR Conference on Tuesday, January 11, 2022.

    Conclusion

    In conclusion, the company posted better-than-expected earnings on Tuesday. The company beat both its earnings and revenue expectations for the quarter. Greatly impressing the investors, the stock rebounded in the after-hours and soared high.