The Beauty Health Company Reports First Quarter Results for The HydraFacial Company

Rhea-AI Summary

The Beauty Health Company (NASDAQ: SKIN) reported first quarter 2021 results for HydraFacial, showing strong growth. Net sales reached $47.5 million, up 46% year-over-year, driven by a rise in delivery system sales to $25.6 million and consumables sales of $21.9 million. Gross margin improved to 66.8%, while operating income was $2.4 million compared to a loss of $7.3 million in Q1 2020. However, the company still posted a net loss of $3.3 million, though this was an improvement from $9.1 million in the same quarter last year.

Positive

• Net sales increased 46% year-over-year to $47.5 million.
• Gross margin improved to 66.8% compared to 58.2% in Q1 2020.
• Operating income of $2.4 million, up from an operating loss of $7.3 million in Q1 2020.
• Adjusted EBITDA reached $7.0 million, a significant improvement from an adjusted loss of $2.1 million in Q1 2020.

Negative

• Net loss of $3.3 million, although improved from $9.1 million in Q1 2020.

The Beauty Health Company (NASDAQ: SKIN), today announced first quarter 2021 financial results for The HydraFacial Company (“HydraFacial”), a global category-creating beauty health company.

First Quarter Financial Highlights:

• As previously announced by HydraFacial, Q1 net sales of $47.5 million, increased 46% and 37% from Q1 2020 and Q1 2019, respectively.
  • Q1 delivery system sales increased to $25.6 million, compared to $14.1 million in Q1 2020 and $17.0 million in Q1 2019.
  • Q1 consumables sales increased to $21.9 million, compared to $18.5 million in Q1 2020 and $17.7 million in Q1 2019.
• Q1 gross margin increased to 66.8% compared to 58.2% in Q1 2020 and Q1 adjusted gross margin increased to 72.2% compared to 66.3% in Q1 2020.
• Q1 operating income was $2.4 million compared to an operating loss of $7.3 million in Q1 2020.
• Q1 net loss was $3.3 million compared to a net loss of $9.1 million in Q1 2020.
• Q1 adjusted EBITDA was $7.0 million compared to an adjusted EBITDA loss of $2.1 million in Q1 2020.

Key Operational and Business Metrics:

	Three months ended March 31,
(dollars in millions)	2021				2020
Delivery Systems net sales	$	25.6			$	14.1
Consumables net sales	$	21.9			$	18.5
Total net sales	$	47.5			$	32.5
Gross profit	$	31.7			$	18.9
Gross margin	66.8		%		58.2		%
Net loss	$	(3.3)			$	(9.1)
Adjusted EBITDA	$	7.0			$	(2.1)

FAQ

What are the first quarter 2021 financial results for SKIN?

The first quarter 2021 results for SKIN show net sales of $47.5 million, a 46% increase from the previous year.

How did SKIN's gross margin perform in Q1 2021?

SKIN's gross margin increased to 66.8% in Q1 2021, up from 58.2% in Q1 2020.

What was SKIN's operating income in Q1 2021?

The operating income for SKIN in Q1 2021 was $2.4 million, compared to a loss of $7.3 million in Q1 2020.

What is the net loss reported by SKIN for Q1 2021?

SKIN reported a net loss of $3.3 million for Q1 2021, improved from a net loss of $9.1 million in Q1 2020.

How much did SKIN earn in adjusted EBITDA during Q1 2021?

SKIN's adjusted EBITDA for Q1 2021 was $7.0 million, compared to an adjusted loss of $2.1 million in Q1 2020.