NASDAQ$OLPX

OLAPLEX HOLDINGS INC · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Olaplex's net sales increased by 9.2% to $176.5 million, driven by growth in the Specialty Retail channel and international markets, while diluted EPS was $0.09.

Olaplex reported a 9.2% increase in net sales to $176.5 million for the third quarter of 2022. The growth was primarily driven by a 60.1% increase in the Specialty Retail channel and a 27.8% increase in international net sales. Diluted EPS was $0.09, compared to $0.08 in the third quarter of 2021.

  • Net sales increased 9.2% to $176.5 million.
  • Specialty Retail net sales increased 60.1% to $74.2 million.
  • Professional net sales declined 16.0% to $63.0 million.
  • Direct-To-Consumer net sales declined 2.6% to $39.3 million.

Headline financials

Total Revenue

$176M

Previous: $162M+9.2%
EPS (adj)

$0.11

Previous: $0.11+0.0%
Gross Profit Margin

73.6%

Previous: 78.9%-6.7%
Adjusted EBITDA Margin

57.8%

Previous: 66.1%-12.6%
Capital Expenditures

-$100K

Previous: -$859K+88.4%
Free Cash Flow

$60.7M

Previous: $55.7M+8.8%
Net Income

$60.8M

Previous: $56.6M+7.4%
Operating Income

$88.7M

Previous: $87M+1.9%
Gross Profit

$130M

Previous: $127M+1.8%
Cash & Equivalents

$249M

Previous: $121M+105.3%
Total Assets

$1.7B

Previous: $1.49B+13.6%
Stock-Based Comp

$2.03M

Previous: $1.95M+4.4%

Revenue & EPS history

Olaplex · Revenue · Quarterly

$176M

Q3 2022+9.2%vs Q3 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Olaplex · $177M total across 3 segments · Q3 2022

  • Specialty Retail
    $74.2M+60.3%
  • Professional
    $63M-16.0%
  • Direct-To-Consumer
    $39.3M-2.5%

Forward guidance

The Company re-affirmed its updated guidance for fiscal year 2022 on net sales, adjusted net income and adjusted EBITDA, as initially disclosed by the Company on October 18, 2022.

Tailwinds

  • Net Sales $704 - $711 million
  • Adjusted Net Income $303 - $307 million
  • Adjusted EBITDA $425 - $431 million
  • Implied expectation for net sales growth by channel and geography in the fourth quarter remains consistent with its disclosure on October 18, 2022.
  • Inventory rebalancing across certain of its customers expected to normalize by the end of the first quarter 2023.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-0.7%

Avg return

Earnings day

+0.0%

Avg return

5 days after

+6.8%

Avg return

30 days after

43%

10 / 23 earnings

Positive

+24.6%

Q3 2023

Best reaction

-21.6%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.2%-0.2%-0.2%
Q4 2025-17.0%-27.0%+14.0%
Q3 2025+1.9%+7.5%+17.9%
Q1 2025+3.0%-3.8%-1.5%
Q4 2024+21.7%+10.9%-15.6%
Q3 2024-4.5%-5.0%+19.6%
Q2 2024-0.5%+0.0%+24.3%
Q1 2024+15.0%+8.6%+27.1%
Q4 2023-5.7%-3.1%-0.5%
Q3 2023+24.6%+26.1%+83.3%
Q2 2023-21.6%-27.2%-31.4%
Q1 2023-10.6%-11.8%-6.3%
Q4 2022-15.3%-14.0%-24.4%
Q3 2022+13.8%+26.9%+20.7%
Q2 2022-9.7%-4.8%-25.9%
Q1 2022+6.2%+16.0%+25.3%
Q1 2021+6.2%+16.0%+25.3%
Q1 2020+9.2%+2.9%+6.8%
Q4 2021+9.2%+2.9%+6.8%
Q2 2021-10.4%-5.2%-2.2%
Q3 2021-10.4%-5.2%-2.2%
Q3 2020-10.4%-5.2%-2.2%
Q4 2020-10.4%-5.2%-2.2%
Q2 2020

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