Oddity Tech (ODD) Q1 2025 earnings summary

Executive summary

• Q1 2025 results exceeded expectations, with revenue and EBITDA beating guidance for the eighth consecutive quarter since going public.

• Achieved 27% year-over-year net revenue growth for Q1 2025, demonstrating strong momentum.

• Strategic focus remains on scaling D2C brands, international expansion, launching new brands, and advancing ODDITY LABS.

• Ongoing investments in technology, data-driven customization, and science-backed products underpin growth.

• Maintained a strong balance sheet with $257 million in cash and no debt.

Financial highlights

• Q1 2025 revenue grew 27% year-over-year to $268 million, surpassing guidance.

• Adjusted EBITDA reached $52 million, with a 19.5% margin; free cash flow was $87 million.

• Gross margin expanded to 74.9%, up 116 basis points year-over-year, exceeding guidance.

• Adjusted diluted EPS was $0.69, above guidance of $0.61–$0.63.

• Ended Q1 with $257 million in cash and investments, zero debt, and an undrawn $200 million credit line.

Outlook and guidance

• Full-year 2025 revenue expected between $790–$798 million, representing 22–23% growth.

• Gross margin outlook raised to 71% for the year; Adjusted EBITDA guidance increased to $157–$161 million.

• Adjusted EPS outlook raised to $1.99–$2.04, assuming a 20% tax rate and no share buyback.

• Q2 2025 guidance: net revenue $235–$239 million (22–24% growth), gross margin ~70.5%.

• Tariff and supply chain impacts expected to be manageable, with 50–100 bps gross margin headwind.