Waldencast (WALD) Q2 2026 earnings summary

Executive summary

• Completed sale of Obagi Medical for up to $460 million, marking a strategic shift to focus solely on Milk Makeup.

• Fully repaid $178.4 million in debt, significantly strengthening the balance sheet.

• Announced voluntary delisting from Nasdaq and plans to trade over-the-counter under the ticker “MLKM.”

• Leadership team rebuilt, with new executives across creative, finance, marketing, and operations.

Financial highlights

• Net revenue from continuing operations for H1 2026 was $26.1 million, down 57.1% year-over-year.

• Net loss from continuing operations increased 96.5% to $94.9 million.

• Adjusted EBITDA from continuing operations was $(23.2) million, compared to $0.02 million in H1 2025.

• Gross margin declined to 53.7% from 67.3% year-over-year; excluding non-recurring costs, gross margin would have been 61.3%.

• Cash and cash equivalents from continuing operations rose to $138.6 million as of August 31, 2026, post-Obagi sale.

Outlook and guidance

• Targeting to double 2025 revenue over the next five years and achieve mid-20s Adjusted EBITDA margin once scale is restored (not formal guidance).

• Focused on restoring growth through core consumer engagement, innovation, and retail execution.