Beauty Health (NASDAQ:SKIN) Issues Quarterly Earnings Results

Beauty Health (NASDAQ:SKIN) posted its earnings results on Thursday. The company reported ($0.14) EPS for the quarter, topping analysts’ consensus estimates of ($1.33) by $1.19, FiscalAI reports. Beauty Health had a negative return on equity of 47.83% and a negative net margin of 9.79%. The business had revenue of $69.17 million during the quarter, compared to analyst estimates of $67.97 million.

Here are the key takeaways from Beauty Health’s conference call:

• Third-quarter revenue was $69.2 million, down 2.1% year over year, a smaller decline than in the first half; consumables returned to growth, up 1.2%. The company said U.S. performance and commercial initiatives are encouraging, though consumables revenue per system remains below last year.
• Profitability improved: adjusted EBITDA rose about 50% to $13.4 million, and GAAP operating income was positive for a second consecutive quarter. The company raised its 2026 adjusted EBITDA outlook to $48 million–$50 million, while noting Q3 benefited from a one-time tariff refund and that Q4 margins are expected to moderate.
• Equipment sales remain the main headwind: delivery-system revenue fell 9.9%, with 798 systems placed versus 875 a year earlier. EMEA revenue declined 11.7%, and management acknowledged that improving equipment conversion and regional execution will take further work.
• Management is targeting more recurring revenue by increasing treatment utilization across its installed base and expanding its product range; SkinStylus consumables grew 39% year over year. New Hydrafacial products and a U.S. rental program are early-stage initiatives, while the next-generation Hydrafacial platform is targeted for 2028.
• The company repaid its $103.2 million 2026 convertible notes as planned and ended the quarter with $112.4 million in cash. Approximately $250 million of convertible debt remains due in Q4 2028, which management expects to address in 2027.

Beauty Health Stock Performance

Shares of SKIN traded up $5.36 during trading hours on Friday, hitting $15.71. The stock had a trading volume of 433,975 shares, compared to its average volume of 44,874. The company has a debt-to-equity ratio of 4.36, a current ratio of 1.76 and a quick ratio of 1.48. Beauty Health has a 12 month low of $9.68 and a 12 month high of $34.80. The firm has a market capitalization of $102.27 million, a PE ratio of -5.73 and a beta of 1.05. The stock has a fifty day moving average price of $12.30 and a 200 day moving average price of $16.38.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on SKIN shares. Canaccord Genuity Group set a $11.00 price objective on Beauty Health and gave the stock a “hold” rating in a report on Thursday, October 22nd. Stifel Nicolaus set a $10.00 target price on shares of Beauty Health in a research note on Thursday, October 15th. Jefferies Financial Group reaffirmed a “hold” rating and set a $11.00 price target (up from $0.85) on shares of Beauty Health in a report on Monday, October 19th. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Beauty Health in a report on Wednesday, October 21st. Finally, Zacks Research lowered shares of Beauty Health from a “strong-buy” rating to a “hold” rating in a research note on Monday, July 20th. One research analyst has rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $18.00.

Beauty Health Company Profile

BeautyHealth is a global health and beauty company focused on providing technology, products and services for aesthetic and skincare businesses. Its flagship brand, HydraFacial, offers a non-invasive treatment platform that combines cleansing, exfoliation, extraction and hydration, with treatments delivered through proprietary devices and consumable solutions.

The company also provides professional skincare products, treatment systems and related solutions designed for use by physicians, dermatologists, aestheticians and other licensed practitioners.