Beauty Health (NASDAQ:SKIN) Issues Quarterly Earnings Results

Beauty Health (NASDAQ:SKIN) announced its earnings results on Thursday. The company reported ($0.02) earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of ($0.02), FiscalAI reports. Beauty Health had a negative net margin of 9.79% and a negative return on equity of 46.83%. The company had revenue of $72.09 million during the quarter, compared to analysts’ expectations of $74.45 million.

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

• Revenue declined 7.8% to $72.1 million, with Delivery Systems down 18.4% as providers remained cautious on capital spending and consumables down 3.5% amid lower treatment utilization. The company cited intensified competition and consumers spreading spending across more aesthetic treatments.
• Adjusted EBITDA rose to $17 million, above guidance of $11 million-$13 million, supported by a 590-basis-point expansion in adjusted gross margin to 71.8%, lower operating expenses, and cost discipline.
• The company lowered its 2026 revenue outlook to $280 million-$290 million but raised adjusted EBITDA guidance to $39 million-$46 million. Third-quarter guidance calls for revenue of $65 million-$70 million and adjusted EBITDA of $5 million-$7 million, with higher R&D and commercial investment expected in the second half.
• Management launched a U.S. device rental program to reduce upfront costs and expand the HydraFacial addressable market, while a clinically validated booster is expected in the fourth quarter. HydraScalp and SkinStylus are also gaining traction, and a next-generation HydraFacial platform remains targeted for 2028 alongside a new U.S. device planned for 2027.
• The company faces an approximately $103 million convertible-note maturity in October 2026 and plans to repay it with cash on hand, which is expected to leave roughly $100 million at year-end. It also received a Nasdaq notice for trading below the $1 minimum bid price and will seek shareholder approval for a reverse stock split on September 22.

Beauty Health Trading Down 13.9%

Shares of NASDAQ:SKIN traded down $0.11 during trading on Friday, reaching $0.66. The stock had a trading volume of 903,716 shares, compared to its average volume of 771,224. The company has a quick ratio of 1.48, a current ratio of 1.79 and a debt-to-equity ratio of 4.37. The stock has a market cap of $85.67 million, a P/E ratio of -3.00 and a beta of 1.07. The business has a fifty day moving average price of $0.73 and a 200-day moving average price of $0.92. Beauty Health has a fifty-two week low of $0.55 and a fifty-two week high of $2.69.

Analyst Ratings Changes

A number of research analysts have recently weighed in on SKIN shares. Zacks Research cut shares of Beauty Health from a “strong-buy” rating to a “hold” rating in a research note on Monday, July 20th. Weiss Ratings cut Beauty Health from a “sell (d-)” rating to a “sell (e+)” rating in a report on Thursday, July 23rd. Roth Capital reissued a “buy” rating and set a $2.00 price target (down from $2.50) on shares of Beauty Health in a research report on Wednesday, May 20th. Finally, Canaccord Genuity Group reduced their price objective on Beauty Health from $1.50 to $1.00 and set a “hold” rating on the stock in a research report on Friday, May 1st. One research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $1.52.

Institutional Trading of Beauty Health

Hedge funds and other institutional investors have recently bought and sold shares of the company. Woodline Partners LP lifted its holdings in shares of Beauty Health by 255.9% during the 3rd quarter. Woodline Partners LP now owns 5,930,027 shares of the company’s stock worth $11,801,000 after acquiring an additional 4,263,997 shares during the period. Millennium Management LLC grew its holdings in Beauty Health by 127.0% in the fourth quarter. Millennium Management LLC now owns 5,764,802 shares of the company’s stock valued at $8,013,000 after purchasing an additional 3,225,668 shares during the period. Soleus Capital Management L.P. purchased a new stake in Beauty Health in the second quarter valued at approximately $1,910,000. Geode Capital Management LLC increased its position in Beauty Health by 27.5% during the second quarter. Geode Capital Management LLC now owns 2,302,784 shares of the company’s stock worth $4,399,000 after purchasing an additional 496,963 shares during the last quarter. Finally, Bank of America Corp DE raised its stake in Beauty Health by 482.3% during the third quarter. Bank of America Corp DE now owns 336,382 shares of the company’s stock worth $669,000 after purchasing an additional 278,616 shares during the period. 93.26% of the stock is owned by hedge funds and other institutional investors.

Beauty Health Company Profile

Beauty Health Company (NASDAQ: SKIN) is a U.S.-based consumer wellness and beauty enterprise that integrates device-based and product-based offerings across skin, body and hair wellness categories. The company operates a portfolio of established brands that blend professional and at-home solutions, focusing on innovative formulations and technologies to address a range of beauty and self-care needs. Through its proprietary e-commerce platforms and strategic retail partnerships, Beauty Health seeks to deliver premium experiences and tangible results to a global customer base.

Beauty Health’s brand portfolio includes Sol de Janeiro, known for its award-winning Brazilian Bum Bum Cream body care collection; Elemis, a U.K.-originated professional skin care line distributed in spas and skincare clinics; NuFACE and Dermaflash, two at-home beauty device brands specializing in microcurrent facial toning and gentle exfoliation respectively; and Nutrafol, a legal-strength hair wellness supplement clinically designed to support hair growth.