ODDITY Tech Q1 Revenue Drops 26% to $197.9M, $82M Buyback
ODD•ODDITY Tech posted Q1 revenue of $197.9 million, a 26% drop year-over-year, and an adjusted EBITDA loss of $7.0 million, while net liquidity reached $667.4 million with $350 million undrawn credit. The company repurchased $82.3 million of shares and noted a 28% sequential CPA improvement in May toward recovery.
1. Q1 Financial Performance
In Q1 2026, ODDITY Tech generated net revenue of $197.9 million, down 26% year-over-year, with gross margin contracting to 69.7% from 74.9%. The company recorded a net loss of $21.4 million and an adjusted EBITDA loss of $7.0 million, reflecting reduced media efficiency and a low single-digit decline in average order value.
2. Advertising Dislocation and Recovery
ODDITY faced a sudden CPA dislocation with its largest partner, driving half-year CPA to an index level of 2.8 (an 83% increase), but May saw a 28% sequential CPA decline from April. The company has shifted 40% of acquisition revenue from Try Before You Buy into direct purchases and anticipates sequential improvement in H2 2026, while forecasting Q2 revenue declines of 25–30%.
3. Share Buyback and Liquidity
ODDITY exited Q1 with $667.4 million in cash, equivalents and investments and undrawn credit facilities of $350 million. The board authorized a $200 million share repurchase plan, under which $82.3 million was deployed to retire 6.1 million Class A shares, reducing outstanding shares by 10.6% and leaving $167.3 million available.
