Oddity Tech Reports $21.4M Q1 Loss, But Sees 28% CPA Improvement
ODD•Oddity Tech posted a Q1 loss of $21.4M (38¢ per share), wider than the 4¢ consensus, on $197.9M revenue, triggering an 87% share drop. The company holds $667M cash and a $350M undrawn credit line, saw IL MAKIAGE CPA improve 28% and expects $25M from new METHODIQ.
1. Q1 Financial Results
Oddity Tech reported a net loss of $21.4M (38¢ per share) in Q1 2026 on $197.9M revenue, missing the 4¢ per share consensus and sending its share price down 87%. Adjusted loss was 17¢ per share, reflecting higher than expected operating costs.
2. Strong Liquidity Position
The company ended the quarter with $667M in cash, cash equivalents and investments, alongside an undrawn $350M credit facility, providing ample capital to fund operations and strategic initiatives despite near-term profitability challenges.
3. Operational Initiatives and Outlook
Management cited technical issues for a 50% drop in first orders early in the year but highlighted a 28% sequential improvement in IL MAKIAGE customer acquisition costs in May. The launch of METHODIQ is projected to generate $25M in revenue this year, and the shift of 40% acquisition revenue from trial to standard purchase models supports economic stability. Full-year profitability is expected, though quarterly EBITDA guidance remains unspecified.
