Traders should monitor for updates on the strategic review, which could lead to a sale or restructuring. The sharp EBITDA decline and lack of guidance suggest near-term uncertainty, but improved liquidity provides runway. Watch for commercial traction from Obagi's new injectables launch in Q1 2026.
Price Chart
Executive Summary
Waldencast reported flat revenue of $272.1M for FY2025 but a sharp 60% YoY decline in Adjusted EBITDA to $16.1M, driven by heavy investments in Obagi Medical's aesthetics expansion and supply chain, along with softness in Milk Makeup's international markets. The company sold the Obagi Japan trademark for $82.5M, strengthening its balance sheet, but is not providing 2026 guidance due to an ongoing strategic review.
Key Financial Metrics
Key Facts
- FY2025 net revenue was $272.1M, down 0.7% YoY; Q4 revenue was $72.0M, flat YoY
- Adjusted EBITDA fell 60.1% YoY to $16.1M for the year, and 41.4% to $6.6M in Q4
- Obagi Medical grew revenue 8.3% for the year and 12.8% in Q4, but EBITDA dropped due to $5.3M in injectables launch costs
- Milk Makeup revenue declined 11.4% for the year and 18.3% in Q4, with international softness offsetting U.S. gains
- Company sold Obagi Japan trademark to Rohto for $82.5M, used $77.5M for debt repayment
- Net debt reduced from $154.2M to $121.7M; cash increased from $14.8M to $30.4M
- Board initiated strategic review with Lazard advising; no 2026 guidance provided
Financial Impact
Adjusted EBITDA down $24.2M YoY; Milk Makeup segment EBITDA down $13.9M; Obagi's EBITDA down $11.1M despite revenue growth
Risk Factors
- Strategic review may not result in a transaction or could lead to dilutive financing
- Milk Makeup's international decline and leadership changes pose turnaround risk
- Obagi's aesthetics expansion requires sustained investment with uncertain ROI
- Material weaknesses in internal controls and prior restatement raise governance concerns
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3255356 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 15, 2026 11d ago | Press Release | $0.7500 | awaiting T+5 | — | — |
Oct 15, 2026 11d ago | 6-K | $0.7500 | awaiting T+5 | — | — |
Oct 15, 2026 11d ago | 15-12G | $0.7500 | awaiting T+5 | — | — |
Oct 14, 2026 12d ago | EFFECT | $0.8100 | awaiting T+5 | — | — |
Oct 14, 2026 12d ago | EFFECT | $0.8100 | awaiting T+5 | — | — |
Oct 14, 2026 12d ago | EFFECT | $0.8100 | awaiting T+5 | — | — |
Sep 28, 2026 28d ago | Press Release | $0.9277 $0.8794 | ▲ +5.21% | ▲ +7.15% | — |
Sep 24, 2026 4w ago | 6-K | $1.03 $0.8794 | ▲ +14.62% | ▲ +14.40% | — |
Sep 24, 2026 4w ago | Press Release | $1.03 $0.8794 | ▲ +14.62% | ▲ +14.40% | — |
Sep 14, 2026 6w ago | Press Release | $1.18 $1.10 | ▲ +6.78% | ▲ +6.89% | — |
US Market Status
Subscribe to SecBot
Get Real-Time SEC Filing Intelligence
Comprehensive SEC filing analysis delivered the moment filings hit EDGAR. Sentiment scoring, impact analysis, and actionable insights for every material event.
Create a free account Live analysis, Telegram alerts, watchlists and the MCP server for subscribers