Business
ODDITY Tech Reports First Quarter 2026 Results, Makes Progress Toward Normalization
First quarter net revenue of $197.9 million, down approximately 26% year-over-yearFirst quarter adjusted EBITDA of $(7.0) millionFirst quarter net loss of $(21.4) million and first quarter adjusted net loss of $(9.8) millionStrong liquidity position including cash, cash equivalents and investments of $667.4 million, and aggregate credit facilities of $350 million which remain undrawn NEW YORK, June 02, 2026 (GLOBE NEWSWIRE) -- ODDITY Tech Ltd. (NASDAQ: ODD) today announced its financial results
About this update from Oddity Tech Ltd.
NEW YORK, June 02, 2026 (GLOBE NEWSWIRE) -- ODDITY Tech Ltd. (NASDAQ: ODD) today announced its financial results for the first quarter ended March 31, 2026. “We continue to implement our recovery plan to address the account dislocation with our largest advertising partner and we remain hopeful that we are on track for normalization in the second half of this year,” said Oran Holtzman, ODDITY co-founder and CEO. “For many years, our CPA was very stable, with only gradual increases aligned with our industry. In Q1 2026, we saw a severe step-function discontinuity, comparing to historical first quarters, with CPA in some cases reaching levels 2x higher than what we expected. While we continue to navigate this dislocation, we have been working closely with our advertising partner on remediation and we are encouraged by an improvement in IL MAKIAGE CPA this May, which declined an estimated -28% sequentially from April.” Media Costs ODDITY is providing additional data on IL MAKIAGE CPA with our largest advertising partner for H1 2022 through May of H1 2026, as the first half is historically the period in which we acquire the majority of our annual new users. We believe this data supports the view that the CPA dislocation is technical in nature, rather than driven by brand health or market saturation. IL MAKIAGE CPA Index with Largest Advertising Partner, Internal Attribution System First Quarter 2026 Summary ODDITY achieved key objectives during the first quarter, including: “We are pleased with the progress we see in our remediation work and with our ability to deliver first quarter revenue above our guidance,” said Lindsay Drucker Mann, ODDITY Global CFO. “The CPA dislocation led to a sharp decline in first orders during the quarter, and the loss of these first orders will negatively impact our repeat business across the year. We therefore expect Q2 net revenue will decline between 25 and 30% year-over-year, and hope to see sequential improvement in the second half of 2026.” Profitability Drivers Adjusted EBITDA was materially negatively impacted by higher CPA and ODDITY’s decision to spend on acquisition during the quarter, in an effort to remedy the account dislocation. This led to significantly lower revenue generated on like for like media spend. Reduced media efficiency coupled with continued investment in growth initiatives drove meaningful operating ex...