Olaplex Sees New Opportunities After Lowering 2023 Guidance

By Daniella Parra

Olaplex Holdings, Inc. (NASDAQ: OLPX) said it was looking forward to new investments and opportunities after reducing its fiscal 2023 outlook.

Second quarter net sales were $109.2 million, down 48.2%; decreasing 58.7% in the U.S. and 34% internationally, the company said in a statement. Net income was $6.2 million and adjusted net income was $21.2 million, it said.

Olaplex said diluted EPS was $0.01 for the second quarter 2023, as compared to $0.13 for the second quarter 2022 and it now anticipates adjusted EBITDA margin in the range of 36.2% to 37.8% for fiscal year 2023, compared to prior guidance of 46.4% to 50.8%.

“Our second quarter performance was below our expectations as our Professional and Specialty Retail channels experienced slower demand and some customers right sized their inventory positions in response to current trends,” said CEO JuE Wong. “We are intently focused on stabilizing demand trends in the second half of 2023, while increasing and optimizing the mix of our marketing investments in support of this objective.”