ODDITY Tech Soars 19.94% on Q1 Earnings Beat

ODDITY Tech's stock surged by 19.94% in pre-market trading on April 30, 2025, driven by the company's exceptional first-quarter results and an optimistic outlook for the rest of the year.

ODDITY Tech reported a 27% year-over-year increase in net revenue, reaching $268 million for the first quarter of 2025. This performance exceeded the company's guidance range of $258-262 million, marking the eighth consecutive quarter of raised guidance since their IPO. The company's adjusted EBITDA stood at $52 million, while net income was $38 million. Free cash flow was impressive at $87 million, or 32.5% of revenue, demonstrating strong cash conversion efficiency. The gross margin improved to 74.9%, up 116 basis points year-over-year.

Both IL MAKIAGE and SpoiledChild brands achieved double-digit growth, and ODDITY plans to launch Brand 3 in the fourth quarter of 2025. The company is also expanding internationally and developing its ODDITY LABS molecule discovery platform. Despite margin pressures, ODDITY's strong financial performance and strategic investments position it well for continued growth.