Waldencast plc

What they do

Waldencast operates two reporting units: Obagi Medical, a professional skincare brand, and Milk Makeup, a cosmetics brand. The company sells products through retail, e-commerce, and professional channels. It was formed via a SPAC merger and acquired Milk Makeup in July 2022.

Revenue drivers

• Obagi Medical — Professional skincare products sold through dermatologists and medical spas; contributes roughly half of total revenue.
• Milk Makeup — Clean cosmetics line sold in retail and online; contributes the other half of revenue after its 2022 acquisition.

Recent performance

Revenue grew from $142.5M in 2021 to $218.1M in 2023, then to $273.9M in 2024, but dipped slightly to $272.1M in 2025. Net loss widened sharply in 2025 to $-229.7M from $-42.4M in 2024, with diluted EPS of $-2.01. Operating cash flow was negative at $-12.8M in 2025. The balance sheet shows total assets of $746.2M, total liabilities of $246.1M, and cash of $30.4M.

Strategy

Waldencast focuses on scaling its two brands through international expansion and digital growth. It completed a $70M PIPE investment in 2023 to fund operations. Management has stated priorities in brand building, product innovation, and operational efficiency. The company also filed a Form F-3 registration statement in December 2025 to access capital markets.

Risks

• Liquidity risk — Negative operating cash flow and low cash balance ($30.4M) could strain operations without additional financing.
• Integration risk — The acquisition of Milk Makeup in 2022 may not realize expected synergies, impacting profitability.
• Market competition — Both skincare and cosmetics markets are highly competitive, with pressure from larger and emerging brands.
• Regulatory risk — As a foreign private issuer, Waldencast faces compliance complexities with SEC and other regulations.

Outlook

Management has not provided specific forward guidance in the filings. The company expects to continue investing in its brands and may pursue further capital raises. Continued focus on organic growth and cost discipline is anticipated, though near-term profitability remains uncertain.