Olaplex Holdings, Inc.

For full-year 2025, net sales were $423 million, flat year over year, and adjusted EBITDA margin was 22.2% versus 30.7% in the prior year. Fourth-quarter net sales were $105.1 million, up 4.3% year over year; adjusted gross margin was 70.6%, up 200 basis points; and adjusted EBITDA was $12.9 million, or 12.2% margin, versus 17.4% a year ago. Full-year adjusted gross margin was 71.8%, up 40 basis points, and adjusted EBITDA was $93.9 million. The company generated operating cash flow of $58.7 million for the year, ended with $318.7 million of cash and cash equivalents and $352.3 million of debt, and cut inventory to $60.2 million from $75.2 million in 2024. For 2026, management expects net sales of approximately -2% to +3% versus 2025, adjusted gross margin of 71% to 72%, and adjusted EBITDA margin of 21% to 22%; they said this assumes no material tariff impact and that Q1 sales and EBITDA will be below the full-year run rate because of the timing of No. 3+ investment and marketing spend.

Amanda Baldwin framed 2025 as the year Olaplex moved from planning to implementation of its ‘Bonds and Beyond’ transformation, with three priorities: generating brand demand, harnessing innovation, and executing with excellence. She said the brand relaunch, pro-channel reengagement, and innovation engine are now in place, and that December sell-through turned positive in key accounts. Her tone was constructive and confident, emphasizing that the company is entering 2026 with stronger foundations, a robust innovation pipeline, and more room to accelerate.

Catherine Dunleavy emphasized that 2025 results met or exceeded expectations across net sales, adjusted gross profit margin, and adjusted EBITDA margin, while the company built a more stabilized margin base. She highlighted Q4 adjusted gross margin of 70.6% (+200 bps), full-year adjusted gross margin of 71.8%, full-year adjusted EBITDA of $93.9 million, and operating cash flow of $58.7 million; she also noted cash of $318.7 million, debt of $352.3 million, and inventory down to $60.2 million. On 2026, she guided to 71% to 72% gross margin and 21% to 22% EBITDA margin, said Q1 EBITDA would be significantly pressured by front-loaded marketing for No. 3+, and added that the company sees the margin range as a sustainable base while maintaining an asset-light, cash-generative model.

Analysts pressed on the specialty retail versus DTC split, the cadence of 2026 sales, the strength of the pro channel, and how much of the outlook depends on international growth and new product launches. Management said retail sell-through improved sequentially in Q4 and that positive December exit trends support a better 2026, but they also acknowledged noise from the international realignment and a deliberate shift of volume toward pro partners. They explained that Q1 is lighter because 2025 had a concentrated shipment pattern for No. 4 and No. 5, while 2026 will phase in No. 3+ with heavier marketing early in the year; on pro, they pointed to the Blitz program, education, disciplined promotions, and international partner realignment as key drivers.