Oddity Tech, the owner of Il Makiage and Spoiled Child, has reported a bumper start to its 2025 financial year.
The company reported net revenues of US$268m, up 27% year-over-year, as well as net income of $38m for the quarter.
This was driven by Oddity’s custom foundation brand Il Makiage, as well as double-digit growth from hair and skin care business Spoiled Child.
“We delivered an outstanding result for our biggest quarter of the year, setting us up to overdeliver on our financial algorithm in 2025,” said Oran Holtzman, Oddity co-founder and CEO.
“The beauty industry continues to transform, as we said it would, with consumers moving online and towards high performance products, in our view.
“The structural changes in the industry, including the growth of online, are only strengthening as the store model is less suited for the current environment.”
The positive Q1 has led Oddity to increase its outlook for FY25, anticipating net revenue of between $790m and $798m – an increase of 22% to 23%.
Oddity remains unconcerned around the recent US tariff hikes and stated “headwinds are expected to be manageable and largely offset by cost efficiencies”.
The business added that it is also progressing at pace with the launch of its two new brands, which have yet to be named.
One is described as a telehealth platform for consumers with “medical-grade skin and body issues”.
The other is anticipated to lead an “attractive category in the beauty and wellness market”.
Holtzman added: “Our early and aggressive investments in this transformation allow us to sustain a powerful financial model, to beat our guidance and to, once again raise, our full year outlook as we have done in the past eight quarters since our IPO.
“Our DNA, business model and strong performance allow us to play full offense in times like today.”
The Israel-based beauty company's recent growth has been attributed to large scale investments into technology and product development over the past five years.
This includes a $76m acquisition of biotechnology start-up brand Revela in 2023.
It also acquired Voyage81 in 2021, the business behind a Hyperspectral Imaging Systems technology that allows smartphone cameras to see 31 wavelengths of light.
Oddity also invested an additional $25m to create Oddity Labs in 2023.
The dedicated research facility, which is based in Boston, US, has been working on new drug discovery technologies for the beauty and wellness industry.
Oddity was founded in 2018 and is best known for Il Makiage’s shade matching tool, which launched in the UK in 2020.