Olaplex Holdings, Inc.'s third quarter 2022 net sales increased 9.2% to $176.5 million. Nine-month net sales totaled, $573.5 million, a gain of 32.8% year-over-year. Nine-month gross profit rose 25.1% to $427.5 million.
Results were in line with previously announced forecast adjustments.
However, growth was region-specific. To illustrate: third-quarter net sales decreased 4.3% in the United States and increased 27.8% internationally.
In addition, the company's direct-to-consumer channel declined 2.6% in the third quarter, while its professional channel fell 16% year-over-year. However, specialty retail increased 60.1% to $74.2 million.
Net income for the third quarter increased 7.4%, while adjusted net income decreased 1.6%.
"Our third quarter performance was in line with the preliminary estimates provided in our business update in October 2022," said JuE Wong, Olaplex's president and CEO. "In response to the moderating sales growth trends, we are taking actions that we believe will strengthen our forecasting capabilities and accelerate demand for Olaplex products. The successful execution of these initiatives is expected to drive new customer acquisition and maintain our strong customer retention rates. More broadly, we believe that the fundamental competitive advantages of our business remain intact and that we are well-positioned to capitalize on a broad and exciting range of future growth opportunities."
