Revenue growth remains in a contractionary phase, with a 6.7% quarterly decline in 2026Q1 and an operating margin of -2.8% that highlights the firm's struggle to scale effectively.
SkinHealth Systems Inc. (SKIN) annual income statement — 7-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 |
|---|
| Sales/Revenue | 288.58M | 300.79M | 334.29M | 397.99M | 365.88M | 260.09M | 119.09M | 166.62M |
| Revenue Growth % | -4.42% | -10.02% | -16% | 8.78% | 40.67% | 118.39% | -28.53% | - |
| Cost of Goods Sold | 94.7M | 104.43M | 152M | 242.88M | 117.1M | 81.55M | 51.89M | 60.11M |
| COGS % of Revenue | - | 34.72% | 45.47% | 61.03% | 32% | 31.35% | 43.57% | 36.08% |
| Gross Profit | 193.88M | 196.36M | 182.3M | 155.11M | 248.78M | 178.54M | 67.2M | 106.51M |
| Gross Margin % | 67.18% | 65.28% | 54.53% | 38.97% | 68% | 68.65% | 56.43% | 63.92% |
| Gross Profit Growth % | - | 7.72% | 17.52% | -37.65% | 39.34% | 165.69% | -36.91% | - |
| Operating Expenses | 187.04M | 217.17M | 250.07M | 286.03M | 274.62M | 218.47M | 84.38M | 93.05M |
| OpEx % of Revenue | - | 72.2% | 74.81% | 71.87% | 75.06% | 84% | 70.85% | 55.84% |
| Selling, General & Admin | 181.15M | 211.54M | 243.77M | 275.93M | 266.18M | 210.27M | 80.97M | 88.44M |
| SG&A % of Revenue | - | 70.33% | 72.92% | 69.33% | 72.75% | 80.85% | 67.99% | 53.08% |
| Research & Development | 5.89M | 5.63M | 6.3M | 10.1M | 8.44M | 8.2M | 3.41M | 4.61M |
| R&D % of Revenue | - | 1.87% | 1.88% | 2.54% | 2.31% | 3.15% | 2.86% | 2.77% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 6.93M | -20.8M | -67.77M | -130.92M | -25.84M | -39.93M | -17.18M | 13.46M |
| Operating Margin % | 2.4% | -6.92% | -20.27% | -32.89% | -7.06% | -15.35% | -14.43% | 8.08% |
| Operating Income Growth % | - | 69.31% | 48.23% | -406.63% | 35.28% | -132.38% | -227.63% | - |
| EBITDA | 22.89M | 4.55M | -34.09M | -96.24M | -2.97M | -22M | -2.65M | 27.41M |
| EBITDA Margin % | 7.93% | 1.51% | -10.2% | -24.18% | -0.81% | -8.46% | -2.22% | 16.45% |
| EBITDA Growth % | 1562.75% | 113.33% | 64.57% | -3142.65% | 86.51% | -730.43% | -109.67% | - |
| D&A (Non-Cash Add-back) | 15.96M | 25.35M | 33.68M | 34.67M | 22.87M | 17.93M | 14.53M | 13.94M |
| EBIT | 5.95M | 13.39M | -19.14M | -88.24M | 58.73M | -368.86M | -17.21M | 14.16M |
| Net Interest Income | -14.73M | -10.37M | 6.23M | 9.52M | -4.22M | -11.74M | -21.27M | -17.09M |
| Interest Income | 2.89M | 8.95M | 16.64M | 23.17M | 9.18M | 39K | 0 | 0 |
| Interest Expense | 25.31M | 19.33M | 10.41M | 13.65M | 13.39M | 11.78M | 21.27M | 17.09M |
| Other Income/Expense | -15M | 14.87M | 38.22M | 29.03M | 71.18M | -340.71M | -21.3M | -16.4M |
| Pretax Income | -13.18M | -5.94M | -29.55M | -101.89M | 45.34M | -380.64M | -38.48M | -2.94M |
| Pretax Margin % | -4.57% | -1.97% | -8.84% | -25.6% | 12.39% | -146.35% | -32.31% | -1.76% |
| Income Tax | 5.1M | 3.58M | -452K | -1.77M | 1.11M | -1.88M | -9.31M | -1.3M |
| Effective Tax Rate % | -38.73% | -60.31% | 1.53% | 1.74% | 2.46% | 0.49% | 24.19% | 44.19% |
| Net Income | -18.27M | -9.52M | -29.1M | -100.12M | 44.22M | -378.76M | -29.18M | -1.64M |
| Net Margin % | -6.33% | -3.16% | -8.7% | -25.16% | 12.09% | -145.63% | -24.5% | -0.98% |
| Net Income Growth % | -55.58% | 67.29% | 70.94% | -326.38% | 111.68% | -1198.25% | -1681.14% | - |
| Net Income (Continuing) | -18.27M | -9.52M | -29.1M | -100.12M | 44.22M | -378.76M | -29.18M | -1.64M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -2.81 | -3.20 | -7.20 | -15.20 | -4.60 | -73.40 | -17.00 | -1.02 |
| EPS Growth % | 37.23% | 55.56% | 52.63% | -230.43% | 93.73% | -331.76% | -1566.67% | - |
| EPS (Basic) | - | -1.60 | -4.60 | -15.20 | 6.00 | -73.40 | -17.00 | -1.02 |
| Diluted Shares Outstanding | 6.51M | 6.79M | 7.12M | 6.58M | 7.43M | 5.11M | 1.71M | 1.61M |
| Basic Shares Outstanding | 6.51M | 6.32M | 6.19M | 6.58M | 7.38M | 5.11M | 1.71M | 1.61M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying SKIN stock.
For fiscal year 2025, SkinHealth Systems Inc. (SKIN) reported total revenue of $300.8M. This represents a 80.5% increase compared to $166.6M in 2019.
SkinHealth Systems Inc. (SKIN) reported a net loss of $9.5M for the fiscal year ending 2025.
SkinHealth Systems Inc. (SKIN) reported an operating income of $-20.8M, resulting in an operating profit margin of -6.9%. This margin reflects the operational efficiency of the business before interest and taxes.
SkinHealth Systems Inc. (SKIN) generated $196.4M in gross profit for the year, representing a gross profit margin of 65.3%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Hardware reliability and adoption
Metrics are mathematically derived from official filings.
Persistent Revenue Contraction Trends
As reported in recent financial statements, The Beauty Health Company has experienced a sustained period of negative top-line growth, with quarterly revenue declining by 6.7% in 2026Q1, reflecting broader challenges in maintaining momentum for its core delivery systems within the competitive medical aesthetics market.
The consistent year-over-year revenue decline suggests that the company is struggling to replace its aging installed base with new system placements. This trend implies that the firm's growth strategy may be hitting a saturation point or facing significant headwinds from increased competition in the aesthetic device space.
Structural Gross Margin Volatility
Based on the company's reported figures, gross margins have fluctuated significantly, reaching a low of 45.2% in 2024Q2 before recovering to 68.4% in 2026Q1, indicating that the firm's ability to maintain pricing power is highly sensitive to hardware-related costs and inventory management efficiency.
The wide variance in gross margins suggests that the company's cost of goods sold is heavily impacted by hardware reliability issues and potential inventory obsolescence. Investors should monitor whether the recent margin expansion is sustainable or merely a temporary result of reduced hardware production volumes.
Operating Leverage Remains Elusive
According to the income statement data, operating expenses continue to outpace gross profit contributions, resulting in a negative operating margin of 2.8% in 2026Q1, which highlights the company's current inability to achieve the necessary scale to cover its high fixed-cost base.
The persistent negative operating income suggests that the company's SG&A structure is bloated relative to its current revenue generation. This implies that management has yet to demonstrate the operational discipline required to convert its high-margin consumable business into bottom-line profitability.
Earnings Quality Obscured by Volatility
Analysis of the reported net income reveals significant quarterly swings, including a $19.7 million profit in 2025Q2 followed by a $11.0 million loss in 2025Q3, suggesting that non-operating items and tax anomalies are creating noise that masks the underlying operational performance of the business.
The inconsistency in net income figures warrants further investigation into the nature of these non-operating adjustments. Investors should be cautious, as the reported earnings appear to be driven by factors outside of core operational execution, making it difficult to assess the true profitability of the business.
Sustainability of the Razor-Blade Model
While the company relies on a recurring revenue model, the recent trend of negative revenue growth suggests that the 'blade' consumable stream may be insufficient to offset the decline in hardware sales, challenging the narrative that the installed base provides a durable, defensive moat.
Short-sellers may focus on the potential for 'brand contagion' if hardware reliability issues continue to alienate practitioners. This risk implies that the company's core competitive advantage could be permanently impaired if providers shift their loyalty to more reliable, competing aesthetic platforms.