By Adriano Marchese
Beauty Health shares were sharply lower on Tuesday before markets opened after the company lowered its guidance for the year and reported a widened loss and lower-than-expected sales in the third quarter.
At 0708 a.m. ET, shares were down nearly 50% in premarket trading at $1.96.
Late on Monday, the skin-health company reported a loss of $73.8 million, or 56 cents a share, compared with a loss of $100,000, or 3 cents a share, a year earlier.
According to FactSet, analysts were expecting a rise to 5 cents.
Revenue rose to $97.4 million from $88.8 million, but missed analyst expectations of a greater rise to $116.2 million.
Beauty Health said that the quarter was overshadowed by lower-than-expected U.S. revenue and $63.1 million in restructuring charges related to device upgrades of early generation Syndeo devices, its flagship hydrafacial brand.
The company is revising its net sales guidance to a range of $385 million to $400 million for 2023. Analysts had pegged this figure at $424.6 million.
Meanwhile, adjusted earnings before interest, taxes, depreciation and amortization margin guidance was set to a range of 5% to 6% and Beauty Health said it is suspending its long-term 2025 financial outlook.
Write to Adriano Marchese at adriano.marchese@wsj.com
