Behind HydraFacial’s $1 Billion Valuation
HydraFacial has released sales figures and they are higher than
By Allison Collins
February 22, 2021
The HydraFacial Co. has publicly released sales figures, ahead of
the company’s planned debut on the public markets.
HydraFacial makes a device that aestheticians can use to cleanse,
exfoliate and hydrate clients’ skin. The procedure is best known
for sucking gunk out of pores, which clients can then examine
afterwards, if they choose.
In December, HydraFacial signed a $1.1 billion deal with
Vesper Healthcare, a special purpose acquisition company cofounded
by former Allergan chief executive officer Brent Saunders. That
deal is set to close in the first half of this year, and would
result in HydraFacial trading on the Nasdaq.
Ahead of that, HydraFacial released updated sales figures — the
company said it expects net sales of $119 million for 2020,
higher than the previously estimated $115 million. Those
figures are down from the prior year, said chief financial officer
Liyuan Woo in an interview, and the company is operating at less
than 70 percent capacity.
The company has been operating at “reduced capacity” during the
coronavirus pandemic, said HydraFacial CEO Clint Carnell, but has
still seen “the Zoom effect” cause an increased focus on personal
“The attention around personal care service is stronger than it was
pre-pandemic. So despite…a
third of our market being shut down, despite the market that’s open
being at a reduced capacity we were still able to post some
impressive results,” he said.
In a standard year, HydraFacial normally sells between 3,000 and
4,000 new devices, which it calls delivery systems, and each
generally produces between $5,000 to $6,000 in recurring revenue,
Carnell said. For 2020, the company sold more than 2,000. Right
now, HydraFacial is available in 87 countries with more than 15,000
Over the past several years, HydraFacial has picked up popularity.
Carnell credits that to a few factors, including a 2017 rebrand
that positioned HydraFacial as “three steps, 30 minutes, the best
skin of your life.”
“You look good immediately, and we show you the proof — the gunky —
all for $150 to $200, is really powerful,” he said. HydraFacial
also has a partnership with Sephora.
HydraFacial has developed close relationships with the esthetician
community, who bring in around 40 percent of new customers.
The company has experienced strong word-of-mouth buzz as well,
which also accounts for 40 percent of new customers, Carnell
More recently, the company has started to ink brand partnerships,
including with Clinique and Murad, where brand-created serums are
used during the HydraFacial process. “We want to democratize [skin
care] — make sure you have good skin care, and then personalize it
based on what you need for your skin concerns of what you’re
looking to do for your own health,” Carnell said.
Forward Looking Statements
This communication may contain “forward-looking statements” within
the meaning of the “safe harbor” provisions of the Private
Securities Litigation Reform Act of 1995. The expectations,
estimates and projections of the businesses of the Company or Edge
Systems LLC d/b/a The HydraFacial Company (“HydraFacial”) may
differ from their actual results and consequently, you should not
rely on these forward-looking statements as predictions of future
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“forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,”
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