Andrew M. Boone

Andrew M. Boone asked about Methodic's financial profile for the next three years, including potential differences in AOVs and margin profiles. Boone also sought clarification on ODDITY Labs' proprietary molecules, expectations beyond the eight initial products for 2026, and the development path for Brand 4.

Answer

Lindsay Drucker Mann, CFO, ODDITY, stated that Methodic is expected to align with Il Makiage and SpoiledChild's long-term framework of 20% revenue growth and 20% adjusted EBITDA margin, with healthy unit economics. She noted that prescription products would initially have lower gross margins but strong repeat business. Regarding ODDITY Labs, Mann explained the strategic pivot to higher efficacy molecules, confirming eight products with Labs' molecules for 2026 (four for Methodic, four for Il Makiage/SpoiledChild) and more in the pipeline for Brand 4. Oran Holtzman, Co-founder and CEO, ODDITY, emphasized the significant progress in Labs.

Andrew M. Boone asked about the learnings from Vibe Coding and Base44 that can be applied to website creation, specifically how to achieve the previously discussed double-digit target for self-created websites. He also sought clarification on the pathway to elevating Base44's margins to core Wix levels, including necessary assumptions regarding retention.

Answer

CFO Lior Shemesh explained that Wix Vibe is a beta exploring the complexities of Vibe Coding for websites, acknowledging the higher bar for Google-friendly, LLM-friendly, accessible, and secure sites. Lior then detailed that Base44's margin improvement will come from two main areas: decreasing AI costs (due to new users consuming more tokens, market competition, and internal model optimization) and sales & marketing leverage (investing based on TROI, with upfront costs recognized before linear revenue). He expects improved margins in 2026 as these factors normalize.