Once celebrated as a billion-dollar brand that redefined runway-inspired makeup for the masses, the company has faced mounting pressure amid a crowded market, shifting consumer habits, and slowing sales across colour cosmetics.

Launched in 2015, Pat McGrath Labs quickly became synonymous with ultra-pigmented palettes, boundary-pushing campaigns, and McGrath’s unparalleled influence on fashion and beauty. The bankruptcy filing allows the brand to continue operating while restructuring its finances, rather than signalling an immediate shutdown.

For the industry, the news is a reminder that even the most iconic brands are not immune to today’s economic realities. Pat McGrath’s creative legacy remains untouchable, and how the brand evolves next will be closely watched across beauty and fashion industry.