NASDAQ$WW

Weight Watchers International Inc. · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Second quarter results for fiscal year 2024 announced.

WW International, Inc. reported revenues of $202.1 million and operating income of $35.9 million, with end-of-period subscribers totaling 3.8 million, including 81,000 clinical subscribers.

  • End of Period Subscribers reached 3.8 million, including 81,000 Clinical Subscribers.
  • Revenues totaled $202.1 million.
  • Gross margin was 67.9%.
  • Operating Income was $35.9 million, or $37.9 million adjusted for restructuring charges.

Headline financials

Total Revenue

$202M

Previous: $227M-10.9%
EPS

$0.29

Previous: -$0.04+825.0%
End of Period Subscribers

3.8M

Previous: 4.1M-6.4%
End of Period Behavioral Subscribers

3.8M

No prior period
End of Period Clinical Subscribers

81.0K

No prior period
Incoming Subscribers

4.0M

No prior period
Incoming Behavioral Subscribers

3.9M

No prior period
Incoming Clinical Subscribers

87.0K

No prior period
Monthly Subscription Rev. Per Avg. Subscriber

$17.00

No prior period
Monthly Behavioral Subscription Rev. Per Avg. Subscriber

$15.66

No prior period
Monthly Clinical Subscription Rev. Per Avg. Subscriber

$78.37

No prior period
Capital Expenditures

-$730K

Previous: -$1.75M+58.2%
Free Cash Flow

$22.5M

Previous: $49.1M-54.1%
Net Income

$23.3M

Previous: $50.8M-54.2%
Operating Income

$35.9M

Previous: $26.3M+36.5%
Gross Profit

$137M

Previous: $143M-4.1%
Cash & Equivalents

$42.7M

Previous: $91.4M-53.3%
Total Assets

$614M

Previous: $1B-38.7%
Stock-Based Comp

$2.74M

Previous: $6.94M-60.6%

Revenue & EPS history

Weight Watchers · Revenue · Quarterly

$202M

Q2 2024-10.9%vs Q2 2023
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Weight Watchers · $203M total across 1 segment · Q3 2023

  • Subscription Revenues
    $203M

Forward guidance

The company updated its full year fiscal 2024 guidance, expecting revenue to be at least $770.0 million and adjusted operating income to be at least $100.0 million.

Tailwinds

  • Revenue is expected to be at least $770.0 million.
  • Adjusted operating income is expected to be at least $100.0 million.
  • Strategic streamlining of operational structure.
  • Focus on expanding care, access, and payment options.
  • Comprehensive cost reduction plan targeting $100 million in annualized savings.

Headwinds

  • Operating loss is expected to be at most $180.7 million.
  • Anticipates recording restructuring charges between $12.0 million to $15.0 million in the second half of fiscal 2024.
  • Declines in Digital and Workshops + Digital businesses.
  • Uncertainties related to economic conditions and consumer confidence.
  • Risks related to acquisitions.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 3 quarterly earnings reports

Historical avg

-1.5%

Avg return

Earnings day

-16.3%

Avg return

5 days after

-12.9%

Avg return

30 days after

45%

29 / 64 earnings

Positive

+63.1%

Q4 2022

Best reaction

-44.1%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-22.5%-18.2%+37.4%
Q4 2025+0.7%-16.2%-48.7%
Q3 2025+4.0%-14.4%-27.4%
Q1 2025-44.1%
Q4 2024-19.9%
Q3 2024-11.2%
Q2 2024-20.9%
Q1 2024+14.2%
Q4 2023-14.5%
Q3 2023-8.5%
Q2 2023-24.9%
Q1 2023+25.9%
Q4 2022+63.1%
Q3 2022-2.6%
Q2 2022-21.3%
Q1 2022+0.8%
Q4 2021+1.3%
Q3 2021+3.4%
Q2 2021-21.3%
Q1 2021+33.0%
Q3 2020-4.4%
Q2 2020-9.1%
Q1 2020+18.5%
Q4 2019-15.3%
Q3 2019-11.6%
Q2 2019+40.0%
Q1 2019+15.4%
Q4 2018-34.1%
Q3 2018-27.2%
Q2 2018-14.2%
Q1 2018-4.0%
Q4 2017-5.6%
Q3 2017+13.9%
Q2 2017+24.6%
Q1 2017+8.7%
Q4 2016+40.2%
Q3 2016+7.2%
Q2 2016-0.2%
Q1 2016+1.7%
Q4 2015-28.3%
Q3 2015+38.7%
Q2 2015+21.1%
Q1 2015-12.6%
Q4 2014-35.6%
Q3 2014-9.1%
Q2 2014+9.4%
Q1 2014+15.5%
Q4 2013-25.5%
Q3 2013-18.7%
Q2 2013-19.9%
Q1 2013+1.1%
Q4 2012-16.7%
Q3 2012+15.8%
Q2 2012-15.7%
Q1 2012+0.6%
Q4 2011-1.9%
Q3 2011+5.1%
Q2 2011+1.9%
Q4 2009-0.2%
Q1 2011+1.1%
Q3 2010+2.8%
Q2 2010-0.6%
Q4 2010-0.6%
Q1 2010-1.5%

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