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Shares of WW International Inc. jumped more than 6% in after-hours trading on Thursday following a 10% surge in the regular session as the company posted better-than-expected fourth-quarter earnings, reviving retail sentiment.
WW International board named interim president and CEO Tara Comonte to a permanent role as president and CEO, effective Feb.26.
WeightWatchers’ fourth-quarter (Q4) earnings per share came in at $0.32, trouncing Wall Street’s estimate of $0.01. Revenues stood at $184.41 million, beating estimates of $173.23 million.
Its net income in Q4 was $25.1 million compared to a net loss of $88.1 million in the prior year period. Operating Income for Q4 was $36.2 million, compared to an operating loss of $6 million in the prior year period.
Comonte added the company is poised to benefit as more people seek sustainable weight loss approaches—including those using or transitioning off medication.
"We are pleased with the momentum in our clinical business in the fourth quarter, reflecting the increasing demand for comprehensive weight management solutions,” Comonte said. “I am grateful for the board’s trust in me to lead WeightWatchers through this next phase, and I look forward to building on our progress, working alongside our incredible team, and driving meaningful impact for our members."
WeightWatchers is in a period of “significant transition” as the company tries to navigate industry shifts and reposition itself for long-term growth, added Comonte, noting the company will seek to balance investment in growth with “the realities of our capital structure."
CFO Felicia DellaFortuna said the company’s Q4 EBITDA performance keeps it on track to achieve its $100 million “run-rate cost savings target by the end of 2025. “
The company did not provide full-year fiscal 2025 guidance.
Sentiment on Stocktwits turned ‘extremely bullish’ from ‘neutral’ a week ago. Message volume climbed to ‘extremely high’ from ‘normal.’
One bullish watcher was hopeful the company’s stock would continue to trend upward.
WW International stock is down 37% year-to-date.
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