Latest news with #TaraComonte
Miami Herald
3 days ago
- Business
- Miami Herald
WeightWatchers takes drastic step to exit bankruptcy
Growing up, I always knew when it was "weigh-in day." My mom would slip into the kitchen in the early morning and emerge with her little tracker notebook tucked under one arm and a low-point snack in the other. I was fascinated. She had little bars in shiny wrappers, chocolate-covered pretzels that somehow counted as healthy, and a whole drawer of food labeled with blue and purple stickers. I remember trying some of her WeightWatchers snacks and being surprised by how much I liked them. Related: How psychedelic mushrooms are helping people unlock their potential WeightWatchers was more than just a diet brand back then. It was a community. An identity. It was built on accountability and structure and a little bit of ritual. So it's strange, now, to see the brand struggling. For years, it's faced declining membership, shifting trends, and fierce competition from newer, tech-driven health platforms. And while the company has tried to modernize by adding app integrations, personalized plans, and even embracing controversial GLP-1 medications-it hasn't been enough to avoid serious financial trouble. Now, the brand is making its biggest move yet. On June 17, WeightWatchers announced a major milestone: the court just greenlit its Plan of Reorganization. That means the company is finally on track to exit bankruptcy-potentially as soon as next week. Under the new plan, WeightWatchers is wiping out $1.15 billion in debt. That's more than 70% of what it owed, and it gives the brand a much-needed shot at stability. Here's what that looks like: lenders and noteholders are trading their claims for new loans and equity. Related: This new AI tool could change how you shop for makeup Existing shareholders? They're getting just 9% of the new company. A brutal haircut, but one that clears the path forward. CEO Tara Comonte called it a "meaningful turning point" and said the company is doubling down on what's next: focusing on lifestyle change, clinical care, and yes, GLP-1 medications like Ozempic and Wegovy. Through it all, the company stayed public. Now, with the paperwork nearly finalized, it's hoping to emerge with more speed, less baggage, and a clear runway to grow again. Let's be hasn't been the go-to name in weight loss for a while. Once the gold standard, it's been losing ground to flashier, tech-savvy rivals like Noom, MyFitnessPal, and a wave of telehealth startups pushing the latest miracle meds. But instead of fighting the shift, WW leaned in. It bought Sequence, a GLP-1 prescription platform, and started blending its old-school accountability model with medical support. Smart move, but an expensive one. Revenues fell, debt climbed, and the stock tanked. This bankruptcy reset? It might be the company's best shot at surviving the wellness wars. With over a billion in debt erased, the brand can finally focus on fixing what matters: modernizing the product, rebuilding trust, and reaching people in a crowded, noisy market. The trick will be walking the line between old and new. Between nostalgic snack bars and doctor-prescribed injections. But if WW gets it right, it won't just be a comeback. It'll be a transformation. And for the millions who once counted points and tracked progress, it might even feel like coming home. Related: Stanley cup maker sparks criticism over controversial partnership The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
5 days ago
- Business
- Yahoo
WeightWatchers' Reorganization Plan Confirmed, Clears Path for Elimination of Majority of Legacy Debt Burden and Execution of Transformation Plan
On Track to Exit Financial Reorganization Process Next Week, Company to Focus on Scaled Delivery of Its Comprehensive, Best-in-Class Weight Management Platform, Integrating Community, Behavioral, and Medical Solutions NEW YORK, June 17, 2025 (GLOBE NEWSWIRE) -- WW International, Inc., the global leader in science-backed weight management ('WeightWatchers' or the 'Company'), today announced that, following approval of its Plan of Reorganization, it is on track to exit the court-supervised financial reorganization process as early as next week. This milestone marks a pivotal moment in the Company's journey to drive long-term growth, innovation, and expanded impact through its holistic approach. With significantly enhanced financial flexibility, WeightWatchers is focused on scaling its proven model to meet the evolving needs of today's health landscape. By integrating sustainable, medically supported lifestyle change with clinical care, GLP-1 medications where appropriate, and the power of its global community of members, the Company aims to expand its leadership position by delivering differentiated products to a broader community. 'This is a meaningful turning point for WeightWatchers,' said Tara Comonte, Chief Executive Officer of WeightWatchers. 'We've taken decisive action to significantly strengthen our financial foundation and will emerge with the flexibility to execute and grow. As the globally recognized leader in weight management—built on decades of experience and the trust of millions—we're focused on reaching more people and actively shaping diverse weight management solutions that support our members' needs within a fast-moving healthcare landscape. I'm deeply grateful to our team, members, and partners for their steadfast support and continued commitment to our mission throughout this process.' WeightWatchers has continued operating as a publicly traded company without interruption throughout the reorganization process, serving its millions of members worldwide. The court-approved Plan will reduce WeightWatchers' debt by approximately $1.15 billion, more than 70%, and significantly strengthen its capital structure. The Company's lenders and noteholders will receive their pro rata share of $465 million in new senior secured term loans due 2030, and 91% of new common equity of the reorganized company. Existing shareholders will receive their pro rata share of 9% of new common equity of the reorganized company. Forward-Looking Statements This press release includes 'forward-looking statements,' within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act, including, in particular, any statements about our plans, strategies, objectives, initiatives, roadmap and prospects. We generally use the words 'may,' 'will,' 'could,' 'expect,' 'anticipate,' 'believe,' 'estimate,' 'plan,' 'intend,' 'aim' and similar expressions in this press release to identify forward-looking statements. We have based these forward-looking statements on our current views with respect to future events and financial performance. Actual results could differ materially from those projected in the forward-looking statements. These forward-looking statements, include, but are not limited to, statements related to the financial reorganization described above, including the Company's ability to complete the financial reorganization on the terms contemplated by the restructuring support agreement and the disclosure statement relating to the Plan, on the timeline contemplated or at all, and the Company's ability to realize the intended benefits of the financial reorganization. The Company's actual results may differ materially from those anticipated in these forward-looking statements as a result of certain risks and other factors. Some of these risks and uncertainties include: risks and uncertainties relating to the Company's (and its affiliated debtors') chapter 11 cases ('Chapter 11 Cases'), including but not limited to the effects of the Chapter 11 Cases on the Company and its various constituents, the impact of court rulings in the Chapter 11 Cases, the ultimate outcome of the Chapter 11 Cases in general, the length of time the Company will operate under the Chapter 11 Cases, attendant risks associated with restrictions on the Company's ability to pursue its business strategies while the Chapter 11 Cases are pending, risks associated with third-party motions in the Chapter 11 Cases, the potential adverse effects of the Chapter 11 Cases on the Company's liquidity, the cancellation of the Company's common stock in the Chapter 11 Cases, the Company's ability to emerge in a timely manner from the Chapter 11 Cases, uncertainty regarding the Company's ability to retain key personnel and management, whether the Company's members might lose confidence in the Company's ability to reorganize its capital structure successfully and may seek to establish alternative commercial relationships as a result of the Chapter 11 Cases and uncertainty and continuing risks associated with the Company's ability to achieve its goals and continue as a going concern. Additional risks that could cause future results to differ from those expressed by any forward-looking statement are described in the Company's reports filed with the U.S. Securities and Exchange Commission, including in the section entitled 'Risk Factors' in Part I, Item 1A of the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2024 and the section entitled 'Risk Factors' in Part II, Item 1A of the Company's Quarterly Report on Form 10-Q for the quarter ended March 29, 2025. You should not put undue reliance on any forward-looking statements. You should understand that many important factors, including those identified herein, could cause our results to differ materially from those expressed or suggested in any forward-looking statement. Except as required by law, we do not undertake any obligation to update or revise these forward-looking statements to reflect new information or events or circumstances that occur after the date of the filing of this press release or to reflect the occurrence of unanticipated events or otherwise. No Solicitation or OfferAny new securities to be issued pursuant to the transactions may not be registered under the Securities Act of 1933, as amended (the 'Securities Act'), or any state securities laws but may be issued pursuant to an exemption from such registration provided in the U.S. bankruptcy code and/or another exemption under the Securities Act and any state securities laws. Such new securities may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and any applicable state securities laws. This press release does not constitute an offer to sell or buy, nor the solicitation of an offer to sell or buy, any securities referred to herein, nor is this press release a solicitation of consents to or votes to accept any chapter 11 plan. Any solicitation or offer will only be made pursuant to a confidential offering memorandum and/or disclosure statement and only to such persons and in such jurisdictions as is permitted under applicable law. AboutWeightWatchers is the global leader in science-backed weight management, providing an accessible, holistic model of care through our #1 U.S. doctor-recommended Points® Program, clinical interventions including weight-loss medications (U.S. only), and community support. Since 1963, we have empowered our millions of members to build healthy habits to live longer lives. Our innovative, trusted spectrum of solutions provides members with the tools and resources they need to reach and sustain their goals wherever they are on their journey. To learn more visit or Investors John Mills or Anna Kate Heller WeightWatchers@ Media Marielena Santana Media@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-06-2025
- Business
- Yahoo
Q4 Earnings Highlights: WeightWatchers (NASDAQ:WW) Vs The Rest Of The Specialized Consumer Services Stocks
Wrapping up Q4 earnings, we look at the numbers and key takeaways for the specialized consumer services stocks, including WeightWatchers (NASDAQ:WW) and its peers. Some consumer discretionary companies don't fall neatly into a category because their products or services are unique. Although their offerings may be niche, these companies have often found more efficient or technology-enabled ways of doing or selling something that has existed for a while. Technology can be a double-edged sword, though, as it may lower the barriers to entry for new competitors and allow them to do serve customers better. The 11 specialized consumer services stocks we track reported a mixed Q4. As a group, revenues along with next quarter's revenue guidance were in line with analysts' consensus estimates. While some specialized consumer services stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3.2% since the latest earnings results. Known by many for its old cable television commercials, WeightWatchers (NASDAQ:WW) is a wellness company offering a range of products and services promoting weight loss and healthy habits. WeightWatchers reported revenues of $184.4 million, down 10.5% year on year. This print exceeded analysts' expectations by 6.5%. Overall, it was a strong quarter for the company with an impressive beat of analysts' EPS estimates. "We are pleased with the momentum in our Clinical business in the Fourth Quarter, reflecting the increasing demand for comprehensive weight management solutions. As more people seek sustainable approaches—including those using or transitioning off medication—our unique combination of science-backed behavioral support, clinical care, and engaged global community allows us to deliver the right solutions at the right time. 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," said Tara Comonte, President and CEO. WeightWatchers pulled off the biggest analyst estimates beat of the whole group. Investor expectations, however, were likely higher than Wall Street's published projections, leaving some wishing for even better results (analysts' consensus estimates are those published by big banks and advisory firms, not the investors who make buy and sell decisions). The stock is down 67.9% since reporting and currently trades at $0.26. Is now the time to buy WeightWatchers? Access our full analysis of the earnings results here, it's free. Established in 2018 as a spin-off from ServiceMaster Global Holdings, Frontdoor (NASDAQ:FTDR) is a provider of home warranty and service plans. Frontdoor reported revenues of $426 million, up 12.7% year on year, outperforming analysts' expectations by 2.1%. The business had a very strong quarter with EBITDA guidance for next quarter exceeding analysts' expectations and an impressive beat of analysts' EPS estimates. Frontdoor scored the fastest revenue growth and highest full-year guidance raise among its peers. The market seems happy with the results as the stock is up 40% since reporting. It currently trades at $57.53. Is now the time to buy Frontdoor? Access our full analysis of the earnings results here, it's free. Founded in 1976, 1-800-FLOWERS (NASDAQ:FLWS) is an online retailer of flowers, gifts, and gourmet foods, serving customers globally. 1-800-FLOWERS reported revenues of $331.5 million, down 12.6% year on year, falling short of analysts' expectations by 9%. It was a disappointing quarter as it posted a significant miss of analysts' EBITDA and EPS estimates. 1-800-FLOWERS delivered the weakest performance against analyst estimates and slowest revenue growth in the group. As expected, the stock is down 12.2% since the results and currently trades at $5.09. Read our full analysis of 1-800-FLOWERS's results here. A global distributor of vehicle parts and accessories, LKQ (NASDAQ:LKQ) offers its customers a comprehensive selection of high-quality, affordably priced automobile products. LKQ reported revenues of $3.46 billion, down 6.5% year on year. This print came in 4.1% below analysts' expectations. It was a slower quarter as it also recorded full-year EBITDA guidance missing analysts' expectations and a slight miss of analysts' organic revenue estimates. The stock is down 9.4% since reporting and currently trades at $38.15. Read our full, actionable report on LKQ here, it's free. Founded in 1993 and headquartered in Louisiana, Pool (NASDAQ:POOL) is one of the largest wholesale distributors of swimming pool supplies, equipment, and related leisure products. Pool reported revenues of $1.07 billion, down 4.4% year on year. This number missed analysts' expectations by 2.5%. Overall, it was a slower quarter as it also logged a miss of analysts' organic revenue and EPS estimates. The stock is down 3.9% since reporting and currently trades at $297.10. Read our full, actionable report on Pool here, it's free. In response to the Fed's rate hikes in 2022 and 2023, inflation has been gradually trending down from its post-pandemic peak, trending closer to the Fed's 2% target. Despite higher borrowing costs, the economy has avoided flashing recessionary signals. This is the much-desired soft landing that many investors hoped for. The recent rate cuts (0.5% in September and 0.25% in November 2024) have bolstered the stock market, making 2024 a strong year for equities. Donald Trump's presidential win in November sparked additional market gains, sending indices to record highs in the days following his victory. However, debates continue over possible tariffs and corporate tax adjustments, raising questions about economic stability in 2025. Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Sign in to access your portfolio
Yahoo
20-05-2025
- Business
- Yahoo
WW Q4 Earnings Call: Product Integration, Subscriber Challenges, and Strategic Reset
Personal wellness company WeightWatchers (NASDAQ:WW) reported Q4 CY2024 results topping the market's revenue expectations , but sales fell by 10.5% year on year to $184.4 million. Its non-GAAP profit of $0.32 per share was significantly above analysts' consensus estimates. Is now the time to buy WW? Find out in our full research report (it's free). Revenue: $184.4 million vs analyst estimates of $175.7 million (10.5% year-on-year decline, 5% beat) Adjusted EPS: $0.32 vs analyst estimates of $0.07 (significant beat) Adjusted EBITDA: $49.74 million vs analyst estimates of $46.36 million (27% margin, 7.3% beat) Operating Margin: 19.6%, up from -2.9% in the same quarter last year Free Cash Flow Margin: 2.4%, down from 3.6% in the same quarter last year Members: 3.34 million, down 462,000 year on year Market Capitalization: $22.56 million WeightWatchers' Q4 results reflected the ongoing transformation in the weight management industry, as the company navigates both subscriber declines and rapid changes in consumer preferences. Management attributed the quarter's performance to continued headwinds in its traditional behavioral business, partially offset by robust growth in its clinical segment, which benefited from new offerings and improved access to weight loss medications. CEO Tara Comonte noted, 'We're focused on stabilizing and rebuilding for long-term sustainable growth,' highlighting recent product updates and operational changes as leading indicators of future momentum. Looking ahead, management's forward guidance centers on stabilizing the subscriber base, integrating clinical and behavioral programs, and addressing challenges related to medication supply and competitive marketing. The company emphasized the need for disciplined investment given high interest expenses and signaled that 2025 will be a year of resetting expectations. Comonte acknowledged, 'Transformations take time and they take investments,' while CFO Felicia DellaFortuna stated that ongoing cost controls and product enhancements are expected to help position WeightWatchers for gradual recovery. WeightWatchers' leadership focused on the dual challenge of declining traditional subscribers and growing clinical offerings. The company's fourth quarter was shaped by new product features, deeper integration of its clinical business, and ongoing cost restructuring as it adapts to a changing competitive landscape and evolving consumer demand. Clinical segment momentum: Clinical subscriber growth accelerated, driven by improved access to weight loss medication and the addition of generic and compounded options. Management highlighted that clinical members deliver higher lifetime value and retention rates, and that expanding this business remains a top priority. Product innovation deployment: Several new features were launched, including an AI-powered food scanner, a recipe importer, and macro nutrient tracking. Management reported these updates have led to higher member engagement and reactivation, particularly among previously inactive users. Behavioral business pressure: The traditional behavioral business continued to experience recruitment and retention challenges, with management citing ongoing competitive pressures and shifting consumer preferences toward medication-assisted solutions. Cost reduction efforts: The company has actioned the majority of its $100 million run-rate cost savings target, resulting in increased operating margins and a leaner cost structure. Further operational reviews and AI-driven automation are planned to unlock additional efficiencies. Capital structure constraints: High debt levels and annual interest obligations are limiting the ability to invest aggressively in growth initiatives. Management has engaged advisors to explore options for improving financial flexibility and noted that the balance sheet will remain a key constraint in the near term. Management's outlook for 2025 is centered on stabilizing the core business, expanding clinical offerings, and balancing growth investments with ongoing financial constraints amid a highly competitive environment. Integration of clinical and behavioral: Deeper integration of clinical (medication) and behavioral (lifestyle change) programs is expected to improve member outcomes and engagement, which management believes will support a gradual return to growth. Product experience enhancements: Ongoing product innovation—including AI-driven personalization and new digital tools—aims to increase engagement and retention, but immediate impacts on subscriber growth may be limited by market dynamics. Marketing and capital discipline: Continued high customer acquisition costs, combined with heavy debt obligations, require careful allocation of resources. Management plans to shift spending toward higher-impact initiatives while maintaining strict cost controls, but acknowledges this may limit near-term subscriber acquisition. Nathan Feather (Morgan Stanley): Asked about early signs of improved member acquisition and retention following product changes. Management cited higher activation rates but said it is too early to see direct financial impacts. Nathan Feather (Morgan Stanley): Inquired about the role of generic and compounded medications in clinic growth. Donna Boyer, Chief Product Officer, explained that broader access—especially through compounding—drove subscriber gains despite ongoing branded medication shortages. Michael Lasser (UBS): Pressed on how WeightWatchers can avoid a downward spiral of declining subscribers and constrained resources. CEO Tara Comonte emphasized leveraging the brand's legacy, ongoing product innovation, and careful capital allocation. Michael Lasser (UBS): Asked about the sustainability of clinical subscriber growth and the cash needed to service debt. CFO Felicia DellaFortuna stated that a higher mix of clinical subscribers supports stronger margins, but volume challenges remain in the behavioral segment. Alex Fuhrman (Craig-Hallum): Sought clarity on strategies if compounded medication access is lost. Management said it will pivot to branded and alternative medications where possible and closely monitor developments in supply and regulation. In the coming quarters, the StockStory team will watch (1) the pace of clinical subscriber growth and the impact of expanded medication access, (2) execution on integrating clinical and behavioral offerings to boost engagement and retention, and (3) management's ability to further reduce costs and improve capital flexibility. Developments in medication supply, regulatory changes, and the effectiveness of new digital features will also be important to track. WeightWatchers currently trades at a forward EV-to-EBITDA ratio of 0.2×. At this valuation, is it a buy or sell post earnings? Find out in our free research report. Donald Trump's victory in the 2024 U.S. Presidential Election sent major indices to all-time highs, but stocks have retraced as investors debate the health of the economy and the potential impact of tariffs. While this leaves much uncertainty around 2025, a few companies are poised for long-term gains regardless of the political or macroeconomic climate, like our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Exlservice (+354% five-year return). Find your next big winner with StockStory today. 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New York Post
10-05-2025
- Business
- New York Post
WeightWatchers files for bankruptcy — These GLP-1 firms want to help you meet your goals
New York Post may be compensated and/or receive an affiliate commission if you click or buy through our links. Featured pricing is subject to change. As GLP-1 firms continue to bulk up, WeightWatchers (WW) is stepping off the scale. The points-system-based weight loss program filed for bankruptcy on May 6, with its premarket value plummeting 52% by Wednesday morning. A growing debt burden forced the company to scale back operations, but current members were assured they wouldn't be affected by the filing. A reorganization plan is expected within 40 days, according to a statement released Tuesday. Advertisement 'As the conversation around weight shifts toward long-term health, our commitment to delivering the most trusted, science-backed, and holistic solutions — grounded in community support and lasting results — has never been stronger, or more important,' said Tara Comonte, Chief Executive Officer of WW. Comonte suggested that the filing was supported by lenders, who are committed to helping the company shed its $1.15 billion debt, appeal to new customers, and innovate in the rapidly evolving weight management landscape — a space that is currently swamped with competitive GLP-1 solutions. WeightWatchers has struggled to maintain subscriptions as people turn to popular medications like Ozempic, Mounjaro, and Wegovy. Originally used to treat diabetes, GLP-1s have become an attractive option for those looking to suppress hunger and shed pounds fast. Advertisement The company found some relief after adding GLP-1 obesity treatment offerings in 2023, but still hasn't strayed from the more traditional approach to weight loss, focusing on food intake and behavioral changes. On Tuesday's call, Comonte acknowledged the surge of GLP-1 usage, but added that they are 'a medication, not a miracle.' According to a recent Kaiser Family Foundation poll, roughly 6% of U.S. adults are currently taking GLP-1 for weight loss, and the effects are impressive. A 2022 study found that people who received weekly semaglutide injections lost an average of about 15 pounds after three months. Over the last couple of years, some insurance providers have announced they would no longer offer coverage for weight-loss medications like Ozempic. In response, some have begun turning to telehealth companies like Ro, G-Plans Direct, and Remedy Meds — all of which offer virtual prescriptions for different weight-loss drugs, as well as other health services. It's a tough time to compete with new weight-loss drugs; different payment plans are available, treatments are more accessible for people without insurance, and telehealth companies are offering easier paths towards getting a prescription. Still, the GLP-1 landscape can be difficult to navigate. Advertisement Here's the skinny on the telehealth companies worth considering. Looking for a headline-worthy haul? Keep shopping Post Wanted. This article was written by Miska Salemann, New York Post Commerce Writer/Reporter. As a health-forward member of Gen Z, Miska seeks out experts to weigh in on the benefits, safety and designs of both trending and tried-and-true fitness equipment, workout clothing, dietary supplements and more. Taking matters into her own hands, Miska intrepidly tests wellness products, ranging from Bryan Johnson's Blueprint Longevity Mix to home gym elliptical machines to Jennifer Aniston's favorite workout platform – often with her adorable one-year old daughter by her side. Before joining The Post, Miska covered lifestyle and consumer topics for the U.S. Sun and The Cannon Beach Gazette.
