Weight Watchers Reports Q1 Revenue of $168M, Clinical Subscribers Up 46%
WW reported Q1 revenue of $168M with clinical subscription revenue up 32% to $39M and total subscribers at 2.7M, including clinical subscribers up 46% year-over-year. The company reaffirmed full-year guidance of $620-635M revenue and $105-115M adjusted EBITDA, and will reduce debt by $42M to cut annual interest expense by $4M.
1. Q1 Financial Performance
WW generated $168 million in Q1 revenue, with clinical subscription revenue rising 32% to $39 million. Total end-of-period subscribers reached 2.7 million, including 197 thousand clinical subscribers, up 46% year-over-year.
2. Operational Efficiency and Profitability
Adjusted gross margin held near record highs at 73.6%, contributing to an overall gross margin of 70.5%. The company reported a net loss of $52.0 million and an adjusted EBITDA loss of $1.8 million driven by marketing investments in peak season.
3. Debt Reduction Initiatives
WW held $121 million in cash as of March 31 and plans to prepay $42 million of term loan principal using $37 million of cash. These actions are expected to lower annual interest expense by approximately $4 million.
4. Fiscal 2026 Guidance
The company reaffirmed full-year revenue guidance of $620 million to $635 million and adjusted EBITDA guidance of $105 million to $115 million. Management expects adjusted EBITDA and cash generation to increase in the remaining quarters of 2026.