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Jul 06, 2024
European Wax Center Q2 2024 Earnings Report
European Wax Center reported an increase in total revenue and net income, but a decrease in adjusted EBITDA for Q2 2024.
Key Takeaways
European Wax Center's Q2 2024 saw a mix of positive and negative trends. Total revenue and net income increased, driven by growth in system-wide sales and same-store sales. However, adjusted EBITDA decreased, and the company updated its full-year financial guidance, including a revised outlook for new center openings due to macroeconomic pressures affecting consumer spending and new guest acquisition.
Net new centers increased by 5.6% to a total of 1,059 centers.
System-wide sales increased by 2.3% to $260.2 million.
Total revenue increased by 1.3% to $59.9 million.
GAAP net income increased by 7.3% to $6.0 million.
European Wax Center
European Wax Center
Forward Guidance
The Company updates its previous outlook for fiscal year 2024 as follows: Fiscal 2024 Outlook (Current)
Positive Outlook
- System-Wide Sales $930 million to $950 million
- Total Revenue $216 million to $221 million
Challenges Ahead
- New Center Openings, Net 27 to 32
- Same-Store Sales (1.5)% to 0.5%
- Adjusted Net Income(2) $19 million to $22 million
- Adjusted EBITDA $70 million to $74 million