European Wax Center reports Q3 evenue $55.4M, consensus $54.16M

Reports Q3 adjusted net income down 8.2% vs. last year to $5.5M and adjusted EBITDA down 4.4% vs. last year to $18.4M. CEO David Berg stated, “We are pleased that our Q3 results were in line with the revised expectations we provided in August. Over the past three months, I’ve been immersing myself in the business, refining our key focus areas and developing a robust action plan focused on driving new guests and ticket growth. Over time, we believe our efforts will enhance unit economics and financial returns for our franchise partners, enable thoughtful growth for European Wax Center (EWCZ), and deliver long-term value to our stakeholders. As we look ahead, we are encouraged that our core guests remain committed to this brand, enabling us to reiterate our FY24 financial outlook. That said, as we navigate current market dynamics and continue to assess near-term development plans, we are updating our FY24 outlook for net new center openings. We remain confident in the strength of the European Wax Center business model and its ability to generate strong cash flow and sustained top-line, bottom-line and unit growth over the long-term.”