On May 6, 2025, WW International filed for Chapter 11 bankruptcy protection with a prepackaged plan designed to eliminate $1.15 billion in debt. This strategic financial reorganization aims to bolster the company's financial position and increase investment flexibility in its strategic growth initiatives.
The plan, supported by approximately 72% of its lenders and noteholders, is expected to free up an estimated $50 million annually from lower interest expense. WeightWatchers anticipates emerging from the court-supervised process in approximately 45 days, remaining a publicly traded company. Existing common equity holders will receive 9% of the new common equity, while lenders and noteholders will receive 91% and $465 million in new senior secured debt due 2030.
Concurrently, WeightWatchers announced its first quarter fiscal 2025 results, reporting $186.6 million in revenue and a net loss of $72.6 million, or $0.91 per share, though adjusted loss was $0.47 per share. Clinical revenue grew 57% year-over-year, demonstrating momentum in this segment, while behavioral business revenue headwinds continued. The company's Adjusted EBITDAS increased by $20 million year-over-year due to operational efficiency and strategic cost management. Full-year fiscal 2025 guidance projects total combined revenues of $685 million to $700 million and Adjusted EBITDA of $140 million to $150 million.
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