Business
European Wax Center, Inc. Reports Second Quarter Fiscal Year 2023 Results
Achieves milestone 1000th center openingReiterates fiscal 2023 outlook Second Quarter Fiscal 2023 versus 2022 Net new centers increased 12.3% to 1,003 total
About this update from European Wax Center, Inc.
[{"type":"text","content":"Achieves milestone 1000th center openingReiterates fiscal 2023 outlook Second Quarter Fiscal 2023 versus 2022 Net new centers increased 12.3% to 1,003 total centers in 45 statesSystem-wide sales of $254.2 million increased 10.0%Total revenue of $59.1 million increased 10.7%Same-store sales increased 2.6%GAAP net income of $5.6 million increased 175.4%Adjusted EBITDA of $21.2 million increased 13.8% PLANO, Texas, Aug. 09, 2023 (GLOBE NEWSWIRE) -- Today, European Wax Center, Inc. (NASDAQ: EWCZ), the largest and fastest-growing franchisor and operator of out-of-home waxing services in the United States, reports financial results for the 13 and 26 weeks ended July 1, 2023. David Berg, Chief Executive Officer of European Wax Center, Inc. stated: “We are pleased to deliver second quarter results in line with our expectations, reinforcing the strength and consistency of the European Wax Center business model. Our guests remain committed to both their personal care routines and our brand as evidenced by 10% system-wide-sales growth during the quarter and another strong semiannual promotion period that drove double digit growth in Wax Pass sales. Including our milestone 1000th center, we opened 25 net new centers across 19 states, highlighting continued strong demand among franchisees of all sizes and geographies. Driven by attractive unit economics, our existing franchisee base accounted for 100% of second quarter new units and continues to fuel our future growth. The predictable nature of our most loyal guests, coupled with our robust unit pipeline, gives us confidence in reiterating our full-year financial expectations for 2023.” Results for the Second Quarter of Fiscal 2023 versus Fiscal 2022 Franchisees opened 25 net new centers, and we ended the quarter with 1,003 centers, representing a 12.3% increase versus 893 centers in prior year period.System-wide sales of $254.2 million grew 10.0% from $231.1 million in the prior year period, primarily driven by net new centers opened over the past twelve months and increased spend by guests at existing centers.Total revenue of $59.1 million increased 10.7% from $53.4 million in the prior year period.Same-store sales increased 2.6%.Selling, general and administrative expenses (“SG&A”) of $14.1 million decreased 7.2% from $15.2 million in the prior year period. SG&A as a percent of total reve...