Weight Watchers International, Inc. (NYSE: WTW)announced on Monday after-market, its results for the third quarter of fiscal 2017 and raised its full year fiscal 2017 earnings guidance.
Revenue for the third quarter was $324 million and end of period subscribers was up 18% year over year to 3.4 million. Last year’s EPS for Q3 was $0.53 versus the EPS for 2017 of $0.65. Prior guidance of FY 2017 was $1.57 to $1.67 which is now raised to $1.77 to $1.83.
"Weight Watchers delivered strong performance across all major geographies in the third quarter, which resulted in high-quality earnings results," said Mindy Grossman, the Company's President and CEO. "We are excited about the upcoming winter season and the launch of our new program, which has received highly positive and enthusiastic feedback in consumer trials. We have a tremendous opportunity to continue to evolve Weight Watchers into a global, healthy living brand."
"Our solid financial performance continued with year-over-year revenue growth, gross margin expansion, increased profitability, and strong cash generation," said Nick Hotchkin, the Company's CFO. "We are confident our business momentum will continue throughout the balance of the year, and therefore, we are raising our earnings guidance for the full year 2017."
Net Income in Q3 2017 was $44.7 million compared to $34.7 million in the prior year period.
Following the announcement, Weight Watchers reached a new 52 week-high of $54.47 on Tuesday.