European Wax Center, Inc. Reports Strong Fiscal 2024 Performance Ahead of ICR Conference

European Wax Center, Inc. (NASDAQ: EWCZ), the leading franchisor and operator of out-of-home waxing services in the United States, provided an update on its fiscal 2024 expected performance ahead of meetings at the 2025 ICR Conference in Orlando, Florida. The company reported solid full-year results, including 23 net new center openings, which exceeded its previous outlook of 17 to 22. This strong performance was driven by robust fourth quarter Wax Pass sales and the continued loyalty of core guests.

The company revised its fiscal 2024 outlook for system-wide sales to $947 million to $950 million, reflecting strong fourth quarter Wax Pass sales and the continued loyalty of core guests. Same-store sales growth was revised upward to 0.0% to 0.2% from previous guidance of -1.5% to 0.5%. The company maintained its previous guidance for total revenue ($216 million to $221 million), Adjusted Net Income ($19 million to $22 million), and Adjusted EBITDA ($70 million to $74 million).

European Wax Center, Inc. also repurchased approximately 1.6 million shares for $10.0 million during the fourth quarter, bringing total buybacks to $40.1 million of the authorized $50.0 million program. This share repurchase program reflects management's confidence in the stock's valuation and their belief that the shares are undervalued.



The company's strong fiscal 2024 performance is a testament to its resilient business model and the continued demand for out-of-home waxing services. The revised same-store sales guidance, while modest, suggests stabilization in consumer spending patterns for personal care services. The 43 gross openings offset by 20 closures warrant attention, as the closure rate signals some market saturation or operational challenges in certain locations. However, the sustained Wax Pass sales and core guest loyalty provide recurring revenue stability, though new guest acquisition remains a focus area for growth.

In conclusion, European Wax Center, Inc. reported strong fiscal 2024 performance, driven by robust fourth quarter Wax Pass sales and the continued loyalty of core guests. The company's revised guidance for system-wide sales and same-store sales growth reflects its confidence in the market and its ability to generate sustained top-line, bottom-line, and unit growth over the long term. As the company continues to expand its footprint and diversify its service offerings, investors can expect European Wax Center, Inc. to remain a strong performer in the personal care services sector.