WW International, Inc.

Good day and welcome to the Weight Watchers fourth quarter and full year 2025 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on a touch-tone phone. To withdraw your question, please press star then two. Please note this event is being recorded. I would now like to turn the conference over to David Helderman, Senior Director, Investor Relations. Please go ahead.

Thank you for joining us today for the Weight Watchers' fourth quarter and full year 2025 earnings conference call. Earlier this morning, we released a shareholder letter and press release with our fourth quarter and full year 2025 results. which are available on the company's corporate website located at corporate.ww.com. The purpose of this call is to provide investors with some further details regarding the company's financial results, as well as to provide a general update on the company's progress. Reconciliations of non-GAAP measures disclosed on this conference call to the most directly comparable GAAP financial measures are also available as part of the shareholder letter and press release. Before we begin, let me remind everyone that this call will contain forward-looking statements. Investors should be aware that any forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from those discussed here today. These risk factors are explained in detail in the company's latest annual report on Form 10-K, the earnings release, the shareholder letter, and is updated by the company's other filings with the Securities and Exchange Commission. Please refer to these filings for a more detailed discussion of forward-looking statements and the risks and uncertainties of such statements. All forward-looking statements are made as of today and except as required by law, the company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Joining today's call are Tara Comant, President and Chief Executive Officer, and Felicia Della Fortuna, Chief Financial Officer. John Bochman, Chief Operations Officer, will also join for the Q&A.

Thanks, David. Before we get started, I encourage everyone to read our shareholder letter, which we posted on our investor relations site earlier this morning. In that, we share our progress against our strategic priorities, latest exciting efficacy claims and unique differentiators for the company in our programs. We also share key financial trends, including 2025 results, where we were pleased to beat previously provided revenue and adjusted EBITDA guidance. Felicia will also provide more color on our results later in our call. Two quarters ago, we emerged from a Chapter 11 financial reorganization with a mandate to transform our company to lead in a GLP-1 world. There were many legitimate questions to answer at the time, perhaps the loudest of which, whether Weight Watchers, a brand known the world over, could reinvent itself and successfully compete. As we sit here today, reflecting on how we exited 2025 and have started 2026, we answer that question with the resounding yes. Our fourth quarter results and the momentum we've experienced already in the first quarter of 2026 provide us with exciting and additional conviction in our future and all that's possible for Weight Watchers in the years ahead. Over the last year or so, and more dramatically in the months since exiting Chapter 11, Weight Watchers is beginning to feel different, look different, and sound different. We've reduced our legacy debt by more than 70%, freeing capital for investment in the future. We've completely rebuilt the leadership team. We've repositioned and clearly defined our go-forward strategy, refreshed and reintroduced the Weight Watchers brand, reset our product and pricing architecture, and started the extensive execution against our technology modernization roadmap. All of this in service of supporting and growing our member base while returning to sustainable, profitable growth. In our call last quarter, I shared that we were entering a transformative new era in weight health. In the months since, As adoption of GLP-1s continues to accelerate, it's clearer than ever that our sector is undergoing massive generational change. GLP-1 medications represent a permanent structural shift in how the world understands weight, obesity, and metabolic health. Today, about 10 million Americans are estimated to be on GLP-1s. By 2030, McKinsey estimates that number will be between 25 and 50 million. Already, calorie consumption patterns are changing, cardiovascular risks are declining, and entire industries, from food to alcohol to airlines to apparel, are recalibrating in real time. This is not a continuation of anything we've seen in our past. This is a category being rebuilt from the inside out. Weight Watchers is being rebuilt too. We're fast evolving from a primarily behavioral subscription business that originally grew from in-person meetings to pairing in-person connections with a digital behavioral subscription, and now into an integrated weight health ecosystem that includes medication access and clinical care. But we're about so much more than just a prescription. We are building on our decades of providing real, human, comprehensive weight health support wherever our members need it. That commitment doesn't go away with GLP-1. Far from it, it becomes all the more important. Guidance from leading health authorities like the World Health Organization emphasize that medication alone will not solve the global obesity problem and that GLP-1s work best in combination with healthy habits and community support. In fact, data we recently published showed that members who regularly engage with the unique behavioral support delivered by our Weight Watchers GLP-1 Success Program lose 29% more body weight at 12 months on average than those who use medication without the structured behavioral support. Additionally, when we look at the results published by competition in our field, our Weight Watchers Med Plus members prescribed GLP-1 medications reported over 30% more body weight lost on average at 12 months than those of competitors. We published these and other exciting results in a GLP-1 report and press release last week, which you can also find on our site, and I encourage you to take a read. Taking a step back, though, the data is plain as day. GLP-1s work better with Weight Watchers, and as a result, we have a unique opportunity as we embark on this next chapter. Over the last year or so, and particularly in the two quarters since exiting Chapter 11, We've been focused on reinventing nearly every aspect of our company to execute on our strategic priorities. We're creating a deeply engaging end-to-end member experience, innovating to capitalize on new technologies that can continue to support better results and deliver a broad range of solutions to our members on an increasingly personalized basis to meet them wherever they are in their journey. We're growing our new and emerging medical offerings and diversifying our revenue streams, scaling our clinical business, growing our GLP-1 success program, our recently launched menopause program, making registered dietitians more widely accessible, and expanding through other channels such as B2B as we work to grow access to new and expanded audiences. We're revisiting and refreshing how our brand shows up, leaning into the trust and scientific credibility for which we've been known for decades. but in a modern, relevant way for today's consumer, including with a focus on our role in the medication-led space. And after decades lacking sufficient technology investments, we're modernizing our tools, systems, and platforms to ensure we are building on a robust foundation from which growth and innovation can be both nimble and efficient moving forward. Those are our areas of strategic focus today and moving through this year. Let's talk about how they show up in our product offerings. We're working to build a connected ecosystem of solutions, one that increasingly facilitates a member's ability to transition across our portfolio based on their specific goals and needs at any point in time. In terms of our programs, members can subscribe to our base level behavioral core program in order to access our tried and true points tracking system within our mobile app. along with new digital tools launched earlier this year. Core Plus is our premium behavioral offering that provides additional human connection, expert coaching, and community support through in-person and virtual workshops, as well as our newer GLP-1 success and menopause programs. Our GLP-1 success program allows us to support members on GLP-1s who get their medications outside of Weight Watchers, most typically via their primary care or other specialist physicians. And MedPlus is our clinical offering that combines all of our behavioral programming and expertise, plus access to board-certified clinicians who can provide specialist care, including GLP-1 and HRT prescriptions for eligible members in the US. This program takes off decades of expertise in behavioral science, lifestyle change, and community support, and curates it for those on medication. It does so by providing a unique wraparound system to help guide a member be most successful on their medically guided weight loss journey. Each of these offerings builds on the other. They're our foundation for creating an engaged and increasingly retentive member base with higher average revenue per member, and importantly, the opportunity for superior health outcomes The work ahead of us is to continue to strengthen and enrich each of these experiences while raising awareness in the marketplace. In just a few short weeks this year, we saw clear proof points that our brand repositioning and awareness efforts were resonating. Our priority this peak season was to drive a reconsideration of Weight Watchers as a modern, relevant leader in the medical weight loss space. And yes, one that survived an extensively reported bankruptcy process. Our efforts also targeted a simple and important message that is central to our go-forward strategy, that among the many other things we are known for, that Weight Watchers also now provide access to clinicians who can prescribe GLP-1 medications. Awareness that we even have this offering is low, and therefore represents a significant opportunity ahead. The results from our January campaign were exciting, delivering an increase in awareness of our MedPlus offering of eight points to 30%, while improving our brand modernization perception by nine points. Completely repositioning a 60-year-old brand takes more than a few weeks. So to see such material shifts in the space of a relatively short time gives us immense confidence in the leadership role this powerful, trusted, global brand can play in this new world moving forward. We also relaunched our mobile experience in January. It's the first iteration of our app on a newly rebuilt foundational infrastructure and modern code base, one that brought with it new tools and programs to market for our members. Like any release of this scale, we moved quickly to incorporate member feedback and address ad hoc performance issues. As we sit here in March, we've shipped numerous releases since the beginning of the year, centered on removing points of friction in the user experience, as well as showcasing exciting new additions. These include the new AI body scanner, new personalized modes to support different phases of the weight loss journey, a proprietary weight health score, and expanded coach-led virtual meetings, among other ongoing innovations. Nowhere has our commitment to constant improvement been more evidence than in the future digital roadmap we've laid out for the rest of this year. Our driving motivation is to help members successfully achieve their health goals with a build fast, iterate mindset. We're fortunate to have attracted incredibly accomplished and proven new leaders to help lead us through this transformation in science and clinical innovation, technology, marketing, brand, community, and so much more. In the last few weeks, we've also filled more specialist and critically important areas, such as data, AI, product, and user experience, among others. Turnarounds always take time, but they happen faster and more successfully with the right team in place. And I could not be more proud of the leaders who are overseeing this next chapter for the company. In the run up to our critical peak season, we executed across the company to reintroduce our brand, We build our websites and acquisition funnels, and we launched this mobile experience in time for January. The market is taking note, and our strategy is working. We're seeing a level of momentum in our MedPlus offering that is both validating and energizing, with member acquisition reaching accelerated levels as we exited 2025, and new highs as we scaled into the first quarter of 2026. Our marketing efforts to reposition the Weight Watchers brand and shift consumer perception are also helping us reach an entirely new audience. In January, the proportion of first-time Weight Watchers members in the U.S. increased to 35% across all programs and reached even higher levels in MedPlus, where 50% of all new MedPlus members were new to the Weight Watchers brand. We're also successfully reengaging prior Weight Watchers members, many of whom are returning with clear interest in our newer clinically-focused offerings. Of course, we are clear-eyed that this opportunity and associated pace of change does not come without challenges, particularly to a tenured, established business like ours. As GLP-1 adoption continues to grow, clinically-focused solutions will continue to disrupt stand-alone behavioral alternatives. which is exactly why both our strategy and competitive advantage involves adapting our behavioral business for today's consumers and integrating this curated, tailored programming into our fast-scaling clinical capabilities. Again, engaging members wherever they are on their weight health journey, whether they are new, existing, or returning. Speaking of engagements, In January, we were very pleased to see virtual workshop attendance among Core Plus members in the US increasing nearly 30% year over year. And notably, when our affiliated physicians lead these sessions, attendance more than doubles. These metrics represent clear and exciting signals for our business, validating the extent to which our members value the unique integration of medical expertise with human connection through our supportive, one-of-a-kind Weight Watchers community. As GLP-1s mature, the question is quickly shifting from how do I access these medications to how do I live on them? Industry data indicates nearly one in five patients discontinue use of GLP-1 medication within the first few months, largely due to side effects. We offer the support that can best help our members succeed on these medications, and it shows. In fact, 72% of our MedPlus members reported that our GLP-1 success program helped them minimize their side effects. What's more, MedPlus members guided by one of our registered dietitians during their first 12 weeks are 30% less likely to discontinue their treatment plan. These are just a couple of clear yet powerful data points that demonstrate the measurable impact the programs and support systems we are building can have on our members' ability to be successful. They, together with an increasing number of additional proof points, give us confidence in the power and unique value of our model as we move forward. This expansive progress across so many parts of our business is without question deeply encouraging and furthers our belief in the sizable opportunity ahead. But also realistic, knowing that we're in the early days of this work. As is the case with any generational business reinvention, the transition requires both time and careful management. This is all the more critical when managing the balance between exciting and significant growth of new and emerging business lines with ongoing headwinds in a high margin legacy revenue stream. Weight Watchers exits the first quarter with high levels of conviction in our future. As we deploy capital against our strategic priorities in this fast-evolving market, we will continue to proactively manage the balance between the relative maturities and margin profiles of our differing lines of business. We stand at an inflection point. The industry we helped create is going through mammoth, life-affirming change, and we do not plan to stand on the sidelines watching. Our Weight Watchers team has both energy and belief in the large-scale opportunity before us. We have never been more confident in our ability to succeed. But most importantly, we have never been more committed to our mission, to help our members the world over live longer, happier, and healthier lives. And with that, I'll turn it to Felicia to cover the financials.