Weight Watchers International, Inc. (NYSE:WTW) released its fourth-quarter results after the bell Tuesday.
The diet services provider announced net income of $49.5 million. It also reported adjusted earnings of $63 million, or 91 cents per share during the period, topping the year-ago adjusted earnings of $13 million, or 20 cents per share.
The figure came in ahead of analysts’ expectations of earnings of 31 cents per share, according to data compiled by FactSet. The figure excluded a $13.3 million goodwill impairment charge linked to Weight Watchers’ Brazil operations.
Revenue for the period came in at $313 million, beating the $267 million it raked in during the year-ago quarter. Analysts polled by FactSet were projecting sales of $309 million for Weight Watchers.
“We had a highly positive consumer response to the launch of our WW Freestyle program in December, which resulted in a strong finish to the year,” plus the company ended 2017 with roughly 600,000 more members than a year ago, CEO Mindy Grossman said in a statement.
She added that this momentum has seeped into 2018 as Weight Watchers predicts that its sales for the fiscal year will reach about $1.55 billion in the company’s midpoint, beating the Wall Street consensus estimate of $1.44 billion. Adjusted earnings are slated to be in the range of $2.40 to $2.70 per share, better than the $1.90 per share that analysts polled by FactSet are calling for in their consensus.
WTW stock gained 5.6% after the bell Tuesday.