Weight Watchers International (NYSE:WTW) reported its latest quarterly earnings results, which were mixed as the company posted an earnings beat but its subscriber base fell year-over-year, sending shares tumbling.
The dieting services provider said that for its second quarter of fiscal 2018, it raked in net income of $70.7 million, or $1.01 per share. The figure was an improvement over the company’s year-ago net income of $45.2 million, or 67 cents per share.
Analysts were calling for Weight Watchers International to amass earnings of 88 cents per share, according to a survey conducted by Thomson Reuters. The company’s revenue for the period came in at $409.7 million, which marks a growth of 19.9% compared to the $341.7 million it tallied up during the second quarter of fiscal 2017.
The Wall Street consensus estimate was slightly below the company’s results of $409.5 million, according to data compiled by Thomson Reuters. Weight Watchers International’s after-hours stock decline was caused mostly by its subscription figures declining to 4.5 million from 4.6 million during the first quarter of the fiscal year, but the figure still marked a subscriber growth of 27.6% compared to the year-ago quarter.
For the fiscal year 2018, the company projects earnings to be in the range of $3.10 to $3.25 per share, which is higher than its previous guidance of $3 to $3.20 per share. Wall Street calls for earnings of $2.92 per share.
WTW stock fell about 3.5% after the bell on Monday following the company’s subscriber decline from year to year. Shares were gaining about 0.7% during regular trading hours in anticipation of its quarterly results.