• FY 2021 End of Period Subscribers of 4.2 million

  • Q4 2021 Revenues of $276 million

  • FY 2021 Revenues of $1.2 billion

  • Q4 2021 Gross Margin of 61.2%; excluding one-time charges, Q4 2021 adjusted gross margin of 61.3%

  • FY 2021 Gross Margin of 59.9%; excluding one-time charges, FY 2021 adjusted gross margin increased 300 basis points year-over-year to 61.2%

  • Q4 2021 Operating Income of $54 million; excluding one-time charges, Q4 2021 adjusted operating income of $55 million

  • FY 2021 Operating Income of $196 million; excluding one-time charges, FY 2021 adjusted operating income of $216 million

  • Q1 2022 Guidance: Revenues of approximately $300 million and net loss per share in the range of $0.26 to $0.31

  • As previously announced, Sima Sistani, Co-Founder and former CEO of Houseparty and a senior leader at Epic Games, to join WW as CEO on March 21, 2022

NEW YORK, March 01, 2022 (GLOBE NEWSWIRE) -- WW International, Inc. (NASDAQ: WW) today announced its results for the fourth quarter and full year fiscal 2021.

“I am extremely proud of the work that our global teams accomplished throughout my tenure as CEO, including the successful launch of PersonalPoints™ and particularly during the dynamic environment of the past two years,” said Mindy Grossman, the Company’s President and CEO. “I am confident that under the leadership of Sima Sistani WW will continue to innovate, act with purpose, and expand its impact around the world.”

Amy O’Keefe, the Company’s CFO, said, “We closed out 2021 with financial performance in the range of our most recent guidance. While the launch of PersonalPoints in November lifted member recruitment compared to trailing trends, challenging category demand in Q4 pressured signups overall. This trend has continued so far in 2022, therefore, we are planning cautiously and controlling costs tightly in an uncertain demand environment. For Q1 2022, we expect revenues to be approximately $300 million and net loss per share in the range of $0.26 to $0.31.”

Q4 2021 Consolidated Results

       % Change
 % Change
Adjusted for
Constant
Currency(1)
 Three Months Ended  
 January 1,  January 2,  
  2022   2021  
(in millions except percentages and per share amounts)

        
Subscription Revenues, net$247.9  $286.5 (13.5%) (12.9%)
Product Sales and Other, net 27.8   36.9 (24.5%) (24.2%)
Revenues, net$275.8  $323.4 (14.7%) (14.2%)
Gross Profit$168.9  $182.1 (7.3%) (6.5%)
Adjustments        
2021 Plan Restructuring Charges 0.3   --    
2020 Plan Restructuring Charges --   15.7    
Adjusted Gross Profit(1)$169.2  $197.8 (14.5%) (13.8%)
Operating Income$54.1  $47.7 13.4% 14.7%
Adjustments        
2021 Plan Restructuring Charges 0.6   --    
2020 Plan Restructuring Charges(0.1)(5)  19.6    
Adjusted Operating Income(1)$54.6  $67.3 (18.8%) (18.0%)
Net Income*$29.9  $12.6 137.3% 140.7%
EPS$0.42  $0.18 136.3% 139.6%


Total Paid Weeks		 55.9   62.8 (11.1%) N/A
Digital(2) Paid Weeks 45.8   51.9 (11.8%) N/A
Workshops + Digital(3) Paid Weeks 10.1   11.0 (7.7%) N/A
            
End of Period Subscribers(4) 4.2   4.4 (5.8%) N/A
Digital Subscribers 3.4   3.7 (7.1%) N/A
Workshops + Digital Subscribers 0.7   0.7 1.0% N/A
         
___________________________________

Note: Totals may not sum due to rounding.
(1)   See “Reconciliation of Non-GAAP Financial Measures” attached to this release for further detail on adjustments to GAAP financial measures.
(2)   “Digital” refers to providing subscriptions to the Company’s digital product offerings, including Digital 360 and Personal Coaching + Digital.
(3)   “Workshops + Digital” (formerly known as “Studio + Digital”) refers to providing unlimited access to the Company’s workshops combined with the Company’s digital subscription product offerings to commitment plan subscribers. It also includes the provision of access to workshops for members who do not subscribe to commitment plans, including the Company’s “pay-as-you-go” members.
(4)   “Subscribers” refers to Digital subscribers and Workshops + Digital subscribers who participate in recur bill programs in Company-owned operations.
(5)   The reversal of charges associated with the Company’s previously disclosed 2020 organizational restructuring plan.
*Except in the case of the financials attached to this release, “Net Income” refers to Net Income attributable to WW International, Inc.
 

Q4 2021 Business and Financial Highlights

  • End of Period Subscribers in Q4 2021 were down 5.8% versus the prior year period, driven by declines in all major geographic markets. Q4 2021 End of Period Digital Subscribers decreased 7.1% and End of Period Workshops + Digital Subscribers increased 1.0% versus the prior year period.

  • Total Paid Weeks in Q4 2021 were down 11.1% versus the prior year period, driven by declines in all major geographic markets. Q4 2021 Digital Paid Weeks decreased 11.8% and Workshops + Digital Paid Weeks decreased 7.7% versus the prior year period.

  • Revenues in Q4 2021 were $275.8 million. On a constant currency basis, Q4 2021 revenues decreased 14.2% versus the prior year period.

    • Subscription Revenues in Q4 2021 were $247.9 million. On a constant currency basis, these revenues decreased 12.9% versus the prior year period, driven by declines in both Digital Subscription Revenues and Workshops + Digital Fees as a result of the impact of the COVID-19 environment on consumer sentiment.

    • Product Sales and Other in Q4 2021 were $27.8 million. On a constant currency basis, these revenues decreased 24.2% versus the prior year period, primarily due to lower e-commerce sales in the quarter.

  • Gross Profit in Q4 2021 was $168.9 million. Adjusted gross profit in Q4 2021 was $169.2 million, which excluded $0.3 million of restructuring charges. Gross profit in Q4 2020 was $182.1 million. Adjusted gross profit in Q4 2020, which excluded the impact of $15.7 million of restructuring charges, was $197.8 million.

    • Gross Margin in Q4 2021 was 61.2%. Adjusted gross margin was 61.3%, largely consistent with the prior year period adjusted gross margin of 61.2%, reflecting a consistent mix of Digital subscribers and Workshops + Digital subscribers compared to the prior year period.

  • Operating Income in Q4 2021 was $54.1 million. Adjusted operating income in Q4 2021, which excluded the net impact of $0.6 million of restructuring charges, was $54.6 million. Operating income in Q4 2020 was $47.7 million. Adjusted operating income in Q4 2020, which excluded the impact of $19.6 million of restructuring charges, was $67.3 million.

  • Effective Tax Rate in Q4 2021 was 9.9%, compared to 23.7% in the prior year period. The lower tax rate in the quarter was primarily related to a state tax rate decrease on certain deferred income.

  • Net Income in Q4 2021 was $29.9 million compared to $12.6 million in the prior year period.

  • Earnings per fully diluted share (EPS) in Q4 2021 was $0.42 compared to $0.18 in the prior year period.

    • Certain items affect year-over-year comparability.
      • Q4 2021 EPS was positively impacted by $0.07 per fully diluted share in the aggregate due to the net impact of the following items:
        • $0.09 per fully diluted share positive impact of a state tax decrease on certain deferred income.
        • $0.01 per fully diluted share net negative impact of restructuring charges.
        • $0.01 per fully diluted share negative impact of early extinguishment of debt charges.
      • Q4 2020 EPS was negatively impacted by $0.21 per fully diluted share due to restructuring charges.

Full Year 2021 Consolidated Results

      % Change
 % Change
Adjusted for
Constant
Currency(1)
 Twelve Months Ended  
 January 1,  January 2,  
  2022   2021  
(in millions except percentages and per share amounts)

        
Subscription Revenues, net$1,063.0  $1,186.5 (10.4%) (12.1%)
Product Sales and Other, net 149.4   191.6 (22.0%) (23.7%)
Revenues, net$1,212.5  $1,378.1 (12.0%) (13.7%)
Gross Profit$726.4  $777.8 (6.6%) (8.7%)
Adjustments        
2021 Plan Restructuring Charges 16.7   --    
2020 Plan Restructuring Charges(1.3)(5)  23.3    
Adjusted Gross Profit(1)$741.8  $801.1 (7.4%) (9.4%)
Operating Income$196.3  $216.2 (9.2%) (12.3%)
Adjustments        
2021 Plan Restructuring Charges 21.5   --    
2020 Plan Restructuring Charges(1.6)(5)  33.1    
Winfrey Stock Compensation Expense --   32.7    
Goodwill Impairment --   3.7    
Adjusted Operating Income(1)$216.2  $285.6 (24.3%) (26.7%)
Net Income*$66.9  $75.1 (10.9%) (17.4%)
EPS$0.95  $1.07 (11.8%) (18.2%)


Total Paid Weeks		 243.4   254.3 (4.3%) N/A
Digital(2) Paid Weeks 204.1   196.3 4.0% N/A
Workshops + Digital(3) Paid Weeks 39.3   58.0 (32.3%) N/A
            
End of Period Subscribers(4) 4.2   4.4 (5.8%) N/A
Digital Subscribers 3.4   3.7 (7.1%) N/A
Workshops + Digital Subscribers 0.7   0.7 1.0% N/A
         
___________________________________

Note: Totals may not sum due to rounding.
(1)   See “Reconciliation of Non-GAAP Financial Measures” attached to this release for further detail on adjustments to GAAP financial measures.
(2)   “Digital” refers to providing subscriptions to the Company’s digital product offerings, including Digital 360 and Personal Coaching + Digital.
(3)   “Workshops + Digital” refers to providing unlimited access to the Company’s workshops combined with the Company’s digital subscription product offerings to commitment plan subscribers. It also includes the provision of access to workshops for members who do not subscribe to commitment plans, including the Company’s “pay-as-you-go” members.
(4)   “Subscribers” refers to Digital subscribers and Workshops + Digital subscribers who participate in recur bill programs in Company-owned operations.
(5)   The reversal of charges associated with the Company’s previously disclosed 2020 organizational restructuring plan.
*Except in the case of the financials attached to this release, “Net Income” refers to Net Income attributable to WW International, Inc.
 

Full Year 2021 Business and Financial Highlights

  • Total Paid Weeks in fiscal 2021 were down 4.3% versus the prior year, driven by declines in Workshops + Digital Paid Weeks in all major geographic markets, partially offset by increases in Digital Paid Weeks across most major geographic markets. Fiscal 2021 Digital Paid Weeks increased 4.0% and Workshops + Digital Paid Weeks decreased 32.3% versus the prior year.

  • Revenues in fiscal 2021 were $1,212.5 million. On a constant currency basis, fiscal 2021 revenues decreased 13.7% versus the prior year.

    • Subscription Revenues in fiscal 2021 were $1,063.0 million. On a constant currency basis, these revenues decreased 12.1% versus the prior year, primarily driven by declines in Workshops + Digital Fees as a result of the impact of the COVID-19 environment.

    • Product Sales and Other in fiscal 2021 were $149.4 million. On a constant currency basis, these revenues decreased 23.7% versus the prior year, primarily driven by declines in product sales as a result of the closure of studios and reduced operations related to COVID-19 as well as cycling against the revenue received in connection with the WW Presents: Oprah’s 2020 Vision tour in fiscal 2020.

  • Gross Profit in fiscal 2021 was $726.4 million and adjusted gross profit in fiscal 2021 was $741.8 million, which excluded the net impact of $15.4 million of restructuring charges. Gross profit in fiscal 2020 was $777.8 million.

    • Gross Margin in fiscal 2021 was 59.9%. Adjusted gross margin was 61.2%, up from 58.1% in fiscal 2020 driven primarily by a mix shift to the Company’s higher margin Digital business.

  • Operating Income in fiscal 2021 was $196.3 million and adjusted operating income in fiscal 2021 was $216.2 million, which excluded the net impact of $19.9 million of restructuring charges. Operating income in fiscal 2020 was $216.2 million.

  • Effective Tax Rate in fiscal 2021 was 12.7% compared to 18.9% in the prior year.

  • Net Income in fiscal 2021 was $66.9 million compared to $75.1 million in the prior year.

  • Earnings per fully diluted share (EPS) in fiscal 2021 was $0.95 compared to $1.07 in the prior year.

    • Certain items affect year-over-year comparability.
      • Fiscal 2021 EPS was negatively impacted by $0.42 per fully diluted share in the aggregate due to the net impact of the following items:
        • $0.32 per fully diluted share aggregate negative impact from early extinguishment of debt charges, including those associated with the Company’s April 2021 debt refinancing.
        • $0.21 per fully diluted share net negative impact of restructuring charges.
        • $0.09 per fully diluted share positive impact of a state tax decrease on certain deferred income.
        • $0.02 per fully diluted share positive impact of tax benefits due to the reversal of a valuation allowance related to certain net operating losses now expected to be realized.
      • Fiscal 2020 EPS was negatively impacted by $0.63 per fully diluted share in the aggregate due to the net impact of the following items:
        • $0.35 per fully diluted share negative impact of restructuring charges.
        • $0.35 per fully diluted share negative impact from the one-time stock compensation expense associated with the previously disclosed option granted to Oprah Winfrey in connection with the Company extending its partnership with Ms. Winfrey.
        • $0.04 per fully diluted share negative impact from the goodwill impairment charge related to the Company’s Brazil operations.
        • $0.11 per fully diluted share benefit from the reversal of prior years’ global intangible low-taxed income, or GILTI, taxes that are no longer required.

Other Items

  • Cash balance as of January 1, 2022 was $153.8 million. On that same date, the Company had no outstanding borrowings under its $175.0 million revolving credit facility.
  • Debt Prepayments: In December 2021, the Company made voluntary prepayments at par of $52.5 million in respect of its outstanding term loans under its term loan facility.

2022 Guidance

The Company is providing Q1 2022 guidance, as follows:

  • Revenues are expected to be approximately $300 million.
  • Net loss per share is expected to be in the range of $0.26 to $0.31.

The Company is not providing full year 2022 guidance today.

Fourth Quarter and Full Year 2021 Conference Call and Webcast
The Company has scheduled a conference call today at 5:00 p.m. ET.  During the conference call, Mindy Grossman, President and Chief Executive Officer, Nicholas Hotchkin, Chief Operating Officer, and Amy O’Keefe, Chief Financial Officer, will discuss the fourth quarter and full year fiscal 2021 results and answer questions from the investment community.

The live webcast of the conference call will be available on the Company’s corporate website, corporate.ww.com, in the Investors section under Presentations and Events. Supplemental investor materials will also be available in the same location prior to the start of the webcast. A replay of the webcast will be available on this site for approximately 90 days.

Statement regarding Non-GAAP Financial Measures
The following provides information regarding non-GAAP financial measures used in this earnings release and today’s scheduled conference call:

To supplement the Company's consolidated results presented in accordance with accounting principles generally accepted in the United States (“GAAP”), the Company has disclosed non-GAAP financial measures of operating results that exclude or adjust certain items. Gross profit, gross profit margin, operating income, operating income margin, and selling, general and administrative expenses are discussed both as reported (on a GAAP basis) and as adjusted (on a non-GAAP basis), as applicable, with respect to (i) the fourth quarter of fiscal 2021 to exclude the impact of charges associated with the Company’s previously disclosed 2021 organizational restructuring plan (“2021 restructuring charges”); (ii) the fourth quarter and full year fiscal 2021 to exclude the net impact of (x) 2021 restructuring charges and (y) the reversal of certain of the charges associated with the Company’s previously disclosed 2020 organizational restructuring plan; (iii) the fourth quarter of fiscal 2020 to exclude the impact of charges associated with the Company’s previously disclosed 2020 organizational restructuring plan (the “2020 restructuring charges”); and (iv) full year fiscal 2020 to exclude the impact of (x) the one-time stock compensation expense associated with the previously disclosed option granted to Oprah Winfrey in connection with the Company extending its partnership with Ms. Winfrey (the “Winfrey Stock Compensation expense”), (y) the 2020 restructuring charges and (z) the impairment charge for the Company’s goodwill related to its Brazil reporting unit. We generally refer to such non-GAAP measures as follows: (i) with respect to the adjustments for the fourth quarter and full year fiscal 2021, as applicable, as excluding or adjusting for the impact or net impact of restructuring charges; and (ii) with respect to the adjustments for the fourth quarter and full year fiscal 2020, as applicable, as excluding or adjusting for the impact of the Winfrey Stock Compensation expense, the restructuring charges and/or the goodwill impairment charge. The Company also presents in the attachments to this release the non-GAAP financial measures earnings before interest, taxes, depreciation, amortization and stock-based compensation (“EBITDAS”), earnings before interest, taxes, depreciation, amortization, stock-based compensation, early extinguishment of debt, restructuring charges (including the net impact where applicable) and goodwill impairment (“Adjusted EBITDAS”), net debt, and a net debt to Adjusted EBITDAS ratio. In addition, the Company presents certain of its financial results on a constant currency basis in addition to GAAP results. Constant currency information compares results between periods as if exchange rates had remained constant period-over-period. The Company calculates constant currency by calculating current-year results using prior-year foreign currency exchange rates.

Management believes these non-GAAP financial measures provide useful supplemental information for its and investors' evaluation of the Company's business performance and are useful for period-over-period comparisons of the performance of the Company's business. While management believes that these non-GAAP financial measures are useful in evaluating the Company's business, this information should be considered as supplemental in nature and should not be considered in isolation or as a substitute for the related financial information prepared in accordance with GAAP. In addition, these non-GAAP financial measures may not be the same as similarly entitled measures reported by other companies. See "Reconciliation of Non-GAAP Financial Measures" attached to this release and reconciliations, if any, included elsewhere in this release for a reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures.

About WW International, Inc.
WW (formerly Weight Watchers) is a human-centric technology company powered by the world's leading commercial weight management program. As a global wellness company, we inspire millions of people to adopt healthy habits for real life. Through our comprehensive digital app, expert Coaches and engaging experiences, members follow our proven, sustainable, science-based program focused on food, activity, mindset and sleep. Leveraging nearly six decades of expertise in nutritional and behavioral change science, providing real human connection and building inspired communities, our purpose is to democratize and deliver holistic wellness for all. To learn more about the WW approach to healthy living, please visit ww.com. For more information about our global business, visit our corporate website at corporate.ww.com.

This news release and any attachments include “forward-looking statements,” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, in particular, revenue and earnings guidance and any statements about the Company’s plans, strategies, objectives, and prospects and the impact of the COVID-19 virus. The Company generally uses the words “may,” “will,” “could,” “expect,” “anticipate,” “believe,” “estimate,” “plan,” “intend,” “aim” and similar expressions in this news release and any attachments to identify forward-looking statements. The Company bases these forward-looking statements on its current views with respect to future events and financial performance. Actual results could differ materially from those projected in the forward-looking statements. These forward-looking statements are subject to risks, uncertainties and assumptions, including, among other things: the impact of the ongoing global outbreak of the COVID-19 virus on the Company’s business and liquidity and on the business and consumer environment and markets in which the Company operates; competition from other weight management and wellness industry participants or the development of more effective or more favorably perceived weight management methods; the Company’s failure to continue to retain and grow its subscriber base; the Company’s ability to continue to develop new, innovative services and products and enhance its existing services and products or the failure of its services, products or brands to continue to appeal to the market, or the Company’s ability to successfully expand into new channels of distribution or respond to consumer trends or sentiment; the ability to successfully implement strategic initiatives; the effectiveness and efficiency of the Company’s advertising and marketing programs, including the strength of its social media presence; the impact on the Company’s reputation of actions taken by its franchisees, licensees, suppliers and other partners; the recognition of asset impairment charges; the loss of key personnel, strategic partners or consultants or failure to effectively manage and motivate the Company’s workforce; the Company’s chief executive officer transition; the inability to renew certain of the Company’s licenses, or the inability to do so on terms that are favorable to the Company; the expiration or early termination by the Company of leases; uncertainties related to a downturn in general economic conditions or consumer confidence; the Company’s ability to successfully make acquisitions or enter into joint ventures or collaborations, including its ability to successfully integrate, operate or realize the anticipated benefits of such businesses; the seasonal nature of the Company’s business; the impact of events that discourage or impede people from gathering with others or impede accessing resources; the Company’s failure to maintain effective internal control over financial reporting; the impact of the Company’s substantial amount of debt, debt service obligations and debt covenants, and the Company’s exposure to variable rate indebtedness; the ability to generate sufficient cash to service the Company’s debt and satisfy its other liquidity requirements; uncertainties regarding the satisfactory operation of the Company’s technology or systems; the impact of data security breaches and other malicious acts or privacy concerns, including the costs of compliance with evolving privacy laws and regulations; the Company’s ability to enforce its intellectual property rights both domestically and internationally, as well as the impact of its involvement in any claims related to intellectual property rights; risks and uncertainties associated with the Company’s international operations, including regulatory, economic, political, social, intellectual property and foreign currency risks; the outcomes of litigation or regulatory actions; the impact of existing and future laws and regulations; the possibility that the interests of Artal Group S.A., the largest holder of the Company’s common stock and a shareholder with significant influence over the Company, will conflict with the Company’s interests or the interests of other holders of the Company’s common stock; the impact that the sale of substantial amounts of the Company’s common stock by existing large shareholders, or the perception that such sales could occur, could have on the market price of the Company’s common stock; and other risks and uncertainties, including those detailed from time to time in the Company’s periodic reports filed with the Securities and Exchange Commission. You should not put undue reliance on any forward-looking statements. You should understand that many important factors, including those discussed herein, could cause the Company’s results to differ materially from those expressed or suggested in any forward-looking statement. Except as required by law, the Company does not undertake any obligation to update or revise these forward-looking statements to reflect new information or events or circumstances that occur after the date of this news release or to reflect the occurrence of unanticipated events or otherwise. Readers are advised to review the Company’s filings with the United States Securities and Exchange Commission (which are available on the SEC’s EDGAR database at www.sec.gov and via the Company’s website at corporate.ww.com).


WW INTERNATIONAL, INC. AND SUBSIDIARIES 
CONDENSED CONSOLIDATED BALANCE SHEETS 
(IN THOUSANDS) 
UNAUDITED 
     
     
     
 January 1, January 2, 
  2022   2021  
     
ASSETS    
Cash and cash equivalents$153,794  $165,887  
Other current assets 117,379   133,305  
TOTAL CURRENT ASSETS 271,173   299,192  
Property and equipment, net 37,219   51,935  
Operating lease assets 89,902   119,102  
Goodwill, franchise rights and other intangible assets, net 1,003,695   981,176  
Other assets 26,945   29,769  
TOTAL ASSETS$1,428,934  $1,481,174  
     
LIABILITIES AND TOTAL DEFICIT    
Portion of long-term debt due within one year$-  $77,000  
Portion of operating lease liabilities due within one year 20,297   28,551  
Other current liabilities 208,835   234,548  
TOTAL CURRENT LIABILITIES 229,132   340,099  
Long-term debt 1,418,104   1,408,800  
Long-term operating lease liabilities 78,157   101,561  
Deferred income taxes, other 159,945   178,925  
TOTAL LIABILITIES$1,885,338  $2,029,385  
     
Shareholders' deficit (456,404)  (548,211) 
     
TOTAL LIABILITIES AND TOTAL DEFICIT$1,428,934  $1,481,174  
     



WW INTERNATIONAL, INC. AND SUBSIDIARIES 
CONSOLIDATED STATEMENTS OF NET INCOME 
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) 
UNAUDITED 
        
    Three Months Ended 
    January 1, January 2, 
     2022  2021 
Subscription revenues, net (1)  $247,947 $286,525 
Product sales and other, net (2)   27,844  36,902 
 Revenues, net   275,791  323,427 
Cost of subscription revenues (3)   84,855  109,825 
Cost of product sales and other   22,079  31,519 
 Cost of revenues   106,934  141,344 
 Gross profit   168,857  182,083 
Marketing expenses   52,801  62,638 
Selling, general and administrative expenses   61,998  71,777 
 Operating income   54,058  47,668 
Interest expense   19,210  31,030 
Other expense, net   451  120 
Early extinguishment of debt   1,183  - 
 Income before income taxes   33,214  16,518 
Provision for income taxes   3,285  3,916 
 Net income   29,929  12,602 
Net loss attributable to the noncontrolling interest   -  9 
 Net income attributable to WW International, Inc.  $29,929 $12,611 
        
Earnings Per Share attributable to WW International, Inc.     
 Basic  $0.43 $0.18 
 Diluted  $0.42 $0.18 
        
Weighted average common shares outstanding:      
 Basic   70,011  68,275 
 Diluted   70,586  70,263 
        
        
Note: Totals may not sum due to rounding.  
(1) Consists of net “Digital Subscription Revenues” and net “Workshops + Digital Fees” (formerly known as "Studio + Digital Fees"). "Digital Subscription Revenues" consist of the fees associated with subscriptions for the Company’s Digital offerings, including Digital 360 and Personal Coaching + Digital. "Workshops + Digital Fees" consist of the fees associated with the Company's subscription plans for combined workshops and digital offerings and other payment arrangements for access to workshops. 
(2) Consists of sales of consumer products via e-commerce, in studios and through the Company's trusted partners, revenues from licensing and publishing, other revenues, and franchise fees with respect to commitment plans and royalties. 
(3) Consists of cost of revenues and operating expenses for the Company's Digital and Workshops + Digital services.
        



WW INTERNATIONAL, INC. AND SUBSIDIARIES  
CONSOLIDATED STATEMENTS OF NET INCOME  
(IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)  
UNAUDITED  
         
    Twelve Months Ended  
    January 1, January 2,  
     2022  2021  
Subscription revenues, net (1)  $1,063,039 $1,186,489  
Product sales and other, net (2)   149,424  191,635  
 Revenues, net   1,212,463  1,378,124  
Cost of subscription revenues (3)   370,064  452,882  
Cost of product sales and other   116,044  147,401  
 Cost of revenues   486,108  600,283  
 Gross profit   726,355  777,841  
Marketing expenses   261,457  260,727  
Selling, general and administrative expenses   268,614  297,287  
Goodwill impairment   -  3,665  
 Operating income   196,284  216,162  
Interest expense   87,909  123,310  
Other expense, net   1,358  349  
Early extinguishment of debt   30,352  -  
 Income before income taxes   76,665  92,503  
Provision for income taxes   9,773  17,462  
 Net income   66,892  75,041  
Net loss attributable to the noncontrolling interest   -  38  
 Net income attributable to WW International, Inc.  $66,892 $75,079  
         
Earnings Per Share attributable to WW International, Inc.      
 Basic  $0.96 $1.11  
 Diluted  $0.95 $1.07  
         
Weighted average common shares outstanding:       
 Basic   69,640  67,849  
 Diluted   70,744  70,020  
         
         
Note: Totals may not sum due to rounding.  
(1) Consists of net “Digital Subscription Revenues” and net “Workshops + Digital Fees” (formerly known as "Studio + Digital Fees"). “Digital Subscription Revenues” consist of the fees associated with subscriptions for the Company’s Digital offerings, including Digital 360 and Personal Coaching + Digital. “Workshops + Digital Fees” consist of the fees associated with the Company's subscription plans for combined workshops and digital offerings and other payment arrangements for access to workshops.  
(2) Consists of sales of consumer products via e-commerce, in studios and through the Company's trusted partners, revenues from licensing and publishing, other revenues (including revenues from the WW Presents: Oprah’s 2020 Vision tour), and franchise fees with respect to commitment plans and royalties.  
(3) Consists of cost of revenues and operating expenses for the Company's Digital and Workshops + Digital services.
         



WW INTERNATIONAL, INC. AND SUBSIDIARIES 
OPERATIONAL STATISTICS  
(IN THOUSANDS, EXCEPT PERCENTAGES) 
UNAUDITED 
        
  Three Months Ended   
  January 1, January 2, Variance 
  2022 2021  
        
Digital Paid Weeks (1)      
North America28,681 32,950 (13.0%) 
CE 13,523 14,483 (6.6%) 
UK 2,545 3,392 (25.0%) 
Other (2)1,006 1,036 (2.9%) 
Total Digital Paid Weeks45,757 51,861 (11.8%) 
        
Workshops + Digital Paid Weeks(1)      
North America7,528 7,388 1.9% 
CE 1,440 1,829 (21.3%) 
UK 927 1,425 (34.9%) 
Other (2)251 345 (27.3%) 
Total Workshops + Digital Paid Weeks10,146 10,988 (7.7%) 
        
Total Paid Weeks (1)      
North America36,209 40,338 (10.2%) 
CE 14,963 16,312 (8.3%) 
UK 3,473 4,817 (27.9%) 
Other (2)1,257 1,381 (9.0%) 
Total Paid Weeks55,902 62,849 (11.1%) 
        
End of Period Digital Subscribers(3)      
North America2,187 2,334 (6.3%) 
CE 998 1,060 (5.8%) 
UK 180 235 (23.5%) 
Other (2)76 74 2.8% 
Total End of Period Digital Subscribers3,441 3,703 (7.1%) 
        
End of Period Workshops + Digital Subscribers(3)      
North America548 488 12.3% 
CE 96 120 (20.1%) 
UK 65 88 (26.2%) 
Other (2)18 24 (21.9%) 
Total End of Period Workshops + Digital Subscribers727 720 1.0% 
        
Total End of Period Subscribers(3)      
North America2,735 2,822 (3.1%) 
CE 1,094 1,180 (7.2%) 
UK 245 323 (24.3%) 
Other (2)95 98 (3.2%) 
Total End of Period Subscribers4,169 4,423 (5.8%) 
        
        
        
Note: Totals may not sum due to rounding. 
(1) The “Paid Weeks” metric reports paid weeks by WW customers in Company-owned operations for a given period as follows: (i) “Digital Paid Weeks” is the total paid subscription weeks for the Company’s digital subscription products (including Digital 360 and Personal Coaching + Digital); (ii) “Workshops + Digital Paid Weeks” (formerly known as "Studio + Digital Paid Weeks") is the sum of total paid commitment plan weeks which include workshops and digital offerings and total “pay-as-you-go” weeks; and (iii) “Total Paid Weeks” is the sum of Digital Paid Weeks and Workshops + Digital Paid Weeks. 
(2) Represents Australia, New Zealand and emerging markets.      
(3) The “End of Period Subscribers” metric reports WW subscribers in Company-owned operations at a given period end as follows: (i) “End of Period Digital Subscribers” is the total number of Digital, including Digital 360 and Personal Coaching + Digital, subscribers; (ii) “End of Period Workshops + Digital Subscribers” (formerly known as "End of Period Studio + Digital Subscribers") is the total number of commitment plan subscribers that have access to combined workshops and digital offerings; and (iii) “End of Period Subscribers” is the sum of End of Period Digital Subscribers and End of Period Workshops + Digital Subscribers. 
        



WW INTERNATIONAL, INC. AND SUBSIDIARIES 
OPERATIONAL STATISTICS  
(IN THOUSANDS, EXCEPT PERCENTAGES) 
UNAUDITED 
        
  Twelve Months Ended   
  January 1, January 2, Variance 
  2022 2021  
        
Digital Paid Weeks (1)      
North America128,319 124,585 3.0% 
CE 59,325 55,241 7.4% 
UK 12,442 12,668 (1.8%) 
Other (2)4,052 3,786 7.0% 
Total Digital Paid Weeks204,139 196,280 4.0% 
        
Workshops + Digital Paid Weeks(1)      
North America28,682 39,362 (27.1%) 
CE 5,461 9,352 (41.6%) 
UK 3,977 7,597 (47.6%) 
Other (2)1,177 1,697 (30.6%) 
Total Workshops + Digital Paid Weeks39,298 58,007 (32.3%) 
        
Total Paid Weeks (1)      
North America157,002 163,947 (4.2%) 
CE 64,787 64,592 0.3% 
UK 16,419 20,265 (19.0%) 
Other (2)5,229 5,483 (4.6%) 
Total Paid Weeks243,437 254,287 (4.3%) 
        
End of Period Digital Subscribers(3)      
North America2,187 2,334 (6.3%) 
CE 998 1,060 (5.8%) 
UK 180 235 (23.5%) 
Other (2)76 74 2.8% 
Total End of Period Digital Subscribers3,441 3,703 (7.1%) 
        
End of Period Workshops + Digital Subscribers(3)      
North America548 488 12.3% 
CE 96 120 (20.1%) 
UK 65 88 (26.2%) 
Other (2)18 24 (21.9%) 
Total End of Period Workshops + Digital Subscribers727 720 1.0% 
        
Total End of Period Subscribers(3)      
North America2,735 2,822 (3.1%) 
CE 1,094 1,180 (7.2%) 
UK 245 323 (24.3%) 
Other (2)95 98 (3.2%) 
Total End of Period Subscribers4,169 4,423 (5.8%) 
        
        
        
Note: Totals may not sum due to rounding.  
(1) The “Paid Weeks” metric reports paid weeks by WW customers in Company-owned operations for a given period as follows: (i) “Digital Paid Weeks” is the total paid subscription weeks for the Company’s digital subscription products (including Digital 360 and Personal Coaching + Digital); (ii) “Workshops + Digital Paid Weeks” (formerly known as "Studio + Digital Paid Weeks") is the sum of total paid commitment plan weeks which include workshops and digital offerings and total “pay-as-you-go” weeks; and (iii) “Total Paid Weeks” is the sum of Digital Paid Weeks and Workshops + Digital Paid Weeks. 
(2) Represents Australia, New Zealand and emerging markets.      
(3) The “End of Period Subscribers” metric reports WW subscribers in Company-owned operations at a given period end as follows: (i) “End of Period Digital Subscribers” is the total number of Digital, including Digital 360 and Personal Coaching + Digital, subscribers; (ii) “End of Period Workshops + Digital Subscribers” (formerly known as "End of Period Studio + Digital Subscribers") is the total number of commitment plan subscribers that have access to combined workshops and digital offerings; and (iii) “End of Period Subscribers” is the sum of End of Period Digital Subscribers and End of Period Workshops + Digital Subscribers. 
        



WW INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(IN THOUSANDS, EXCEPT PERCENTAGES)
UNAUDITED
             
          Q4 2021 Variance
            2021
        Constant
  Q4 2021 Q4 2020 2021 Currency
    Currency Constant   vs vs
  GAAP Adjustment Currency GAAP 2020 2020
Selected Financial Data           
Consolidated Company Revenues$275,791 $1,780  $277,571 $323,427 (14.7%) (14.2%)
Consolidated Digital Subscription Revenues (1)$181,486 $1,509  $182,995 $201,863 (10.1%) (9.3%)
Consolidated Workshops + Digital Fees (2)$66,461 $156  $66,617 $84,662 (21.5%) (21.3%)
Consolidated Subscription Revenues (3)$247,947 $1,665  $249,613 $286,525 (13.5%) (12.9%)
Consolidated Product Sales and Other (4)$27,844 $114  $27,958 $36,902 (24.5%) (24.2%)
             
North America           
Digital Subscription Revenues (1)$116,730 $(293) $116,437 $130,079 (10.3%) (10.5%)
Workshops + Digital Fees (2)$51,812 $(68) $51,744 $61,799 (16.2%) (16.3%)
Subscription Revenues (3)$168,542 $(362) $168,180 $191,878 (12.2%) (12.4%)
Product Sales and Other (4)$19,514 $(59) $19,455 $23,781 (17.9%) (18.2%)
Total Revenues$188,056 $(421) $187,635 $215,659 (12.8%) (13.0%)
             
CE            
Digital Subscription Revenues (1)$52,237 $1,965  $54,202 $57,406 (9.0%) (5.6%)
Workshops + Digital Fees (2)$8,309 $320  $8,629 $13,536 (38.6%) (36.3%)
Subscription Revenues (3)$60,546 $2,286  $62,832 $70,942 (14.7%) (11.4%)
Product Sales and Other (4)$5,600 $218  $5,818 $8,117 (31.0%) (28.3%)
Total Revenues$66,145 $2,504  $68,649 $79,059 (16.3%) (13.2%)
             
UK            
Digital Subscription Revenues (1)$7,937 $(175) $7,762 $9,545 (16.9%) (18.7%)
Workshops + Digital Fees (2)$4,405 $(94) $4,311 $6,638 (33.6%) (35.0%)
Subscription Revenues (3)$12,342 $(269) $12,073 $16,183 (23.7%) (25.4%)
Product Sales and Other (4)$1,742 $(41) $1,701 $2,980 (41.5%) (42.9%)
Total Revenues$14,085 $(311) $13,774 $19,164 (26.5%) (28.1%)
             
Other (5)           
Digital Subscription Revenues (1)$4,582 $12  $4,594 $4,832 (5.2%) (4.9%)
Workshops + Digital Fees (2)$1,935 $(2) $1,933 $2,689 (28.0%) (28.1%)
Subscription Revenues (3)$6,517 $11  $6,528 $7,521 (13.4%) (13.2%)
Product Sales and Other (4)$988 $(3) $985 $2,024 (51.2%) (51.3%)
Total Revenues$7,505 $8  $7,513 $9,545 (21.4%) (21.3%)
             
             
Note: Totals may not sum due to rounding.
(1) “Digital Subscription Revenues” consist of the fees associated with subscriptions for the Company’s Digital offerings, including Digital 360 and Personal Coaching + Digital.
(2) “Workshops + Digital Fees” consist of the fees associated with the Company's subscription plans for combined workshops and digital offerings and other payment arrangements for access to workshops.
(3) “Subscription Revenues” equal “Digital Subscription Revenues" plus “Workshops + Digital Fees”.
(4) “Product Sales and Other” are sales of consumer products via e-commerce, in studios and through the Company's trusted partners, revenues from licensing and publishing, other revenues, and, in the case of the consolidated financial results and Other reportable segment, franchise fees with respect to commitment plans and royalties.
(5) Represents Australia, New Zealand, emerging markets and franchise revenues.
             



WW INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(IN THOUSANDS, EXCEPT PERCENTAGES)
UNAUDITED
            
         Full Year 2021 Variance
 Full Year 2021 Full Year 2020 2021 2021
Constant
Currency
            
   Currency Constant   vs vs
 GAAP Adjustment Currency GAAP 2020 2020
Selected Financial Data           
Consolidated Company Revenues$1,212,463 $(23,219) $1,189,244 $1,378,124 (12.0%) (13.7%)
Consolidated Digital Subscription Revenues (1)$788,173 $(15,792) $772,381 $743,060 6.1% 3.9%
Consolidated Workshops + Digital Fees (2)$274,866 $(4,163) $270,703 $443,429 (38.0%) (39.0%)
Consolidated Subscription Revenues (3)$1,063,039 $(19,955) $1,043,084 $1,186,489 (10.4%) (12.1%)
Consolidated Product Sales and Other (4)$149,424 $(3,263) $146,161 $191,635 (22.0%) (23.7%)
            
North America           
Digital Subscription Revenues (1)$504,152 $(2,471) $501,681 $484,471 4.1% 3.6%
Workshops + Digital Fees (2)$210,076 $(632) $209,444 $329,885 (36.3%) (36.5%)
Subscription Revenues (3)$714,228 $(3,103) $711,125 $814,356 (12.3%) (12.7%)
Product Sales and Other (4)$100,569 $(532) $100,037 $127,744 (21.3%) (21.7%)
Total Revenues$814,797 $(3,635) $811,162 $942,100 (13.5%) (13.9%)
            
CE           
Digital Subscription Revenues (1)$228,296 $(9,362) $218,934 $207,978 9.8% 5.3%
Workshops + Digital Fees (2)$36,707 $(1,555) $35,152 $67,201 (45.4%) (47.7%)
Subscription Revenues (3)$265,003 $(10,917) $254,086 $275,179 (3.7%) (7.7%)
Product Sales and Other (4)$32,907 $(1,647) $31,260 $38,201 (13.9%) (18.2%)
Total Revenues$297,910 $(12,564) $285,346 $313,380 (4.9%) (8.9%)
            
UK           
Digital Subscription Revenues (1)$36,347 $(2,528) $33,819 $33,919 7.2% (0.3%)
Workshops + Digital Fees (2)$18,709 $(1,268) $17,441 $33,283 (43.8%) (47.6%)
Subscription Revenues (3)$55,056 $(3,796) $51,260 $67,202 (18.1%) (23.7%)
Product Sales and Other (4)$10,764 $(767) $9,997 $17,185 (37.4%) (41.8%)
Total Revenues$65,820 $(4,563) $61,257 $84,387 (22.0%) (27.4%)
            
Other (5)           
Digital Subscription Revenues (1)$19,378 $(1,431) $17,947 $16,692 16.1% 7.5%
Workshops + Digital Fees (2)$9,374 $(708) $8,666 $13,060 (28.2%) (33.6%)
Subscription Revenues (3)$28,752 $(2,139) $26,613 $29,752 (3.4%) (10.6%)
Product Sales and Other (4)$5,184 $(318) $4,866 $8,505 (39.1%) (42.8%)
Total Revenues$33,936 $(2,457) $31,479 $38,257 (11.3%) (17.7%)
            
            
Note: Totals may not sum due to rounding.
(1) “Digital Subscription Revenues” consist of the fees associated with subscriptions for the Company’s Digital offerings, including Digital 360 and Personal Coaching + Digital.
(2) “Workshops + Digital Fees” consist of the fees associated with the Company's subscription plans for combined workshops and digital offerings and other payment arrangements for access to workshops.
(3) “Subscription Revenues” equal “Digital Subscription Revenues" plus “Workshops + Digital Fees”.
(4) “Product Sales and Other” are sales of consumer products via e-commerce, in studios and through the Company's trusted partners, revenues from licensing and publishing, other revenues (including revenues from the WW Presents: Oprah’s 2020 Vision tour), and, in the case of the consolidated financial results and Other reportable segment, franchise fees with respect to commitment plans and royalties.
(5) Represents Australia, New Zealand, emerging markets and franchise revenues.
 



WW INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(IN THOUSANDS, EXCEPT PERCENTAGES)
UNAUDITED
                           
          Q4 2021 Variance
                        2021 Constant Currency
                      2021   2021
  Q4 2021 Q4 2020   Adjusted   Adjusted
            Adjusted       2021 vs 2021 vs
        Currency Constant Constant       vs 2020 vs 2020
  GAAP Adjustment Adjusted AdjustmentCurrency Currency GAAP Adjustment Adjusted 2020 Adjusted 2020 Adjusted
Selected Financial Data                         
Gross Profit$168,857  $326 (1)$169,184  $1,375 $170,232  $170,558  $182,083  $15,735 (4)$197,818  (7.3%) (14.5%) (6.5%) (13.8%)
Gross Margin 61.2%    61.3%    61.3%  61.4%  56.3%    61.2%        
                           
Selling, General and Administrative Expenses$61,998  $(235)(2)$61,763  $109 $62,107  $61,871  $71,777  $(3,897)(5)$67,880  (13.6%) (9.0%) (13.5%) (8.9%)
                           
Operating Income$54,058  $562 (3)$54,620  $594 $54,652  $55,214  $47,668  $19,632 (6)$67,300  13.4% (18.8%) 14.7% (18.0%)
Operating Income Margin 19.6%    19.8%    19.7%  19.9%  14.7%    20.8%        
                           
                           
Note: Totals may not sum due to rounding. 
                           
(1) Excludes $326 of charges associated with the Company's previously disclosed 2021 organizational restructuring plan.
(2) Excludes $309 of charges associated with the Company's previously disclosed 2021 organizational restructuring plan and the reversal of $74 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(3) Excludes $326 and $309 of charges associated with the Company's previously disclosed 2021 organizational restructuring plan recorded to cost of subscription revenues and selling, general and administrative expenses, respectively, and the reversal of $74 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan recorded to selling, general and administrative expenses.
(4) Excludes $15,735 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(5) Excludes $3,897 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(6) Excludes $15,735 and $3,897 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan recorded to cost of subscription revenues and selling, general and administrative expenses, respectively.
                           



WW INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(IN THOUSANDS, EXCEPT PERCENTAGES)
UNAUDITED
                           
          Full Year 2021 Variance
                        2021 Constant Currency
                      2021   2021
  Full Year 2021 Full Year 2020   Adjusted   Adjusted
            Adjusted       2021 vs 2021 vs
        Currency Constant Constant       vs 2020 vs 2020
  GAAP Adjustment Adjusted AdjustmentCurrency Currency GAAP Adjustment Adjusted 2020 Adjusted 2020 Adjusted
Selected Financial Data                         
Gross Profit$726,355  $15,426 (1)$741,782  $(15,935)$710,420  $725,846  $777,841  $23,300 (4)$801,141  (6.6%) (7.4%) (8.7%) (9.4%)
Gross Margin 59.9%    61.2%    59.7%  61.0%  56.4%    58.1%        
                           
Selling, General and Administrative Expenses$268,614  $(4,502)(2)$264,112  $(3,232) $265,382  $260,880  $297,287  $(42,477)(5)$254,810  (9.6%) 3.7% (10.7%) 2.4%
                           
Operating Income$196,284  $19,928 (3)$216,212  $(6,792) $189,492  $209,420  $216,162  $69,442 (6)$285,604  (9.2%) (24.3%) (12.3%) (26.7%)
Operating Income Margin 16.2%    17.8%    15.9%  17.6%  15.7%    20.7%        
                           
                           
                           
Note: Totals may not sum due to rounding.
                           
(1) Excludes $16,727 of charges associated with the Company's previously disclosed 2021 organizational restructuring plan and the reversal of $1,301 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(2) Excludes $4,807 of charges associated with the Company's previously disclosed 2021 organizational restructuring plan and the reversal of $305 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(3) Excludes $16,727 and $4,807 of charges associated with the Company's previously disclosed 2021 organizational restructuring plan recorded to cost of subscription revenues and selling, general and administrative expenses, respectively, and the reversal of $1,301 and $305 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan recorded to cost of subscription revenues and selling, general and administrative expenses, respectively.
(4) Excludes $23,300 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(5) Excludes the one-time stock compensation expense of $32,686 associated with the previously disclosed option granted to Ms. Oprah Winfrey in connection with the Company extending its partnership with Ms. Winfrey and $9,792 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.
(6) Excludes the one-time stock compensation expense of $32,686 associated with the previously disclosed option granted to Ms. Winfrey in connection with the Company extending its partnership with Ms. Winfrey, the $23,300 and $9,792 of charges associated with the Company's previously disclosed 2020 organizational restructuring plan recorded to cost of subscription revenues and selling, general and administrative expenses, respectively, and the impairment charge of $3,665 for the Company's goodwill related to its Brazil operations.
                           



WW INTERNATIONAL, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(IN THOUSANDS)
UNAUDITED
               
               
      Three Months Ended  Twelve Months Ended 
      January 1, January 2,  January 1, January 2, 
       2022   2021   2022   2021 
               
 Net Income   $29,929  $12,611  $66,892  $75,079 
 Interest     19,210   31,030   87,909   123,310 
 Taxes     3,285   3,916   9,773   17,462 
 Depreciation and Amortization   11,017   12,598   45,482   50,000 
 Stock-based Compensation    4,752   6,333   21,348   55,013 
 EBITDAS   $68,193  $66,487  $231,405  $320,864 
 Early Extinguishment of Debt (1)   1,183   -   30,352   - 
 2021 Plan Restructuring Charges (2)  636   -   21,534   - 
 2020 Plan Restructuring Charges   (74)(3) 19,632(4)  (1,606)(3) 33,092(4)
 Goodwill Impairment (5)    -   -   -   3,665 
 Adjusted EBITDAS   $69,938  $86,120  $281,684  $357,621 
               
               
 Note: Totals may not sum due to rounding.          
               
(1)Charges associated with the Company's previously disclosed April 2021 debt refinancing and voluntary debt prepayments.   
(2)Charges associated with the Company's previously disclosed 2021 organizational restructuring plan.     
(3)The reversal of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.   
(4)Charges associated with the Company's previously disclosed 2020 organizational restructuring plan.     
(5)Impairment charge of the Company's goodwill related to its Brazil operations.        
               



WW INTERNATIONAL, INC. AND SUBSIDIARIES  
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES  
(IN THOUSANDS, EXCEPT RATIO)  
UNAUDITED  
           
            Trailing Twelve  
   Q1 2021 Q2 2021 Q3 2021 Q4 2021  Months  
 Net Debt to Adjusted EBITDAS            
               
 Net (Loss) Income$(18,227) $8,860  $46,330  $29,929   $66,892   
 Interest 29,123   20,293   19,283   19,210    87,909   
 Taxes  (7,828)  970   13,346   3,285    9,773   
 Depreciation and Amortization 11,925   11,411   11,130   11,017    45,482   
 Stock-based Compensation 5,341   7,851   3,405   4,752    21,348   
  EBITDAS$20,334  $49,385  $93,494  $68,193   $231,405   
               
               
 Early Extinguishment of Debt (1) -   29,169   -   1,183    30,352   
 2021 Plan Restructuring Charges (2) 5,538   6,036   9,324   636    21,534   
 2020 Plan Restructuring Charges (3) -   (846)  (686)  (74)   (1,606)  
  Adjusted EBITDAS$25,872  $83,744  $102,132  $69,938   $281,684   
               
 Total Debt         $1,418,104   
 Less: Cash          153,794   
  Net Debt         $1,264,310   
  Net Debt to Adjusted EBITDAS        4.5 X   
               
               
 Note: Totals may not sum due to rounding.           
               
(1)Charges associated with the Company's previously disclosed April 2021 debt refinancing and voluntary debt prepayments.  
(2)Charges associated with the Company's previously disclosed 2021 organizational restructuring plan.     
(3)The reversal of charges associated with the Company's previously disclosed 2020 organizational restructuring plan.  
               

For more information, contact:
Investors:
Corey Kinger        
VP Investor Relations
corey.kinger@ww.com

Media:
Joe Quenqua
Chief Communications Officer
joe.quenqua@ww.com

Nicole Penn
VP Corporate Communications
nicole.penn@ww.com