WW International (WW) CJS Securities 26th Annual "New Ideas for the New Year” Investor Conference summary

Business overview and strategic direction

• Over six decades, the brand has evolved from in-person meetings to a comprehensive digital and clinical support system, now running 20,000 meetings monthly and employing 3,000 coaches globally.

• The company is integrating GLP-1 medications into its offerings, supported by 700 clinicians in the U.S. prescribing drugs like Ozempic, Wegovy, Zepbound, and Mounjaro.

• Emphasis remains on combining medication with behavioral support, community, and education, validated by leading health organizations and internal data.

• Data shows Med Plus members on GLP-1s lost an average of 21% body weight in 12 months, outperforming competitors and those on medication alone.

• Members engaging in the GLP-1 Success Program lost nearly 30% more weight than those using medication without behavioral support.

Financial transformation and performance

• A 2025 financial reorganization reduced debt from $1.6 billion to $465 million, halved interest expenses, and retained $175 million in cash.

• At Q3 2025, the company reported $465 million in debt, $170 million in cash, and guided $145–$150 million in adjusted EBITDA for 2025.

• The business operates with high gross margins (75% in Q3 2025) and low capital intensity, with most CapEx in digital app development.

• $100 million in cost savings were achieved through real estate reduction, headcount right-sizing, and shifting 70% of cost of revenue to variable costs.

• Strategic priorities for 2026 include revamping member experience, modernizing the brand, and scaling clinical offerings to drive top-line growth.

Competitive positioning and partnerships

• The company leverages a comprehensive care model, offering insurance support, dietitians, care teams, and GLP-1-focused workshops.

• 30% of clinical signups come from existing behavioral members, making customer acquisition more efficient; clinical ARPU is 4–5x higher than behavioral.

• Direct integrations with NovoCare and LillyDirect streamline medication access, enable collaborative launches, and provide seamless member experiences.

• Collaboration with Amazon Pharmacy enhances convenience, offering real-time medication availability, coupon integration, and fast shipping.