WW International, Inc. (NASDAQ:WW) Q3 2023 Earnings Call Transcript

Linda Bolton Weiser: Okay. Thanks. So just one follow-up though on that. So I get the impression that the Sequence subscriber numbers though are trending better than you would have expected.So if that’s the case, how come the revenue for the year is still the same?

A – Heather Stark: I don’t think we guided to the third quarter sub. So we’re on track to our expectations, and we haven’t changed our guidance range for sequence subs

Linda Bolton Weiser: Okay. And then, can you give a little more detail on the integrated program for people on GLP-1 drugs? Did you say the timing of that is in time for diet season 2024?And can you just give a little more like, are you going to keep Sequence brand name or phase that out over time. Can you give us a little more color on the marketing strategy there?

A –Sima Sistani: Hey, Linda. It’s Sima. So, yeah, we are looking forward to launching our GLP-1 complimentary program, ahead of peak season and just as a reminder the GLP-1 program is going to be a tailored version of our program that is for people who are on a Clinical pathway, whether they get the medications through us or not and it’s prioritizing the specific needs of somebody who is on a GLP-1 medication,for instance, nutrient density, building lean muscle mass etc. We have been hard at work onintegrating the two platforms such that we create one unified member journey and we will have more to share on that very soon.

Linda Bolton Weiser: Okay. Thank you very much.

Operator: The next question comes from Alex Fuhrman from Craig-Hallum Capital Group.

Alex Fuhrman: Hey guys thanks for taking my question. I was wondering if you could just kind of bridge the gap a little bit between, it sounds like the commentary on subscribers and gross adds on the traditional side of the business is all positive, it is two quarters in a row though that the revenue target for the core business has been lowered.So just trying to square that. I don’t know if maybe Jason’s question about the longer term lower priced commitment plans fully explains that, but just wondering if there’s an overarching explanation for why it seems like revenue and subscribers have kind of moved in opposite directions over the last few quarters?

A – Heather Stark: Thanks for your question, Alex and yeah, we’re really pleased with the sign ups and subs positivity that we’re seeing and I think really what we’re seeing is that mix shift you know, we have people choosing those longer term commitments and choosing them at a greater rate. They’re choosing longer commitments and we’re seeing that read through into our revenue. So, we are still maintaining our guidance and looking forward to continuing our subscriber and sign up growth.

Alex Fuhrman: Okay that’s really helpful and then just on the on the Clinical side of the business.I don’t know if you have a good handle on what this number would be or maybe just anecdotally based on what you’re seeing with kind of people coming into sequence and then quickly churning out, but do you have a sense of how many of your patients who are getting prescriptions from GLP-1are able to get any meaningful insurance coverage of those and had that changed at all, since April when you first made the acquisition?