OneSpaWorld(US:OSW)2025-10-29 11:00Financial Performance - Total revenues for Q3 2025 reached $258.5 million, a 7% increase from $241.7 million in Q3 2024[6] - Net income for Q3 2025 was $24.3 million, up 13% from $21.6 million in Q3 2024, resulting in a net income per diluted share of $0.23[6][11] - Adjusted EBITDA for Q3 2025 increased 6% to $35.0 million compared to $33.0 million in Q3 2024[6][11] - Total revenues for the three months ended September 30, 2025, increased by 7% to $258.5 million compared to $241.7 million for the same period in 2024[24] - Net income for the three months ended September 30, 2025, was $24.3 million, reflecting a 13% increase from $21.6 million in the same period of 2024[24] - Adjusted net income for the three months ended September 30, 2025, was $30.4 million, compared to $27.3 million for the same period in 2024[33] - Year-to-date net income for 2025 was $59,556,000, compared to $58,476,000 in the same period of 2024, reflecting a growth of 1.8%[34] - Year-to-date Adjusted EBITDA for 2025 was $92,037,000, an increase of 7.8% from $85,375,000 in 2024[34] Cash and Liquidity - The company ended Q3 2025 with $30.8 million in cash and total liquidity of $80.8 million[8][20] - Total debt at the end of Q3 2025 was $85.2 million after repaying $11.3 million during the quarter[20] Shareholder Returns - The board declared a quarterly dividend of $0.05 per share, marking a 25% increase from previous payments[14][15] - The company repurchased 816,028 shares for $17.6 million during Q3 2025, with an additional $15 million in share repurchases in Q4 2025[15] Revenue Growth Drivers - Average guest spend increased by 4%, contributing significantly to revenue growth[11] - Service revenues rose by 7% to $208.0 million, while product revenues also increased by 7% to $50.5 million for the three months ended September 30, 2025[24] Operational Metrics - Average weekly revenue per ship for the forecasted Q4 2025 is expected to be $95,675, up from $91,019 in Q4 2024[25] - Average revenue per shipboard staff per day increased to $622 in Q4 2025 from $602 in Q4 2024[25] - Capital expenditures for the three months ended September 30, 2025, were $5.6 million, compared to $1.1 million in the same period of 2024[25] - The period-end ship count for Q4 2025 is forecasted to be 206, with an average ship count of 198[25] - The company anticipates maintaining a period-end resort count of 48 for FY 2025[25] Expense Management - The company reported a 45% decrease in interest expense, net, for the three months ended September 30, 2025, amounting to $1.4 million compared to $2.5 million in the same period of 2024[24] - Depreciation and amortization expenses for Q3 2025 were $6,410,000, slightly higher than $6,011,000 in Q3 2024[34] - Stock-based compensation for Q3 2025 amounted to $2,079,000, compared to $1,974,000 in Q3 2024, indicating a rise of 5.3%[34] - Interest expense for Q3 2025 was $1,379,000, down 44.8% from $2,496,000 in Q3 2024[34] - Income tax expense for Q3 2025 was $578,000, a decrease from $966,000 in Q3 2024, reflecting a reduction of 40.2%[34] - Long-lived assets impairment for Q3 2025 was $180,000, with no impairment recorded in Q3 2024[34] - Business combination costs for the year-to-date period in 2025 were $0, compared to $293,000 in the same period of 2024[34] Strategic Initiatives - The company launched wellness centers on four new ship builds during the quarter and plans to launch on two additional ships by year-end[2]