Workflow
XWELL Reports Fiscal Year 2024 Results
XWELXpresSpa Group(XWEL) GlobeNewswire·2025-04-15 21:15

Core Insights - XWELL, Inc. reported a revenue growth of approximately 13% for the year ended December 31, 2024, reaching 33.9millioncomparedto33.9 million compared to 30.1 million in 2023 [6][23] - The company successfully reduced operating expenses by approximately 19% year-over-year, while gross margin more than doubled from 12.2% in 2023 to 26.3% in 2024 [6][26] - XWELL is focusing on expanding its wellness offerings and integrating its brands under a unified identity, aiming to enhance customer loyalty and relationships [5][9] Financial Performance - Total revenue for 2024 was 33.9million,withcontributionsfromvarioussegments:approximately33.9 million, with contributions from various segments: approximately 18.3 million from XpresSpa, 430,000fromTreat,430,000 from Treat, 13.1 million from XpresTest, and 2.1millionfromNaplesWaxCenter[23]−Totalcostofsalesdecreasedtoapproximately2.1 million from Naples Wax Center [23] - Total cost of sales decreased to approximately 25.0 million in 2024 from approximately 26.4millionin2023[24]−Generalandadministrativeexpenseswereapproximately26.4 million in 2023 [24] - General and administrative expenses were approximately 12.5 million in 2024, down from approximately 13.0millioninthepreviousyear[25]StrategicInitiatives−XWELLannouncedplanstoacquireselectmedicalspasin2025,leveragingarecent13.0 million in the previous year [25] Strategic Initiatives - XWELL announced plans to acquire select medical spas in 2025, leveraging a recent 4 million private placement to expand into the wellness and beauty sector [9][22] - The company is extending its Traveler-based Genomic Surveillance Program in partnership with the CDC for three more years, with a total base value of $53.7 million [17] - XWELL is actively expanding its out-of-airport wellness portfolio, including the opening of a new Naples Wax Center location in Estero, Florida, and plans for six additional locations in Florida during 2025 [14][9] Brand and Market Positioning - XWELL aims to unify its wellness offerings under a single brand identity, enhancing its market presence and customer engagement [5][7] - The company operates at the intersection of travel, health, and wellness, with brands including XWELL™, XpresSpa®, Treat™, Naples Wax Center®, XpresCheck®, and HyperPointe™ [11][29] - XpresSpa is recognized as a leading airport retailer of wellness services, with 18 domestic and 10 international locations as of December 31, 2024 [12]