MINILUXE REPORTS FULL-YEAR FINANCIAL RESULTS FOR YEAR ENDED DECEMBER 29, 2024

Core Insights - MiniLuxe Holding Corp. reported a record year for 2024 with total revenue reaching $26.1 million, reflecting a year-over-year growth of just over 6% compared to $24.6 million in 2023 [5][20] - The company achieved significant improvements in profitability, with store-level profitability increasing by over 360% year-over-year [8][11] - MiniLuxe's strategic focus on operating partners and localized growth strategies contributed to enhanced performance and customer loyalty, with a 4.5% increase in its most loyal client base [6][9] Financial Performance - Total revenue for FY2024 was $26.1 million, up from $24.6 million in FY2023, marking a 6% increase [20] - Gross profit improved to $11 million, an 8% increase from the previous year, with gross margin rising to 42% [20][22] - Adjusted EBITDA losses were reduced to -$4 million from -$9 million in FY2023, indicating improved operational efficiency [8][20] Strategic Initiatives - The company focused on three key strategic pillars: accelerating studio-level profitability, driving growth through operating partners, and increasing fixed cost leverage [8][9] - MiniLuxe's joint ventures and franchise partnerships have led to increased sales and operational best practices, contributing to a 5x lift in profitability in the Dallas Fort Worth area [9][11] - The company aims to maintain momentum into 2025, with a strong emphasis on localized operations and community engagement [5][12] Customer Engagement - The loyal customer base, defined as those visiting 20 or more times per year, grew by 4.5% year-over-year [6] - Approximately 88% of customers are repeat clients, indicating strong brand loyalty [6] Talent Retention - FY2024 saw a record retention rate of 87% for nail designer talent, up from 84% in 2023 [10] - Over 50% of the nail designer talent has been with the company for five years or more, highlighting the company's ability to attract and retain skilled professionals [10] Cash Flow and Funding - Year-end cash and cash equivalents reached $4 million, an increase of $0.6 million from $3.4 million at the end of FY2023 [8][20] - The company successfully raised $3.49 million through a non-brokered private placement, contributing to a total of $5.067 million in new primary capital [16][18]