European Wax Center(US:EWCZ) ZACKS·2026-03-05 01:30Core Viewpoint - European Wax Center, Inc. reported a decline in revenue and earnings per share for the quarter ended December 2025, indicating potential challenges in financial performance [1] Financial Performance - Revenue for the quarter was $45.1 million, a year-over-year decline of 9.3% [1] - Earnings per share (EPS) was $0.10, down from $0.16 a year ago, representing a significant EPS surprise of +130.95% compared to the consensus estimate of $0.04 [1] - The reported revenue was a surprise of -0.88% compared to the Zacks Consensus Estimate of $45.51 million [1] Key Metrics - System-wide sales reached $225.6 million, exceeding the three-analyst average estimate of $223.24 million [4] - The ending center count was 1,047, matching the two-analyst average estimate [4] - Revenue from marketing fees was $7.22 million, slightly above the average estimate of $7.02 million, but down 1.5% year-over-year [4] - Revenue from royalty fees was $12.51 million, surpassing the average estimate of $11.99 million, with a year-over-year decline of 2.1% [4] - Product sales were reported at $22.57 million, below the estimated $24.16 million, reflecting a year-over-year decrease of 14.3% [4] - Other revenue was $2.8 million, compared to the average estimate of $2.93 million, showing a year-over-year decline of 14.7% [4] Stock Performance - Shares of European Wax Center have returned +46.1% over the past month, outperforming the Zacks S&P 500 composite, which saw a -1.3% change [3] - The stock currently holds a Zacks Rank 2 (Buy), suggesting potential for outperformance in the near term [3]