EL SEGUNDO, Calif.--(BUSINESS WIRE)--The Beachbody Company, Inc. (NASDAQ: BODI) ("BODi†or the "Company†), a leading fitness and nutrition company, today announced that Mark Goldston, Executive Chairman, Carl Daikeler, Co-Founder and Chief Executive Officer and Brad Ramberg, Interim Chief Financial Officer will present at the 2026 ICR Conference in Orlando, Florida on Monday, January 12, 2026, at 11:30am EST. BODi, formerly known as Beachbody, has been a pioneer in structured, step-by-step home fitness and ...

Summary of The Beachbody Company (NYSE:BODI) Conference Call - December 10, 2025 Company Overview - The Beachbody Company, ticker BODI, is undergoing a significant turnaround after facing financial difficulties in previous years, with losses of -$200 million and -$100 million in prior years [2][3] - The company transitioned from a multi-level marketing (MLM) structure to an omnichannel sales model, focusing on direct-to-consumer sales and partnerships [3][5] Financial Performance - The company has achieved EBITDA positivity for the last eight quarters, totaling $49 million in cumulative EBITDA [3] - Year-to-date EBITDA for the first nine months of 2025 is reported at $17.9 million, with positive free cash flow of $13.1 million [4] - The first positive net income quarter was reported in Q3 2025, with a net income of $3.6 million, marking the first net income since the IPO in 2021 [4] - The break-even revenue level has been significantly reduced from $900 million to $180 million [5] - The company has $34 million in cash and $25 million in debt, with a new effective cash rate of 13.4% after refinancing [4][5] Business Model Transformation - The company eliminated its MLM structure, reducing its manpower from over 1,300 to less than 300 [5] - A new omnichannel approach includes direct sales through the website, an affiliate program, and retail partnerships [5][6] - The launch of a new line of nutritional products under well-known brands like P90X and Shakeology is planned for Q1 2026 [6][8] Product and Market Strategy - The company is targeting the 185 million Americans who are overweight and do not exercise, with new fitness programs and nutritional products [9][10] - A new P90X exercise program and a line of nutritional supplements are set to launch, with a focus on accessibility and affordability [10][18] - The company aims to leverage partnerships, such as with Reebok, to expand its reach and visibility [14][16] Marketing and Customer Engagement - Marketing expenses have been reduced from high 40s% of sales to low 30s%, allowing for increased media spending [12] - The company is focusing on customer acquisition and retention metrics, particularly in digital subscriptions and nutritional product sales [32] - A significant opportunity exists to convert existing fitness customers to nutrition product users, as currently less than 10% of fitness customers use the nutrition products [23][24] Future Outlook - The company anticipates that 2026 will be the first year for year-over-year comparisons under the new business model [11] - New product launches and marketing strategies are expected to drive revenue growth, with a focus on the new customer base and existing CRM [28][33] - The management emphasizes the importance of innovation and product diversification to capture market share in the fitness and nutrition sectors [28][32] Conclusion - The Beachbody Company is positioned for a strong recovery and growth trajectory following its strategic overhaul, with a focus on profitability, customer engagement, and innovative product offerings [27][33]

Financial Data and Key Metrics Changes - The company achieved net income of $3.6 million in Q3 2025, marking its first net income since going public in 2021, compared to a net loss of $12 million in the prior year [25] - Total revenues for Q3 2025 were $59.9 million, a decline of 6.3% sequentially and 41.4% year over year, aligning with expectations due to the strategic transition [19] - Adjusted EBITDA was $9.5 million, compared to $4.6 million in the prior quarter and $10.1 million in the prior year, marking the eighth consecutive quarter of positive adjusted EBITDA [25] Business Line Data and Key Metrics Changes - Digital revenue decreased 8.3% from the prior quarter to $36.4 million and decreased 32.2% year over year, impacted by a decline in digital subscription counts [20][21] - Nutrition and other revenue decreased 2.8% from the prior quarter to $23.5 million and decreased 50.4% year over year, with nutrition subscriptions remaining flat sequentially at approximately 70,000 [22] Market Data and Key Metrics Changes - The company is transitioning from a multi-level marketing (MLM) model to an omnichannel approach, which has impacted revenue streams and customer acquisition strategies [19][21] - The shift has opened new growth channels that were previously inaccessible, with expectations for a stronger balance sheet and a more viable long-term business model [27] Company Strategy and Development Direction - The company plans to launch a comprehensive retail initiative in 2026, introducing products like Shakeology and new nutritional supplements to retail for the first time [5][6] - A new P90X fitness program will be launched, creating cross-marketing opportunities between digital content and retail nutrition products [6][15] - The focus will be on expanding the total addressable market (TAM) by targeting the 185 million overweight Americans who do not currently engage in regular fitness routines [6][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the turnaround progress, noting that the financial restructuring has largely been completed ahead of schedule [87] - The company anticipates significant growth opportunities in 2026, supported by a robust innovation pipeline and the transition to Shopify Plus for improved order conversion [17][29] - Management highlighted the importance of maintaining operational leverage while expanding product offerings at more competitive price points [45][58] Other Important Information - The company has maintained strong gross margins, with consolidated gross margins at 74.6%, an increase of 230 basis points over the prior quarter [20] - Operating expenses for the quarter declined 21% sequentially and 51.5% year over year, reflecting the pivot away from the MLM model [23] Q&A Session Summary Question: Changes in customer base with the new business model - Management noted that the customer demographic remains similar, focusing on individuals seeking convenience and shorter workout durations [34] Question: Details on the new product pipeline - The company is excited about launching numerous new products in 2026, including lower-priced nutritional offerings and the P90X line of supplements [40][41] Question: Anticipated marketing spend around retail rollout - Marketing spend will align with wholesale orders and revenue projections, with a focus on maintaining a normalized advertising-to-sales ratio [82] Question: Nutrition side performance and promotional activities - The company is conducting price testing and introducing lower-priced SKUs, which have shown good demand [53][58] Question: Margin expectations with new product rollouts - Management anticipates a steady state for nutrition margins between 46-52%, with adjustments based on retail experience and unit sales [76]

Core Insights - The article discusses the impact of the upcoming Daylight Savings time change on Americans' sleep and overall well-being, highlighting that 54% of U.S. adults report negative effects on their sleep schedule due to this seasonal change [1]. Company Insights - Life Time, Inc. offers various strategies to help individuals adjust to the time change, emphasizing the importance of preparation and consistency in managing sleep and energy levels [2][3]. - The company promotes its LTH supplement line, including products like LTH Dream, which is designed to support sleep quality and is NSF certified for purity and potency [9][10]. Industry Insights - The article underscores the significance of circadian rhythms and their sensitivity to time changes, suggesting that it typically takes three to seven days for individuals to fully adapt to a one-hour shift [9]. - Life Time operates 185 athletic country clubs across the U.S. and Canada, providing a comprehensive ecosystem for healthy living, which includes nutritional supplements and wellness programs [12].

Financial Data and Key Metrics Changes - The company reported revenues of $63.9 million for Q2 2025, exceeding guidance of $51 million to $61 million, but reflecting an 11.6% sequential decline and a 42% year-over-year decline [22][23] - Gross margin improved to 72.3%, a 300 basis point increase year-over-year, exceeding the long-term target of 65% to 70% [5][23] - Adjusted EBITDA was $4.6 million, marking the seventh consecutive quarter of positive adjusted EBITDA [22][28] - The company achieved a cumulative $39.5 million in adjusted EBITDA over the past seven quarters [6] Business Line Data and Key Metrics Changes - Digital revenue decreased by 7.5% sequentially to $39.7 million and declined 32.5% year-over-year, with digital subscribers down 7.8% sequentially to 940,000 [25][26] - Nutrition revenue fell 15.6% sequentially to $24.2 million and decreased 51.8% year-over-year, with nutrition subscriptions down 12.5% sequentially to 70,000 [25][26] - Digital gross margin was 87.7%, an increase from the prior quarter and year, while nutrition gross margin was 51.4%, reflecting a decline due to promotional offerings [26] Market Data and Key Metrics Changes - The company is transitioning from a multilevel marketing (MLM) model to an omnichannel model, which has impacted revenue in the near term [22][23] - The anticipated revenue split moving forward is approximately 63% digital and 37% nutrition [31] Company Strategy and Development Direction - The company plans to launch Shakeology in retail in early 2026, marking its first entry into brick-and-mortar sales [7][45] - A new P90X nutritional line and Insanity branded supplements are also set for retail launch, creating cross-marketing opportunities [8][20] - The strategic focus is on building a diverse product portfolio and leveraging brand equity to drive growth [9][10] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that while 2025 may see temporary revenue declines, it is building towards significant growth opportunities [7][10] - The company is focused on disciplined execution and believes it is well-positioned for long-term success [11][21] - Management expressed confidence in achieving positive free cash flow for the full year of 2025 for the first time since 2020 [6][30] Other Important Information - The company reduced its revenue breakeven point from approximately $900 million in 2022 to about $200 million in 2025 [6] - Operating expenses decreased by 9.1% sequentially and 41.5% year-over-year, reflecting the shift away from the MLM model [27] Q&A Session Summary Question: What drove the higher gross margin in the quarter? - The higher gross margin was driven by reduced production spend and fewer fixed costs allocated to production [34] Question: What is the expected level of selling and marketing expenses going forward? - Selling and marketing expenses have decreased significantly since exiting the MLM model, with a goal to reduce them to the mid-thirties percentage of revenue [36][37] Question: Are there plans to roll out new supplements to complement the nutrition business? - Yes, the company plans to launch new nutritional products in retail starting in 2026, including Shakeology and P90X supplements [45][46] Question: What is the status of the nutrition retail launch? - The company is preparing sales presentations for major retailers and expects to begin retail sales in early 2026 [55] Question: Will the Shakeology product have new packaging for retail? - Yes, Shakeology will have a complete packaging refresh designed for retail, highlighting its major brand status [58][59]

Group 1: Financing Details - Tiger Finance has provided $35 million in financing to The Beachbody Company, Inc., which includes a $25 million term loan and a $10 million uncommitted accordion [1][2] - The financing allows Beachbody to retire $17.3 million of outstanding debt and adds approximately $5 million of capital to its balance sheet [2] Group 2: Strategic Partnership and Business Model Transition - The financing is part of a turnaround strategy to support Beachbody's transition to a new business model focused on digital fitness and nutrition [1][3] - Management believes that this partnership will position Beachbody for greater profitability and long-term growth [3] Group 3: Company Background - The Beachbody Company, originally known as Beachbody, has been innovating home fitness and nutrition programs for 25 years, helping over 30 million customers [5] - The company is known for programs like P90X, Insanity, and Shakeology, and has a community focused on health and wellness [5]

Financial Data and Key Metrics Changes - The company generated revenue of $72.4 million in Q1 2025, exceeding the guidance range of $60 million to $70 million, but reflecting a 16.2% sequential decline and a 39.7% year-over-year decline [24][25] - Adjusted EBITDA was $3.7 million, significantly exceeding the guidance range of a $2 million loss to $2 million profit, marking the sixth consecutive quarter of positive adjusted EBITDA [24][31] - The net loss for Q1 2025 was $5.7 million, an improvement from a net loss of $14.2 million in the prior year [31] Business Line Data and Key Metrics Changes - Digital revenue decreased 14.8% sequentially to $42.9 million and decreased 30.2% year-over-year, with digital subscribers declining 5.1% sequentially to 1,020,000 [26] - Nutrition revenue decreased 17.7% sequentially to $28.7 million and fell 48.4% year-over-year, with nutrition subscriptions declining 13.1% sequentially to 80,000 [26] Market Data and Key Metrics Changes - The company has transitioned from a multilevel marketing (MLM) model to an omnichannel approach, which is expected to provide additional flexibility and revenue growth over the next 24 months [25][33] - The cash breakeven level has been significantly reduced from over $900 million in 2022 to just under $225 million in 2025 [6][7] Company Strategy and Development Direction - The company has eliminated the MLM model and is focusing on a multichannel approach with an emphasis on direct-to-consumer and retail distribution channels [8] - A new lending agreement with Tiger Finance for a $25 million loan facility has been established to retire existing debt and provide additional capital [7][60] - The company plans to launch nutritional products in retail channels starting late Q4 2025, with a focus on well-known brands [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the turnaround strategy, emphasizing the need for patience and discipline as the company transitions to its new business model [11][12] - The company anticipates growth as new products are launched and the affiliate program is simplified to attract more participants [15][19] Other Important Information - The company has seen improvements in gross margins, with consolidated gross margins at 71.2%, exceeding the long-term target of 65% to 70% [25] - The transition to the new affiliate model is expected to enhance customer engagement and retention [15][19] Q&A Session Summary Question: How is the transition of sellers from the old model to the new direct affiliate model performing? - Management is pleased with some strong affiliates but acknowledges that overall performance has not met expectations due to the complexity of the current platform. A simpler model is set to launch in mid-June [37][38] Question: How will selling and marketing be balanced going forward? - The company plans to reinvest savings from the new business model into marketing to maximize gross profit dollars, focusing on the relationship between lifetime value and customer acquisition cost [39][40] Question: What changes are being made to the new affiliate platform? - The new platform will be user-friendly, integrating community features and simplifying the process for subscribers to become affiliates, launching in mid-June [46][50] Question: How is the nutrition business adjusting pricing ahead of retail launches? - The company is focusing on one-time purchases to attract new customers, which may lower overall gross margins but is expected to increase gross profit through higher unit sales [52][55] Question: What are the terms of the new credit facility? - The new loan has an interest rate of SOFR plus nine, approximately 13.3%, with a one-year moratorium on principal repayment, significantly improving the company's financial flexibility [58][60]

Financial Data and Key Metrics Changes - The company generated revenue of $72.4 million in Q1 2025, exceeding the guidance range of $60 million to $70 million [25] - Adjusted EBITDA was $3.7 million, significantly above the guidance range of a $2 million loss to $2 million [25] - Total revenues declined 16.2% sequentially and 39.7% year over year, aligning with expectations due to the strategic transition [25][26] - Consolidated gross margins were 71.2%, reflecting an increase of 70 basis points over the prior quarter and an increase of 350 basis points year over year [26] Business Line Data and Key Metrics Changes - Digital revenue decreased 14.8% from the prior quarter to $42.9 million and decreased 30.2% year over year [27] - Nutrition revenue decreased 17.7% from the prior quarter to $28.7 million and fell 48.4% year over year [27] - Digital subscriber count decreased 5.1% sequentially to 1,020,000 and declined 16.6% compared to the same period a year ago [27] Market Data and Key Metrics Changes - The company is transitioning from a multilevel marketing (MLM) model to an omnichannel model, which is expected to provide additional flexibility and revenue growth over the next 24 months [26] - The shift to the new model has impacted nutritional subscribers significantly, as these products were historically sold through the MLM network [27] Company Strategy and Development Direction - The company has eliminated the MLM business model and transitioned to a multichannel approach, emphasizing direct-to-consumer and retail distribution channels [8] - A new lending agreement with Tiger Finance for a $25 million loan facility has been established, allowing the company to retire existing debt and improve its financial position [7][56] - The company plans to launch nutritional products in retail channels, starting with Shakeology in late Q4 2025, followed by P90X and Insanity nutritional lines in 2026 [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the turnaround strategy, noting the importance of patience and discipline in executing the new business model [11] - The company anticipates growth as it builds out its retail distribution strategy and launches new products [12][34] - Management acknowledged the challenges faced during the transition but remains optimistic about future performance and profitability [33] Other Important Information - The company has cut its debt by more than 50% to $18 million and reduced its cash breakeven level from over $900 million in 2022 to just under $225 million [6][7] - The company is focusing on performance marketing to improve customer acquisition and retention, with a new digital agency hired to enhance marketing efforts [19][20] Q&A Session Summary Question: How is the transition of sellers from the old model to the new direct affiliate model performing? - Management indicated that while there are strong affiliates, overall performance has not met expectations due to the complexity of the current platform. A simpler model is expected to launch in June [38][39] Question: How is management balancing reinvestment in marketing with the new business model? - Management stated that selling and marketing expenses as a percentage of revenue have decreased, and they plan to reinvest cash generated into marketing to maximize gross profit dollars [40][41] Question: What changes are being made to the new affiliate platform? - The new platform will be user-friendly, allowing subscribers to easily promote programs and earn commissions, which is expected to enhance affiliate participation [44][46] Question: How is the company tracking customer migration from subscriptions to one-time purchases? - Management noted that they are institutionalizing a Subscribe and Save program to rebuild the nutritional subscription file while also focusing on one-time purchases to attract new customers [62][63] Question: Is the Connected Fitness segment being phased out? - Management confirmed that no new bikes will be produced, but they will continue to support existing customers and explore partnerships for content delivery [67][68]

Company Overview - The Beachbody Company (BODi) operates a fitness, nutrition, and wellness platform [1, 9] - The company's FY23 revenue was $527 million [18] - The company has impacted over 30 million consumers [18] Key Metrics and Financials - Digital subscriptions totaled 1.2 million [47] - Nutrition subscriptions reached 151,000 [43] - Digital streaming boasts 9,000 unique videos [47] - Digital streaming has 96% average monthly retention [47] - Q1 2024 saw $9.1 million in cash flows from operations [96] Revenue Streams - Nutrition products and supplements accounted for 46% of revenue [35, 42] - Digital streaming contributed 51% of revenue [35, 45] - Connected fitness represented 3% of revenue [35, 39] Market Opportunity - The company operates in a large market with a total addressable market (TAM) of $237 billion [105] - Nutrition supplements represent a $164 billion market [106, 112] - Digital fitness accounts for $13 billion [106, 112]

Financial Data and Key Metrics Changes - The company generated revenue of $86.4 million in Q4 2024, which was at the high end of the guidance range of $77 million to $87 million [31] - Adjusted EBITDA was $8.7 million, significantly exceeding the guidance range of $2 million to $6 million, marking the fifth consecutive quarter of positive adjusted EBITDA [10][31] - The company reported a net loss of $34.6 million in Q4 2024, compared to a net loss of $12 million in the prior quarter, which included $20 million of goodwill impairment expenses [36][37] - Cash generated from operations improved to $2.6 million for the year 2024, compared to cash used in operations of $22.5 million in 2023, representing a $25.1 million improvement year over year [11][38] Business Line Data and Key Metrics Changes - Digital revenue decreased by 6.2% sequentially to $50.4 million and decreased by 21.4% year over year [32] - Nutrition revenue decreased by 26.6% sequentially to $34.8 million and decreased by 32.8% year over year [33] - Digital subscriber count decreased by 3.4% sequentially to 1.07 million and declined by 19.1% compared to the same period a year ago [32] Market Data and Key Metrics Changes - The transition from a multi-level marketing (MLM) model to an omni-channel model has impacted revenue, particularly in the nutrition segment [32][33] - The company is seeing strong growth in its Amazon business and has launched on Walmart.com, which is expected to grow significantly [23][24][66] Company Strategy and Development Direction - The company has restructured into a single-level affiliate model, phasing out the MLM structure to enhance revenue streams and improve profitability [5][6] - The focus is on an omnichannel strategy that includes direct-to-consumer marketing, Amazon, and conventional retail distribution for nutrition products [7][8] - The company aims to introduce new products under popular brand names like T90X and Insanity within the next twelve months [9] Management's Comments on Operating Environment and Future Outlook - Management acknowledges that 2025 will be a transition year as the new business model is implemented, which may involve short-term dislocation [12] - There is optimism about the growth potential ahead, particularly in the nutrition segment, as the company can now market products outside the former MLM network [10][26] - The management emphasizes the importance of building profitable revenue and cash flow while leveraging strategic partnerships and new sales channels [30] Other Important Information - The company has retained more of the legacy nutrition subscription file than expected during the transition, indicating a positive customer experience [26] - Partnerships with telehealth providers and initiatives to leverage HSA and FSA accounts are being pursued to enhance product accessibility [28][29] Q&A Session Summary Question: What was the reaction to the transition to the new affiliate model? - Management indicated that the transition was moderately successful, with some affiliates migrating over, but new affiliate acquisition has been slower than desired [44][45] Question: How should the P&L structure be viewed moving forward? - The company expects revenues to approximate 60% digital and 40% nutrition, with gross margins of approximately 85% for digital and 50% for nutrition [48][51] Question: What is the outlook for the nutrition business and retail expansion? - The nutrition segment is seen as a major opportunity, with plans to market products like Shakeology in retail for the first time, which could significantly increase revenue [65][66]