OneSpaWorld Q2 results beat estimates, lifts FY outlook

Overview

• Global cruise wellness provider's Q2 revenue rose 9%, slightly beating analyst expectations

• Adjusted EPS and adjusted EBITDA for Q2 beat analyst expectations

• Company raised FY 2026 revenue and adjusted EBITDA guidance

Outlook

• OneSpaWorld sees Q3 2026 revenue of $268 mln to $273 mln

• Company expects Q3 2026 adjusted EBITDA of $35 mln to $37 mln

• OneSpaWorld raises FY 2026 revenue guidance to $1.018 bln to $1.038 bln

Result Drivers

• CRUISE SHIP EXPANSION - Revenue growth was driven by a 4% increase in revenue days and health and wellness center expansion from new ship builds

• HIGHER GUEST SPEND - A 1.2% increase in average guest spend, including more pre-booked services, contributed to revenue gains

• AI INITIATIVES - Early revenue gains realized from introducing AI-driven strategies to health and wellness centers at sea

Company press release: ID:nBwbhtLM9a

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the leisure & recreation peer group is "buy."

• Wall Street's median 12-month price target for OneSpaWorld Holdings Ltd is $28.00, about 1% above its July 28 closing price of $27.73

• The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 20 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)