XWELL, Inc. Reports First Quarter 2023 Results
Reflecting management’s commitment to better serve clients, optimize efficiencies, and deliver long-term growth:
- First quarter 2023 revenue at the Company’s XpresSpa business increased over 70% versus the 2022 first quarter.
- Demonstrating the effect of the Company’s cost-savings initiatives and deliver a leaner, more profitable XpresSpa business, first quarter 2023 general and administrative expenses decreased 12.7% sequentially and decreased 40.2% from the 2022 first quarter.
- The Company has integrated innovative health and wellness technologies, including fully autonomous HydroMassage and Human Touch® hands-free massage equipment as well as Clockwork’s AI-powered express manicure units. These offerings are designed to drive customer engagement, strengthen brand presence, and increase foot traffic.
- XWELL plans to open a new XpresSpa at
Philadelphia International Airportin the second half of 2023.
- The Company plans to open a new XpresSpa location in
Abu Dhabiduring the third quarter of 2023.
- The Company recently announced the appointment of
Valerie Lightfootas Chief Financial Officer, effective June 12, 2023.
- XWELL has engaged Benchmark to help identify potential acquisition targets.
“XWELL continues to focus on driving growth in 2023 and beyond through both organic and external investments,” commented
First Quarter Business Update
There are currently 35 operating XpresSpa locations, including 10 locations internationally. These international locations consist of two at
The Company’s continued international expansion allows management the opportunity to further leverage its expertise in providing premium wellness services to more international passengers who appreciate health and wellness services and are willing to spend more in pursuit of their well-being.
The Company continues to execute its new retail strategy to drive more foot traffic into its airport locations and augment its on-line presence. This includes bringing new technologies and trends, including new tech-forward equipment, adding new products in-store and on-line, as well as deploying plans to refresh the look and appearance of some XpresSpa locations.
Towards this end, since
Additionally, the Company’s initial HydroMassage units were recently installed at
Additionally, in partnership with Clockwork, the pioneer in robotics for the beauty industry, the Company recently launched the use of Clockwork’s next generation, fully autonomous, AI-powered express manicure at its JFK XpresSpa location. XWELL plans to launch at least five of Clockwork’s AI-powered robots across the Company’s portfolio in 2023 with the intent to deploy as many as 25 units across the business.
These automated offerings provide self-care to guests while bringing operational efficiency to the Company’s business model.
Treat is a travel health and wellness brand and a fully integrated concept blending technology with traditional brick and mortar offerings to provide a holistic approach to physical and mental well-being for travelers. Treat’s on-site centers are currently located at
To achieve better economics, during the first quarter of 2023, the Company closed its pre-security
Additionally, during 2023, XWELL plans to integrate all existing wellness locations under a single brand concept.
In late 2021, in collaboration with the
The program was expanded from four major
During the third quarter of 2022, XpresCheck, in partnership with Ginkgo Bioworks (and in continuation of their support to the CDC’s traveler-based SARS-CoV-2 Genomic Surveillance program) were awarded a new contract. Additionally, as COVID-19 sublineages and other biological threats continue to emerge, the partners plan to expand the program footprint by incorporating innovative modalities and offerings, such as monitoring of wastewater from aircraft lavatories.
In the first quarter of 2023, XpresCheck and Ginkgo Bioworks announced they expanded their support of the program to include a pilot study monitoring influenza viruses in addition to SARS-CoV-2, providing an additional source of viral surveillance to inform the selection of influenza vaccine viruses for the forthcoming 2023-2024 flu season.
XpresCheck provided medical diagnostic testing services during the outbreak of COVID-19. Following the relaxation of testing requirements by the US and other countries in 2022, XpresCheck locations began to close. As of
The Company, in collaboration with the
Liquidity and Financial Condition
Summary First Quarter 2023 Financial Results
Total revenue during the first quarter ended
Cost of Sales
Cost of sales decreased to
General and Administrative Expenses
Demonstrating the effect of the Company’s cost-savings initiatives, general and administrative expenses decreased to
Income from Operations
Loss from operations for the first quarter of 2023 was
Net Income Attributable to Common Shareholders
Net loss attributable to common shareholders was
Webcast and Earnings Conference Call
XWELL will host a webcast and conference call at
The live and later archived webcast can be accessed from the Investor Relations section of the Company’s website at http://xwell.com. Visitors to the website should select the “Investors” tab and navigate to the “Events” link to access the webcast.
XWELL, Inc. (Nasdaq: XWEL) is a leading global health and wellness holding company operating four brands: XpresSpa®, Treat, XpresCheck® and HyperPointe™
- XpresSpa is a leading airport retailer of wellness services and related products, with 35 locations in 15 airports globally.
- Treat is a travel health and wellness brand and a fully integrated concept blending technology with traditional brick and mortar offerings to provide a holistic approach to physical and mental well-being for travelers.
- XpresCheck is a provider of screening and diagnostic testing in partnership with the
CDCand Concentric by Ginkgo, conducting bio-surveillance monitoring in its airport locations to identify new SARS-CoV2 variants of interest and concern as well as other pathogens entering the country from across the world.
- HyperPointe is a leading digital healthcare and data analytics relationship company serving the global healthcare industry.
This press release may contain “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. These include statements preceded by, followed by or that otherwise include the words “believes,” “expects,” “anticipates,” “estimates,” “projects,” “intends,” “should,” “seeks,” “future,” “continue,” or the negative of such terms, or other comparable terminology. Forward-looking statements relating to expectations about future results or events are based upon information available to XWELL as of today’s date and are not guarantees of the future performance of the Company, and actual results may vary materially from the results and expectations discussed. Additional information concerning these and other risks is contained in the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, and other
Source: XWELL, Inc.