WeightWatchers’ full-year 2024 results highlight a continued decline in traditional subscriptions, with digital and workshop memberships facing recruitment struggles and retention challenges. Subscription revenues fell 5.6% year-over-year to $777 million, driven by declines in Digital (-3.3%) and Workshops + Digital (-20.3%). However, the company’s clinical subscription segment expanded rapidly, growing 164.1% to $78 million.

The company reported a net loss of $345.7 million for the year, largely due to non-cash impairment charges. However, gross margins improved to 68.5%, benefiting from restructuring efforts, cost-cutting measures, and the phaseout of lower-margin product sales.

Total paid weeks for WeightWatchers declined 5.1% year-over-year, with digital subscriptions making up the majority of losses. The company attributed part of the decline to a shift in new subscriber pricing, as more members entered lower-cost commitment periods, affecting revenue per user.

WeightWatchers also continued its strategic transition, expanding its clinical offerings and launching new product features such as compounded semaglutide, AI-powered food tracking tools, and expanded registered dietitian support.

Also announced, the WW Board of Directors named Interim President and Chief Executive Officer, Tara Comonte, to a permanent role as President and Chief Executive Officer, effective February 26, 2025.

“We are pleased with the momentum in our Clinical business in the Fourth Quarter, reflecting the increasing demand for comprehensive weight management solutions. As more people seek sustainable approaches—including those using or transitioning off medication—our unique combination of science-backed behavioral support, clinical care, and engaged global community allows us to deliver the right solutions at the right time. I am grateful for the Board’s trust in me to lead WeightWatchers through this next phase, and I look forward to building on our progress, working alongside our incredible team, and driving meaningful impact for our members,” said Tara Comonte, President and CEO .

“At the same time, WeightWatchers is in a period of significant transition as we navigate industry shifts and reposition our business for long-term growth. For more than six decades, we have led innovation in weight management, continuously evolving to meet the changing needs of our members. While we see clear opportunities ahead, executing on them will require careful prioritization as we balance investment in growth with the realities of our capital structure.”

INSIDER TAKE

WeightWatchers’ subscription challenges reflect broader industry trends, as consumers increasingly demand higher-value, specialized services rather than general weight-loss programs. The company’s digital and workshop subscriptions continue to decline, a potential signal that traditional weight-loss models are losing traction.

However, the rapid rise of WeightWatchers’ clinical segment suggests a shift toward premium, medically supervised weight management subscriptions—a higher-cost but higher-value service model.

For subscription businesses, the key takeaway is clear: consumer behavior is evolving, and companies must be ready to adapt their pricing, value proposition, and product mix. The success of WeightWatchers’ clinical segment demonstrates the potential for premium-tier subscriptions—but maintaining profitability amid this shift will require careful execution.