Weight Watchers Faces Bankruptcy Amid Market Shift

Weight Watchers’ CEO Statement

Tara Comonte, the interim chief executive officer that took over last autumn after chief executive officer Sima Sistani surrendered, claimed in a declaration Tuesday: “As the discussion around weight changes towards long-lasting health, our dedication to delivering the most trusted, science-backed, and all natural solutions– grounded in area assistance and long lasting results– has never been stronger, or more vital.”

Financial Struggles & Market Decline

Shares of the 62-year-old business got to a height of simply over $100 in 2018, but have given that plummeted and have actually deserved less than a dollar because early February. They sank even more on Wednesday adhering to the bankruptcy news, down more than 45% since 11 a.m Eastern and sitting at $0.43 a share.

Shift to Weight Management Medicines

The company announced its change to recommending weight management medicines in 2023, yet has had a hard time to contend in a competitive market. It also lost its most famous spokesperson, Oprah Winfrey, in 2024, that left the board after announcing that she got on a weight-loss medicine.

The announcement comes after Weight Watchers reported a 10% decrease in first-quarter income, according to NPR. The firm is, nevertheless, making progression with its scientific subscription earnings, seeing a 57% boost year-over-year to $29.5 million.

Bankruptcy Filing & Debt

WeightWatchers (WW +12.06%) introduced Tuesday that it is filing for bankruptcy in an effort to creep out of more than $1 billion in the red. The step comes as the company refocuses on prescribing weight-loss GLP-1 drugs like Ozempic.