Soho House & Co Reports Strong Q3 Growth

By Bobby Samwell • Thursday, December 19 10:32 • Permanent Link

Soho House & Co Inc. (NYSE: SHCO) has reported its third quarter 2024 results, demonstrating solid growth and performance. Here are the key highlights from the period:

Membership: Total members grew to 267,494, up 4.8% year-over-year. Soho House members increased to 208,078, showing a 13% year-over-year growth. * The SHCO membership waitlist remains at record levels, approximately sitting at 111,000.

Financial Performance: Total revenues reached $333.4 million, marking a robust 13.6% year-over-year growth from the revised third quarter of 2023. Membership revenues grew to $107.4 million, a noteworthy 16.7% increase year-over-year. In-house revenues totaled $120.7 million, up by $5.4 million year-over-year. Revenue per available room (RevPAR) was 5% higher year-over-year on a like-for-like basis. Net income attributable to Soho House & Co Inc. was $0.2 million or $0.00 per share. Adjusted EBITDA stood at $48.3 million, marking a substantial increase of $13.2 million from the revised third quarter of 2023.

Operational Developments: The company opened Soho Mews House in London, its 45th house, receiving positive feedback from members. Significant demand was observed for recent openings in locations including Sao Paulo, Mexico City, and Portland.

CEO's Comments: Andrew Carnie, CEO of Soho House & Co, emphasized the company's strength in the membership model, with membership revenues growing 17% year-on-year. He also highlighted the achievement of the highest ever quarterly total revenues and adjusted EBITDA.

Strategic Priorities: 1. Membership Growth: The company witnessed a record waitlist and high retention rates, leading to an increase in Soho House members. 2. Operational Excellence: Soho House achieved an adjusted EBITDA of $48.3 million with margins of 14%, demonstrating a focus on driving profitability and improving member experience.

Balance Sheet and Guidance: SHCO ended the third quarter with cash and cash equivalents and restricted cash of $147 million. The company repurchased approximately 2.3 million shares for $13 million in the third quarter. * The updated fiscal 2024 guidance reflects the company's continued focus on growth and operational excellence.

Today the company's shares have moved 56.2% to a price of $7.67. If you want to know more, read the company's complete 8-K report here.

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