OneSpaWorld Holdings Ltd

Total revenues increased 9% to $261.2 million versus $240.7 million in Q2 2025; adjusted EBITDA increased 13% to $34.4 million versus $30.5 million. Net income was $23.2 million, or $0.23 per diluted share, versus $19.9 million, or $0.19 per diluted share, in the prior-year quarter; adjusted net income was $29.8 million, or $0.29 per diluted share, versus $25.8 million, or $0.25 per diluted share. Management said the revenue increase came from a 4% increase in revenue days, new ship builds, and a 1.2% increase in average guest spend. For FY 2026, guidance was raised to revenue of $1.018 billion-$1.038 billion and adjusted EBITDA of $130 million-$140 million, both implying 10% growth at the midpoint versus fiscal 2025, excluding exited/reorganized operations. Q3 2026 guidance was introduced at revenue of $268 million-$273 million and adjusted EBITDA of $35 million-$37 million.

Leonard Fluxman framed the quarter as part of a sustained record run, highlighting innovation, the global operating platform, and strong execution as the core drivers. He emphasized new ship launches, expanded partnerships, more higher-value wellness services, and a durable balance sheet, while saying the company is well positioned for another record year. His tone was confident and upbeat, but he repeatedly tied optimism to execution and continued innovation rather than a one-time lift.

Stephen Lazarus emphasized that the quarter’s 9% revenue growth and 13% adjusted EBITDA growth were supported by operating leverage, new ship growth, and higher guest spend. He detailed cash and capital allocation, noting $41.6 million of cash, $91.6 million of total liquidity, $81.6 million of net debt, $10.2 million paid in quarterly dividends in the first six months, and $2.5 million of term loan repayments; the company also had $37.1 million remaining under its $75 million buyback authorization and intends to use it this year. He said AI benefits are currently more visible on the revenue side than the cost side, and that margin impact is still too early to quantify.

Analysts pressed on what would drive the full-year guidance toward the low or high end, and management said the range remains comfortable unless improvements in the environment, innovation, or activity accelerate faster than expected. Questions about AI focused on whether benefits were mainly revenue-related now; management agreed and said the company is still too early in the rollout to quantify long-term margin effects. Analysts also asked about weaker product revenue growth, Europe seasonality, and prebooking trends; management said medi-spa growth and prior-year retail promotions explain much of the product mix, Europe was already reflected in guidance, prebooked spend remains above 30%, and medi-spa/acupuncture are now being added to the prebook platform.