Michael will share a detailed review of our second quarter and first six-month performance and guidance. These statements may include our future expectations regarding financial results and guidance, market opportunities, and our growth. A reconciliation of these measures can be found in our earnings release as filed this morning and in our most recent 10-K, which will also be available on our website. For the quarter, on a comparable basis, we delivered stable revenue and positive same-center case growth.
Those actions are showing in the continued stabilization of the business with roughly flat same-center sales growth in the first half. Longer term, we believe there is meaningful growth in new procedures and de novo expansion. As our balance sheet and cash flow generation strengthen, we intend to expand our geographic footprint and center base over time. GLP-1 continues to represent a significant long-term growth driver for AirSculpt, with nearly 19 million potential patients interested in body contouring or related aesthetic procedures over time.
These procedures further expand our addressable market and increase our center productivity while allowing us to better serve the needs of our patients. We continue to expect this to represent a $100+ million long-term revenue opportunity across our existing base of centers with an increasing long-term potential as we resume de novos. Looking forward, we have additional procedures in the pipeline that are core to body contouring and are a strong fit for our brand. We remain focused on thoughtfully expanding our capabilities to enhance the patient experience and increase center productivity.
| Metric | Period | Current guidance |
|---|---|---|
| Full-year revenue | FY2026 | Reaffirmed at the lower end of the revenue guidance range |
| Adjusted EBITDA | FY2026 | Updated to $12 million-$14 million, reflecting an additional $5 million of intentional marketing investment this year |
| Revenue (comparable, ex-London) | Q3 2026 | Expected to be down single digits year-over-year |
| Revenue and adjusted EBITDA (comparable) | Q4 2026 | Expected year-over-year growth, driven by continued ramp of existing and new service offerings and marketing efforts |
| alloClae / new-procedure contribution | FY2026 | Excluded from guidance given how early these offerings are in implementation |
| Metric | YoY | Note |
|---|---|---|
| Total revenue | -2.5% | Revenue of $42.9 million; on a same-center basis (ex-London) down ~1%, as positive 1% case growth was offset by a ~2% ASP decline. |
| Same-center case volume (ex-London) | +1% | Second consecutive quarter of year-over-year case growth, a sign of ongoing stabilization. |
| Average selling price | -2% | ASP of ~$12,700, down primarily on comparison against an unusually high ASP in the prior-year period; still within historical range. |
| Gross margin | Expanded to ~61% | Cost of services of $16.6 million; margin improvement driven by cost discipline. |
| SG&A | +~$750,000 (to ~$23.4 million) | A deliberate $1.5 million increase in marketing and brand development, partially offset by G&A efficiencies. |
| Adjusted EBITDA | -$900,000 (to $4.9 million, ~11.5% of revenue) | Lower on intentional incremental marketing investment during the quarter. |
| Customer acquisition cost | Up to ~$3,500 from ~$2,900 | Intentional top-of-funnel brand-building investment that is not yet fully optimized. |
| Operating cash flow after capex (YTD through June 30) | Up slightly | Approximately $3.8 million, modestly higher year-over-year. |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| GLP-1 opportunity | Emerging growth driver targeted over prior ~18 months | Positioned as a significant long-term driver with nearly 19 million potential patients and a $100+ million long-term revenue opportunity across existing centers; increasing share of consultations are from patients on GLP-1s. | — |
| Procedure portfolio expansion | Core body contouring (fat removal/transfer) plus skin tightening and skin excision | Expanded with 200+ skin excisions completed, added upper breastoplasty and mastopexy, and announced alloClae (adipose tissue allograft) via Tiger Aesthetics, rolling into centers later this quarter. | — |
| Marketing strategy | Marketing around ~18% of revenue last year | Running ~20% of revenue year-to-date with an incremental $5 million planned this year; heavy test-and-learn approach targeting GLP-1 patients, with CAC expected to decline as investments mature. | — |
| Same-center sales trajectory | -23% in the first half of 2025 | Roughly flat year-to-date, though trends softened in June and into July amid a dynamic consumer environment. | — |
| Balance sheet and refinancing | Elevated debt entering 2025 | Gross debt down over $30 million since start of 2025 to ~$44 million; term loan maturity amended to November 2027, with multiple refinancing term sheets received and ~$24 million of liquidity. | — |
| De novo expansion | Paused during turnaround | Near-term focus remains on same-center sales; intends to resume de novo center expansion over time as balance sheet and cash flow strengthen. | — |