Earnings

OneSpaWorld Narrows 2026 Profit Outlook Upward, Lifts Dividend 25% And Adds $100 Million Buyback

The cruise-ship spa operator reported record third-quarter revenue of $276.5 million and raised its full-year adjusted EBITDA range.

Matteo Parrino Jonathan Ponciano

Matteo Parrino, Jonathan Ponciano

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OneSpaWorld Narrows 2026 Profit Outlook Upward, Lifts Dividend 25% And Adds $100 Million Buyback

OneSpaWorld, which runs spas, fitness centers and medi-spas on cruise ships and at resorts, raised its 2026 guidance to $138.0 million to $140.0 million in adjusted EBITDA after record third-quarter results. Its board also approved a new $100 million share buyback and a 25% dividend increase, the company said Wednesday.

A higher floor on the forecast

Full-year revenue guidance is now $1.033 billion to $1.038 billion, compared with the $1.018 billion to $1.038 billion range given with second-quarter results on July 29. The adjusted EBITDA range moved to $138.0 million to $140.0 million from $130.0 million to $140.0 million. The top ends held; the bottoms rose.

CFO Stephen Lazarus said revenue should rise 10% and adjusted EBITDA 13% at the midpoints, against 2025 results excluding exited and reorganized operations. For the fourth quarter, the company guided to $248 million to $253 million in revenue and $32 million to $34 million in adjusted EBITDA.

A record quarter

Third-quarter revenue rose 7% to a record $276.5 million, from $258.5 million a year earlier. Net income climbed 16% to $28.2 million, or $0.28 per diluted share, versus $0.23. Adjusted EBITDA rose 12% to $39.2 million.

The company credited a 3.3% rise in average guest spend, newbuild ships and higher volumes. Pre-booked revenue at its centers grew by $6.9 million. Average ship count reached 206, against 199 a year earlier. A $1.4 million drop in resort revenue partly offset the gains.

For the first nine months, revenue rose 9% to $785.4 million and net income reached $72.8 million.

Spas at sea, with three big customers

OneSpaWorld sells treatments and retail products such as skin care to cruise passengers and resort guests. Cruise lines keep a set share of onboard spending and pay the rest to the company. Carnival made up 39.6% of 2025 revenue, Royal Caribbean 28.2% and Norwegian Cruise Line 17.7%, according to the company's annual report.

The company said it signed new agreements with Azamara Cruises and Silversea Cruises. It also finished exiting its Asia resorts business after quarter end and reorganized operations in the United Kingdom and Italy.

Cash returned to shareholders

The board approved the new $100 million repurchase program on October 20. The prior $75 million program, started in April 2025, was fully used by September 30. In the third quarter the company bought 1,412,574 shares for $37.2 million, paid $5.1 million in dividends and repaid $11.3 million of its term loan.

The quarterly dividend rises to $0.0625 per share, payable December 2 to holders of record on November 18. Cash stood at $32.1 million at September 30, with total debt, net of deferred financing costs, of $70.5 million.

CEO Leonard Fluxman said he expects the company to deliver a fourth consecutive year of record results in fiscal 2026; management discusses the quarter on a 10:00 a.m. ET call Wednesday.

Sources

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