Soho House & Co Inc. (NYSE:SHCO) Q1 2024 Earnings Conference Call May 10, 2024 9:00 AM ET

Company Participants

Andrew Carnie - Chief Executive Officer
Thomas Allen - Chief Financial Officer

Conference Call Participants

Shaun Kelley - Bank of America
George Kelly - ROTH MKM
Sharon Zackfia - William Blair
Steven Zaccone - Citi

Operator

Good morning. My name is Audra and I will be your conference operator today. At this time, I would like to welcome everyone to the Soho House & Co Inc First Quarter 2024 Results Conference Call. Today’s conference is being recorded. [Operator Instructions] At this time, I would like to turn the conference over to Thomas Allen, Chief Financial Officer. Please go ahead.

Thomas Allen

Thank you for joining us today to discuss Soho House & Co’s first quarter financial results. My name is Thomas Allen. I am the Chief Financial Officer. I am here with Andrew Carnie, our CEO.

Today’s discussion contains forward-looking statements that represent our beliefs or expectations about future events. All forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Some of the factors that may cause such differences are described in our SEC filings. Any forward-looking statements represent our views only as of today and we assume no obligation to update any forward-looking statements if our views change. By now, you should have access to our Q1 earnings release, which can be found at sohohouseco.com in the News & Events section.

Additionally, we have posted our Q1 presentation, which can be found in the News & Events section on our site. During the call, we also refer to certain non-GAAP financial measures. These non-GAAP measures should be considered in addition to and not as a substitute for or an isolation from our GAAP results. Reconciliations to the most comparable GAAP measures are available in today’s earnings press release.

Now, let me hand it over to Andrew.

Andrew Carnie

Thanks, Thomas and hello everyone. I am going to start by talking through the quarter’s highlights, then provide an update on progress we’ve made against our strategic priorities. I’ll then hand over to Thomas to talk through the financial performance, give an update on our balance sheet, and our guidance before moving on to Q&A.

It’s been a solid start to 2024 with year-on-year growth in membership and revenues as we continue to deliver against our strategic priorities. We welcomed more than 4,000 members in the quarter, growing to 198,000 Soho House members overall, a year-on-year increase of 17%, which leaves us well on track to meet our full year target. The vast majority of the growth in the quarter came from the 25 houses that we have opened since 2018.