Company: WW
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000950170-25-029511
Chunk: 158

Company: WW INTERNATIONAL, INC.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 1B
Chunk 158
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73% per annum for fiscal 2023. See “—Liquidity and Capital Resources—Long-Term Debt” for additional details regarding our debt, including interest rates and payments thereon. Further information regarding our use of interest rate swaps can be found in Note 19 “Derivative Instruments and Hedging” of the notes to the audited consolidated financial statements contained in this Annual Report on Form 10-K.

Other (Income) Expense, Net

Other (income) expense, net, which consists primarily of the negative impact of foreign currency on intercompany transactions, changed by $0.1 million for fiscal 2024 to $0.0 million of income as compared to $0.1 million of expense for fiscal 2023.

Tax

Our effective tax rate for fiscal 2024 was (0.2%) compared to (52.5%) for fiscal 2023. The tax expense for fiscal 2024 was impacted by a tax expense due to a valuation allowance and a tax expense related to share-based awards, partially offset by a tax benefit related to state tax and a tax benefit related to foreign-derived intangible income (“FDII”).

In addition, for fiscal 2024, the effective tax rate was impacted by out-of-period income tax adjustments and tax expense from a valuation allowance established to offset certain non-U.S. deferred tax assets due to the uncertainty of realizing future tax benefits. The adoption of the Organization for Economic Cooperation and Development’s global tax reform initiative, which introduces a global minimum tax of 15% applicable to large multinational corporations, impacted our effective tax rate for fiscal 2024 by (0.04%) related to Canadian top up tax.

We continue to evaluate the realizability of our deferred tax assets and based on the weight of the available evidence, we provided a full valuation allowance against the U.S. deferred tax assets.

The tax expense for fiscal 2023 was impacted by a tax expense due to a valuation allowance and a tax expense related to income earned in foreign jurisdictions at rates higher than the U.S., partially offset by a tax benefit related to state tax and a tax benefit related to FDII.

Net Loss and Diluted Net Loss Per Share

Net loss for fiscal 2024 was $345.7 million compared to net loss for fiscal 2023 of $112.3 million. Net loss for fiscal 2024 was positively impacted by $0.3 million of foreign currency. Net loss for fiscal 2024 included a $293.2 million impact from franchise