WeightWatchers CEO sends internal memo to employees as stock plummets amid Oprah exit

WeightWatchers CEO Sima Sistani is trying to rally her squad arsenic nan company's banal continues to return a beating pursuing nan announced departure of Oprah Winfrey from nan committee 2 weeks ago.

The CEO aimed to reassure labor pinch an soul memo dated Thursday and obtained by CNBC successful which she said nan institution is successful a patient financial position contempt what nan headlines mightiness suggest.

WeightWatchers announced connected Feb. 28 that Oprah Winfrey will nary longer beryllium a personnel of its board. The media icon has served connected nan committee since 2015. (Rich Polk/Golden Globes 2024/Golden Globes 2024 / Fox News)

WeightWatchers disclosed Winfrey's exit connected Feb. 28, sending shares tumbling much than 20%. The banal value has fallen 50% complete nan past period and is down 74% twelvemonth to date.

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"We do not judge nan caller banal moves bespeak nan spot of our performance, outlook aliases nan adjacent word trade-offs we're making for our early growth," Sistani wrote, adding "we person beardown liquidity and are not successful a rate crunch."

Analysts person expressed concerns that WeightWatchers faces a threat from celebrated weight-loss-related medications for illustration Novo Nordisk's Ozempic and Eli Lilly’s Mounjaro, arsenic consumers flock to nan narcotics arsenic an replacement to fare and manner changes alone.

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Others person speculated that WeightWatchers shares person been wounded by concerns complete its maturation and liquidity.

WeightWatchers CEO Sima Sistani told labor nan institution will "prove nan naysayers wrong" arsenic nan banal struggles pursuing nan announced departure of Oprah Winfrey. (Rafael Henrique/SOPA Images/LightRocket via Getty Images / Getty Images)

But Sistani pushed backmost against those concerns, saying nan institution has nary maturities owed until 2028 and is executing connected a scheme for achieving maturation successful respective areas this year.

She vowed that WeightWatchers would "prove nan naysayers wrong."

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"Turning astir and wholly transforming a business is not for nan faint of heart!" Sistani told labor successful her memo. 

"As we enactment focused connected delivering for our members, nan banal value will return attraction of itself," she continued. "The activity you are doing matters and is mounting america up for semipermanent success."

FOX Business' Daniella Genovese and Reuters contributed to this report.