Why Membership Collective (MCG) Shares Are Sliding Today

Membership Collective Group Inc MCG reported second-quarter FY22 sales growth of 96.5% year-on-year to $243.77 million, beating the consensus of $240.77 million.
The total members grew 51.3% Y/Y to 193,370. Membership revenue increased 46.9% to $65.9 million, constituting 27% of total revenues.
The operating loss for the quarter widened to $(65.5) million.
The company held $266 million in cash and equivalents.
Adjusted EBITDA for the quarter was $15.4 million with an adjusted EBITDA margin of 6%.
EPS of $(0.41) missed the analyst consensus of $(0.16).
Outlook: Membership Collective lowered FY22 sales guidance to $910 million - $985 million from $950 million - $1.025 billion, versus the consensus of $995.01 million.
It expects FY22 adjusted EBITDA of $70 million - $80 million (previously $80 million - $90 million).
Price Action: MCG shares are trading lower by 15.30% at $6.92 on the last check Wednesday.

Membership Collective Cuts Annual Guidance Citing Headwinds From FX & Hong Kong