AirSculpt opens new body contouring center in Deerfield By Investing.com

DEERFIELD, IL – AirSculpt® Technologies, Inc. (NASDAQ: AIRS), a provider of premium body contouring procedures, has expanded its footprint with a new center in Deerfield, IL. The company announced today the opening of its latest location at 720 Waukegan Rd Suite 200, situated within the upscale Deerfield Square shopping center.

This new addition marks the company’s 30th location and features three operating rooms designed to accommodate concurrent procedures. The Deerfield center will offer the full range of AirSculpt’s services, including the AirSculpt®+ skin tightening procedure.

Interim CEO Dennis Dean expressed enthusiasm about the expansion, noting the success and demand for AirSculpt’s services in the existing Chicago clinic. “We’re thrilled to bring AirSculpt and our proprietary technology to Deerfield,” said Dean. The company anticipates the Deerfield location will mirror the positive outcomes experienced in Chicago.

AirSculpt®+ is an adjunctive treatment to the AirSculpt® fat removal procedure, providing additional skin tightening benefits. It employs Renuvion® technology, which combines helium gas and radiofrequency energy to create plasma that targets skin laxity and aims to produce a youthful appearance.

Since its inception in 2012, AirSculpt® has completed over 60,000 procedures across its locations in the U.S., Canada, and the United Kingdom. The Deerfield center, now part of this growing network, will welcome clients for both virtual and in-person consultations.

AirSculpt® is known for its minimally invasive technique that emphasizes comfort and precision, offering quick recovery, minimal bruising, and precise sculpting of targeted body areas.

For more information on the new Deerfield location or to schedule a consultation, interested individuals can visit the company’s website at airsculpt.com. This expansion is part of AirSculpt® Technologies’ efforts to meet the increasing market demand in the Chicago area, as reported in a recent press release statement.

In other recent news, AirSculpt Technologies has made significant changes to its credit agreement terms, modifying financial covenants and adjusting interest rates. The firm has also revised its full-year revenue guidance to between $180 million and $190 million, and adjusted EBITDA to between $23 million and $28 million, following a decrease in second-quarter earnings due to challenging demand conditions. In response to these developments, AirSculpt has implemented management changes, with Dennis Dean stepping in as Interim CEO and CFO.

The company has also adjusted its Consolidated Fixed Charge Coverage Ratio and Consolidated Leverage Ratio requirements for the upcoming fiscal quarters, providing more flexible financial benchmarks. As part of this amendment, AirSculpt Technologies and its subsidiaries are now required to maintain a minimum liquidity of $6.75 million and $7.5 million at the end of the fiscal quarters ending September 30, 2024, and December 31, 2024, through June 30, 2025, respectively.

Furthermore, the company has agreed to an increase in interest rates for various loans and has committed to providing Silicon Valley Bank with monthly “key performance indicator” reports. Despite these challenges, AirSculpt plans to improve conversion rates through refocused marketing efforts and sales team realignment, maintaining its long-term aspiration to return to a 30% EBITDA margin rate. These are recent developments in the company’s operations.

InvestingPro Insights

As AirSculpt® Technologies, Inc. (NASDAQ: AIRS) continues to expand its presence with new centers like the one in Deerfield, IL, the company’s financial and market performance provides valuable insights for potential investors and stakeholders. According to recent data from InvestingPro, AirSculpt® has a market capitalization of $313.88 million, reflecting the market’s current valuation of the company.

InvestingPro Tips highlight that while analysts anticipate net income growth this year, there are also concerns as two analysts have revised their earnings estimates downwards for the upcoming period. This suggests that while the company is expected to become profitable, there may be some uncertainty about the short-term financial outlook. Additionally, the stock has experienced significant returns over the last week and month, with a one-week price total return of 25.58% and a one-month price total return of 21.38%, indicating strong recent performance in the market.

InvestingPro Data further reveals that AirSculpt®’s revenue growth over the last twelve months as of Q2 2024 stands at 6.58%, suggesting a steady increase in sales. However, the company’s P/E ratio is currently negative at -75.17, which, along with a negative PEG ratio of -1.24, may raise questions about the company’s earnings potential relative to its stock price.

For those interested in a deeper analysis, there are additional InvestingPro Tips available on the platform, offering more nuanced insights into AirSculpt® Technologies’ financial health and market position. Visit https://www.investing.com/pro/AIRS for a comprehensive list of tips and to gain a better understanding of the company’s investment potential.

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